Wednesday, March 05, 2008

Nippon Oil Vietnam venture gains CO2 credits

Japan’s Nippon Oil Corp said over the weekend that its joint Vietnamese oilfield project has been awarded 4.49 million tons of carbon dioxide emission credits by the UN Clean Development Mechanism (CDM) program.
The award for the period between December 2001 and December 2005 marks the world’s biggest credit in terms of volumes, Nippon Oil, Japan’s top oil refiner said.
The Rang Dong offshore oilfield project, in which the Nippon Oil-led group serves as the operator, was recognized as a CDM project in February 2006 for collecting associated gas during oil production.
Part of the gas collected is transported via a pipeline for power generation.
Nippon Oil expects Rang Dong will be awarded a total eight million tons of CDM credits in the 10 years to 2011.
Nippon Oil’s joint venture with Mitsubishi Corp. has a 46.5 percent stake in the Rang Dong project, U.S. oil group ConocoPhilips has a 36 percent stake, while the rest is owned by state oil group PetroVietnam.