Exxon is caving to the expectations of activist investors and a market that is looking for ESG (or at least the optics of ESG) investments.
The company announced this week it would start measuring its methane emissions from production of natural gas at a facility it owns in New Mexico, according to Reuters. Exxon joins other shale gas producers, like EQT, who already provide similar data.
Bart Cahir, a senior vice president at Exxon Mobil, told Reuters: “Certifying our natural gas will help our customers achieve their goals.”
The oil major has signed an agreement with “independent measuring firm MiQ to certify 200 million cubic feet of natural gas per day” at its New Mexico facilities.
Its plant in Poker Lake, where the measurements will be take, already had some technology in place to help detect leaks and reduce emissions. Exxon says it continues to look at options for deploying technology to help mitigate leaks and emissions.
There is a possibility that the measurement initiative could carry over to other shale production areas of Exxons.
Meanwhile, MiQ also has similar deals with Chesapeake Energy and Northeast Natural Energy. Some LNG companies, like NextDecade, say they will follow suit and will offer greenhouse gas emission data to their clients.
Exxon’s plan is to reduce greenhouse gas emissions by 15% to 20% by 2025, from 2016 levels.