Environmental Stewardship

In 2023, NESR deployed a cutting-edge, artificial intelligence (AI) based platform for continuous methane & GHG monitoring and leak detection, across multiple NESR locations and commercially with several key clients. Properly measuring emissions and identifying non-routine emissions events (e.g. facility leaks) is the first step to properly advancing toward Net Zero Emissions (NZE) in any industry. NESR will continue to leverage leading technologies to enhance not only its internal emissions measurement, but also externally across client operations & assets.

Implementing responsible energy consumption practices across the business continues to be included in our environmental objectives. In 2019, we started tracking our total energy consumption from different sources with the goal of improving energy efficiency and increasing the percentage of energy we consume from renewable sources.

As an example of putting this strategy to action, in 2023 we inaugurated NESR’s Oilfield Research and Innovation Center (NORI) in Dhahran Techno Valley, and during the design phase conducted energy modelling to reduce energy consumption. NORI now complies with Leadership in Energy and Environmental Design (LEED) certification requirements and is projected to consume 20% less energy than comparable buildings in Saudi Arabia. We estimate that, over time, approximately 5% of the energy consumed at NORI will be generated from renewable energy sources.

NESR also strives to help customers improve the water stewardship of the broader energy industry, through a growing portfolio of oilfield water treatment technology partnerships. In 2023, NESR commissioned its “Carbon-Lite” brine production facility in Iraq, which leverages a HIROX/CIF technology to unlock the production of oilfield brine from unusable brackish water, rather than through the conventional mixing of freshwater & salt. Not only does this plant drastically reduce both freshwater consumption and brine production waste, but the concept also eliminates vast amounts of trucking of raw materials, improving the safety and emissions intensity of operations.

NESR operations are mainly conducted in water-stressed areas; therefore, in order to reduce our water consumption substantially, in 2021 we were the first company in our sector to announce specific Key Performance Indicator (KPI) targets tied to our Sustainability-Linked-Loan (SLL) facility, the progress toward which is presented in the table below .

To manage waste materials more efficiently, we reuse materials when possible, recycle both in our own 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. In addition, NESR audits waste service providers to ensure appropriate waste treatment and disposal practices are followed.

In 2019, we started tracking the total volume of hazardous and non-hazardous waste produced by our operations – a first step toward understanding the volume and nature of the waste we generate. In an effort to raise employee awareness about the importance of reducing consumption, reusing what can be reused, and ultimately reducing and recycling waste, we banned all plastic water bottles from our offices in 2019 and provided reusable, environmentally-friendly bottles and cups. 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 are collecting in 2020 will facilitate better waste management in the future.

As part of NESR’s process safety procedures, barriers as part of well integrity are crucial to reducing the risk of the 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 on a regular basis. 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.

As a company, NESR has: