The Saudi Arabian Oil Company (“Aramco”) has published its first sustainability report, with the aim of reducing its carbon emissions through reliable and affordable energy solutions
“Our ambition is to achieve operational net-zero by 2050,” said Amin H. Nasser, Aramco president and CEO. After evaluating more than 150 environmental, social, and governance topics, the report highlighted Aramco’s four key focus areas: climate change and the energy transition, safe operations and people development, minimising environmental impact, and growing societal value.
Aramco plans to harness the Circular Carbon Economy framework, which would reduce, reuse, recycle, and remove GHG emissions. “We are investing for the long-term, against a backdrop of global energy and economic uncertainty,” added Nasser. The company plans to invest in Carbon Capture technology, which should lead to a reduction of 11 million metric tonnes of CO2e annually. Other targets include renewables investment; energy efficiency improvements; methane and flaring reduction; and carbon offsets. According to Nasser, the company aims to respond to “the world’s rising demand for secure, reliable, and affordable energy, while also contributing to the broader energy transition.”
The report also outlined Aramco’s focus on developing its blue ammonia and hydrogen business, with the aim of producing up to 11 million metric tonnes of blue ammonia per year by 2030. Blue ammonia is a carrier of blue hydrogen; Aramco hopes to use blue ammonia to reduce emissions in hard-to-decarbonise sectors, including heavy-duty transport, heating, and industrial applications.
Aramco expects to update the sustainability report annually, providing further information on their efforts to support the broader energy transition, with a set of interim targets the company aims to achieve by 2035.