Swedish Company Sells World’s First Carbon-Neutral Oil

The Swedish company Lundin Energy has sold the world’s first carbon-neutrally produced oil to the Saras refinery on the Italian island of Sardinia, the company announced.

Lundin Energy sold the world’s first ever certified carbon-neutrally produced oil to Saras from its Edvard Grieg field, offshore Norway, which is also the first oil field in the world to be independently certified by Intertek Group, under its CarbonClear certification, the Anadolu Agency reports.

The field is certified as low-carbon, with a full life of field emission of 3.8 kg of CO2 per barrel of oil equivalent, including exploration, development and production, which is five times less than the world average.

The company says that, in order to supply a fully carbon neutral barrel to Saras, residual emissions of 2,302 tons CO2 were compensated through a high quality, nature-based carbon capture project, certified by the Verified Carbon Standard (VCS).

In addition, the entire trade was independently certified as carbon neutral by Intertek under its CarbonZero standard. As a result, there were no net emissions released during the production of each barrel delivered to Saras.

Nick Walker, President and CEO of Lundin Energy, said in a press release that the trade had been enabled by the company’s industry leading decarbonization strategy and that it offered proof point of where the crude market is heading and the potential value that can be realized through efficient, industry leading emissions reductions.

The company has promised that, from 2025, every barrel produced by Lundin Energy will be produced as carbon-neutral.

Lundin Energy

Saras refinery

Intertek Group

Verified Carbon Standard

Nick Walker

carbon neutral oil

CarbonZero standard