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Press Release

Kellas Midstream Installs Project Canary Continuous Emissions Monitoring at Teesside CATS Terminal, Showcasing Peer-Leading ESG Commitment

Published by Todd Bush on August 23, 2022

August 23, 2022 02:00 AM Eastern Daylight Time DENVER & ABERDEEN, Scotland--(BUSINESS WIRE)--Kellas Midstream, the BlackRock and GIC backed company responsible for transporting 40 percent of the U.K.'s domestic gas production, announced today that it has deployed continuous emissions monitoring at its Teesside Central Area Transmission System (CATS) terminal in partnership with Project Canary®, a U.S.-based SaaS-focused ESG data analytics firm. The ultra-sensitive Canary sensors have been installed at multiple points around CATS to precisely detect, monitor, and measure methane emissions at the site level in real-time.

  • Emissions monitoring technology is key to Kellas' near-term carbon intensity reduction strategy and ESG leadership.
  • This pioneering monitoring technology allows Kellas to better understand if and when they have emission events and map any trends to enable rapid intervention.
  • Rigorous technology review identified only one product, Project Canary, that was ready for commercial operation.
  • Project Canary provides direct continuous (real-time) & accurate (to 0.25ppm) measurement of methane through ultra-sensitive Project Canary sensors installed at multiple locations around CATS facility.

In 2021, a significant proportion of U.K. energy demand was fulfilled by oil and natural gas.

Continued investment in oil and gas is necessary to ensure a smooth energy transition. Even the most optimistic forecasts for adopting renewable energy sources predict that the U.K. will continue to need and use hydrocarbons for decades to come. As hydrocarbons continue to play a critical role in the U.K.'s energy mix, energy security and ESG leadership are becoming even more important for both the economy and the environment. Kellas is committed to meeting this demand responsibly and maximizing visibility and transparency for all stakeholders–including the government, owners, and the local communities in which it operates.

'Kellas supports the North Sea Transition deal's commitment to decarbonization. We must lead the way in reducing carbon intensity in our own operations,' said Andy Hessell, Managing Director of Kellas. 'We have achieved a 25 percent reduction in carbon intensity in our existing operations over the last few years and aim to make further significant reductions by the end of the year in 2024. Project Canary's technology enables us to precisely measure our performance, drive improvement, and minimise the potential for methane emissions from the gas we transport for our domestic consumers.'

This partnership with Kellas represents Project Canary's first international system installation, as the company has grown rapidly in the U.S. with its comprehensive measurement and environmental performance certification solutions. 12 monitoring units were successfully deployed at Kellas' CATS terminal in December 2021.

'We've spent the last four years providing U.S. companies with innovative emissions data to facilitate demonstrable environmental performance changes. With Kellas, we've found the right partner to take our commercialized climate-tech for high-performance emissions monitoring to Europe,' said Chris Romer, CEO of Project Canary. 'North Sea gas production will play an essential role in Europe's energy transition, and Kellas is leading the way to a lower-carbon future.'

Sustainability is part of Kellas' DNA, and this partnership aligns with the company's ambitious ESG strategy. Through a series of decarbonization initiatives, including Project Canary's continuous emissions monitoring, Kellas is working towards a sustainable and profitable net-zero carbon future.

About Kellas Midstream

Kellas Midstream is an independent energy infrastructure company delivering safe, reliable, innovative solutions and growth for our customers and partners. We own, manage, and operate a portfolio of critical energy infrastructure assets in the Central and Southern North Sea, including CATS (Central Area Transmission System) in Teesside, ETS (Esmond Transportation System) in Norfolk, and HGS (Humber Gathering System) in East Yorkshire. We offer a dedicated midstream infrastructure service, working closely with upstream exploration and production customers to maximise the full potential of our assets and the throughput natural gas volumes, safely and efficiently.

As the energy industry continues its transition to net zero, we are embarking on a number of strategic initiatives that will significantly contribute to industry decarbonisation, support domestic energy security, and support the UK's 2050 net zero targets. One example is our ground-breaking H2NorthEast project, an initiative to build a 1GW low carbon blue hydrogen production facility located at our CATS terminal on Teesside. Kellas Midstream is owned by a consortium of two private equity fund managers, BlackRock and GIC.

About Project Canary

Project Canary is a climate data analytics company delivering accurate and reliable insights for emission-intensive companies. We are the leaders in climate and operational risk assessments (air, water, land, and community) for verified climate credentials. Project Canary scores responsible operations and delivers independently measured emission profiles with a specific focus on methane using high-fidelity continuous monitoring technology, web-based ML analytics dashboard and AI based smart alerting systems for actionable environmental performance insights. The company offers customers a broad array of sensors for ground-based advanced continuous monitoring. Formed as a Public Benefit Corporation, the Colorado-based team of scientists, engineers, and seasoned industry operators focus on emissions reduction, using a quantifiable, measurement-based approach.

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