Good Morning. This is the Sunya Scoop. The newsletter that takes energy transition news and turns it into an easy-to-read email for you.
Here’s what we have for you today:
Breakthrough commits €240 million for two projects in Europe
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Oh. By the way, we are posting more on LinkedIn. If you’re into to that sort of thing.
Kimmeridge Carbon Solutions and Storegga Limited have partnered to advance carbon capture and storage (CCUS) projects.
Their collaboration aims to identify, develop, and deploy large-scale CCUS initiatives to reduce carbon emissions.
Kimmeridge brings its US onshore experience, geotechnical expertise, and industry relationships, while Storegga specializes in carbon value chains and CO2 transportation and storage infrastructure.
Initial efforts will focus on CCUS projects in Wyoming, a state with suitable subsurface geology and industrial emitters interested in decarbonization.
The partnership also explores opportunities near Kimmeridge’s active hydrocarbon projects.
A combined team of experts from Storegga and Kimmeridge is engaged in project analysis and discussions with landowners and emitters.
CCUS is considered a critical tool for reducing carbon emissions, particularly in challenging sectors.
The collaboration aims to accelerate the development of successful CCUS projects in the US to meet net-zero goals.
UAE President Sheikh Mohammed Bin Zayed Al Nahyan announces a $30 billion climate fund at COP28 climate summit in Dubai.
The fund, named ALTÉRRA, aims to attract $250 billion in investments by the end of the decade.
ALTÉRRA will allocate $25 billion for climate strategies and $5 billion to incentivize investments in the Global South.
It collaborates with asset managers BlackRock, Brookfield, and TPG, committing $6.5 billion to climate-dedicated funds for global investments, including the Global South.
The fund’s goal is to direct private markets towards climate investments, especially in emerging markets and developing economies.
BlackRock plans to put $1 billion into its Climate Transition-Oriented Private Debt strategy and $1 billion in its infrastructure equity business.
Brookfield Asset Management is launching a new Catalytic Transition Fund with up to $1 billion from ALTÉRRA, focusing on developing countries.
ALTÉRRA has also committed $2 billion to its second Brookfield Global Transition Fund.
Lunate, an Abu Dhabi-based alternative investment manager with over $50 billion in assets, established ALTÉRRA.
UAE’s efforts to expand oil and gas production have drawn criticism, but the country is actively encouraging financial commitments to combat climate change.
Brookfield has raised a record-sized $28 billion infrastructure fund.
The fund is managed by Brookfield Infrastructure Partners and focuses on assets like airports, toll roads, pipelines, and natural gas export plants.
It is the largest-ever infrastructure fund of its kind and marks Brookfield’s biggest fundraising achievement.
Infrastructure investments have gained popularity among institutional investors seeking to hedge against inflation and a shift away from globalization.
Infrastructure assets often generate revenues indexed to inflation, making them attractive in a rising price environment.
Other asset managers like Blackstone and KKR, as well as specialized infrastructure investors like Global Infrastructure Partners, have also raised substantial funds or set ambitious fundraising goals.
Brookfield’s CEO sees opportunities in a “deglobalizing” world, where companies bring production closer to home and invest in energy infrastructure.
He believes a significant amount of capital will be required for critical industries’ reshoring and the expansion of digital infrastructure globally.
Brookfield’s fifth flagship infrastructure fund exceeded its $25 billion goal, with contributions from institutional investors, cash reserves, and co-investments, totaling $30 billion raised.
French private equity firm Antin Infrastructure Partners successfully raised 1.2 billion euros for its NextGen fund focused on energy transition.
The fund will invest in Europe and North America and marks Antin IP’s first of its kind.
Antin has approximately 30.8 billion euros in assets under management.
The NextGen fund has already been partially invested in electric vehicle charging groups and a tire recycling joint venture.
Investors from Europe, North America, Asia, and the Middle East, including new and existing investors, backed NextGen.
Despite market headwinds, Antin’s CEO expressed confidence in their ability to reach a target of 10 billion euros or more for the fifth generation of their Flagship fund.
The Biden administration unveils final rules at COP28 to reduce methane emissions from the U.S. oil and gas industry.
These rules are part of a global effort to combat climate change and fulfill a 150-country pledge to reduce methane emissions by 30% from 2020 levels by 2030.
