Canadian Natural Resources Limited (Canadian Natural) is committed to developing innovative and economically effective solutions to manage greenhouse gas (GHG) emissions and air quality issues. These solutions will evolve from technology development and excellence in environmental performance.
Canadian Natural is taking positive action on GHG emissions reduction having significantly reduced its GHG emission intensity. Canadian Natural's strategy to address GHG emissions encompasses a series of integrated short-term and long-term initiatives that balance energy resource development with the need for effective GHG emissions management. Figure 1 illustrates Canadian Natural's historical emissions for the facilities Canadian Natural operates today. Figure 2 illustrates Canadian Natural's significant production increase over the same period of time as shown in Figure 1. Table 1 shows Canadian Natural's 2006 GHG emissions by area of operation.
Key elements of Canadian Natural's emissions strategy include the following:
1. Energy Conservation and Efficiency Initiatives to Reduce GHG Emissions
Canadian Natural continues to implement programs to reduce GHG emissions related to flaring and venting, as well as focusing on reducing GHG emissions associated with solution gas from crude oil wells. In 2006, Canadian Natural completed 122 natural gas conservation projects resulting in 8.5 mmscf/d of natural gas being conserved and the reduction of 1,240 kilotonnes/year of carbon dioxide equivalent (CO2e) being emitted. Over the past five years, Canadian Natural has invested more than $100 million on a large number of conservation projects to reduce natural gas and GHG emissions, resulting in a reduction of approximately 5,000 kilotonnes of CO2e.
Examples of other recent emission reduction initiatives include:
In Southern Alberta, Canadian Natural is conducting a CO2 enhanced oil recovery scheme that has been in operation since 2005. Waste CO2 emissions from the Hays Gas Plant are conserved and reinjected into a nearby crude oil pool resulting in both reduced GHG emissions and improved oil recovery.
Canadian Natural focuses on maximizing the efficiency of its large natural gas compressor fleet required to transport natural gas to the consumer markets; this results in minimizing fuel usage and associated GHG emissions.
A trial is underway testing the use of new low emission methanol injection pumps; methanol is injected into the natural gas stream to prevent the formation of hydrates that can plug the wells and pipelines. The new style pumps have the potential to reduce fuel gas venting compared to the old style pumps which are used on many remote well sites.
Emissions of SO2 from the upgrader under construction at the Horizon Oil Sands Project will be the lowest in the industry with a best in class sulphur recovery of 99.8%.
Canadian Natural is an active participant in a number of industry technology associations including PTAC (Petroleum Technology Alliance Canada), CONRAD (Canadian Oil Sands Network for Research and Development), ICO2N (Integrated CO2 Network) and others.
Energy efficiency assessments are being undertaken in the United Kingdom Continental Shelf (UKCS) installations to identify CO2 reduction opportunities. For example, investigations into the reduction of contingency power supply at the Tiffany Platform are being undertaken which, if implemented, will result in a reduction of CO2 emissions.
In Phase 1 of the European Union (EU) Emissions Trading Scheme, Canadian Natural's North Sea properties operated under its CO2 allocations and had surplus CO2 allowances. In Phase 2 of the Emissions Trading Scheme, Canadian Natural is investigating the expanded emission credit market to identify potential opportunities for involvement in Clean Development Mechanisms (CDM) or Joint Implementation (JI) projects.
2. Technology Development and Implementation
Canadian Natural believes one solution to effectively managing GHG emissions is the proactive development and use of new technologies. Canadian Natural is continuously evaluating new emission reduction technologies and has incorporated state-of-the-art processes in many of its plants and facilities to reduce its GHG emission intensity.
Please refer to the case studies that highlight our recent initiatives case studies.
3. Effective Public Policy Development
GHG emissions are an important issue for Canada that will affect all Canadians and requires effective public policy development that balances Canada's energy needs and the need for GHG emission reductions both in the short-term and long-term. Canadian Natural is committed to actively participating in the development of an effective public policy framework that provides Canadians with the opportunity to contribute in a responsible and appropriate manner to this challenge.
Emissions reduction is a global challenge that needs all countries, all industrial sectors and each citizen of those countries to contribute to the solution. All Canadians and all sectors within Canadian industry, including the energy sector, have to do their part if there is to be a meaningful impact on global GHG emissions.