US oil major ExxonMobil, the maker of the Mobil lubricant range, has established a new spin-off business, ExxonMobil Low Carbon Solutions, in order to commercialise its various low-carbon technologies.
The new spin-off business will start with commercial carbon capture and storage (CCS) projects, where carbon dioxide that would normally escape into Earth’s atmosphere is captured and permanently stored in deep underground formations, such as depleted oil wells. This is especially useful for industries that are hard to decarbonise by converting them to renewable energy sources. Indeed, CCS has been cited as one of the most significant technologies for achieving climate change goals by both the International Energy Agency and the United Nations Intergovernmental Panel on Climate Change.
More than 20 CCS projects around the world are being evaluated, including at the gas-processing plant at St. Fergus in Scotland. The business will also look at how the company’s hydrogen production expertise can be commercialised.
ExxonMobil’s CEO and Chairman, Darren Woods, highlighted the company’s leading role in developing technologies for reducing emissions, alongside capturing carbon and its commitment to mitigating climate change while supplying affordable energy. According to Oilfield Technology, he said about the new business:
“We are focused on proprietary projects and commercial partnerships that will have a demonstrably positive impact on our own emissions as well as those from the industrial, power generation and commercial transportation sectors, which together account for 80% of global CO2 emissions.”
Woods added that ExxonMobil’s knowhow would help get these new technologies into the market where they can make a tangible difference.