Swedish Lundin Energy sold the world’s first-ever certified carbon neutrally-produced oil to the Saras refinery on the Italian island of Sardinia, the company announced in a statement on Monday.
Lundin Energy supplied fully carbon-neutral barrels to Saras from its Edvard Grieg field, offshore Norway, which is also the first oil field in the world to be independently certified by testing and certification specialist Intertek Group (Intertek) under its Carbon Clear certification.
The field is certified as low carbon at 3.8 kg of CO2 per barrel of oil equivalent (boe) for the full life of field emissions, including exploration, development and production, five times less than the world average.
The company said the carbon-neutral oil was sold to Saras after residual emissions of 2,302 tonnes CO2 were compensated through a high-quality, nature-based carbon capture project, certified by the Verified Carbon Standard (VCS).
Additionally, Intertek independently certified the entire trade as carbon neutral under its CarbonZeroTM standard. As a result, there were no net emissions released during the production of each barrel delivered to Saras.
“The provenance of a barrel and how it is produced is increasingly important, as society and industry require lower carbon feedstocks to achieve emission reduction targets and meet the goals of the Paris Agreement," Nick Walker, president and CEO of Lundin Energy, was quoted as saying in the statement.
He said the trade has been enabled by an industry-leading decarbonization strategy and offers a proof point of where the crude market is heading and the potential value that can be realized through efficient, industry-leading emissions reductions.
The company vowed that from 2025 every barrel produced by Lundin Energy would be produced as carbon neutral.
By Sibel Morrow