Environmental Stewardship

NESR is committed to providing technologies & services that enhance our customers' performance by helping them reduce their environmental impact and lower the carbon intensity of their operations. We are dedicated to maintaining a sustainable and socially responsible company and strive to reduce our environmental footprint everywhere we operate, both internally in our operations and externally in the products & services that we provide.

We align our strategies and programs with the United Nations Sustainable Development Goals and strive to preserve our planet for future generations, while complying with all relevant rules and regulations. We firmly believe that our sustainability is closely linked to the long-term viability of the economies, environments, and communities in which we live and work. We deploy innovation ingenuity in our approach. From implementing hybrid solar power production in our UAE operations, to utilizing an artifical intelligence (AI) platform for continuous methane emissions monitoring across our clients’ assets, we are reducing air emissions and playing a vital role in the sustainable development of the countries in which we operate.


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Climate Change

We recognize the effects of climate change on our planet and our business and align our approach with the United Nations Sustainable Development Goals. We are focused on reducing our environmental footprint and mitigating climate change risks to our business while continuing to help our customers provide the world access to affordable, efficient, and reliable energy. When assessing our risk exposure, we consider risks associated with climate change and their impact on our business in the near and long-term.

We manage our environmental impact by:

  • Measuring and tracking our environmental performance data
  • Improving annually the measurement and management of our carbon footprint
  • Enhancing our energy and water efficiency
  • Managing our consumption of natural resources and our waste
  • Collaborating with our customers to engineer solutions which maximize the sustainable value of their assets and reduce the environmental impact of their operations
  • Using technologies that help our customers increase their operational performance while reducing or avoiding emissions
  • Working with suppliers to reduce the environmental impacts of their operations and the greenhouse gas (GHG) emissions of their products
  • Ensuring compliance with all applicable environmental laws and regulations in the places we operate 
  • Reporting regularly on our progress toward effective sustainability and stewardship of our business and the advancement of these goals.

NESR is currently mapping out a plan to achieve net zero carbon emissions from our operations by 2050 and developing new solutions to enhance our commitments and increase the transparency of our GHG reporting. Our plans will be announced as soon as reasonably practicable.


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Air Emissions

As a service and solutions provider, NESR is well positioned to combat air emissions across the upstream value chain, particularly by bringing new technologies to the region to help detect, quantify, and reduce emissions such as vented and fugitive methane. In 2021,NESR invested in and partnered with a leading Continuous Emissions Monitoring (CEM) platform in North America, Qube Technologies, to deploy next-generation Internet-of-Things (IoT) devices and AI-enabled software for the purpose of CEM internally across NESR operations, and also with our clients.

The solution consists of 1) fixed, metal-oxide detector devices that are capable of measuring all leading greenhouse gas constituents in the upstream sector, including CH4 and CO2, in addition to hazardous gases such as H2S and other combustion and/or air- quality related gases, 2) a cloud-based AI algorithm capable of providing full (LDAR) diagnostics, and 3) a user-friendly dashboard that helps NESR and our clients visualize their assets and the emission leaks that are often difficult to detect using conventional emissions monitoring technologies (e.g. satellites).

NESR strives to mitigate environmental impacts associated  with  greenhouse  gas  emissions  by managing the carbon emissions of our operations. All NESR locations with the potential for air emissions are establishing a documented air emission plan to minimize air emissions.

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Energy Management

NESR is a fundamental part of an upstream energy industry that currently provides access to affordable, reliable, often sustainable, and modern energy for all, and is an active innovator within our sector to push urgent action to combat climate change and its impacts. We continually improve our practices and invest in facility upgrades by using energy-efficient equipment, implementing current best practices, and increasing our use of alternative and clean energy. Since the establishment of our ESG practice, we’ve tracked our total energy consumption from different sources to improve energy efficiency and increase the percentage of energy we consume from renewable sources.

In 2024, we expanded the implementation of solar power in one of our key facilities in Habshan, UAE. To date, our Habshan solar electrification effort has reduced its monthly diesel consumption by up to 30%, offsetting nearly 1,000 metric tons of CO2e and reduced annual energy cost by ~12%.

Recent construction projects, including our recently-inaugurated NORI in Saudi’s Dhahran Techno Valley, have been designed to comply with LEED certification standards, which are projected to consume 20% less energy than comparable buildings in Saudi Arabia. We estimate that 20% of energy consumed at NORI is generated from renewable energy sources. Following the 2025 groundbreaking of SPARK, NESR will continue to embrace the highest LEED facility development standards, both in SPARK and in the similarly-planned building of NESR Ahmadi Innovation Valley Centre in Kuwait in 2026.

