Oil and gas companies are exposed to the following material environmental risks across their value chain: --Indirect emissions from hydrocarbon combustion: The sector's most material environmental impact is indirect and stems from the use of its end-products (scope 3 emissions). Oil and gas combustion contributes to global greenhouse gas (GHG), and sulfur and nitrogen oxide emissions. --Direct environmental impact from operations: The E&P processes entail a high possibility of spills and leaks, notably for offshore drillers, as well as water use and contamination, particularly for shale oil and gas producers using hydraulic fracturing. Production, transportation, and processing also generate GHG emissions and air pollutants, and may affect local biodiversity. Other environmental effects associated with the industry include water consumption by refiners for processing and cooling purposes, and land use for transportation and distribution networks, as well as production.