International Status of CCS John Gale

General Manager IEA Greenhouse Gas R&D Programme

CLIMIT Summit 2013 25th -26th February 2013

IEA Greenhouse Gas R&D Programme

• A collaborative international research programme founded in 1991 • Aim: To provide information on the role that technology can play in reducing

greenhouse gas emissions from use of fossil fuels.

• Focus is on Carbon Dioxide Capture and Storage (CCS)

• Producing information that is: Objective, trustworthy, independent Policy relevant but NOT policy prescriptive Reviewed by external Expert Reviewers

• Activities: Studies and reports (>250); International Research Networks: Risk, Monitoring, Modelling, Wells, Oxy, Capture, Social Research, Solid Looping; GHGT conferences; IJGGC; facilitating R&D and demonstrations eg Weyburn; Summer School; peer reviews.

CCS Global Developments

• Significant R&D and Deployment Activity • USA, Canada, China, Korea, Japan • Europe (UK, Spain, Netherlands) & Norway, Australia

• Significant R&D but Deployment Stalled • Germany

• Significant R&D Underway • Brazil, Mexico

• R&D Programmes in Developing Countries • India, South Africa, Taiwan, Indonesia

• Significant Interest Developing • Gulf States

Energy Use Issues In GCC • Increasing demand for electricity and water • Investment in new electrical generation and

desalination plants • Existing plants couple electricity generation and

desalination no retrofit options for CCS.

• Increased GHG emissions • Per captia GHG emissions largest in world

• Oil and gas conservation for economic or logistical reasons

• Air conditioning can lead to extreme peak loads • No interconnector in region

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Partnership Geologic Province Storage Type

Big Sky Sweetgrass Arch- Duperow Formation Saline

MGSC Illinois Basin- Mt. Simon Sandstone Saline

MRCSP Michigan Basin- St Peter SS or Niagaran Reef Saline/Oil

PCOR

Powder River Basin- Muddy Formation Oil Bearing

Alberta Basin- Sulphur Point Formation Saline

SECARB

Interior Salt Basin- Tuscaloosa Formation Oil/Saline

Interior Salt Basin- Paluxy Formation Saline

SWP Wasatch Plateau- Navajo Sandstone Saline

WESTCARB Regional Characterization TBD

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Injection Ongoing

2012 Injection Scheduled

Injection Scheduled 2013-2015

Injection Targets - minimum planned volumes Two ongoing RCSP Injection Projects

Injection ongoing Nov 2011

Injection Started April 2009

Core Sampling Taken

Note: Some locations presented on map may differ from final injection location

Injection to begin March 2012

RCSP Phase III: Development Phase Large-Scale Geologic Tests

Characterization Well completed

Monitoring Well Installed

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Midwest Geological Sequestration Consortium Decatur Site Large-Scale Project

Dehydration/ Compression

Pipeline Route

Injection Well

Verification Well

Geophone Well

Target Formation • Mt. Simon Sandstone

CO2 Source • ADM’s Ethanol Production Facility

CO2 Injection Amount • 1 million metric tons over 3 years (Nov 2011)

Current Status • Completed 4 square mile 3D seismic survey • Completed drilling injection well, groundwater monitoring

wells, geophone well, and verification well. • CO2 Pipeline installed and connected to injection wellhead. • Installed all subsurface monitoring equipment. • Completed commission of compression/dehydration facility • Completed baseline fluid samples from verification well. • Completed satellite interferometry (InSAR) baseline

imaging data collection. • UIC Permit finalized in March, 2011. Approval from IEPA to

begin injection granted November 4, 2011. • As of end November 2012 cumulative CO2 injection volume

is 286,000 metric tons

800 meters

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Major CCS Demonstration Projects 1st Generation Demonstrations

CCPI ICCS Area 1 FutureGen 2.0

Major CCUS Demonstration Projects Project Locations & Cost Share

Southern Company Kemper County IGCC Project

IGCC-Transport Gasifier w/Carbon Capture

~$2.67B Total; $270M DOE EOR – 3 M TPY 2014 start

NRG W.A. Parish Generating Station Post Combustion CO2 Capture

$339M Total; $167M DOE EOR – 1.4M TPY 2014 start

Summit TX Clean Energy Commercial Demo of Advanced

IGCC w/ Full Carbon Capture ~$1.7B Total; $450M DOE EOR – 3M TPY 2014 start

HECA Commercial Demo of Advanced

IGCC w/ Full Carbon Capture ~$4B Totall; $408M DOE EOR – 3M TPY 2018 start

Leucadia Energy CO2 Capture from Methanol Plant

EOR in Eastern TX Oilfields $436M - Total, $261M – DOE EOR – 4.5 M TPY 2015 start

Air Products and Chemicals, Inc. CO2 Capture from Steam Methane Reformers

EOR in Eastern TX Oilfields $431M – Total, $284M – DOE

EOR – 1M TPY 2013 start

FutureGen 2.0 Large-Scale Testing of Oxy-Combustion w/ CO2

Capture & Sequestration in Saline Formation ~$1.3B Total; ~$1.0B DOE

SALINE – 1.3M TPY 2016 start

Archer Daniels Midland CO2 Capture from Ethanol Plant CO2 Stored in Saline Reservoir

$208M Total; $141M DOE SALINE – ~1 M TPY 2013 start

Boundary Dam 300MWe CCS capture retrofit

Zama CO2-EOR Pilot

Aquistore Project

Weyburn–Midale CO2 Monitoring and Injection Project

Husky CO2 Capture and Liquefaction Project

Fort Nelson Pilot

CCP Oxy-Fuel Combustion Pilot on to OTSG Boilers

CCS in Europe • European CCS Directive launched in 2009.