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Water Management

Water is one of the world’s most valuable resources and we operate in water-scarce areas in the MENA region. We apply best practices and technological solutions to water management challenges to reduce the impact of our operations on water resources everywhere we operate.

NESR has partnered with multiple water treatment companies to treat produced water, sea water or well water to a specific oilfield application water quality ranging from hydraulic fracturing, workover and drilling applications. In addition, the NESR water treatment technology basket is capable of supporting the midstream and downstream water treatment requirements, e.g., water treatment of desalter unit discharge. Together, NESR and their water treatment technology partners provide our customers with specific and differentiated technical water treatment solutions, enabling them to achieve their production goals in an environmentally responsible manner.

Within our NEDA segment, NESR continues to evolve its portfolio of produced water recycling and mineral valorization technologies, comprising what is collectively known as NESR ZMLD. This process involves a combination of industrial mineral extraction, thermal desalination & salt crystallization, and transition mineral recovery, which were piloted extensively in 2024 and continue to be piloted in 2025. In 2024, NESR formalized its commitment to produced water reuse by taking a strategic investment in Salttech O&G BV, a Dutch desalination technology provider and a cornerstone of the NESR ZMLD process.

Metric

Units

2022

2023

2024

Water Used

M3

225,887

241,695

286,698

Volume Intensity

M3/1$mm Rev

248.3

210.9

220.5

Metric

Units

2023

2024

Water and sewage Recycled

M3

100,459

135,865

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Waste Management

We are committed to reducing the environmental impact of our activities across the entire value chain. We continuously strive to improve our environmental performance in multiple ways, including responsible waste management. To manage waste materials more efficiently, we reuse, when possible, recycle both in our operations and for our customers, and use innovative technologies to find new recovery methods. We continue to seek opportunities to reduce both our direct consumption of resources and the waste we generate. Additionally, NESR audits waste service providers to ensure appropriate waste treatment and disposal practices are followed.

To raise internal awareness for improvement, and for transparency with stakeholders, we track and report total volume of hazardous and non-hazardous waste produced by our operations – a step toward understanding the volume and nature of the waste that we generate. We also track volumes of waste recycled, waste incinerated, and waste sent to landfill, to fully understand and identify the sources and ultimate destination of our waste, to facilitate better waste management in the future and better address future regulatory risk.

In 2020, we started tracking the volume of waste we recycle, and where our waste ultimately ends up (incinerated, sent to landfills, sold as scrap, etc.) This will allow us to understand the full impact of the waste we generate on different ecosystems. Ultimately, we believe that the information we collected in 2024 will facilitate better waste management in the future.

Metric

Units

2023 (Estimated)

2024

Hazardous waste generated

Metric tons

2,417

3,755

Non-hazardous waste generated

Metric tons

29,120

32,335

Waste recycled

Metric tons

12,123

16,218

Waste incinerated

Metric tons

7,202

6,266

Waste to landfill

Metric tons

11,214

12,743

Flare-to-Forest Multi-Circularity Concept. As part of our NEDA segment, we’ve built a portfolio of technologies encompassing circular water, waste gas, and heat. When combined, these technologies form our integrated Flare-to-Forest concept, which aims to leverage flare gas capture for liquids and power generation, which drives our key water treatment technologies and the generation of freshwater that can potentially be reused for agriculture. We are evaluating the feasibility of this concept with several key clients, to minimize upstream waste and maximize value.

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Environmental Releases

Each NESR site is equipped with appropriate emergency control and spill prevention plans. As part of NESR's process safety procedures, barriers are crucial to reducing the risk of uncontrolled release of formation fluids. NESR has a portfolio of cementing technologies and logging tools for ensuring and evaluating well integrity. Zonal isolation is created and maintained in the wellbore through the cementing process. Cement supports and protects well casings and helps prevent fluids in one zone from mixing with fluids in another zone. The cement systems help establish zonal isolation work in a variety of reservoir conditions and remain in place throughout the life of the well.

To prevent unplanned discharges, NESR tests the integrity of service equipment regularly. Regularly scheduled inspections, evaluations, and testing of bulk storage containers by qualified personnel are critical parts of discharge prevention. Our inspection and testing programs involve an external visual inspection along with extensive testing and examination to evaluate container integrity. These inspections are site-specific, and they meet or exceed industry standards.

