Energy Efficiency

We continually strive to make our operations more energy efficient. This can provide an environmental economic benefit through lower production costs or greater sales revenue. Through the natural decline of production, as our fields diminish in size, they tend to require either the same, or in some cases, even greater amounts of energy to extract the product and transport it for processing or refining.  

Total energy consumption in 2021 was 220 trillion British Thermal Units (BTUs). Approximately 97% of our consumption was combustion of fuel for our own energy use with the remaining from purchased electricity.

Low-Carbon Emitting Products

In 2021, we supplied Asian markets with approximately 0.5 trillion cubic feet (or 1.5 billion cubic feet per day) of natural gas and LNG. To put this in perspective, if all the natural gas and LNG we sold to Asia in 2021 had been used to replace coal for electricity generation, GHG emissions would have been reduced by approximately 38 million metric tonnes, more than double the company’s combined Scope 1 and Scope 2 emissions for the year, based on EPA GHG emissions factors.

Water

We manage water risks and mitigate potential impacts to water resources, taking into account the unique hydrologic, quality, use and ecological settings of each basin or offshore marine area. Water risks are evolving globally in response to cumulative effects of human water demand, physical effects of climate change and changing priorities and expectations of governments, investors and society. Water-related operational, reputational and regulatory risks associated with fresh water use, water stress, offshore produced water discharges and onshore produced water disposal could affect our business. Read more about how we manage our water risks.

We measure and report on the volume of fresh water and non-fresh water withdrawn from local water sources and the volume of produced water that is reused, recycled, disposed or discharged after treatment. This data is used to estimate our water intensity and exposure to water stress. We also collect water forecast data for our Long-Range Plan which enables us to test our portfolio of projects against our water risks to make better-informed strategic decisions.

The 2021 fresh water consumption intensity for our unconventional assets in the U.S. (Eagle Ford, Delaware, Midland and Bakken) and in Canada (Montney) was 0.08 bbl/BOE EUR. The 2021 fresh water consumption intensity for our conventional (Alaska, Canada Surmont, LNG and Indonesia) and offshore assets (Norway) was 0.03 bbl/BOE. Read more about our water metrics.

We use the World Resources Institute Aqueduct Risk Atlas to assess our portfolio exposure to water stress. Our Anadarko, Lost Cabin Gas Plant¹, Permian Midland Basin and Alaska Kuparuk assets are located in basins with high or extremely high baseline water stress and accounted for 17% of our total fresh water withdrawal and 20% of our total fresh water consumption in 2021. Fresh water accounts for about 12% of source water used in the Midland Basin and is also used for domestic purposes in staff camps, operational activities that require wash water, and processing and drilling (e.g., for water-based drilling mud) where fresh water use is required.