- New EU regulations targeting methane emissions in the energy sector create fresh opportunities for the recovery of volatile organic compounds (VOC) during oil loading operations.
- The regulations demand rigorous monitoring and reduction of methane emissions, prompting the oil and gas industry to explore solutions like VOC recovery.
- Wärtsilä Gas Solutions, in collaboration with Vaholmen VOC Recovery and Ulstein Design & Solutions, unveils a VOC recovery vessel design, potentially revolutionizing the industry’s approach to emissions and energy recovery.
Agreement between the European Parliament and Council on a new EU Regulation signals a transformative shift in the oil and gas industry’s approach to methane emissions. The regulation imposes stringent monitoring, reporting, and verification standards on the fossil gas, oil, and coal sector, compelling them to take concrete actions to reduce emissions. Operators are now obligated to conduct regular surveys, detect and repair methane leaks, and eliminate routine venting and flaring. These regulations, effective from January 2027, are expected to impact import contracts, creating a need for exporters to adhere to similar emission standards as EU producers.
Methane and VOC: A Cumulative Challenge
Methane, responsible for a significant portion of global temperature rise, has long been an environmental concern. The oil and gas industry, contributing up to a quarter of anthropogenic methane emissions, faces increasing scrutiny. The article highlights that while methane losses per field are individually small, the cumulative effect is substantial. This cumulative challenge extends to volatile organic compounds (VOC) present in crude oil, particularly during loading operations. VOC, a significant contributor to emissions, becomes a potential focus for future regulations.
VOC Recovery: A Solution to Cumulative Emissions
Wärtsilä Gas Solutions, a pioneer in emissions management, introduces a VOC recovery vessel designed in collaboration with Vaholmen VOC Recovery and Ulstein Design & Solutions. While VOC emissions during oil loading operations have not been heavily regulated, the new EU regulations and voluntary reduction targets set the stage for a transformative shift. The vessel, equipped with a proven VOC recovery system, aims to serve Very Large Crude Carriers (VLCCs) during cargo operations, eliminating VOC emissions and supporting the industry’s commitment to sustainability.
The VOC Recovery Process and Environmental Impact
The VOC recovery system employs a two-stage condensation process during loading, effectively capturing methane and other volatile fractions. The recovered VOC is then utilized in the vessel’s gas turbines, minimizing environmental impact. Despite generating CO2 emissions during combustion, the system offers significant greenhouse gas emission savings, especially considering that cargo loading contributes to 70% of total VOC emissions from ships.
Market Dynamics and Future Prospects
The article explores the potential market dynamics for VOC recovery, highlighting the Middle East and the US as key regions. Market developments in the Middle East, with its reliance on single buoy moorings, and the US EPA’s growing attention to VOC management, position VOC recovery as a viable solution. Recognition of VOC as a net-zero fuel by regulators, collaboration with industry partners, and retrofitting possibilities for VLCCs further contribute to the attractiveness of VOC recovery in the evolving landscape of environmental regulations.
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Source: Wartsila