NESR has deployed an automatic fuel system in its fracturing operations which consists of a closed system that supplies diesel to the fracturing fleet. This system can fuel all the equipment in a large fleet simultaneously, eliminating spills, hazards for the fracturing crew, and overfill risk. In addition to the environmental impact, the automatic fuel system improves the efficiency of the fracturing operation and reduces nonproductive time. NESR also establishes secondary containment as part of protection measures for primary storage.

Metric Units 2024
Spills > 1 bbl barrels 0
Volume of spills liters 1900
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Chemical Transparency

During the design and development phase of fracturing, all chemical additives are selected based on minimizing environmental impact and regulatory acceptance in the operating companies and countries where we operate. These chemical formulations are also designed to be safe for the individuals who are handling them, from the manufacturing plant to the final oilfield application.

In UAE, we are currently evaluating the use of implementing NEDA water technologies, to potentially recycle flowback water and treat the water to quality levels at which frac chemistry additives could be minimized to achieve optimal performance. Not only would this technical breakthrough vastly improve the water stewardship profile of the operation but would also lower the cost and environmental risk associated with higher chemical demand for the stimulation fluid.

Metric

Units

2022

2023

2024

Volume of Hydraulic Fracturing Fluid Used

M3

1,446,146

2,213,576

3,807,834

Frac Additives Percentage (%)

Percentage

0.35

0.28

0.28

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Environmental Compliance

NESR’s operations are conducted in compliance with industry standard certification programs, including those for quality management (ISO 9001), environmental management (ISO 14001), and health and safety management (ISO 45001 or OHSAS 18001). The NESR integrated HSE management system is aligned with ISO 9001/14001/45001.

We communicate our HSE philosophy to all employees, customers, contractors, and third parties associated with our business, and each NESR organization is required to provide evidence of conformance to the relevant system.  

Most of our operating countries are ISO 14001 certified by external certification bodies. In addition, those entities frequently hold multiple other certifications, such as ISO 9001/45001, OSHAS 18001, and API Q1 and Q2. No environmental violations have been recorded across NESR’s operations in 2019 and throughout the first half of 2020.


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Environmental Achievements

Our environmental achievements this year are broad ranging.

As a company, NESR has:

  • Implemented a solar-diesel-hybrid (SDH) power system with ~104kWp solar capacity at the NESR Habshan Basecamp, Includes a nearly 10% green electricity mix, saving nearly 150 MT CO2e emissions by offsetting diesel consumption, with plans to increase green energy usage and reduce CO2e in the future
  • Saudi Aramco and NESR achieved groundbreaking results with DyVaR desalination technology, converting high TDS produced GOSP water to freshwater (avg < 100 ppm TDS) with remarkable water recovery (~80%). This innovative approach also enabled salt recovery (NaCl) with over 99% purity, suitable for medical-grade applications.
  • The 'Carbon-Lite' HIROX process is a significant breakthrough, producing 4,000+ bpd of at-spec brine for local energy operations while significantly reducing waste and freshwater use compared to conventional methods, revolutionizing the brine supply chain in Iraq's water-scarce region
  • Been selected by Aramco to participate in the 2019 Southern Area Oil Operations (SAOO) Environmental Campaign;
  • Participated in an environmental campaign in Saudi Arabia to spread awareness on best environmental practices among school children;
  • Been recognized by Saudi Aramco’s Southern Area Well Completion Operations Department (SAWCOD) for its outstanding contributions towards the accomplishment of environmental initiatives in 2019;
  • Installed energy-efficient lighting, heating, and cooling systems;
  • Prioritized technological developments aimed at minimizing CO 2 emissions;
  • Replaced diesel-powered light towers in rigless sites in Saudi Arabia with solar power light towers to reduce noise pollution, fuel consumption and CO 2 emissions;
  • Banned plastic water bottles in NESR offices to reduce waste;
  • Reduced 6700 m 3 of fresh water per year in Oman operations by changing the cement slurry formula;
  • Educated employees about greener operational alternatives and practices and encouraged them to adopt initiatives that support the achievement of our annual targets;
  • Advanced the operational processes in our facilities by taking significant steps to reduce scrap and the use of harmful chemicals;
  • Worked closely with community and nonprofit organizations to develop initiatives to apply technology, expertise, and volunteerism toward solving pressing environmental issues;
  • Conducted assessments of business partners, suppliers, and contractors to uphold equal social and environmental standards, and defined next steps to improve worker-management, communication and working conditions.

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