Data analytics firm Kayrros released measurements quantifying total methane emissions across the Appalachian Basin claiming it places the region ahead of the Permian as the biggest source of methane in the U.S.
Emissions from fossil fuel production in the Appalachian Basin hit 3 million tons in 2019 and 2.4 million tons in 2020, Kayrros said in an April 22 release citing recent data derived from satellite data and proprietary algorithms. The firm estimates this is equivalent to the annual emissions of roughly 30 million cars given that the warming potential of methane is estimated at 84 times that of CO₂.
Further, while the methane footprint of the Appalachian Basin was found to be larger than that of the Permian in absolute terms, the firm estimates that 2020 methane intensity of gas production in Appalachia was lower than in both the Permian and Anadarko basins.
“This is likely explained by the fact that Appalachian gas is ‘non-associated,’ meaning it’s the only hydrocarbon fuel produced in the basin,” Kayrros said in the release. “In the Permian Basin, it’s mainly associated with oil extraction, meaning that it comes as a by-product of oil production.”
Since the 19th century, the Appalachia region has been an important source of coal. However, more recently, the basin also became a major hub for natural gas production as it is home to the Marcellus and Utica shale plays.
“Hundreds of coal mines are intermingled with thousands of gas wells across the basin, which complicates the task of measuring total methane emissions and attributing them to their sources,” Kayrros said.
Harnessing satellite imagery and multiple sources of unconventional data with machine learning, natural language processing, and advanced mathematics, Kayrros monitors and measures energy and natural resource activity worldwide.
Kayrros was able to identify the primary sources behind its emissions in its latest findings on the Appalachian Basin by leveraging data from the EU’s Sentinel-5P and Sentinel-2 satellites, and advanced mathematics. The firm said this marks the first time that methane emissions from coal have been quantified in a comprehensive manner.
“Efficient and accurate leak detection is the first step toward their eradication, and therefore has substantive positive implications for operational standards and policy-making in the energy industry,” Kayrros said.
Methane emissions across both basins fell in 2020 largely due to the impact of the COVID pandemic on energy demand. Kayrros estimates Appalachia methane emissions fell by 20% in 2020 and by 26% in the Permian.
Excluding emissions from coal mines, emissions from natural gas from the Appalachian’s Marcellus Basin declined to 1.4 million tons in 2020 from 1.9 million tons in 2019. By comparison, Permian measurements showed methane emissions from oil and natural gas production declined to 2 million tons in 2020 from 2.7 million tons in 2019.
The variation in the percentage decreases can be traced to the differing energy mixes within each basin, which Kayrros said are consistent with estimates of U.S. emissions from oil and gas by the International Energy Agency and are materially higher than EPA estimates.
“The findings demonstrate that large methane emissions cannot simply be considered as an unavoidable side effect of production,” the firm continued, “but rather the avoidable consequence of various factors such as insufficient or poorly maintained infrastructure for natural gas gathering, processing and transportation.”
Following its success in the Appalachian Basin, Kayrros plans to use the same modeling approach to analyze major coal mining regions in Australia and China to study variations in methane intensity across different types of coal mined around the world.
“This is a new and important milestone in bringing transparency to energy and the environment,” the firm added.
Recommended Reading
Investor Returns Keep Aethon IPO-ready
2024-10-08 - Haynesville producer Aethon Energy is focused on investor returns, additional bolt-on acquisitions and mainly staying “IPO ready,” the company’s Senior Vice President of Finance said Oct. 3 at Hart Energy’s Energy Capital Conference (ECC) in Dallas.
Woodside Reports Record Q3 Production, Narrows Guidance for 2024
2024-10-17 - Australia’s Woodside Energy reported record production of 577,000 boe/d in the third quarter of 2024, an 18% increase due to the start of the Sangomar project offshore Senegal. The Aussie company has narrowed its production guidance for 2024 as a result.
ConocoPhillips Hits Permian, Eagle Ford Records as Marathon Closing Nears
2024-11-01 - ConocoPhillips anticipates closing its $17.1 billion acquisition of Marathon Oil before year-end, adding assets in the Eagle Ford, the Bakken and the Permian Basin.
Exclusive: How E&Ps Yearning Capital can Stand Out to Family Offices
2024-10-15 - 3P Energy Capital’s Founder and Managing Partner Christina Kitchens shares insight on the “educational process” of operators looking at opportunities in the U.S. and how E&Ps looking for capital can interest family offices, in this Hart Energy Exclusive interview.
Sheffield: E&Ps’ Capital Starvation Not All Bad, But M&A Needs Work
2024-10-04 - Bryan Sheffield, managing partner of Formentera Partners and founder of Parsley Energy, discussed E&P capital, M&A barriers and how longer laterals could spur a “growth mode” at Hart Energy’s Energy Capital Conference.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.