• Very few Countries have ratified by deadline of June 2011

• Energy Infrastructure Priorities (EIP) in November 2010 • Included CO2 Transport Network

• European Trading Scheme launched • Price of CER’s in European Trading Scheme hit all time low of €2.5/tonne CO2

recently.

• European Energy Programme for Recovery • New Entrant Reserve 300 stimulus package for Low C technology

• Funded by ETS Credits • No CCS Projects in First Call. Second call planned for

• Next Steps • Plans to boost ETS price by European Commission • New Consultation Paper released for comment on ways to stimulate take up of

CCS in Member States

Sleipner

Snovit

Compostella

K12-B Pilot

Ketzin Pilot

Test Centre Mongstad

UK Competition

Mustang Pilot

National Research Projects: Norway, Sweden, Finland, France, Germany, the Netherlands & UK.

Capture Pilot Plants: Germany (2) Netherlands (2) France (1) UK (3) Italy (1) Norway (2) ROAD Project

Developments in the UK • UK CCS Roadmap published in April 2012

• CCS Commercialisation Programme - £1bn • £125M, 4 year R&D and innovation programme

o UK CCS Research Centre o Electricity Market Reform

Development of a market for Low C electricity FIT’s for different low C technologies

o Industry engagement to develop CCS supply chain, storage and infrastructure developments

o International Engagement

• UK CCS Competition • Eight bids received at close of competition, July 2012 • 4 bids taken forward to detailed negotiation

o Revised bids received in January 2013

• Revised bids now being evaluated o FEED studies o FID by end of 2014

Rotterdam Capture and Storage Demonstration Project (ROAD) • A new 1,100 MWe coal-fired power (Maasvlakte Power Plant 3) • The capture unit has a capacity of 250 MWe will capture 1.1 m/t CO2 per yr • The capture installation was planned to be operational in 2015. • The CO2 will be transported through a pipeline: 5 km over land and 20 km on the

seabed to the P18-A platform in the North Sea. • The pipeline has a transport capacity of around 5 million tonnes per year. • The CO2 in depleted gas reservoirs under the North Sea.

• These gas reservoirs are located in block P18 of the Dutch continental shelf, approximately 20 kilometres off the coast.

• The depleted gas reservoirs are at a depth of around 3,500 meters

• Have an estimated storage capacity of ~35Mt CO2. • Status

• Funded under EEPR • First project approved by EU • Not funded under NER 300 Round 1 • €100 million funding shortfall.

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Oxyfuel Project at Callide A Power Station (Showcase for Australian-Japanese Collaboration)

Callide A Project – would be the world’s 1st oxyfuel retrofitted power station. • 1st oxyfuel and world’s largest pilot plant

that will actually produce electricity. • 2 ASU (330 tpd each) • 1 CPU - Capturing ~22,000 t/y CO2

• Installation of 2 new Wall Fired Burners • A unique position to provide information

related to the burner – burner interaction

Courtesy of CS Energy, IHI

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Developments in Asia • Korea

• Demonstration of 100MWe Class Oxy-PC Power Plant by 2015

o ProposedYoungdong TPP

• China • GreenGen facility (265MWe IGCC now operational)

o CO2 capture slip stream to be added in 2013

• Oxy fuel Road map o 35MWt oxy‐fuel combustion boiler with

100,000 t/a CO2 storage to be built in 2014 Yingcheng, Hubei Province

o 200MWe demonstration plant to be built in 2020

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Post-Combustion Capture Development in China

• Cooperation between CSIRO and China Huaneng Group – CHNG

• CO2 captured from flue gas slip stream of 800MWe Gaobeidian Coal Fired CHP (Beijing)

• Operation started July 2008

• Project led by Huaneng and TPRI • CO2 captured from the flue gas slip

stream of 660MWe USC Shidongkou (No. 2) Power Plant (Shanghai)

• Operation started in December 2010 • Total Investment: US$ 14.6 Million • Total CO2 capture cost of < 200RMB/t

(US$ 30-35/t) incl. processing to food grade.

~3000 t/y CO2 ~120,000 t/y CO2

Japan • CCS is an important part of Japan’s strategic plan • Target to commercialize CCS by 2020 • Japan has been a technology leader in IGCC for some time • Japanese companies are world leaders in post combustion

capture (MHI, Toshiba, etc.,) • Japanese companies are actively involved in the Callide

project in Australia • Japan has been a leader in CCS the region for some time but

China and Korea are catching up • Off shore Injection project now in planning for 2013 start • Japan is one of the world leaders on developing CCS for the

iron and steel industry (COURSE 50 project)

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Concluding Remarks • CCS Development is considered to be stalling in Europe, but

moving ahead in North America and the Far East • There is growing interest in IGCC and oxy fuel capture

technologies around the world • There is increased activity in the Far East, notably China in

developing CCS technologies • Whilst some Far Eastern countries are latecomer to CCS. The

region is now moving into a position to lead the world in the demonstration of this technology.

• CCS application to industry is growing and we expect at least one demonstration project in the steel industry in Far East by 2020.