Oxy Low Carbon Ventures provides world’s first carbon-neutral shipment
Oxy Low Carbon Ventures (OLCV), an Occidental division, has given details of what it believes to be the world's first carbon-neutral shipment.
2m barrels of oil were supplied to Reliance Industries in India on January 28 by Pantheon's Sea Pearl VLCC.
This trade, arranged in conjunction with Macquarie, is believed to be the first major petroleum shipment in the energy industry that has been offset by greenhouse gas (GHG) emissions associated with the entire oil lifecycle, well headed by the combustion of end goods.
The oil was developed by Occidental in the US Permian Basin and was delivered to Reliance in India. The bundled offset supply was structured by Macquarie.
The offsets were derived from a number of projects reviewed under the Verra Verified Carbon Standard that met the eligibility requirements for the Carbon Offsetting and Reduction Scheme for International Aviation of the UN International Civil Aviation Organization.
In order to cover the estimated GHG emissions from the entire crude lifecycle, including oil production, transport, storage, shipping, refining, subsequent use and combustion, the amount of offsets added to the load is sufficient.
Occidental was the first foreign energy corporation based in the United States to declare its commitment to reach net zero GHG emissions linked to the usage of its goods by 2050.
In 2019, OLCV made an investment in the Direct Air Capture (DAC) technology of Carbon Engineering and announced plans to continue engineering the world's largest DAC and sequestration plant through its development company, 1PointFive. In 2024, OLCV expects DAC's net-zero oil to be available to customers.
Maritime Business World