Net Zero Strategies in Oil and Gas – Thematic Intelligence

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Reasons to buy the Net Zero Strategies in Oil and Gas thematic intelligence report:

  • Get an overview of the emissions emanating from the oil and gas industry.
  • Learn about the strategies adopted by oil and gas companies to reduce carbon emissions.
  • Rank industry leaders on their decarbonization efforts.
  • Elucidate the importance of a net zero strategy in the oil and gas sector.

How is our Net Zero Strategies in Oil and Gas report unique from other reports in the market?

  • Discuss the impact of GHG emissions by oil and gas companies along with strategies adopted to mitigate such emissions.
  • Evaluate the various scopes of emission emanating from the oil and gas industry.
  • Benchmark the leading carbon companies based on their emissions intensity and net zero commitments.

We recommend this valuable source of information to anyone involved in: 

  • ​​Oil and Gas Companies/Start-ups with an Interest in the O&G Sector
  • Contractors/Engineers
  • Equipment/Materials Suppliers
  • Service providers/Technology Suppliers
  • Upstream, Midstream, and Downstream Producers
  • C-suite Executives/Business Strategists or BD Team Leads of O&G and Energy Transition Companies
  • Investment Banks/Consultants

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Net Zero Strategies in Oil and Gas Thematic Overview

Greenhouse gas (GHG) emissions generated by oil and gas operations accounted for 15% of total energy-related emissions worldwide in 2022. These are known as Scope 1 & 2 emissions. A further percentage of energy-related emissions, also known as Scope 3 emissions, came from the use of oil and gas for power generation, heating, vehicle fuel, and industrial processes. Most net-zero targets set by oil and gas companies cover Scope 1 and 2 emissions. To reduce such emissions, oil and gas companies are reducing their gas flaring and leakage, investing in carbon capture and storage, and powering platforms with renewables.

The oil and gas sector faces severe disruption as more countries and industries decarbonize. Developed countries are aiming for net zero by 2050 while developing countries like China and India are aiming for 2060 and 2070, respectively. The Net Zero Strategies in Oil and Gas thematic report provides an overview of the emissions emanating from the oil and gas industry as well as the targets that oil and gas firms have come up with to battle emissions.

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Oil & Gas Sector Emissions Overview

Global energy-related GHG emissions reached an all-time high in 2022. Operations like coal, oil, and natural gas use, as well as industrial processes, contributed to global energy-related GHG emissions of CO2 and methane. The US has the highest CO2 emissions from oil and gas operations. Operational emissions intensity for natural gas production is predominantly driven by the release of methane. Several countries and regulatory jurisdictions are introducing emissions trading systems or enhancing existing ones. The EU is expanding emissions trading to shipping and road transport by phasing out free emissions allowances and introducing a carbon import tax. China is expanding its emissions trading system to more of its industry. The UK is adding shipping and waste to its ETS and planning to remove free allowances for aviation, power, and high-emitting industries.

Global Energy-Related GHG Emissions, 2000-2022

Global Energy-Related GHG Emissions, 2000-2022

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Net Zero Strategies by Company

Energy-transition-related M&A deals increased significantly from 2020 to 2022. TotalEnergies acquired the greatest number of deals including the acquisition of the business and commercial units of solar developer SunPower. Some companies have also divested some of their high-emitting assets thus reducing their contribution to emission. Besides TotalEnergies, energy transition-related M&A deals were also acquired by Equinor, Repsol, Chevron Technology Venture, and others.

Leading Companies with the Highest Number of Energy Transition-Related M&A Deals

Leading Companies with the Highest Number of Energy Transition-Related M&A Deals

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Integrated Oil and Gas Sector Scorecard

At GlobalData, we use a scorecard approach to predict tomorrow’s leading companies within each sector. Our sector scorecard has three screens: a thematic screen, a valuation screen, and a risk screen.

The thematic screen ranks companies based on overall leadership in the 10 themes that matter most to their industry, generating a leading indicator of future performance.

The valuation screen ranks our universe of companies within a sector based on selected valuation metrics.

The risk screen ranks companies within a particular sector based on overall investment risk.

Integrated Oil and Gas Sector Scorecard – Thematic Screen

Integrated Oil and Gas Sector Scorecard – Thematic Screen

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BP
ConocoPhillips
Chevron
Eni
Equinor
ExxonMobil
Repsol
Shell
TotalEnergies

Table of Contents

Executive Summary 3

Who is winning the race to net zero? 7

Overview of oil & gas sector emissions 8

Methane is a significant GHG across natural gas and oil production 11

GHG emissions are broken down into Scopes 1, 2 and 3 13

Emissions across the O&G value chain 15

Net zero strategies by company 16

Evaluating emissions targets 20

Sector scorecards 31

Appendix: Emissions targets by company 36

Appendix: Our thematic research methodology 40

About GlobalData 43

Contact us 46

Frequently asked questions

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