Melting permafrost, caused by global warming, poses a huge threat to Russia’s oil and gas industry
President Vladimir Putin needs to go green quickly to stop the permafrost from melting, so that Russian oil and gas companies can keep pumping the hydrocarbons that are warming the planet and making the permafrost melt.
Even I’m struggling with the warped logic of that one, but it’s the conclusion I’ve reached from Russia’s sudden ratification of the Paris climate accord and from reading the latest report of the Intergovernmental Panel on Climate Change.
Until now, climate change has been seen as a “good thing” for Russia — at least in part. Warming waters have opened up the Northern Sea Route across the top of the country and made it practical, if not necessarily economic, to search for and exploit oil and gas resources beneath the Arctic seas. Who remembers the Shtokman gas project?
Yet the warming that is opening up the Arctic seas may be starting to have a less beneficial effect on the frozen landmass of northern Russia, the heartland of the country’s oil and gas development and production.
“Permafrost is undergoing rapid change,” says the Ocean and Cryosphere in a Changing Climate report adopted by the IPCC last week. The changes threaten the “structural stability and functional capacities” of oil industry infrastructure, the authors warn. The greatest risks occur in areas with high ground-ice content and frost-susceptible sediments. Russia’s Yamal Peninsula — home to two of Russia’s biggest new gas projects (Bovanenkovo and Yamal LNG) and the Novy Port oil development — fits that bill.
The problem is bigger than those three projects, though. Some “45% of the oil and natural gas production fields in the Russian Arctic are located in the highest hazard zone,” according to the IPCC report. [Continue reading…]