Exxon Mobil acts to reduce methane leaks, emissions

Exxon Mobil Corp. is launching a new effort to reduce methane emissions and leaks from its U.S. oil and gas operations, attempting to become an industry leader in curbing releases of the potent greenhouse gas.

Methane, the primary component of natural gas, escapes from oil and gas wells and leaky pipelines and contributes to climate change. Those emissions are viewed as the “Achilles heel” of natural gas, an otherwise cleanerburning fuel that produces less carbon dioxide, another greenhouse gas, than coal or oil.

Exxon Mobil’s move comes as it’s under scrutiny by environmentalists and politicians, who have suggested that the com-

pany conducted research on climate change over the decades and withheld evidence that fossil fuels helped accelerate the rise in global temperature — allegations that it denies. Through its shale drilling subsidiary, XTO Energy, Exxon Mobil is taking steps such as phasing out natural gas-powered equipment in favor of compressed air and installing more leak detection technology for its pipelines.

“We need to minimize our impact on the environment,” XTO President Sara Ortwein said. “Focusing on emissions reductions — and here with methane — is one more step.”

XTO is the nation’s largest holder of natural gas reserves, and the United States has reached an all-time high for natural gas production. The energy sector — including oil and gas production and coal mining — is the largest source of U.S. methane emissions, according to the Energy Department. Surging production unleashed by the shale boom has caused increased methane emissions throughout much of the past 15 years.

Environmental issue

Ben Ratner, a director with the Environmental Defense Fund, credited Exxon Mobil for tackling methane emissions, noting that methane accounts for about 25 percent of the planetary warming.

“This obliterates any claim that reduced methane emissions aren’t feasible or cost-effective,” Ratner said of the Exxon Mobil effort. “It’s no secret this company has faced significant scrutiny from many corners on the climate change issue. I do think the methane plan suggests a response from the concerns of environmental advocates.”

An August study by Harvard professors of scientific history, which studied 40 years of Exxon Mobil communications, said the company’s scientists published papers that made connections between fossil fuels and rising global temperatures even as it publicly promoted doubt about that connection. Exxon Mobil disputes the study’s conclusions.

The company has also come under pressure from shareholders. In May, its shareholders voted to ask the company for annual reports on how climate change will affect the oil and gas business.

Exxon Mobil will phase out much of its natural gas-powered equipment over three years. The equipment, which emits methane, controls valves and pressure levels.

Methane flaring

The initiative, however, does not address methane flaring from gas production, although Ortwein noted that XTO is working to reduce flaring and capture more natural gas to sell to customers.

XTO recently completed a methane-reduction pilot project in West Texas’ Permian Basin. XTO also will add more leakdetection equipment to its pipelines and its gathering and processing equipment out near oil and gas fields.

Ortwein said Exxon Mobil is making a sizable financial equipment to this project, but that it’s just underway and the amount of money needed is yet to be determined.