Methane is a potent greenhouse gas that escapes from drilling sites, pipelines, and other oil and gas equipment.
The new standards aim to meet international commitments to address climate change while improving air quality.
The EPA’s new policies include banning routine flaring of natural gas, monitoring for leaks, and using remote sensing to detect large methane releases.
These rules are expected to prevent 58 million tons of methane emissions between 2024 and 2038, equivalent to the 2021 carbon dioxide emissions from the power sector.
New Mexico Governor Michelle Lujan Grisham sees these rules as a way for the U.S. to lead by example and encourage other countries to take similar actions.
Some environmental groups support the rules for curbing climate pollution and protecting communities.
The rules are expected to yield climate and health benefits of up to $7.6 billion annually through 2038 and increase natural gas recovery by up to $13 billion.
The rule has been modified from draft proposals, giving the industry more time to comply and adjusting the Super Emitter Program.
Industry groups like the American Petroleum Institute and oil companies like Exxon and BP are reviewing the rule but express varying levels of support and concern.
Oil & Gas Decarbonization Charter launched to accelerate climate action
50 oil and gas companies join the Charter, representing over 40% of global oil production
National Oil Companies (NOCs) make up over 60% of the signatories, the largest-ever number of NOCs committing to decarbonization.
The Charter aligns with goals of achieving net-zero operations by 2050, zeroing out methane emissions, and eliminating routine flaring by 2030.
Signatories commit to investing in renewables and low-carbon fuels, increasing transparency in emissions reporting, and reducing energy poverty.
The Global Decarbonization Accelerator (GDA) is launched alongside the OGDC, focusing on scaling the energy system of the future, decarbonizing the current energy system, and addressing non-CO2 greenhouse gases.
Signatories to Oil and Gas Decarbonization Charter:
NOCs: ADNOC, Bapco Energies, Ecopetrol, EGAS, Equinor, GOGC, INPEX Corporation, KazMunaiGas, Mari Petroleum, Namcor, National Oil Company of Libya, Nilepet, NNPC, OGDC, OMV, ONGC, Pakistan Petroleum Limited (PPL), Pertamina, Petoro, Petrobras, Petroleum Development Oman, Petronas, PTTEP, Saudi Aramco, SNOC, SOCAR, Sonangol, Uzbekneftegaz, ZhenHua Oil, YPF.
IOCs: Azule Energy, BP, Cepsa, COSMO Energy, Crescent Petroleum, Dolphin Energy Limited, Energean Oil & Gas, Eni, EQT Corporation, Exxonmobil, ITOCHU, LUKOIL, Mitsui & Co, Oando plc, Occidental Petroleum, Puma Energy (Trafigura), Repsol, Shell, TotalEnergies, Woodside Energy Group
Breakthrough Energy Catalyst announced €240 million in funding for climate solutions in Europe.
Two initial projects are the Ørsted FlagshipONE, the largest e-Methanol project in Europe, and Energy Dome’s Ottana Project for long-duration energy storage.
With the European Commission and European Investment Bank (EIB), EU-Catalyst partnership aims to mobilize up to €840 million in public and private funds for emerging climate technologies.
Catalyst will acquire a 15% equity interest in FlagshipONE, which produces e-Methanol from renewable hydrogen and captured biogenic carbon dioxide.
FlagshipONE is Europe’s largest e-Methanol plant, supplying fuel to decarbonize the shipping sector.
Catalyst commits up to €35 million for Energy Dome’s Ottana CO2 Battery Project, supported by EIB’s €25 million Venture Debt financing.
The Ottana project, located in Sardinia, offers grid energy storage with competitive performance and cost-effectiveness compared to Lithium-Ion technology.
Stripe launched Climate Orders, a product within Stripe Climate for businesses to pre-order carbon removal tons from Frontier’s portfolio.
Businesses can use the Stripe Dashboard or API for purchasing.
The goal is to accelerate carbon removal to meet climate targets.
Stripe, Alphabet, Shopify, Meta, and McKinsey Sustainability co-founded Frontier to invest $1 billion in carbon removal by 2030.
Stripe Climate offers Climate Orders and Climate Commitments for purchasing carbon removal.
Businesses like Watershed, Patch, and Terraset are already using Climate Orders.
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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.