A life cycle approach to environmental protection

Life cycle thinking contributes to managing the full range of potential environmental and social impacts associated with our operations and products. We take a holistic approach to understanding our impacts from initial exploration activities to eventual closure.

1. Assessing our surroundings
Delivering superior environmental performance starts with planning. For new projects, risk-based Environmental, Socioeconomic, and Health Impact Assessments (ESHIAs) are conducted to review community concerns, sensitive environmental habitats, land use, air quality, water management, waste management, biodiversity, noise, public health, and future regulatory developments. The ESHIA process requires engagement with key stakeholders throughout the project’s life cycle. The results, which include opportunities for avoiding, reducing, and mitigating potentially negative impacts as well as enhancing project benefits, are integrated into project evaluation, planning, and decision making. Early identification of potential impacts allows us to develop project alternatives, reduce impacts to the environment, improve safety, and decrease operating costs.

2. Designing our facilities and operations
ExxonMobil integrates environmental concerns and regulatory requirements early in the project design process, as part of the ExxonMobil Capital Projects Management System (EMCAPS). Potential risks are analyzed for avoidance and reduction options, and practical alternatives are included from the start. We comply with all applicable host-country regulatory requirements and, where there are none, we perform to standards that are protective of the environment.

In 2010, we implemented Expectations for Project Environmental Standards to establish a consistent approach across the Corporation. Each business is expected to develop, maintain, and consistently apply Project Environmental Standards applicable to the specific risks of that business. The businesses are now developing applicable Standards, and this effort will be completed by year-end 2013.

For example, the ExxonMobil Development Company’s Environmental Standards set the basis for responsible environmental development of upstream projects, including in regions of the world that do not have comprehensive environmental protection requirements. These project Environmental Standards include:

• Air emissions (sulfur dioxide (SO₂), volatile organic compounds (VOCs), and particulate matter);
  
• Nitrogen oxides (NOx) emissions;
  
• Drill cuttings discharge, water management, waste management, and land use;
  
• Flare and venting;
  
• Energy efficiency and greenhouse gases (GHGs);
  
• Marine geophysical operations; and,
  
• Socioeconomic impacts.
  

Through the Expectations for Project Environmental Standards initiative, these Standards are being implemented across all upstream companies. To date, the Standards for drill cuttings discharge, flare and vent reduction, and energy efficiency and GHGs have been adopted by all upstream companies.

3. Operating with integrity
Operations Integrity Management System (OIMS) outlines our approach to communicating expectations, measuring progress, and striving to improve environmental performance. Our Environment Policy encourages concern and respect for the environment and emphasizes every employee’s responsibility for environmental performance. Employees are expected to actively prevent environmental incidents, and to respond quickly and effectively when incidents occur. The ability to efficiently collect and manage environmental information is essential for achieving compliance and improving performance. In 2010, we implemented the first of a two-phase project to systematize and improve our environmental data information collection system. Phase one, referred to as C-EDMS, was successfully implemented across the Corporation in 2010. Phase two, S-EDMS, will be rolled out to sites and integrated with existing emissions monitoring and measurement systems from 2011 to 2017.

4. Restoring the environment
Remediation and restoration activities reduce our overall environmental impact. We have improved ExxonMobil’s remediation results through a globally consistent approach.