Santos is the latest company to join the Cooperative Research Centre for Greenhouse Gas Technologies (CO2CRC), Australia’s leading CO2 storage technology centre, which aims to research and demonstrate carbon capture and storage (CCS).
CO2CRC stated that Santos has deep heritage in the Cooper Basin in South Australia where it is exploring the opportunity for large scale commercial carbon capture and storage, with potential capacity of 20 million tonnes of carbon dioxide per years for 50 years.
Santos managing director and chief executive officer Kevin Gallagher said CCS has the potential to create a new wealth-generating industry for Australia, breathes new life into existing industries policy settings and brings regulatory framework to the development.
“Australia has the potential to be a leader in CCS, built on the availability of vast, high quality storage reservoirs; the technology, expertise and infrastructure of the oil and gas industry; and a strong reputation for the integrity of our environmental regulation, carbon accounting and financial services,” Gallagher said.
Santos’ operations in the Cooper Basin are perfectly positioned for CCS deployment.
“We have a strong infrastructure footprint that we can leverage, including our Moomba gas plant, and depleted reservoirs in the basin that have the ability to safely store CO2 in the same rocks which have safely kept hydrocarbons in place for the last 85 million years,” Gallagher said.
CO2CRC CEO David Byers said it was delighted to have a such a strong industry leader to join and contribute to its research and development project.
“We are particularly keen to work with Santos to progress suitable policy settings and a regulatory framework to accelerate the development and deployment of CCS technology in Australia,” Byers said.
Santos reported that the Cooper Basin has the potential injection capacity of 20 million tonnes of CO2 per year for 50 years. The company has taken FEED on a 1.7 million tonnes of CO2 per year CCS project and our goal is to be ready to take a final investment decision by the end of 2020.
“By collaborating with CO2CRC, we are furthering our commitment to carbon capture and storage as a vital emissions reduction technology which will need to account for more than two billion tonnes of CO2 sequestration every year by 2040, according to the International Energy Agency,” Gallagher said.