Last Mile Production announces sale of carbon tokens from decommissioned O&G facility

The flagship project, centred on the Christopher Facility and a deep gas well in West Texas, followed a rigorous, commodity-grade Plug and Abandonment (P&A) process that permanently eliminated existing emissions and future methane (CH4) leakage - a greenhouse gas over 25× more potent than CO2.

All emission reductions were independently verified by a third-party accredited auditor under ISO 14064-3, CORSIA ensuring methodological rigor, transparency, and alignment with international standards.

The insured tokens are created under the Blu Diamond Standard and underwritten by global insurers, combining engineering assurance, technology-backed permanence, independent verification, and financial-grade credibility. Insurance transforms these verified climate outcomes into bankable commodities; unlocking price discovery, preserving value, and integrating environmental assets into capital markets.

As a pioneer in engineered methane avoidance, Last Mile is setting a global precedent for converting oil and gas decommissioning into climate assets. These credits can be recognised in voluntary markets and converted into compliance instruments, tapping demand worldwide.

Through digital traceability, dual-custody verification, rigorous third-party auditing, and AI-driven monitoring, each credit’s lifecycle – from engineering intervention to insurance activation to market transfer – is fully auditable and regulatory-ready. “This achievement proves oil and gas can lead in measurable, financeable climate action. By integrating digital traceability, we’ve created a repeatable blueprint that converts decommissioning liabilities into globally recognised, insured environmental assets. This isn’t just compliance: it’s a profitable, scalable sustainability strategy,” Zach Wagner, CEO, Last Mile Production.

The Blu Diamond ecosystem

Blu Clarity strengthens the Blu Diamond ecosystem with fiduciary-backed governance and deterministic insurance:

• Fiduciary governance – Embeds accountability and transparent risk transfer across the full lifecycle of insured carbon tokens.
• Deterministic insurance – Advancing real-time, data-driven coverage to ensure permanence and market-grade credibility.
• Institutional assurance – Positioned to deliver enforceable, insured carbon tokens designed for recognition as financeable assets.
• Enovate AI powers deterministic risk analytics and engineering science, turning complex operational data into fiduciary-grade metrics for underwriting, governance, and investment.
• Predictive intelligence – Real-time risk detection and management.
• Deterministic models – Auditable, ISO/CORSIA-verified metrics.
• Decision confidence – AI-driven assurance for global standards and long-term permanence.
• Cumulus ensures process integrity from origin to retirement.
• Workflow enforcement – Every action guided and locked.
• Immutable traceability – Full audit chain of custody.
• Audit & insurance integration – Real-time validation and underwriting.

To ensure institutional-grade trust, Last Mile Production has selected the Canton Network, an institutional blockchain purpose-built for regulated financial markets to anchor both environmental data and financial transactions.

Each token is digitally notarised and time-stamped, creating a tamper-evident audit trail under Blu Diamond governance. Canton’s architecture enables atomic settlement, privacy-preserving traceability, and interoperability with capital markets, ensuring carbon assets are managed with the same rigor and security as traditional financial instruments.

Last Mile is rapidly advancing a portfolio of engineered methane avoidance projects across its asset base, establishing a clear and repeatable pathway for the energy sector to monetise both producing assets and decommissioning programmes while delivering permanent, verifiable climate benefits. These projects are built with strong additionality, ensuring that credited emissions reductions are new, real, and measurable, going well beyond business-as-usual. By prioritising intentionality, Last Mile aligns engineered interventions directly with climate objectives rather than relying on incidental reductions. In parallel, the company continues to increase production and lower emissions across its assets through Enovate AI’s advanced digital solutions.

All projects undergo rigorous third-party verification to validate volumes, permanence, and additionality, delivering the highest levels of market trust and regulatory readiness. By combining independent verification, insured permanence and value, and digital traceability, Last Mile opens the door to multiple buyer classes: from corporate voluntary buyers seeking high-integrity Scope 1/2 coverage, to regulated entities under compliance frameworks, to institutional investors treating credits as financeable, insured environmental assets. Last Mile supports carbon-matched power generation, enabling large-scale net-zero electricity solutions that integrate environmental assets directly with energy infrastructure.

This model represents a scalable, investable climate infrastructure, bridging engineering, insurance, verification, and finance to advance both climate goals and commercial growth.

Read the article online at: https://www.oilfieldtechnology.com/special-reports/07102025/last-mile-production-announces-sale-of-carbon-tokens-from-decommissioned-og-facility/