Chenier and Shell collaborate to deliver U.S. carbon-neutral LNG to Europe

China Petrochemical News Network reported on May 5 from Pipeline Oil & Gas Magazine that Chenier Energy and Shell have cooperated to deliver a batch of carbon-neutral liquefied natural gas (LNG) from the Sabine Pass liquefaction facility in Chenier to Europe.

The two companies worked together to offset the entire life cycle of greenhouse gas emissions related to this LNG cargo by using nature-based compensation to account for the estimated carbon dioxide equivalent generated in the entire value chain from production to end consumer use.

The carbon credits used were purchased from Shell’s global natural project portfolio, and the part purchased by Chenier was estimated CO2 equivalent emissions related to upstream activities at the point of delivery on board, including production and liquefaction.

Nature-based projects protect, renovate or restore land so that nature can increase oxygen and absorb more carbon dioxide emissions from the atmosphere.

"We are very happy to work with Cheniere on this opportunity," said Steve Hill, executive vice president of Shell's Energy Department.

"At Cheniere, we focus on measuring, reducing and mitigating emissions.

The transition to a low-carbon energy future requires a range of solutions for the global energy system, from power generation to industry and transportation.

In order to decarbonize LNG, all levers need to be pulled.

Yin Lu compiled from Pipeline Oil & Gas Magazine

The original text is as follows:

Cheniere and Shell collaborate to deliver carbon-neutral US LNG to Europe

Cheniere Energy and Shell have collaborated to deliver a carbon-neutral liquified natural gas (LNG) cargo to Europe from Cheniere's Sabin Pass Liquefaction Facility.

The companies worked together to offset the full lifecycle greenhouse gas emissions associated with the LNG cargo by retiring nature-based offsets to account for the estimated carbon dioxide equivalent (CO2e) emissions produced through the entire value chain, from production through use by the final consumer (all scopes2).

Credits used were purchased from Shell's global portfolio of nature-based projects with Cheniere purchasing the portion attributable to estimated CO2e emissions associated with activities upstream of the Freight on Board (FOB) delivery point, including production and liquefaction.

Nature-based projects protect, transform or restore land and enable nature to add oxygen and absorb more CO2 emissions from the atmosphere.

“We are very happy to be collaborating with Cheniere on this opportunity,” said Steve Hill, Executive Vice President, Shell Energy.

"At Cheniere, we're focused on measuring, reducing and mitigating emissions, and this first carbon-neutral cargo for Cheniere highlights our efforts to measure and mitigate emissions throughout the LNG value chain," said Anatol Feygin, EVP and Chief Commercial Officer of Cheniere.

The transition to a low-carbon energy future requires a range of solutions across the global energy system, from electricity generation to industry and transport.

　　To decarbonise LNG, all levers will need to be pulled.