Woodside, Trafigura Trade Carbon Offset Condensate Cargo
Woodside and its Pluto LNG joint venture partners have delivered their first cargo of carbon offset condensate to Trafigura, Woodside said on March 15. The cargo was loaded at Pluto LNG in Western Australia.
The carbon dioxide equivalent emissions associated with extraction, storage and shipping of the 650,000-barrel cargo will be offset using efficiency measures, which reduce emissions, and the surrender of high-quality carbon offsets, the company stated. Trafigura is working with the vessel owner to minimise actual emissions associated with transporting the cargo.
According to Woodside, carbon offsets have been sourced from nature-based projects located in the Asia-Pacific region, independently validated and verified by the Gold Standard or Verified Carbon Standard.
Carbon dioxide equivalent emissions generated by extraction, storage and shipping of the cargo will be calculated jointly by Woodside and Trafigura. Calculation of emissions associated with extraction and storage will be based on data gathered by Woodside, as operator of Pluto LNG. Calculation of carbon emissions associated with shipping will be based on data collated by Trafigura, specific to the cargo voyage.
Woodside vice president marketing trading & shipping Mark Abbotsford said this could be the first carbon offset condensate cargo to be traded globally.
In addition to the transaction, Woodside and Trafigura have signed a non-binding memorandum of understanding to explore opportunities for carbon management in the marketing of carbon offset condensate, crude oil and liquefied petroleum gas in the future.