Geological Storage of CO2: An Overview

Professor John KaldiChief ScientistCooperative Research Centre for Greenhouse Gas Technologies (CO2CRC) &Chair of GeosequestrationUniversity of Adelaide

IEAGHG GHGT-10 Student MeetingRAI Amsterdam19 September 2010

© CO2CRC All rights reserved

Projected World Energy Demand & Supplies

19001900 19201920 19401940 19601960 19801980 2000 2020 2040 2060 20802080 2100

2020

4040

6060

8080

100100100 BILLION

BARRELS

BillionBarrels

of OilEquivalent

Per Year(GBOE) Gas

NaturalGas

Crude OilCrude Oil

CoalCoal

Decreasing

Fossil F

uelsN

ew Technologies

World Energy Demand

AAPG 8/97

Greenhouse GasGeneration

Remains Significant

2000 2020 2040 2060

Hydroelectric

Solar, Wind,Geothermal,

Hydrogen

Nuclear Electric

NGL

AAPG, 2006

The “other” cost of energy

Public Perception• Climate change / global warming is real

- is happening now (geological time too abstract)

- caused by greenhouse gas (GHG) emissions

- GHG from anthropogenic activities

- fossil fuel industry is main contributor

- “something” can be / must be done

• Lawmakers responsive to public sentiments

• Industry positioning for carbon constrained world

Cutting energy-related CO2 emissions

Source: Energy Technology Perspectives, OECD/IEA, Paris (2008)

A Portfolio Approach

What is Carbon Capture and Storage (CCS)?

Geological Storage of Carbon Dioxide

Lots of uncertainty!

Reducing the uncertainty with geological storage of CO2requires screening and site specific studies including

reservoir characterisation, injection-migration modelling, monitoring, economics and risk analysis…

technologies commonly employed by the petroleum industry!

Geological Storage of CO2

Sandstone reservoir rock

RESERVOIR ROCK –porous, e.g. sandstone

Claystone seal rock

SEAL ROCK – non-porous, e.g. claystone

What do we need?

Geological Storage of CO2

Sandstone reservoir rock

Claystone seal rock

Porosity is the storage space in the rock for fluids and is shown by the blue spaces in this photograph of a thin slice through a reservoir sandstone.

Permeability is a measure of the ability of the rock to allow fluid flow. Permeability is strongly affected by the geometry of the porosity – in particular the size of the spaces connecting the pores in the rock (red circles).Permeability is main control on injectivity

Pore Space in Reservoir for CO2 Storage

Throat

Pore

Throat

Pore

Grain

THROAT

PORE

Movement of CO2Through Reservoir Pore System

CO2 Injected CO2 enters reservoir pore system

In order to migrate CO2 needs sufficient pressure to exceed capillary forces at each pore throat

A thin film of water remains around each grain: “Irreducible water saturation” (Swirr)

CO2 storage effectiveness increases with depth

Increasingly secure trapping of CO2 occurs over time

Structural traps for storing CO2

• Most familiar; • best understood;• least uncertainty;

Seal

Seal

Reservoir

Reservoir

Swirr

Swirr

Sgr

Sor

1000’s of metres

CO2 storage in depleted reservoirs/structural traps

S. Holl. 2009

Increasingly secure trapping of CO2 occurs over time

Mig

ratio

n A

ssoc

iate

d Tr

appi

ng (

MA

T)

Migration Associated Trapping (MAT)

Sample only

MAT: key to CO2storage in deep saline reservoirs

• Least familiar• modelled, but poorly understood• highest uncertainty• focus of many storage demo projects

Migration Associated Trapping (MAT)

CO2 Trapped in solution

CO2 Trapped as a mineral CO2 Trapped in rock pores as Residual Saturation (SgrCO2)

1yr

5 yr

30 yr

From: J. Ennis-King

•Homogeneous Reservoir•Flat-lying Seal•Cross-sectional view

(Modelling the dissolution of injected CO2)

CO2 storage effectiveness increases with time

40 yr

130 yr

330 yr

From: J. Ennis-King

(Modelling the dissolution of injected CO2)

CO2 storage effectiveness increases with time

930 yr

1330 yr

2330 yrFrom: J. Ennis-King

(Modelling the dissolution of injected CO2)

CO2 storage effectiveness increases with time

Mineral trapping of CO2

1 m

1 cm

1 mm

Calcite cement (red)

CaCO3 (Calcite) precipitation occurs at all scales 200 µm

Residual CO2

RESIDUAL TRAPPING of CO2 DURING PLUME MIGRATION

CO2

Grain

H2O

“Snap-off”

•Injection of fluids (eg CO2) causes reservoir pressure build up

•In depleted oil or gas fields, pressure build-up may be neutral or beneficial

•In both depleted fields and saline reservoirs, must maintain pressure below fracture pressure

•In low permeability reservoirs this may limit economic storage capacity due to decreased injection rate, requiring more wells (higher costs)

•Drilling pressure relief (water production) wells possible solution

Other Considerations: Injectivity / Pressure

InjectivityIv/t = A * Pi * k

Iv/t = Injection rateA = Area (of wellbore in contact with formation)Pi = injection pressure (below frac)k = permeability

(Iv/t is proportional to number of wells)

Pre

ssur

e

Time

Depleted Field (pressure v. Time))

Initial Pres

Pfrac

o/g production CO2 injection

Water production (pressure relief)

Pre

ssur

e

Time

Saline Formation (pressure v. time)

Initial Pres

Pfrac

CO2 injection

Water production (pressure relief)

CO2 injection

Critical Consideration: EconomicsS

tora

ge c

apac

ity M

Mt

Carbon price

Allinson & Paterson, 2009

Storage projects around the world: active projects

Sleipner (STATOIL)• Offshore Gas Production Facility• 250 kilometres west of Norway in

the North Sea• Injection into Utsira Formation, a

sandstone reservoir rock.• 1 million tons CO2 per year since

1996

Utsira Fm.

