Climate Change Data

Orca Energy Group Inc.

Climate Impact & Sustainability Data (2021, 2022)

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:6462 metric tonnes of CO2e
Scope 1 Emissions:3676 metric tonnes of CO2e
Scope 2 Emissions:2357 metric tonnes of CO2e
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:25,490 GJ
Water Consumption:140,788 m3 (seawater abstracted)
Waste Generated:46,677 kg
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Increased average sales volumes to 61.1 MMcfd and expanded industrial gas distribution to displace higher carbon-based and more expensive energy alternatives.
  • Reduced flared gas emissions (31% of total emissions in 2021)

Social Achievements

  • No work-related injuries or fatalities.
  • Invested approximately US$1 million in community-related development projects (including health centers and education initiatives).
  • 90% of employees are Tanzanian (99% in-country).

Governance Achievements

  • Established an ESG Committee responsible for overseeing the Company’s strategies, policies, and practices related to sustainability.
  • Implemented a whistleblowing policy and anti-bribery and anti-corruption policy.
  • No confirmed incidents of corruption or anti-competitive behavior.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Formalize a supplier assessment framework and consider drafting a code of conduct by 2023.
  • Conduct another baseline biodiversity study from 2023 onwards.
Short-term Goals:
  • Conduct an analysis of how ESG issues can be integrated into other Board-level committees (2022).
  • Provide tailored ESG training sessions to all Board members and senior management (2022).

Environmental Challenges

  • Increased GHG emissions due to increased operational activity.
  • Potential climate change impacts on pipeline infrastructure.
  • Transition risks related to changing sentiment around fossil fuels and access to financing.
Mitigation Strategies
  • Committed to further measuring and improving reporting of GHG emissions, assessing net-zero ambitions, and exploring carbon offsetting (as a balancing measure, not a core strategy).
  • Committed to assessing all onshore gas transportation pipelines, rigs, and wells for their ability to withstand extreme weather events by 2026.
  • Seeking to be transparent about impact and contribution, viewing natural gas as a transitional fuel.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Expectation that all suppliers operate with high environmental and social standards.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events impacting pipeline infrastructure and other physical assets.
Transition Risks
  • Changing sentiment around fossil fuels and potential loss of access to financing.
Opportunities
  • Development of LNG or CNG production to reduce CO2 emissions from flaring.

Reporting Standards

Frameworks Used: GRI, TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • SDG 7 (Affordable and Clean Energy)
  • SDG 8 (Decent Work and Economic Growth)
  • SDG 13 (Climate Action)

Business activities aim to contribute to specific targets under these SDGs.

Sustainable Products & Innovation

  • Investigating options to extract components of natural gas for LNG or CNG production.

Awards & Recognition

  • Not disclosed

Reporting Period: 2022

Environmental Metrics

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Reduced CO2 emissions compared to importing alternative fuels
  • Conducted an Environmental Impact Assessment as part of the seismic acquisition program
  • Hired an Environmental Officer

Social Achievements

  • Actively enabled and promoted development of local skills
  • 99% of Tanzanian employees within Tanzania
  • 0% staff turnover
  • Ran a graduate intern program, with five full-time jobs offered and accepted
  • Invested $5.5m in community related development projects (education, health, scholarships)

Governance Achievements

  • Established an on-the-ground ESG Oversight Team in Tanzania
  • Provided ESG training sessions for the team on the Company’s Sustainability Strategy
  • Updated all of Orca’s policies pertinent to the Sustainability Strategy
  • Developed a formalized community grievance policy for Songo Songo Island locals
  • Working on a Company mental health program

Climate Goals & Targets

Short-term Goals:
  • Assess all infrastructure for ability to withstand extreme weather events by 2026

Environmental Challenges

  • Global logistics disruptions
  • Drought conditions impacting hydropower generation and increasing gas demand
  • Logistical challenges and service industry inactivity leading to delays and increased costs for well workovers
  • Down-hole technical issues complicating well workovers
  • Limited amounts of sand produced from wells
  • Difficulties converting Tanzanian shillings to US dollars
Mitigation Strategies
  • Installation of low pressure compression on the Songas gas plant
  • Workover of three onshore wells
  • Implementation of mitigation measures to address flowline leaks (smart pigging, de-sanding units, acoustic sand detectors)
  • 3D seismic project to acquire new data
  • Regularly converting Tanzanian shilling receipts into US dollars or Euros

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks
  • Coastal erosion
  • Flooding
  • Saltwater intrusion
  • Heavy precipitation and flooding
  • Storm surges
Transition Risks
  • Regulatory changes related to GHG emission reduction targets
  • Market shifts related to natural gas as a transition fuel

Reporting Standards

Frameworks Used: TCFD

UN Sustainable Development Goals

  • SDG 8: Decent Work and Economic Growth
  • SDG 13: Climate Action