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- Review our first Methodology! We’re stopping emissions from marginal oil and gas wells and you can now review and comment on the premiere methodology for converting carbon into tokens.
- Review and comment on the only methodology for converting industrial oil and gas well emissions into carbon credit tokens through Feb 23, 2023. Please review and tell us what you think!

  • CarbonPath

    71 w

    We screen looking across the one million wells in operation in the US, find those that are in areas buyers are interested in, then approach the operator with the proposal. They are the project developers in that they are the project managers that shut down the wells permanently. We get this verified by the state oil and gas regulator ensuring that the work was done properly. The convincing comes from providing a credit that gets them close to matching their next best alternative - selling the well to a smaller operator (give up money in the door) and shedding the abandonment liability (a significant cost). Looking at most wells in the US, the point of indifference is $20-$50 a tonne, so reasonable compared to other options.

    • Sarah Chabane

      71 w

      How do you choose which wells to close down? And how do you convince people to do so? 🤔

      • CarbonPath

        65 w

        @sarah_chabane thanks for your questions, and sorry for the delay! We choose low-producing or abandoned wells that are accessible by our partner energy companies across the US. Any wells that are not economically productive are a candidate for shutdown through us. Our vision is to have anyone who owns such wells or finds abandoned ones to come to us on their own, without us having to go to them! Now why would they come to us? Well it's about money. We can guarantee that for every metric ton of CO2 or CH4 prevented by the plugging of the well, they will receive a token with a minimum price. If the total $ value of the tokens produced is greater than the oil or gas they could have extracted from that well, it's in their interest to sign up with us. If the well isn't producing hydrocarbons but leaking emissions, that's a no-brainer! And we've identified thousands of wells across the US where it makes economic sense to plug them with our tokens as a funding source, even with the cost of plugging incorporated. Hope that answers your question!

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