i3 Energy reports steady progress on ESG initiatives
() , a UK and Canada focused oil producer, released its 2022 ESG report, reaffirming commitment to net zero for direct and indirect (Scope 1 and Scope 2) emissions for its operated assets by 2050, with accelerated targets expected to be set following further pathways analysis.
Since 2021, when i3 Energy's operations reached significant scope and scale, the company has managed a 4% reduction in Scope 1 and Scope 2 emissions. Continued efforts to reduce methane emissions include the replacement of the company's entire inventory of hi-bleed pneumatic controllers with low-bleed or instrument air, as well as the replacement of 400 pneumatic pumps on its assets acquired from Cenovus with solar-powered electric pumps.
Once completed, these initiatives will reduce i3 Energy's aggregate annual methane emissions by c. 64,600 tons of CO2, equivalent to c. 28% of its total CO2 emissions in 2022.
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i3 Energy continues to deliver on its ESG targets with a 4% reduction in Scope 1 and Scope 2 emissions since 2021, and more importantly, initiatives being implemented that will reduce 2022's emission levels by 28%, keeping the company ahead of schedule for net zero by 2050.
Currently, Scope 1 and Scope 2 emissions are below average for Canadian conventional oil and gas production of 48.14 kgCO2e/bbl and 42.04 kgCO2e/boe, respectively. In addition to the aforementioned modernisation of pneumatic controllers and pumps, the company has commenced electrification of its well pumpjacks, completing 30 conversions in 2022 at its Carmangay and Retlaw properties, reducing emissions by 6,366t CO2 annually. Additionally, emissions have been reduced materially from i3 Energy's fleet of compressor engines by installing air-to-fuel gas gauges to optimise fuel efficiency.
Also, in 2023 i3 Energy launched an alternative "Fugitive Emissions Management Programme", which utilises a crewed laser-equipped aircraft to image methane emissions from the air, allowing more rapid and efficient repair operations, aiming to reduce fugitive methane leakage by over 10% across operations.
Despite production and maintenance disruptions in Q2 2023, i3 Energy has maintained its full-year guidance, and remains on track to meet its production and net operating income targets for FY23 of 20,000-21,000 boepd and US$90-95m respectively.
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