Chevron Subsidiary Delivers First Fully Offset LNG Cargo from Gorgon Natural Gas Project
The natural gas marketing subsidiary of Chevron Corp. delivered its first LNG cargo with fully certified offsets from three projects across Asia.
The liquefied natural gas cargo was delivered from the Gorgon project off northwest Australia to the state-owned CPC Corp terminal. in Taiwan. Chevron revealed that greenhouse gas emissions associated with cargo would be fully offset with the completion of energy efficiency and nature-based projects in Cambodia, Indonesia and Nepal.
John Kuehn of Chevron, the company’s supply and trading division, said delivering the first offset cargo is a crucial step towards the company’s goal of being net zero by 2050. and its ability to meet CPC’s demand for low-emission fuel.
“We share the view that the future of energy is low carbon and expect this offset cargo to be the first of many as we leverage our capabilities, our assets and our relationships with our customers to provide energy solutions to a growing world,” said Kuehn.
Chevron’s offset projects are certified by the Verified Carbon Standard program, administered by the non-profit organization Verra. One project aims to restore swamp ecosystems in Indonesia and another could support the United Nations program to promote resilience to climate change in Cambodia. Chevron also supported a project to expand the use of energy-efficient stoves in Nepal.
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Scope 1 and 2 emissions for cargo – which are emitted during upstream production, transportation, liquefaction and shipping – were calculated based on a methodology jointly developed by Chevron, Pavilion Energy Trading & Supply Pte. ltd. and Qatar Energy. Scope 3 emissions were calculated using PACE Global Standards for Regassing and Distribution and IPCC 2006 Emission Factors for Combustion.
Last year, the Singapore unit of BP plc delivered its first cargo of cleared LNG to CPC. The company also received carbon neutral volumes from Shell plc and Eni SpA. Besides cargoes from the Prelude floating LNG terminal of Gorgon and Shell, CPC also receives a large part of its annual volumes from QatarEnergy.