ENVIRONMENT, SOCIAL AND GOVERNANCE • DEPARTMENTS
SEC proposes requirements for climate-related risks, emissions disclosures
The US Securities and Exchange
Commission has proposed rule changes
that would require registrants to include
certain climate-related disclosures in
their registration statements and period-
ic reports, including information about
climate-related risks that are reasonably
likely to have a material impact on their
business, results of operations, or finan-
cial condition, and certain climate-related
financial statement metrics in a note to
their audited financial statements. The
required information about climate-relat-
ed risks also would include disclosure of
a registrant’s greenhouse gas emissions .

“ Today’s proposal would help issuers
more efficiently and effectively disclose
these risks and meet investor demand,
as many issuers already seek to do.

Companies and investors alike would
benefit from the clear rules of the road
proposed in this release ,” SEC Chair Gary
Gensler said.

Under the proposed rule changes, accel-
erated filers and large accelerated filers
would be required to include an attestation
report from an independent attestation
service provider covering Scopes 1 and 2
emissions disclosures, with a phase-in
over time, to promote the reliability of GHG
emissions disclosures for investors.

The proposed rules would include a
phase-in period for all registrants, with
the compliance date dependent on the
registrant’s filer status, and an additional
phase-in period for Scope 3 emissions
disclosure. See Page 6 for additional information on
the proposed changes.

BP, Chevron join new
Singapore-based group for
maritime decarbonization
Demand for CO 2 storage is increasing, and Equinor believes it’s important to
develop new storage sites quickly to allow the Norwegian Continental Shelf to
become a leading province for CO 2 storage in Europe.

Equinor awarded licenses for CO 2 storage on NCS
Equinor has been awarded the oper-
atorships for the development of two
CO 2 storage projects – Smeaheia in the
North Sea and Polaris in the Barents
Sea. The two licenses are seen as build-
ing blocks for developing the Norwegian
Continental Shelf (NCS) into a leading
province for CO 2 storage in Europe.

CO 2 transport and storage infrastruc-
ture is crucial for providing CO 2 solutions
on a commercial basis to industrial cus-
tomers, such as steel, cement and other
heavy industries. This will also help pro-
tect existing jobs while creating new jobs
in the development of new value chains
on the Norwegian shelf.

Talos Energy executes lease for CCS site offshore Texas
Talos Energy announced that Bayou
Bend , its venture with Carbonvert, has
executed definitive lease documentation
with the Texas General Land Office to
formalize a carbon capture and seques-
tration (CCS) site offshore Jefferson
County, Texas, near the Beaumont and
Port Arthur, Texas industrial corridor. It
is expected to be the first major offshore
carbon sequestration site in the US. The
lease maintains an estimated sequestra-
tion capacity of 225 million to 275 million
metric tons of CO 2 .

Talos separately announced that it had
established a CCS strategic alliance with
Core Laboratories to provide technical
evaluation and assurance services for
CCS subsurface analysis, including the
company’s upcoming 2022 stratigraphic
evaluation wells.

BP and Chevron each recently
announced that they have joined the Global
Center for Maritime Decarbonization
(GCMD). Singapore-based GCMD was set
up last year to help drive decarbonization
of the maritime industry . It aims to help
the maritime industry meet or exceed
the International Maritime Organization’s
GHG emission reduction goals for 2030
and 2050.

BP’s partnership adds $7.4 million (S$10
million ) in funding for GCMD.

Chevron said its involvement aims to
help support GCMD’s efforts to develop
potentially scalable lower-carbon tech-
nologies – including those that enable the
use of ammonia as a maritime fuel – and
the commercial means to enable their
adoption. Nabors Industries invests in
geothermal tech company
Nabors Industries has invested $8
million into GA Drilling, a geothermal
technology company with headquarters
in Bratislava, Slovakia . The investment
expands Nabors’ commitment to deep-
drilling technologies that can tap super-
hot, ultra-deep rock reservoirs.

GA Drilling ’s PLASMABIT drilling tool
will be integrated into Nabors’ automated
and lower-emission drilling operations,
accelerating field commercialization and
eliminating traditional economic barriers
of ultra-deep projects to expand global
access to geothermal energy .

D R I L L I N G C O N T R AC T O R • M AY/J U N E 202 2
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