The operators of Ireland’s Corrib gas field face large fines from the EU if carbon emissions from the project are not cut by 2030.
As The Business Post reports, European Commission president Ursula von der Leyen has approved new rules requiring oil and gas producers to reduce their emissions by 50 million tonnes annually until 2030.
Operators must create carbon storage, and Corrib owners Nephin and Vermillion must store one million tonnes per year in line with their production at the Corrib field, the newspaper reports.
Otherwise, oil and gas producers will face “proportionate and dissuasive penalties”.
In a consultation submission seen by the Business Post, Vermillion had told the European Commission it “objects to the obligation” imposed by the bloc’s net zero policy, and described the 2030 deadline as “unrealistic”.
It argued the deadline doesn’t give enough time to develop carbon storage.
Meeting notes obtained by the newspaper via a Freedom of Information request show that the company raised the new rules at a meeting held with Minister for Energy Darragh O’Brien over the summer.
The newspaper reports that Jarlath Trench, who leads the firm’s Irish operations, informed the minister that three of the Corrib leases, two of which are owned by Vermillion, have fallen under the new rules.
Vermillion is the largest shareholder in Corrib, while Nephin is Dublin-based but backed by the Canada Pension Plan Investment Board.
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