Environmental Benefits and Properties

A practical, scalable, and environmentally responsible pathway for producing low‑carbon methanol and lower‑carbon aviation fuel

EPC Global’s floating methanol units are designed to produce low‑ to ultra‑low‑carbon methanol from low‑carbon hydrogen derived from natural gas, with full carbon capture and permanent geological storage of both process CO₂ and additional CO₂ from shipping (OCCS) and industry (IND CO₂). This integrated pathway aligns with:

• IMO MARPOL Annex VI and all plausible IMO Net Zero Framework (NZF) outcomes through 2050. The 2024 LCA Guidelines already allow credit for CO₂ captured onboard and permanently stored.

• FuelEU Maritime (FEUM): EPCG methanol is classified as a low‑carbon fuel (LCF) under the EU Delegated Regulation of 8 July 2025 and remains compliant through 2050 due to EU ETS shipping inclusion from 2024. Fossil‑sourced CO₂ may be used until 2041, after which RFNBO, biofuel, or low‑carbon‑fuel CO₂ is used.
• ICAO CORSIA: EPCG methanol is a compliant feedstock for producing Lower‑Carbon Aviation Fuel (LCAF) via methanol‑to‑jet synthesis, providing a scalable pathway for aviation decarbonisation outside the EU’s ReFuelEU mandate.

As OCCS and IND CO₂ volumes increase, lifecycle carbon intensity is designed to decline further over time.

Permanent CO₂ sequestration in producing reservoirs provides proven long‑term containment integrity and supports reservoir performance (CO₂‑EGR), extending field life and improving recovery. Any reservoir pressure effects associated with CO₂ injection are incidental to permanent storage and are not the basis for lifecycle emissions crediting.

Restoring the Reservoir System

Injecting a similar amount of CO₂ as the gas used for feedstock means that, at end of field life, the reservoir is broadly in the same state as when production began – with hydrogen effectively removed.

Near-Zero Upstream Emissions

Floating production eliminates structural barriers that hinder or prevent onshore methanol producers from achieving similar lifecycle reductions:

1. Upstream emissions are avoided

Onshore producers inherit emissions from gas production, separation, compression, pipelines, leaks, and venting. EPCG does not – gas is produced directly into the floating unit.

2. CO₂ disposal is built in

Onshore plants are rarely located near suitable reservoirs or aquifers, making CO₂ disposal costly or impractical. EPCG stores CO₂ permanently in the reservoir, eliminating the need for pipelines or transport.

This results in near‑zero upstream emissions and a structurally lower lifecycle carbon intensity.

Closed‑Loop CO₂ from Shipping and Industry

Shuttle tankers deliver methanol to market and return with increasing quantities of CO₂ from shipping (OCCS) and industry (IND CO₂). This:

• Reduces logistical emissions
• Improves tanker utilisation
• Deepens lifecycle reductions
• Provides a scalable negative‑emissions pathway for other sectors

No Venting, No Routine Flaring, Minimal Fugitive Emissions

EPCG units are designed for:

• No routine flaring
• No venting under normal operations
• Tight control of fugitive emissions
• Closed‑loop CO₂ handling

This is a major environmental advantage over traditional oil and gas facilities.

Cleaner, Safer Marine Fuel

Methanol is one of the cleanest marine fuels available:

• Zero soot
• Zero SOₓ
• Very low NOₓ
• Zero particulate matter

It burns cleanly and reduces local air pollution.

Low Marine Toxicity & Rapid Biodegradation

Methanol is:

• Fully miscible in water
• Infinitely soluble
• Rapidly biodegradable
• Non‑persistent
• Non‑accumulative

In the event of a spill, methanol dissolves and biodegrades quickly, with temporary and likely reversible effects on marine life.

Compared with methanol:

• Ammonia is ~220,000× more harmful
• Methane is >300× more harmful
• Diesel and heavy fuel oil are ~200× more harmful

Methanol is therefore one of the least environmentally hazardous marine fuels.

Operational Safety & Environmental Protection
EPCG floating units are designed to:

• Be disconnectable and self‑propelled for rapid relocation
• Meet all requirements of an IACS Classification Society
• Undergo full Environmental Impact Assessments (EIA)
• Obtain all regulatory permissions for each deployment
• Be independently verified for safety, emissions, and environmental performance

Methanol is less hazardous than crude oil, and process risks are similar to – or lower than – traditional FPSO operations.