RESPONSIBLE
INVESTMENT

RESPONSIBLE INVESTMENT

A company's success must be reflected in the well-being of people and societies, and the care for the natural resources it uses.

WHAT IS RESPONSIBLE INVESTMENT?

It is a strategy and implementation that incorporates environmental, social and governance (ESG) factors into investment decisions. The inclusion of ESG aspects as part of the process of investment analysis and decision-making aimed at improving risk management and increasing returns is called “ESG integration”. This complements the traditional financial analysis performed by companies.



ESG AND OSD STRATEGY

The environmental, social and corporate governance (ESG) strategy reflects the company's ethical and responsible behavior.
This strategy is aligned with the Objectives of Sustainable Development (OSD) of the United Nations.

Download here our ESG Strategy.

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NRG DIFFERENTIATING FACTORS

01

CREATION OF EMPLOYMENT

We contribute to responsible and sustainable economic and social development through employment generation and staff training. During the construction stage, we generate around 200 direct and indirect jobs. Once the plant starts production, the project will involve the creation of 500 stable direct jobs, mainly in the provinces of Rio Negro, Entre Rios and Buenos Aires, including workers at the quarries, processing plant, truck fleet, laboratory, on-site sand management, administrative staff and management.
The operation of the NRG plant also contributes to the development of regional economies by working in the value chain with various suppliers and local enterprises.

02

RATIONAL AND RESPONSIBLE USE OF WATER

The rational use of water is a central element in the strategy of environmental preservation and responsible development of NRG Argentina. For this purpose, all the washing plants have state-of-the-art treatment plants and water recirculation systems, which allow to recover up to 90% of the volume used. Just one flocculant is used to favor the decantation of very fine particles that would otherwise remain suspended for too long. This flocculant is of the same type as those used in drinking water and swimming pool water treatment systems and is considered to have a very low impact on the environment.
On the other hand, we recover water from beneath the wet-cutting basin, which is then reused in the process.
NRG Argentina's performance indicator, measured in liters of fresh water per ton of finished product, is thus one of the lowest in our country.

03

USE OF CNG IN TRANSPORT TO REDUCE EMISSIONS

Considering the large volumes of sand required for fracture operations, it is necessary to transport significant amounts of raw material from the quarries to the processing plant, and of finished product from the storage silos to the wells.
In other countries, this is done by means of combination of truck and freight train. In our country, given the location of the Vaca Muerta formation and the place of origin of the material it is mainly done by truck. As part of our strategy to achieve an operation with less environmental impact, we conducted a thorough exploration in the Province of Rio Negro, finding quarries which characteristics were suitable for fracture operations, which add to the quarries we have in Entre Rios.

In addition to the advantage of having quarries close to the wells, at NRG we are pioneers in the use of compressed natural gas (CNG) trucks. The company has its own fleet of CNG trucks with which it transports material both from the quarries to the plant and from the plant to the wells. Both by reducing distances and by using CNG as fuel, the reduction of greenhouse gas emissions will be 85 to 95% compared to sands provided by other companies.
NRG Argentina's performance indicator measured in Greenhouse Gas emissions in relation to transport per ton of finished product is the lowest in our country and one of the lowest in the world.

04

AIR QUALITY THROUGH PARTICULATE MATTER CONTROL

During the process of drying and truck loading, it is advisable to capture the finest sand particles by means of a suction pump system and to place them in an enclosed area. At NRG, we have dedicated a great effort to optimize the plant engineering in order to minimize this aspect. For this purpose, we acquired a powerful system for the suction of suspended dust. Also, the mobile silo system for the on-site management of sand was designed by National Oilwell Varco (NOV) to guarantee water-tightness.

05

PAD HANDLING WITH EFFICIENT AND SAFE MOBILE SILOS

In our country, there are different alternatives for pad handling. The most traditional one is the use of bags of approximately 1.5 tons each. For a conventional fracture operation, where 300 to 800 bags are used, this is a feasible method. However, in a non-conventional operation it would imply the use of about 6,500 bags, which is not only expensive but slow and negative for the environment. For non-conventional reservoirs, bulk sand is preferably used.

We signed an exclusivity agreement with National Oilwell Varco company (NOV) for the supply of their SandBankTM mobile silos system. The mobile silo system is gradually replacing boxes in the United States because of its greater safety and lesser imprint on location. NOV is one of the leading suppliers of state-of-the-art equipment for the oil and gas industry globally, and the design of the SandBankTM has the robustness and redundancy necessary to provide the highest operational efficiency and security in a service as critical as the supply of sand in the blender.
Each system consists of 6 silos and mechanisms for gravity unloading of hopper trucks in a shorter time than any other system. In addition, it is completely enclosed, thus eliminating the problem of particulate matter. NRG Argentina, together with Industrias Sthal company and NOV, have designed the most appropriate hoppers for this specific purpose.

06

EFFICIENT ENERGY CONSUMPTION

As part of our commitment to responsible development, we promote rational and efficient use of energy. The highest energy consumption in a frac sand processing plant is in the drying oven, and therefore its energy efficiency has a relevant impact on global consumption.
At NRG, we use the most efficient rotary kiln in the market with a double feeding, which reduces the exit temperature, and mixing systems that maximize the grains surface of exposure to heat, thus optimizing the vaporization of water.
The main motors are equipped with soft starters and the air circuits have variable speed drives, so as to reduce electricity consumption to a minimum.

CNG trucks and the reduction of transport distances are other key factors in the energy efficiency of the entire process, not only because of fuel saving but also because of the reduction in engine wear, tire consumption, oil, among others.
NRG Argentina's performance indicator measured in energy consumed per ton of finished product is the lowest in our country.

07

GENERATION OF CLEANER SOURCES: RENEWABLE ENERGIES

At NRG, we will self-generate a fraction of our energy consumption through the installation of photovoltaic solar panels and thermal solar collectors. Through a staggered plan, we will increase the renewable contribution, which will result in a reduction of the operations´ carbon footprint, as part of the commitment with environmental care.

NRG Argentina's performance indicator measured in renewable energy generated per ton of finished product will be the highest in our country.

08

DONATION FOR INFRASTRUCTURE

In addition to the payment of taxes and fees, the generation of direct and indirect employment and the promotion of regional productive development together with players in the area, at NRG, we work with local authorities and civil society associations to assess and offer the best destination for the donation of construction material that can be used for social housing, health centers, education centers, recreational and/or sports spaces, cultural spaces or for any other purpose at the discretion of the different communes, with the clear objective of promoting the common good of its citizens.

Download here our
Code of conduct.

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