Management of greenhouse gas emissions and energy

(103-3) GeoPark has measured, reported and verified GHG emissions and carbon intensity with Scope 1, 2 and 3 since 2017. The GHG emissions inventory covered only the operations of the Llanos 34 block, which represents about 83% of the Company’s total production, while Scope 3 included only transportation aspects of the production and the disposal of regular and hazardous waste.

In 2020 we estimated corporate GHG emissions, considering six steps to define the scope of the inventory:

Through this exercise we estimated the 2020 emissions intensity baseline for all our corporate production assets (Colombia, Argentina and Chile) with Scope 1 and 2, using an operational approach. In addition, we estimated our Scope 3 CO₂e emissions, including emissions associated with the end use of products, transport activities contracted with third parties and final waste disposal.

Corporate Scope 1 and 2 GHG emissions in 2020 were 388,738 tons of CO₂eq, of which the Llanos 34 block represented 77.4%. Power generation from natural gas accounts for most emissions on this asset.

Although GeoPark has earlier emissions information than 2020, the change in scope through including other assets in measurements means that that year cannot be compared to previous periods. In future reports, the base year and the methodology will therefore be those applied in 2020.

In 2020, our intensity index was 15.2 kg CO₂e/boe. This was 28.3% below the 21.2 kg CO₂e/boe industry average calculated in a benchmarking activity by Kearney based on information from annual and sustainability reports from companies analyzed.

The GHG emissions intensity indicator for Platanillo was 29.9 kg CO₂e/boe, in this asset more than half of power is generated from fuel oil, and crude oil production corresponds to only 3.8% of the company’s total.

The emissions intensity of El Porvenir in Argentina’s Neuquen province was 50 kg CO₂e/boe. In this asset 98% of power is obtained from gas, and the production of crude oil is only 0.7% of the company’s total.

In these cases the indicator was high due to the low production levels of the blocks.

Different emissions sources were considered in the exercise to define the 2020 baseline, including those associated with gas flaring, controlled emissions, and fugitive emissions.

Fugitive emissions arise from unintentional failures in equipment or systems: methane leaks in gas transport, low efficiency flare stacks, leaks in seals or gaskets, and integrity failures in treatment and pumping systems.

In 2020 fugitive emissions totaled 82,262.3 tCO₂e; 21% of total emissions.

The following table shows the data on GHG emissions by type of contaminant (CO₂, CH₄ and N₂O), associated with fugitive emissions.

As part of our GHG emissions reduction strategy we will manage methane emissions through the implementation of initiatives based on the following actions:

In defining the 2020 GHG emissions baseline, we consolidated total energy use, including energy consumption per application (generators and pumps) and the energy efficiency of applications that require energy (generators, boilers, pumps, transportation).

We took several measures to increase energy efficiency in our assets in 2020, including the following: