BP PLC is one of the companies most responsible for burning unwanted natural gas in America’s busiest oil field. Now it is trying to clean up its act.
The British oil giant plans to spend about $ 1.3 billion to build a massive network of pipelines and other infrastructure to capture and capture natural gas produced as a by-product of oil wells in the Permian Basin. Texas and New Mexico. It plans to announce Monday that it will eliminate routine natural gas flaring in the oil field by 2025.
BP’s investment reflects the increasing pressure facing major oil companies from regulators, investors and natural gas buyers to reduce the carbon footprint of fossil fuels and contributions to climate change.
BP has pledged to reinvent itself as a cleaner energy company, saying it will cut its oil and gas production by 40% by 2030 and ultimately sell more renewable energy than oil, while reducing its net CO2 emissions to zero will return. But to fund its ambitious transformation, BP is counting on continued revenues from oil and gas production.
“We will be producing oil and gas for decades, but it will be a certain kind of oil and gas,” said Dave Lawler, president of BP America Inc. “It is a very profitable barrel and it is a responsibly produced barrel.”