ExxonMobil Gas Flare
and Venting Reduction
February 12, 2010
P.G. Cavazos
Upstream Environmental Manager
This presentation includes forward-looking statements. Actual future conditions (including economic conditions, energy demand, and energy supply) could differ
materially due to changes in technology, the development of new supply sources, political events, demographic changes, and other factors discussed herein (and in
Item 1 of ExxonMobil’s latest report on Form 10-K). This material is not to be reproduced without the permission of Exxon Mobil Corporation.
Objective
• Introduction
• ExxonMobil involvement in GGFR
• ExxonMobil Gas Flaring & Reduction Strategy
• Our Path
• What Has Been Done
• Long-Term Technology/Development
• Summary
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Introduction
• ExxonMobil member of Global
Gas Flaring Reduction
Partnership (GGFR) since 2003
• EM GHG emissions reduction
strategy is focused on:
- Increasing operating standards
and reliability in the short-term;
- Developing breakthrough, game-
changing technologies for the
long-term
• Achieving meaningful reductions
will require a wide range of
solutions
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ExxonMobil Experience
• Operational reductions achieved by:
• Improved Practices
• Investment
• Reliability
• Standards
• Energy Management System (EMS)
- Example: reduced greenhouse gas emissions by 10 million tonnes in
2008, a 7 percent reduction versus 2007
- Long-term Technology Development
- Carbon Capture and Storage (CCS)
- Controlled Freeze Zone (CFZTM) commercial demonstration project
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Operational Flaring
• A minimal amount of flaring is
required to ensure the safety of
our people and our operations
- Emergency blow-downs
- Recovery from process upsets
- Planned and unplanned
shutdowns and start-ups (e.g.
maintenance, facilities
modifications etc.)
- Flare purge gas required to
maintain light flare and prevent
liquid build-up
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Example: Flare Reduction
Reduction of operational flaring
Angola
- Significant reduction in start-up
flaring
Reduction of routine gas flaring
Nigeria
- Invested over $5 billion to increase
gas utilization projects
- In 2008, three projects reduced
flaring by approximately 120
million cubic feet per day
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Operational Reliability
• Global Reliability Best Practices
- Identified “Best In Class” practices
- Establish strategies for common issues
- Manage common vulnerabilities
• Eliminate Site Vulnerabilities
- Identifying Critical Equipment and “Bad Actors”
- Identifying Reservoir Management Techniques
• Incident Investigation and Analysis
- Learn to Prevent Recurrence Locally (site) and Globally
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Operational Standards
• ExxonMobil has an established
Flare and Venting Reduction
Standard
- Promotes an overall long term
reduction in greenhouse gas
(GHG) from Upstream oil and
gas production and processing
facilities
- Project planning and design
approach to reducing flaring and
venting emissions
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Energy Management System
Objectives
• Establish a single, comprehensive energy management system (EMS)
• Utilize a common methodology to identify performance gaps, implement
closure plans, sustain progress, and continuously improve results
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Example: Cogeneration
Gross Cogeneration Capacity (MW)
6000
5000
4000
3000
2000
1000
0
1980 1990 2000 2007 2011
• Over 100 installations at more than 30 locations worldwide
• Over 4500 MW capacity with additional projects under development
– Invested more than $1 billion to add 1000MW
– New facilities under construction to add an additional 500 MW by 2011
• ExxonMobil self-generates over 50% of its total electricity demand
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Long-term Technology
Carbon Capture and Storage – a promising option
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Long-term Technology
Controlled Freeze Zone (CFZTM)
single step process for separation of
CO2
– ExxonMobil developed
technology, patented in 1986
– commercial scale, $100M
demonstration under
construction at LaBarge, WY,
2010 start-up
– lower cost process that may
make CCS a more practical
option for CO2 from natural gas
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Summary
• A minimum amount of routine flaring will be needed for operational
safety
• Numerous approaches to address Gas Flare and Venting
Reductions
• Near Term – Operational Standards
• Long term – Technological innovation
• Key success factors
• Management leadership – essential to get and keep the ball rolling
• Resource-balanced – pursue economically viable solutions
• Protect Tomorrow. Today
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