Effective minimization of environmental footprint can be achieved through the timely and systematicapplication of innovative approaches such as the Mitigation Hierarchy(MH)along O&G project lifecycle.This ensures the presence of biodiversity and sensitive areas(such as protected areas,critical habitats andthreatened species)and good management practices properly inform project activities that depend and mayimpact on natural environment.The MH is a framework designed to maximise impact prevention over restoration and offset,balancingdevelopment priorities with the sustainable use of natural resources.Consisting of a sequence of twopreventive(avoid and minimise)and two corrective measures(restore and offset),it is adopted by theextractive sector,development banks and financial institutions as the current best available tool for achievingmeasurable performance objectives such as no net loss or net positive impact.However,its timely andsystematic application along project lifecycle can be challenging,particularly for companies with a complex,diversified and global asset portfolio.In line with company Policy on Biodiversity and Ecosystem Services(BES),we apply the MH as earlyas possible in the project lifecycle.To effectively minimise project environmental footprint,we prioritizepreventive over corrective measures following a risk-based approach which accounts for the complexitiesof each project and the natural and social environment it interacts with.Along the project lifecycle,we have faced internal and external challenges in the practical implementationof the mitigation hierarchy.Internal challenges included aligning the project engineering and financingtimelines with the BES baseline and impact assessment timeline,while external challenges includebalancing demands of local communities and other stakeholders,the diverse operational contexts andregulatory frameworks aligned with or lacking mitigation best practices.Innovative and collaborativeapproaches are therefore necessary to effectively communicate or build capacity on company science-basedBES management practices.Early exploration and development phases correspond with best opportunity to identify BES prioritiesand apply the preventive steps of the MH.Applications include evaluating new opportunities,spatial placement or relocation of facilities and linear infrastructure,and project scheduling.During thedevelopment phase,a suite of GIS-based tools and BES assessments provide a supportive framework toapply the MH in concept selection,definition and execution.Subsequently in the operational phase,ActionPlans are used to ensure the delivery and iterative evaluation of impact mitigation and the continuousimprovement of BES performance.Through practical examples spanning different phases of the project lifecycle and sites located inbiodiversity rich and sensitive areas(e.g.United States,Myanmar,Ghana,Egypt and Ecuador),this paperwill illustrate how challenges can be overcome starting from early exploration phase(evaluation of newventures),in project development(design and construction),and during production.We will also reflect onthe contribution of the MH to value creation from operations in sensitive areas.
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