Special Circular Economy

Companies in the hydrocarbons sector are committed to the decarbonization of their operations while adapting to the new realities resulting from climate change. Therefore, they have restructured their operational models to optimize
the use of resources in all their activities.

Although the industry recognizes that decarbonization and transition are long-term goals, several companies have restructured their operational models to optimize the use of resources in all their activities, that is, achieving more with lower costs and generating less waste.

To this end, they have focused on circular economy strategies that allow for better utilization of waste or even the water resource they use to operate their fields. For example, Frontera Energy is advancing a flagship project called SAARA. It is the largest water treatment plant in the world associated with an oil project as part of its commitment to the circular economy.

“At SAARA, we treat the water from Ecopetrol's Rubiales and Frontera's Quifa fields to bring it to the highest standard for the irrigation of existing agroforestry crops (non-food) of oil palm over more than 3,000 hectares,” the company explained.

In order to increase the percentage of utilization of the waste generated in its activities, the operator created sustainable equipment to properly dispose of personal protective equipment (PPE) that is no longer in use, such as jeans, shirts, overalls, safety boots, harnesses, t-shirts, and helmets. This has generated better efficiencies and savings, allowing them to reduce the pollution they generated a few years ago from this front.

For Ecopetrol, the circular economy has become a cross-cutting enabler that contributes to meeting goals associated with energy transition, net zero carbon emissions, reduction of the water footprint, closing the loop on materials and waste, as well as managing natural capital. This element allows them to generate opportunities for growth, innovation, job creation, and conservation of biodiversity and ecosystem services.

Through these circular economy models, the company has promoted efficiency in the use of materials, water, energy, and the recovery capacity of ecosystems; it has encouraged the identification of initiatives for the development of new business models with economic, environmental, and social benefits, and has driven innovation, technology, and research in new products and services.

To date, for example, Ecopetrol has 283 implemented initiatives that apply the principles of circularity, with estimated economic benefits of 3 trillion pesos.

In this proper management of resources and waste, GeoPark has achieved extraordinary results: in 2022, it transformed 102.6 tons of organic waste generated in the Llanos 34 camps into fertilizer for the restoration of areas devoid of vegetation. This allowed it to reduce landfill disposal and waste transportation.

Likewise, in this company they collected 704 m³ of rainwater in Platanillo, using it as a source for domestic use and road irrigation, reducing water capture. Regarding greenhouse gas management, they utilized 27,679.8 mcft of gas, which they used as fuel for boiler feeding in Llanos 34, reducing fuel purchases and avoiding gas flaring.

Part of what the companies in the sector have achieved is due to solid corporate governance, resilient leaders, and teams that believe in a greener and cleaner industry.

In this regard, Hocol explains that it has implemented concrete actions. One of them has been the reduction of operational inventory, decreasing the amount of materials stored in its warehouses. In 2022, for example, it incorporated alternatives for reusing materials and waste in the management of its operation contracts and comprehensive waste management. This has allowed it to currently generate only 69.9 grams of waste per equivalent barrel of oil (BOE). Additionally, it has managed to valorize and market 733.58 tons of materials, generating employment and well-being in local communities.

And in the Ocelote field, in Puerto Gaitán (Meta), 99.3 percent of the plastic material generated is reintegrated into the productive chain, thanks to collaboration with the company Verde Cristal. This company, trained and equipped by Hocol, collects and compacts the plastic material for subsequent palletization and marketing in the city of Villavicencio. This initiative not only reduces waste but also benefits the local community.

In this field, it reiterates that it has managed to use production water for the preparation of drilling muds, reaching proportions of between 50 and 75 percent of process water in the mix. Furthermore, for interventions and maintenance of wells, 100 percent of the water used is process water, thus eliminating dependence on external sources.

In the case of Parex Resources, it has committed to reducing the waste generated in its operations, as well as managing and monitoring waste disposal practices within the framework of the company's Solid Waste Management Plan. Likewise, it relies on the services of authorized third parties to ensure the responsible disposal of waste, minimizing the impact on the environment and communities.

In 2022, it reduced the volume of hazardous and non-hazardous waste by 54 percent, from 6,145 metric tons in 2021 to 2,820 metric tons by the end of 2022. This was a result of a lower number of abandoned wells compared to previous years.

Terpel has also championed circular economy plans as a strategic axis of its business. The organization has managed to consolidate its Green pass program, a sustainable lubrication project through which it collects and recycles lubricant containers, sells in bulk, and certifies lubrication centers and workshops. This contributes to environmental protection, encourages best practices, promotes process innovation, and generates a sustainable model for the distribution and handling of MobilTM and Terpel lubricants.

In this way, companies are doing their part, delivering good results, and committing to contribute to the decarbonization of their operations while adapting to the new realities resulting from climate change. Part of what they have achieved is due to solid corporate governance, resilient leaders, and teams that believe in a greener and cleaner industry.