We recognise and minimise our potential impact on the environment. Our Health, Safety and Environment Policy sets out our commitment to act responsibly, protect the environment and conserve biodiversity.
Greenhouse Gas Emissions (GHGs)
GHGs associated with energy use and flaring are a key area of potential impact. We monitor and report our GHG emissions from our operated projects, joint operated projects and corporate/administrative activities, on an equity share basis, in accordance with industry requirements and standards. We also participate in the Carbon Disclosure Project (CDP), with further work to be done on implementing the TCFD recommendations in 2021.
Pharos Energy counts emissions of carbon dioxide (CO2), methane (CH4), and nitrous oxide (N2O) combined into carbon dioxide equivalent (CO2e) based on the gases’ 100-year Global Warming Potential (GWP). These three gases are produced through combustion, although N2O quantities produced via combustion is relatively small.
The other greenhouse gases, HFCs, PFCs and SF6, are not closely associated with the petroleum industry. Their respective emitting activities are not core parts of Pharos operations. The total emission of these gases is therefore expected to be small and has not been calculated.
Our Biodiversity and Conservation Policy commits us to meet the objectives of the Convention on Biological Diversity (1992). We identify whether a project is located in modified, natural or critical habitats, or a legally protected or internationally recognised area; and whether the project may potentially impact on, or be dependent on, ecosystems services over which Pharos has direct management control or significant influence.
In Egypt, the El Fayum Concession borders the multiple-use management area and the natural protectorate area of Lake Qarun which includes important bird areas. It is adjacent to the Wadi El Rayan protected area which includes the Wadi Al-Hitan World Heritage Site.
In Vietnam, Blocks 125 & 126 are approximately 50km offshore to the Nha Trang Bay Protected Area and the Thuy Trieu Marine Protected Area. As per our policy, Pharos does not operate in any UNESCO designated World Heritage Site and ensures that activities in buffer zones around these sites do not jeopardise the Outstanding Universal Value of these sites.
Comprehensive Environmental and Social Impact Assessments (“ESIAs”) are undertaken for any new project prior to any operational activities using international standards and in consultation with local stakeholders. We are committed to developing site-specific biodiversity action plans (“BAPs”) in the event that operational sites are within sensitive areas, incorporating country-specific strategies and action plans and working in association with external advisers to ensure that best practice conservation priorities are achieved.
The Associated Gas-Powered Electricity Generator Project
The Associated Gas-Powered Electricity Generator Project is part of a broader plan to utilise produced associated gas for power generation, along with flare reductions. In 2019, at the North Silah Deep Site, there has been a 30% reduction in flared gas.
Commissioning of the Project started on 26 February 2019, with startup and well loading June 2019 at North Silah Deep site. The generators reduce CO2 equivalent emission as they are associated-gas powered electricity generators rather than the diesel-powered generators, eliminating 730,000 litres of diesel use per year and associated emissions in Phase One. Implementation of Phase Two has been interrupted by the impact of the pandemic and we will look to resume this at the appropriate time.