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Houston-based corporation introduces two new energy transition tools

Houston-based energy technology company SLB has rolled out two new tools for the energy transition. Photo via slb.com

Houston-based energy technology company SLB has rolled out two new tools — one for evaluating sites for carbon capture, utilization, and storage (CCUS) and the other for measuring methane levels.

SLB (Schlumberger) says the screening and ranking technology can help developers pinpoint ideal CCUS locations during the site selection process. The company says this tool helps simplify “a complex and multifaceted process.”

“CCUS is one of the most immediate opportunities to reduce emissions, but it must scale up by 100 to 200 times in less than three decades to have the expected impact on global net zero ambitions,” says Frederik Majkut, senior vice president of carbon solutions at SLB. “Ensuring that a storage site is both safer and economical is crucial for the speed, scale, and investment needed to meaningfully drive CCUS growth for a low-carbon energy ecosystem.”

The tool crunches data to identify the potential capabilities, economic viability, and risks of developing a CCUS project. The technology already has been used in Trinidad and Tobago, a two-island Caribbean country, to screen and rank possible CCUS sites.

“Using industry-leading and proprietary technologies and workflows, we provide a consistent and reliable method for screening and ranking potential storage sites, including an assessment of the risk, to ensure economic feasibility and long-term reliability,” SLB says on its website.

SLB unveiled the technology at the ADIPEC energy conference in the United Arab Emirates.

Prospective sites for CCUS projects include oil reservoirs, gas reservoirs, salt caves, and shale formations. More than 500 CCUS projects are in various stages of development around the world, according to the International Energy Agency.

Texas is poised to become a major player in the CCUS movement, with Houston set to serve as a hub for CCUS activity. Next March, Houston is hosting a major CCUS conference at the George R. Brown Convention Center. Sponsors of the event are the Society of Petroleum Engineers, American Association of Petroleum Geologists, and Society of Exploration Geophysicists.

The other tool released by SLB measures methane levels. Specifically, it’s a self-installed methane monitoring system that relies on sensors to detect, locate and assess emissions across oil and gas operations. Methane represents about half of the emissions from these operations.

“The technology automates continuous methane monitoring — eliminating the need for manual data collection during typical intermittent site visits, which only offers producers a small sample of their emissions,” says SLB.

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A View From HETI

BP acquired the renewable natural gas producer in 2022. Photo via bp.com

Oil and gas conglomerate BP is unloading its Houston-based U.S. renewable natural gas business just four years after buying it.

The British company announced the planned sale of Archaea during its most recent earnings call but offered few details.

On the call, BP’s new CEO, Meg O’Neill, said her company had put Archaea on the market and already had attracted interest from potential buyers. BP acquired Houston-based Archaea Energy, the country’s largest producer of renewable natural gas (RNG), in 2022 for about $4.1 billion.

BP, whose North American headquarters is in Houston, is streamlining its portfolio. As such, O’Neill said Archaea represents a “capital intense” approach to biogas instead of the “capital light” approach BP now favors.

“If there’s somebody who sees an opportunity to create additional value, who will invest in that business, who will build on the foundation, because our team has made really good progress in improving the profitability of that business, then that will be a good outcome,” O’Neill told Wall Street analysts.

The proposed sale of Archaea is part of BP’s effort to sell about $20 billion in assets by the end of next year.

Archaea captures biogas, a natural byproduct of waste decomposition at landfills and dairy farms, and converts it into electricity or RNG. This process leads to cleaner air, less odor, and more sustainable energy than traditional fossil fuels.

Archaea was slated to be a cornerstone of BP’s plan to boost its biogas supply by roughly 600 percent to the equivalent of about 70,000 barrels of oil per day.

Bioenergy had been identified as one of bp’s five pillars of its multibillion-dollar energy transition initiative.

Another pillar: EV charging. Last month, BP agreed to sell its EV charging business in Austria to Switzerland’s Volenergy, along with 250 BP-branded stores and a fleet of business vehicles.

“By concentrating our capital on the assets and markets where BP can be most competitive and best serve customers, we are strengthening our balance sheet and creating a stronger downstream portfolio,” Richard Harding, interim executive vice president of downstream at BP, said of the Volenergy deal.

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