Italy’s Eni will ship a carbon-neutral liquefied natural gas (LNG) cargo from Indonesia to CPC Corporation in Taiwan.
Eni said it had agreed to deliver the LNG shipment from the Bontang liquefaction plant in Indonesia, which is supplied by Eni’s Jangkrik gas field, to the Yung An receiving terminal in Taiwan.
The cargo will be certified as carbon neutral according to the internationally recognised PAS 2060 standard, Eni said in a statement.
“As part of the transaction, the overall greenhouse gas (GHG) emissions related to the entire value chain of the LNG cargo, including gas production, transmission, liquefaction, shipping, regasification, distribution and end use, will be offset through the retirement of high quality nature based credits,” said Eni.
“In particular, the credits have been sourced from two REDD+ projects certified by Verra’s Luangwa Community Forest project in Zambia and Kulera Landscape REDD+ project in Malawi. The assessments will include a verification of the Projects’ calculated CO2 reductions and/or removals and the criteria of additionality, permanence, leakage and double counting,” added Eni.
“This is a milestone transaction for Eni, which shows how the company is moving forward in its decarbonisation strategy while creating value for its LNG portfolio through own equity projects. Eni’s long-term strategy aims to achieve full carbon neutrality in its products and operations by 2050, with intermediate reduction targets of Net Lifecycle GHG Emissions (Scope 1, 2, 3) of 25% by 2030 and 65% by 2040 vs. 2018,” said Eni.
“The GHG emissions of the LNG cargo will be calculated using Eni’s proprietary methodology, that follows a lifecycle approach for the comprehensive accounting of the GHG emissions related to energy products sold, whether derived from equity or purchased production. This methodology is third-party reviewed and provides an integrated view of emissions along the full value chain,” added Eni.