MODEC, Inc. (MODEC) and JGC Corporation, an overseas EPC operating company of JGC
Holdings Corporation, are pleased to announce the completion of a project to measure and
quantify emissions of methane and other greenhouse gases (GHG) from floating production,
storage, and offloading systems (FPSO) off the coast of Brazil, chartered and operated by
MODEC1
. This represents a significant milestone for both companies, and this is the first time
that Japanese companies gain precise insights into the amount of major GHG emissions from
methane, nitrous oxide, and hydrofluorocarbons (HFCs) from active FPSOs.
1. Project background
In its Mid-term Business Plan 2024-2026, MODEC states that one of the initiatives under Vision
2034 is to be the world's best FPSO builder and operator, achieving the smallest carbon
footprint alongside safety and high uptime. As a first step in decarbonizing the MODEC’s
core FPSO business, MODEC is actively involved in measuring and reporting FPSO GHG
emissions. In addition to carbon dioxide emissions, this project also addresses methane, nitrous
oxide2
, and HFCs, which have a very high greenhouse effect.
JGC Corporation is engaged in mitigating GHG emissions from oil and gas production facilities
in part by leveraging technical engineering expertise and extensive plant construction
experience to provide HiGHGuard® GHG emissions measurement service for methane and
other GHGs using the MRV3 methodology. In the absence of globally standardized
measurement methods, JGC offers highly reliable measurement and quantification in line with
plant operations and these conditions, as well as low-carbon/decarbonized solutions based on
this knowledge.
Building upon this expertise, MODEC and JGC Corporation have decided to combine their
strengths to implement a project aimed at accurately identifying methane, nitrous oxide, and
HFCs emissions from FPSOs.
2. Project overview
A quantification of emissions of the three GHGs – methane, nitrous oxide and HFCs – was carried out
from July to September 2023 at two MODEC-chartered FPSOs off the coast of Rio de Janeiro.
While the need for emission prevention measures, particularly for methane, has increased in
recent years, methane emissions vary widely from facility to facility, and because desktop
calculations with common coefficients are not accurate enough; there has been a strong
international recommendation that emissions should be determined by actual measurements.
Therefore, MODEC and JGC selected two methods of on-site measurement: a bottom-up
approach using hand-held sensors and infrared cameras, and a top-down approach using
drones (See Figure. 1 below). The bottom-up approach measures approximately 15,000
potential methane emission points in the FPSO, and the latter approach captures the methane
potential of plant-wide emissions from flying the drones around the FPSOs.
Some examples of project results are as follows:
- Determination of methane and other GHG emission levels with much greater precision
than conventional desktop calculations.
- Establishment of a highly reliable methodology for measuring methane emissions by
combining multiple measurement technologies.
- Identification of individual methane emission points on FPSOs, with results leading to
specific emission prevention measures.
The methodology meets the requirements of levels 4 and 5?(the highest)
5 in the reporting
framework established by the Oil & Gas Methane Partnership 2.0 (OGMP 2.0)4
, an international
methane emission mitigation program.
Verification of the measurement results confirms that the combination of the two approaches
enables quantification of GHG emissions with much greater precision than conventional desktop
calculations6 using common emission factors, and the results are considered to be highly
reliable from an international standpoint.
3. Future policies
MODEC, as a leading company in offshore oil and gas development, aims to further improve the
precision of GHG emissions calculations and expand the scope of emissions data disclosure. As a
part of its charter business, MODEC will also create value for its clients by providing emissions
quantification services that are compliant with frameworks such as OGMP 2.0 and requiring
minimal effort in the field, as well as additional services such as planning and implementation of
emission reduction measures. Improved FPSO design and operation, achieved through the
application of new technologies discovered and proven through R&D and other methods, will
also reduce the carbon intensity of MODEC’s FPSO services and contribute to decarbonization of
the global energy supply chain.
JGC Corporation aims to be a leader in the reduction of industrial methane emissions and other
GHG emission by quantifying and consulting of the methane and other GHG emissions. In view
of growing international demand for measurement instead of conventional desktop calculations
to quantify methane emissions in particular, JGC plans to apply project results in providing
highly reliable measurement methods, emission control measures, and other services as a
packaged solution.
Besides, JGC operates a facility for evaluating methane emission measurement technologies at
the R&D center in Ibaraki Prefecture in Japan. JGC aims to leverage this facility and work with
sensor manufacturers domestically and internationally to advance partnerships, allowing JGC to
quickly utilize cutting-edge measurement technology in the future project.