Karoon to purchase carbon credits from Shell

Karoon Petroleo e Gas, the Brazilian subsidiary of Australia’s Karoon Energy, has entered into an agreement with Shell to purchase more than 480,000 verified emission reductions (VERs), or carbon credits, between 2022 and 2030, Karoon said on February 8. It will use the credits to offset an estimated 60% of total Bauna-Patola Scope 1 and 2 greenhouse gas (GHG) emissions.

This agreement complements Karoon’s purchase of 19,810 VERs in November 2021, and will result in the Bauna operations being carbon neutral for FY2021, it said.

Karoon said it is continuing to work toward avoiding and reducing emissions in operations where possible and is actively pursuing opportunities to invest in projects to offset residual emissions.

The Sydney-listed firm has set targets to be carbon neutral for Scope 1 and 2 emissions in Bauna-Patola from the 2021 financial year onwards, while working toward a net-zero target for Scope 1 and 2 emissions by 2035.

“These VERs, together with the VERs purchased in November 2021, enable us to achieve carbon neutrality for FY2021, and take us towards reaching our longer-term objectives,” Karoon said.