Safe Carbon Sequestration

Transcription

1 Safe Carbon Sequestration Dwight Peters President 28 Oct

2 Why Even Consider? Economics Appearances Regulations 2

3 The CO 2 Storage Workflow Pre-Operation Phase 2-5 years Operation Phase years Post-Operation Phase 20+ years Certification at start Construction Preparation Monitoring Design CO 2 Injection Characterization Performance Management & Risk Control Decommissioning Transfer of Liability Site Selection Surveillance

4 Commercial Sequestration Projects (non-eor) 4

5 DOE Carbon Capture & Storage Program Deliver to industry CCS technologies and best practices to provide: 90% capture at source >99% storage permanence Minimize increase in cost of electricity Programs: Regional Partnerships (7) - $1B Site Characterizations (10) ARRA $99M Industrial demonstrations (3) ARRA $800M FutureGen 2.0 ARRA $1B CCPI (5) ARRA $900M Training, sensors, simulators, etc ARRA $140M

6 North American Storage Basins

7 Regional Partnership Demonstration Results Big Sky Carbon Sequestration Partnership Kevin Dome Project Injection 2015 Plains CO 2 Reduction Partnership Fort Nelson Project Injection TBD Midwest Regional Carbon Sequestration Partnership Michigan Basin Project > 244,000 metric tons Plains CO 2 Reduction Partnership Bell Creek Field Project > 1,123,000 metric tons Southwest Regional Carbon Sequestration Partnership Farnsworth Unit Ochiltree Project > 142,000 metric tons Courtesy of NETL Southeast Regional Carbon Sequestration Partnership Cranfield Project > 5,073,000 metric tons Injection volumes updated as of September 2014 Midwest Geological Sequestration Consortium Illinois Basin Decatur Project > 943,000 metric tons Southeast Regional Carbon Sequestration Partnership Citronelle Project > 112,000 metric tons 7

8 The Illinois Basin Decatur Project 8 Year Project - Archer Daniels Midland -CO2 Supply & Location - Illinois Geologic Survey -DOE Award Recipient - Schlumberger Carbon Services -Project Management & Services CO2 Source: ADM Ethanol Plant 1 Million Tons over 3 yrs CO2 Sink: Mt. Simon Sandstone at 6500 in Decatur Illinois

9 Illinois Basin Decatur Project Field activities Seismic Geologic modeling Reservoir simulation Risk management Design and construction of wells Real-time data monitoring Source: Decatur, Illinois ADM corn processing plant >99% pure stream of low-pressure CO 2 1 Million tonnes of CO 2 over 3 years Sink: Mt Simon Sandstone, Saline formation, ft Total Capacity: Gt CO 2

10 800 m Decatur Test Site D D E C C B B A Dehydration and compression facility B Pipeline route C Injection well site D Verification well site E Geophone well A A Quickbird Satellite Image: 9/16/2008

11 Verification Well Data 11

12 IL-ICCS IBDP IBDP IL-ICCS Industrial Carbon Capture and Storage (ICCS) Wells Currently in UIC Class VI Permit Appeal

13 Boundary Dam SaskPower coal fire power unit $1.2 billion project budget $27 million storage Sales for EOR Deep saline CO 2 storage CO 2 Injection by Q

14 CCS Nova Scotia Coal fire power province Deep saline storage potential on-shore Nova Scotia Geological modeling 2D seismic survey shot in 2013 Characterization well drilling now Public education, outreach, town hall meetings, and community open houses. 14

15 Ongoing Demonstration Projects Farnsworth (EOR) Time-lapse seismic program Permanent monitoring Track the movement of CO2 Bell Creek (Denbury EOR) Field-wide time-lapse logging for oil, water, CO2 Kevin Dome (Montana) Saline sequestration Outreach and permit Monitor results 15

16 Social Characterization

17 Lessons Learned Through Demonstrations Geologic uncertainty is scary to most sources CO2 tends to move farther and faster than simple models can predict Can monitor CO2 better than anticipated No chance of 100% accounting Old wells need special attention Biggest risk in old oil fields Need to consider the entire system or suffer the consequences Study the public mood before speaking to them 17

18 Commercial Status CO 2 -EOR will be an early offtake (?? Mt/yr) Sales price vs capture cost will need to be sorted Saline storage is still the long-term solution due to sheer volumes $10 (easy onshore) per tonne price will be supportable Pure disposal in abandoned O&G fields will have a hard time passing permitting 18

19 Questions? 19