British oil and gas major BP is planning to end natural gas flaring at its onshore oil and gas assets in the US by 2025.
As part of the plan, the firm intends to build a network of pipes and other infrastructure with an investment of about $1.3bn, reported the Wall Street Journal (WSJ).
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The new infrastructure would allow the firm to collect and capture natural gas produced from the Permian Basin oil fields as a by-product, which would eliminate routine flaring of natural gas.
BP America chairman Dave Lawler said: “We see a future where our Permian production is a highly commercial and low carbon energy resource that uses a combination of technologies, such as continuous methane monitoring, electrification, and block chain applications, to support and accelerate the energy transition.
“Embracing these technologies goes well beyond a fractional improvement, as we look to these resilient hydrocarbons to help fuel bp’s transition to a net zero company.”
In 2018, BP made $10.5bn acquisition of BHP’s assets in the liquids-rich regions of the Permian and Eagle Ford basins in Texas and in the Haynesville natural gas basin in East Texas and Louisiana.
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By GlobalDataBP said that the intensity of flaring since the acquisition of these assets has decreased dramatically.
Last month, the firm said it had reduced its 2020 Scope 1 and 2 emissions by 16%, associated mostly with production, reported the WSJ.
BP plans to electrify more than 75% of its Permian operated wells by the end of 2021 and increase it to more than 95% by 2023.
BP subsidiary BPX energy low carbon and sustainability vice-president Faye Gerard said: “We still have work to do, but we are constantly evaluating and piloting new technologies to help further reduce emissions, including flaring, and help advance bp’s ambition to be a net zero company by 2050 or sooner.”
