Material Insights · Understanding the Material World

Flare and off-gas recovery: What to track

Satellites now track flaring per barrel at every field

What this tab covers The attributes worth tracking regularly, with the latest value, the direction of travel and why each matters.

Track satellite-measured flare volumes and intensity per barrel at the host, and the gas offtake contract that keeps recovery running.

CategoryAttributeLatestTrendWhy it matters
OperationalCapacity factor and operating hoursRecovery sized for about 70% of flaring in one refinery case; global flaring 167 bcm (2025)48↘ worsening Recovery units should take routine flow continuously; frequent bypass to flare means lost value.
OperationalRecovery or combustion efficiency over timeAbout 50 of 429 Mt CO2e from flaring came from unburnt methane (2025); PSA recovers 75-92% of hydrogen59→ stable Poor flare combustion and unrecovered gas both show up as methane; falling hydrogen recovery signals PSA or membrane wear.
CounterpartyHost counterparty credit and utilisation rateNine countries flare 83% of the total; Russia 18%56→ stable Sovereign, sanctions and national oil company risk dominate upstream projects.
Impactt CO2e avoided per dollar investedCMM: 54% abatable for about USD 14.25 billion/y; 9.5 Mt from USD 2.5 billion of VAM oxidation10↕ volatile Varies with gas prices; higher prices make more abatement self-financing.
OperationalCompressor and separator foulingLiquid-ring compressors plus H2S treatment used to cope with dirty, sour gas7→ stable Wet, sour gas fouls and corrodes recovery compressors.
PolicyLocal carbon pricing and penaltiesEU ETS allowance about EUR 88.3/t CO2 (12 October 2026, highest since late January), after a seven-week low of EUR 82.40 on 5 October; EU CBAM definitive phase since 1 January 2026, priced at ETS auction levels. India CCTS: final intensity targets for about 490 units in seven sectors (aluminium, cement, chlor-alkali, pulp and paper, refining, petrochemicals, textiles) for 2025-26 and 2026-27 against a 2023-24 base; iron and steel targets for 255 entities issued as a second draft in June 2026, with compliance from 2026-27; fertiliser still pending; first credits expected around October 2026, with trading from November 2026 to January 2027; targets designed around a cost of about USD 10/t CO2.151211131416↕ volatile Carbon prices set the extra value of each tonne avoided. Even at its 5 October low of EUR 82.40 (about USD 91.87), the EU price was roughly nine times India's design level (calculated). For this tile: petroleum refineries and petrochemicals are among the seven CCTS sectors with targets, so refinery flare and off-gas recovery now helps compliance.
Technology-specificFlaring intensity (gas flared per barrel of oil)Up about 2.7% in 2025, to 5.4 m3 per barrel5↘ worsening The best single indicator of upstream progress; satellite data make it auditable.
Technology-specificCoal mine methane utilisationDrainage-and-use potential about 7,460 kt; 62% at negative net cost (IEA via Ember)10→ stable Tracks progress at operating and abandoned mines.

Sources

  1. 2026 Global Gas Flaring Tracker report (publication page, covering 2025) World Bank, 2026
  2. Global Gas Flaring Tracker 2026 (full report, covering 2025; copy hosted by DevelopmentAid) World Bank, Global Flaring and Methane Reduction Partnership, 2026
  3. Global gas flaring rises, undermining energy security (press release, 23 June 2026) World Bank, 2026
  4. Energy efficiency improvement in oil refineries through flare gas recovery technique to meet the emission trading targets (Comodi, Renzi and Rossi), Energy 109 Elsevier (abstract via RePEc/IDEAS), 2016
  5. Thermo-economical evaluation of producing liquefied natural gas and natural gas liquids from flare gases (Barekat-Rezaei et al.), Energies 11(7) 1868 MDPI (peer-reviewed), 2018
  6. Recovering hydrogen, and profits, from hydrogen-rich offgas (Chemical Engineering Progress) AIChE, 2018
  7. Global Coal Mine Methane Review 2026: cutting CMM this decade is urgent and feasible (reporting IEA Global Methane Tracker 2025, UNEP and UNECE figures) Ember, 2026
  8. CBAM definitive regime European Commission, DG Taxation and Customs Union, 2026
  9. European carbon prices drop to 7-week low as market eyes upcoming policy agenda S&P Global Commodity Insights, 2026
  10. Compliance obligations under India's Carbon Credit Trading Scheme enter into force for seven sectors International Carbon Action Partnership (ICAP), 2026
  11. India kicks off carbon trading programme, but key polluters left out Business Standard, 2026
  12. European carbon prices rose to EUR 88/t in October (citing ICE data) GMK Center, 2026
  13. India's iron and steel sector moves closer to CCTS compliance: will larger decarbonisation follow? Down To Earth, 2026