ARA Petroleum
Climate Impact & Sustainability Data (2020-2022)
Reporting Period: 2020-2022
Environmental Metrics
Total Carbon Emissions:83,678 MT CO2e (2022)
Scope 1 Emissions:10,139 MT CO2e (2022)
Total Energy Consumption:10,496,310 kWh (2022)
Water Consumption:762,937 m3 (2022)
Carbon Intensity:29.27 kgCO2e/boe (2022)
ESG Focus Areas
- Climate Change
- Health and Safety
- In-Country Value
- Community Engagement
- Workforce Development
- Governance
Environmental Achievements
- 60% reduction in Scope 1 and 2 emissions by 2025; 30% reduction by 2030
- Installation of a hybrid off-grid solar system to power a water supply well, reducing diesel consumption by 60%
- 10% reduction in gas flaring in 2022; plans to eliminate gas flaring from several fields by 2024
- Decreasing rate of CO2 emissions per barrel of oil equivalent (BOE)
Social Achievements
- Launched an online management system ('MFANO') to report and prevent unsafe acts
- Implemented an Employees' Happiness Program
- Provided over 40,000 hours of training in 2022
- 80% of trainees received job offers
- 60 days of fully paid maternity leave and flexible work schedules for new mothers
- Various community investment initiatives (e.g., donations, scholarships, infrastructure projects)
Governance Achievements
- Established a new ESG governance policy
- Implemented a Commercial Procedures Manual for Contract and Procurement Management
- Leveraging SAP ERP system for streamlined processes and data management
- Established dedicated committees (Audit, Legal, Risk Management, Tender Board) to oversee ESG initiatives
Climate Goals & Targets
Long-term Goals:
- Achieve Net Zero Carbon by 2050
Medium-term Goals:
- 30% reduction in Scope 1 and 2 emissions by 2030
- Eliminate gas flaring from several fields by 2024
Short-term Goals:
- 60% reduction in Scope 1 and 2 emissions by 2025
Environmental Challenges
- Increased energy consumption and GHG emissions due to growth in oil and gas production
- Gas flaring
- Managing HSE risks in field operations
Mitigation Strategies
- Investing in low-carbon technologies and implementing GHG reduction measures
- Projects to eliminate gas flaring
- Implementing 'MFANO' system for HSE management
- Weekly HSE training for employees and contractors
Supply Chain Management
Responsible Procurement
- Incorporation of ESG and ICV criteria in contractor selection
- Sustainable and green procurement policy
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: ESG (Environmental, Social, Governance Framework), World Business Council for Sustainable Development and World Resources Institute’s Greenhouse Gas Protocols, Occupational Safety and Health Administration (OSHA) Standards, American Petroleum Institute