SLB to invest almost $400 million in carbon capture firm

Early on Thursday, SLB stock remained stagnant in trading as Schlumberger rebranded to SLB in 2022, emphasizing their commitment to lower-carbon technologies. The company aims to generate $3 billion in revenue from its new energy business by the end of the decade, with CEO Olivier Le Peuch highlighting carbon capture and storage as a key contributor to this target.

SLB is actively involved in tenders worth over $400 million related to carbon capture and storage, a process that involves capturing carbon dioxide from industrial operations and storing it underground. Aker Carbon Capture has developed a method using a solution of water and organic amine solvents to absorb carbon dioxide emissions.

The International Energy Agency has stressed the importance of carbon capture in achieving global net-zero emissions by 2050, while urging caution to the oil and gas industry about excessive reliance on the technology. Le Peuch mentioned that scaling carbon capture and storage between 100 and 200 times in under three decades will be necessary to support net-zero objectives.

Although carbon capture has been around for years, its widespread deployment at a commercial scale has been challenging due to cost and logistical complexities. The IEA emphasized the need for the industry to demonstrate the effectiveness of carbon capture and storage on a large scale, noting a history of underperformance in the technology’s implementation. Heavy industries like cement manufacturing see carbon capture as a promising solution to reducing emissions in hard-to-decarbonize sectors. Aker Carbon Capture believes its method can be applied across various industries, including gas, coal, cement, and refineries.