Dutch energy and commodity trading company Vitol launched a Green LNG product for its LNG customers looking to further reduce carbon emissions.
The company will offer its LNG customers the option to convert the traditional LNG cargoes to ‘Green LNG’ through offsets.
The emissions associated with the cargo will be offset through the cancellation of verified emissions reductions (VERs), Vitol states. VERs are carbon offset certificates that are verified and issued by UN Clean Development Mechanism, Verified Carbon Standard (VERRA), Gold Standard, American Carbon Registry, China Green House Gas Voluntary Emission Reduction Programme, or Climate Action Reserve.
Emissions to be offset will be estimated using the Wood Mackenzie LNG emissions tool, which estimates carbon emissions from wellhead to market. The VERs will be sourced from Vitol’s existing portfolio and the wider market.
Head of LNG, Vitol Pablo Galante Escobar said: “Vitol’s established presence in carbon markets has enabled us to construct a compelling offering for LNG customers looking to mitigate emissions. The bar for transitional energy solutions is rightly being raised and we are delighted to be able to add Green LNG to our portfolio.”