Update: Global status of CCS

Japan Clean Coal DayAlex Zapantis, General Manager-Asia Pacific, Global CCS InstituteSeptember 2016

Large-scale CCS projects by region or country

North America dominates projects in operation and under construction, China has the most projects in planning

North America 1 1 5 10 17

Early planning Advanced planning Construction  Operation Total 

China  4 4 - - 8

Europe 3 1 - 2 6

Gulf Cooperation Council - - 1 1 2

Rest of World* 4 - 1 2 7

Total 12 6 7 15 40

* Includes projects in Algeria, Australia, Brazil and Korea. 

By the end of 2017, CCS Projects will Store 40Mt CO2pa

CCS is making a real contribution to emissions abatement now.

North America 1 1 5 10 17

Early planning Advanced planning Construction  Operation Total 

China  4 4 - - 8

Europe 3 1 - 2 6

Gulf Cooperation Council - - 1 1 2

Rest of World* 4 - 1 2 7

Total 12 6 7 15 40

* Includes projects in Algeria, Australia, Brazil and Korea. 

These 22 projects have the capacity to store 40Mt of CO2 each year. This is approximately equivalent to the emissions abatement from:• 22GW of solar PV (if displacing coal) • total installed solar PV capacity of France, the United Kingdom and

Spain in 2015.

Assumptions: PV 21% capacity factor, coal emissions intensity 1000kg/MWh. Installed PV Capacity from Solar Power Europe Global Solar Market Outlook 2016-2020

15 large-scale projects are operational

Source: Large Scale CCS Projects database, Global CCS Institute (2015)

*

* Injection currently suspended 

Large-scale projects expected to become operational by 2017

Source: Global Status of CCS: 2015, Global CCS Institute (2015)

2015

EOR

Dedicated Geological

Power Generation

Large Scale CCS Projects in Operation

15 Large Scale CCS Projects in Operation: ~28Mtpa CO2

Operating 20172016

Hydrogen production

Natural gas processing

Chemicalproduction

Iron and steel production

Synthetic natural gas

Fertiliser production

Oil refining

2018 2019 2020

= 1Mtpa of CO2 (areas of circle are proportional to capacity)

Coal-to-liquids

* Injection currently suspended

Boundary Dam 

Coffeyville

Century Plant

Enid Fertilizer

Val Verde

Air Products

Lost Cabin

Lula

SnøhvitSleipner

Shute Creek 

In Salah* 

Uthmaniyah

Quest 

Spectra 

Great Plains 

White Rose

** Storage options under evaluation

2015

EOR

Dedicated Geological

Power Generation

7 more projects expected to commence operation in 2016/17: ~40Mtpa CO2

Operating 20172016

Hydrogen production

Natural gas processing

Chemicalproduction

Iron and steel production

Synthetic natural gas

Fertiliser production

Oil refining

2018 2019 2020

= 1Mtpa of CO2 (areas of circle are proportional to capacity)

Coal-to-liquids

* Injection currently suspended

Boundary Dam 

Medicine Bow 

Kemper

Petra Nova 

Illinois Industrial 

Abu Dhabi

ACTL Agrium Coffeyville

Century Plant

Enid Fertilizer

Val Verde

Air Products

Lost Cabin

Lula

SnøhvitSleipner

Shute Creek 

In Salah* 

Uthmaniyah

Quest 

Gorgon 

ACTL Sturgeon

Great Plains 

** Storage options under evaluation

Large Scale CCS Projects in Operation + projects under construction

2015

EOR

Dedicated Geological

Power Generation

Looking forwards, more power projects are in the pipeline than industrial projects.

Operating 20172016

Hydrogen production

Natural gas processing

Chemicalproduction

Iron and steel production

Synthetic natural gas

Fertiliser production

Oil refining

2018 2019 2020

= 1Mtpa of CO2 (areas of circle are proportional to capacity)

Coal-to-liquids

* Injection currently suspended

Boundary Dam 

Medicine Bow 

Kemper

Petra Nova  ROADSargas Texas 

Sinopec Shengli 

TCEP

Peterhead HECA**

Illinois Industrial Yanchang

Sinopec Qilu

Abu Dhabi

ACTL Agrium Coffeyville

Century Plant

Enid Fertilizer

Val Verde

Air Products

Lost Cabin

Lula

SnøhvitSleipner

Shute Creek 

In Salah* 

Uthmaniyah

Quest 

ACTL Sturgeon

Petro China Jilin

Great Plains 

FutureGen 2.0   

Don Valley  

White Rose

** Storage options under evaluation

Large Scale CCS Projects in Operation + projects under construction and in planning

Gorgon

Regional analysis – Asia Pacific - Japan

Comprehensive program to accelerate CCS led by METI and MOE in partnership with the private sector

• Research and Development of CO2 Capture Technologies

• Operation of significant pilot projects – Tomakomai

• Construction of commercial scale power project with CO2 capture – Osaki CoolGen

• Investigation of CO2 storage sites and feasibility of shuttle ship CO2 transport

• Evaluation of environmental impacts of CCS

• Economic analysis of CCS

• Analysis of legal frameworks – MOE/GCCSI Long Term Liability project

Regional analysis – Asia Pacific - China

Demand for CO2 for Enhanced Oil Recovery supports a business case for investment in CCS with active support from NDRC & MOST

• Eight large scale integrated CCS projects at various study stages.

