In focus: Great determination for creating net-zero future

A lot of companies involved in the offshore energy sector have already introduced their plans on how to reach the net-zero emissions status by a certain point in the future. In this week’s In focus, we are spotlighting the most recent projects aiming to achieve these goals.

Example number one, C-Job Naval Architects and LH2 Europe have developed the ship design for a new liquid hydrogen tanker to revolutionise the renewable energy market in Europe.

LH2 Europe will use Scotland’s renewable electricity to produce green H2 and market it at a competitive price with diesel. 

The new tanker will transport the liquid hydrogen to terminals in Germany. In addition, the vision is to expand supply to other markets as demand increases.

The vessel is to be ready and commissioned six months before the first delivery of hydrogen in 2027.

Example number two – Uzmar Shipyard and Canadian naval architectural firm Robert Allan recently signed an agreement to design and build a new series of methanol-fuelled tugboats.

The new designs represent a new generation of low-emission tugs demanded by shipowners to meet CO2 reduction targets.

The name of the methanol-powered tugboat series will be unveiled soon by the two partners.

Specifically, the new series will have improved energy efficiency and will be able to generate a significant amount of annual CO2 emissions savings.

Making a step forward in the commercial use of hydrogen fuel by a commercial vessel, Norwegian HAV Group ASA has received preliminary approval for a hydrogen-based energy system for ships developed within the FreeCO2ast project.

The preliminary approval confirms that the alternative design is considered feasible and sound in accordance with International Maritime Organisation (IMO) guidelines on alternative design and that the project is ready to advance into the next stage – the final design phase.  

As the U.S. Bureau of Ocean Energy Management (BOEM) is working towards the first offshore wind auction for the Gulf of Mexico early next year, current legislative developments in Louisiana could lead to the state being the first to build an offshore wind farm in the Gulf, as well as to expanding the wind lease areas in state waters and tweaking its lease sale approach.

Earlier this week, a legislative measure on offshore leasing, including the size of the wind lease areas and leasing rules in relation to the state, cleared the Louisiana House of Representatives.

The bill HB165 is expected to pass the Senate in the upcoming weeks.

CalWave Power Technologies has signed a memorandum of understanding (MoU) with Launch Alaska – establishing a formal partnership to advance planning of wave energy projects in the state of Alaska.

The agreement builds upon a mutually-identified pipeline of potential projects and CalWave is now planning to advance a region-specific deployment in the near future.

The collaboration stems from CalWave’s engagement with Launch Alaska’s 2021-2022 Tech Deployment Track Program, an initiative focused on deploying global solutions to climate and environmental issues for applications in Alaska.

In a push to help the UK deliver on its bold ambitions to boost energy security and reach net zero, BP plans to invest up to £18 billion (about $22.5 billion) in the country’s energy system by the end of 2030.

The giant intends to continue investing in the North Sea oil and gas, while driving down operational emissions.

Also, BP is in action on a range of lower-carbon energy investments in the UK, which are expected to bring jobs and develop new skills and capabilities.

BP is also investing in exploration around its existing North Sea hubs and progressing asset electrification projects in the Central North Sea and West of Shetland to further reduce operational emissions and support the North Sea Transition Deal.

When it comes to offshore wind, the company is the developer of two 60-year offshore wind leases in the Irish Sea (a combined potential generating capacity of 3GW) and a developer of a lease option (potential generating capacity of 2.9GW) off the east coast of Scotland in the ScotWind round.

Together, these areas could generate enough energy to power over six million UK homes every year.

The annual performance review for the UK’s top producers highlighted 33 new projects targeting 1.3 billion barrels of oil and gas, which will significantly bolster the country’s energy security, the North Sea Transition Authority (NSTA) said.

A few days ago, the Authority revealed that a total of 890 million barrels of those resources could be sanctioned as early as next year and the regulator expects operators to rapidly deliver projects, in line with its effective net zero test, in the interest of UK supply resilience.

The regulator also added that exploration and appraisal activity is expected to return to pre-pandemic levels, with 20 wells per year forecast from 2022-24.

The NSTA used the 28 April Tier Zero meeting to stress that an ongoing proactive approach is essential to surpass the emissions reduction targets agreed in the North Sea Transition Deal.

Held in Q2 every year, the Tier Zero gathers the managing directors of the sector’s 22 largest operators to review the performance of the basin.

Data, including from the annual UKCS Stewardship Survey, is used to show operators how they compare with peers across a series of benchmarking metrics, with a view to sharing best practice and driving improvement.

CO2 emissions for the UK upstream oil and gas industry fell 14 per cent to 12.1 megatonnes in 2021. Furthermore, flaring across the basin fell by 19 per cent year-on-year and venting was down by 24 per cent.

The NSTA challenged industry chiefs to sustain these lower levels in 2022 when gas production is expected to rise.