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Showing posts sorted by date for query CCS. Sort by relevance Show all posts

Saturday, May 25, 2024

Glencore’s Australia carbon storage project blocked because of groundwater risk

Reuters | May 24, 2024 |

Carbon capture and storage project. Credit: Glencore

A Glencore carbon capture and storage project in eastern Australia cannot go ahead because it could irreversibly harm groundwater used by farmers, a state government said on Friday, adding that it would also block similar projects.


Global commodities giant Glencore said the decision by Queensland was the result of misinformation and political opportunism and had effectively outlawed carbon capture and storage projects in the state.

The company’s pilot project aimed to pump 330,000 metric tons of liquefied carbon dioxide from a coal-fired power plant in southern Queensland into an aquifer 2.3 km (1.4 miles) underground.

The project “is not suitable to proceed due to potential impacts on groundwater resources,” the state’s environment department said in a statement.

Farm groups had protested that it risked poisoning part of the Great Artesian Basin, a network of groundwater deposits spanning much of eastern Australia, supporting agriculture and communities.

The proposed site was not a contained aquifer and the carbon dioxide “could migrate, likely causing irreversible or long-term change to groundwater quality and environmental values,” the environment department said.

Such changes could include greater concentrations of contaminants such as chloride, sulphate, lead and arsenic, it said, adding that its decision made clear that other carbon storage projects in the Great Artesian Basin would not be viable.
Disappointing

Governments including Australia’s say carbon capture and storage (CCS) is needed to achieve the world’s net-zero goals and contain global warming. Its rollout has been slow but is speeding up.

Glencore said its proposal was scientifically robust, targeted an area with unused, low-quality groundwater and the carbon dioxide was extremely unlikely to spread significantly.

“The decision is disappointing and comes after a damaging misinformation campaign and political opportunism,” the company said in a statement.

“The Queensland government has now effectively banned carbon capture and storage projects in Queensland,” it said. “It’s now up to the Queensland government to explain how it’s going to meet its ambitious emissions reductions targets.”

Asked if it would appeal the decision, a company spokesman said that Glencore will review the decision and consider its options.

The project would have captured 2% of the emissions of the Millmerran plant power plant but could eventually have stored 90%, the company said.

Queensland farm group AgForce praised the decision but said more protection was needed for the basin and it would push for more federal scrutiny for projects like Glencore’s.

Australia has one active CCS project, Chevron’s Gorgon, on an island off the northwest coast. Two more are under construction and 14 are in development, according to the Global CCS Institute. Most target offshore storage.

Glencore’s project is managed by a subsidiary called Carbon Transport and Storage Corporation (CTSCo). Japan’s Marubeni Corp and J-POWER each committed A$10 million to it in 2022.

(By Peter Hobson; Editing by Clarence Fernandez and Shri Navaratnam)


Tuesday, May 21, 2024

ExxonMobil (XOM), 

Pertamina Progress on CCS Hub 

in Indonesia

Exxon Mobil Corporation XOM, in partnership with Indonesian state-owned oil company Pertamina, has embarked on an appraisal drilling project for a carbon capture and storage (CCS) hub in Indonesia.

The initiative, announced during the Indonesia Petroleum Association (IPA) annual conference, marks a pivotal step in utilizing the nation's depleted oil and gas reservoirs, and saline aquifers for carbon dioxide storage.

The project, known as the Asri Basin Project CCS hub, is located in Pertamina’s Offshore South East Sumatra block. Per a joint study by Pertamina and ExxonMobil, the basin could store up to three gigatons of carbon dioxide, potentially requiring an investment of $2 billion.

The venture aligns with Indonesia's strategy to combat climate change by repurposing its geological formations to sequester carbon effectively. In a legislative move supportive of this environmental strategy, Indonesia has recently permitted CCS operators to reserve 30% of their storage capacity for imported carbon, further bolstering the country's commitment to global carbon reduction efforts.

In addition to the technical advancements in the Asri Basin, Pertamina and ExxonMobil have entered a framework agreement with South Korea’s Korea National Oil Corporation (“KNOC”). This partnership allows KNOC to participate in the project and contribute to the injection of emissions into the facility.

Simultaneously, ExxonMobil continues to bolster its oil exploration efforts globally. The company recently announced an oil discovery off the coast of Angola in Block 15. The discovery at the Likembe-01 well, which was drilled to a depth of 3,013 meters, encountered Miocene-age reservoirs. The well is part of the Kizomba B development area and is operated by ExxonMobil alongside partners Azule Energy, Equinor and Sonangol.

The developments underscore ExxonMobil's dual commitment to enhancing energy production and mitigating environmental impacts through innovative carbon storage solutions. The ongoing projects in Indonesia and Angola represent strategic moves by XOM to lead in sustainable energy advancements, while continuing to meet global energy demands.