Project State / District CO2 capture capacity (Mtpa) 

Industry

PetroChina Jilin Oil Field EOR  Jilin  0.5 Natural gas processing

Sinopec Qilu Petrochemical CCS   Shandong  0.5 Chemical Production

Sinopec Shengli Power Plant CCS  Shandong  1.0 Power generation

Yanchang Integrated Carbon Capture and Storage Demonstration

Shaanxi  0.44 Chemical Production

Huaneng GreenGen IGCC (Phase 3)  Tianjin 2.0 Power generation

China Resources Power (Haifeng)  Guangdong  1.0 Power generation

Shanxi International Energy Group CCUS 

Shanxi  2.0 Power generation

Shenhua Ningxia CTL Ningxia Hui  2.0 Coal‐to‐liquids (CTL)

Regional analysis – Asia Pacific

Australian government continues to support CCS Research and Development –additional $25M in grants announced in August

The world’s largest dedicated geological storage project – the Gorgon Carbon Dioxide Injection Project in Australia (3.4 – 4 Mtpa) – expected to commence injection in 2016/17

Australian projects investigating storage reservoirs: CarbonNet, South West Hub and CTSCo

KEPCO (Korea) is testing advanced capture technologies and Korea is investigating its storage potential.

Focus on Storage Reservoir Characterisation

— Coordinating Committee for Geoscience Programmes in East and Southeast Asia (CCOP): each nation completes a GIS-based sedimentary basin mapping exercise and CO2 geological storage prospectivety assessment.

Regional analysis – North America

40 years of Experience in CO2 Enhanced Oil Recovery and strong Government support for Research, Development and Demonstration

Has well over half the large-scale projects in operation or under construction.

Home to all three of the world’s large-scale CCS power projects in operation or under construction; Boundary Dam, Kemper County, Petra Nova

CO2-EOR providing significant business case support.

Policy actions and incentives to drive CCS deployment must complement regulatory action on emissions standards.

US DOE supports an extensive R&D program into CCS technologies.

Brazil and Mexico advancing CCS/CCUS programs.

Regional analysis – Europe

CCS ambition at the start of the decade has not been realized due to economic crises, however CCS remains a critical element of emissions reduction strategy.

EC continues to recognise the importance of CCS – European Parliament’s Environment Committee is currently considering a proposal to add another 150 million allowances to the 400 million allowances envisaged for the Innovation Fund with CCUS being among the supported low emission technologies.

Cancellation of the UK CCS competition is a significant setback. However UK government is considering how to advance CCS in the UK.

The UK Teesside Collective Project can be a key demonstrator of industrial CCS in Europe.

ROAD Project awaits FID

European projects in planning are important contributors to a global portfolio, and all plan to use offshore geological storage.

Regional analysis – Gulf Cooperation Council (GCC)

Significant opportunity for the development of CCS projects providing CO2 for Enhanced Oil Recovery

Saudi Arabia is home to the region’s first operational large-scale CCS project –Uthmaniyah Natural Gas Processing – EOR; 0.8Mtpa

The UAE hosts the world’s first CCS/CCUS project in the iron and steel sector. – Abu Dhabi CCS Project – steel production - EOR

The focus of CCS/CCUS activity in the region is two-fold:

— validate large-scale projects under local conditions

— support for R&D activities

Confidence from these programs is a key driver for the development of additional CCS projects.

CoP21 – The need for CCS will become more visible

CoP21 was a significant step forwards:

195 countries agreed a higher level of ambition; limiting global warming to1.5 - 2 degrees Celcius

Established bottom-up architecture for emission reduction targets allowing nations to determine their national contributions

Established a process of regular (5 yearly) reviews of national emission reduction targets and an expectation that targets will become more stringent – the need for CCS will become more visible over time

Gt C

O2

emis

sion

s

6DS

2DS

CCS

Mitigation costs more than double in scenarios with limited availability of CCS

*Percentage increase in total discounted mitigation costs (2015‐2100) relative to default technology assumptions – median estimate

+ 7% + 6%

+ 64%

+ 138%

Baseline cost with all mitigation options utilized

Source: IPCC Fifth Assessment Synthesis Report, Summary for Policymakers, November 2014.

Cost increase under limited technology availability scenarios

50

100

150

Percen

tage*

Nuclear phase out Limited solar/wind

Limited bioenergy

No CCS 

A significant task within one generation

40 large‐scale CCS projects ‐combined capture capacity of approximately 71 Mtpa*:

• 22 projects in operation or construction (40 Mtpa)

• 6 projects in advanced planning (6 Mtpa)

• 12 projects in earlier stages of planning (25 Mtpa)

OECDNon‐OECD

~4,000 Mtpa of CO2 captured by CCS by 2040 (IEA 450 

Scenario)** 

40 Mtpa

Global Status of CCS

*Mtpa = million tonnes per annum

**Source: IEA, Energy Technology Perspectives (2016).

Renewables – a fantastic success story! What can we learn?

Data source: IEA, World Energy Outlook 2015

Rapid increase in renewable electricity generation

Electricity Generation from Renewable Energy

Renewables – a fantastic success story – driven by policy

Data source:IEA, World Energy Outlook 2014

Annual Subsidy provided to Renewable Energy (US$ Billion)

Significant and sustained policy support has incentivised massive private sector investment, resulting in rapid deployment and cost reductions arising from competition between suppliers and economies of scale.

Renewables – a fantastic success story! Policy parity is required for CCS to play its part in emission reductions.

Data source:IEA, World Energy Outlook 2014, Global CCS Institute

• In the period 2007 to 2016, value of global policy support for renewable energy deployment was around US$800B.

• Total value of policy support for deployment of CCS over all time is around $20B

Annual Subsidy provided to Renewable Energy (US$ Billion

Thank you for your attention