Gas Production Wells

Weyburn CO2 EOR Project• CO2 Source: Dakota Coal Gasification Company

• 95 mmscfd (5000 tonnes/day) injection rate

• Injection since 2001

• Currently 26% recycle.

Main CO2 pipeline enters Weyburn

Regina

Estevan

Bismarck

North DakotaMontana

Manitoba

Saskatchewan

Weyburn

Beulah

Krechba

Teg

Reg

Garet elBefinat Hassi Moumene

In SalahGour Mahmoud

Proposed ISG Pipeline

REB

Hassi BirRekaiz

Hassi Messaoud

Hassi R’Mel

Tiguentourine (BP)

02151093

Algiers

Tangiers

Lisbon

Cordoba

Cartagena

M O R O C C O

A L G E R I A

S P A I N

L I B Y A

MAURITANIA M A L I

SkikdaTunis

N I G E R

In Salah Gas Project

Krechba

Tegentour

Reg

Garet elBefinat

HassiMoumene

HassiR’Mel

In SalahGourMahmoud

48” 455km

38” 60km

24” 13km

24” 62km

Krechba

Tegentour

Reg

Garet elBefinat

HassiMoumene

HassiR’Mel

In SalahGourMahmoud

48” 455km

38” 60km

24” 13km

24” 62km

5-10% CO2

<0.3% CO2

In Salah Gas Project

33

In Salah CO2 Storage Operation

Krechba 501

Pilot hole plus 1250 metres of horizontal section

Ketzin – the first “Onshore” storage project in Europe –CO2SINK

0 25 50 km

BerlinKetzin

Potsdam

Courtesy: F. Schilling

CO2CRC Otway Project

CO2CRC Otway Project, Victoria

Description – Australia’s only operational storage project, involving demonstration of geological storage of CO2 and monitoring and verification of the behaviour of the stored CO2.Storage – Depleted gas field at 2000m depth

• Storage Commence – April 2, 2008• Storage Rate – 65,000 tonnes / 18 months;

Cost – $A 40M plus Partners – CO2CRC, Industry, Government and Researchers (Universities, CSIRO, GA, LBNL, ARC, GNS, KIGAM),Participating countries Australia, New Zealand, USA, Korea, Canada

CSLF Recognised Project

Operating Company

CO2CRC Otway Project

CO2CRC Otway Project

39

Aerial View Cross section

Knowledge of the subsurface iscrucial part of the Project

…as are Monitoring and verification

The most common objections to CCS are...

• Cost

• Not enough storage capacity

• Public acceptance

• No clarity on regulations / liability

...and it will keep coal going

42

Economic Comparison Between CCS and Alternatives

Solar PV

Solar Thermal

Wind (offshore)

Pulverised coal (no CCS)

Advanced coal withCCS

CCS Costs vs Carbon Price Projection

McKinsey & Company

What the IPCC say about storage capacity:

‘Available evidence suggests that worldwide, it is likely that there is a technical potential of at least about 2000GtCO2 ( 545GtC) of storage capacity in geological formations ‘IPCC Special Volume page 12

This is equivalent to approx 200 years of storage capacity at current rates of CO2 emissions from the world’s power stations

Public Acceptance Issues

• Is reducing CO2 emissions a priority compared to other social / environmental issues?

• CCS just a clever ploy of fossil fuels industry

• Influence of activist minority

• Not under my backyard (NUMBY)

• Getting the regulations right / Clarity on liability

• Demonstrating that it works

Regulatory Issues: Permissions for Ketzin

Courtesy: F. Schilling

Age distribution of fossil fuel-basedelectric power plants – World

Design Specs

A Few Final Thoughts…

Challenges & Opportunities in a Carbon Constrained World

• An Environmental Necessity• A Socio-political Reality• A Business Challenge or Opportunity?:

Carbon Constrained World

• Carbon Price / Emissions Trading:

Not “if”….but “when”….& “how much”!

• Many questions still to consider:

What is the business model for taking CCS forward?

© C

O2C

RC

Integrated operation?

© C

O2C

RC

Or different providers along the value chain?

© C

O2C

RC

Carbon Constrained World: a Resource Industry-style Business Model?

• Exploration (plays, prospects)• Permitting (acreage release)• Reserves-style certification• Unitization / equity determination• Infrastructure development• Regulatory regimes• Legal / liability issues

Good show today old chap.Heard about this CCS thingy???

Read about it in the Times.. Will keep us going for years!! Have put a deposit on the new Bentley on the strength

Overheard outside court…..

Conclusions...•The global response to climate change concerns will include a range of mitigation measures, including greater energy efficiency, more renewables, lower carbon fuels and CCS…no single answer!

• But we will continue to use fossil fuels, so we need to do it in cleaner and smarter ways, and CCS is the best option that we have at present for doing this

• CCS demonstration projects will provide the confidence that CCS is technically feasible, and will accelerate commercial deployment

• Commercial deployment of CCS will only happen if there is a viable carbon price!!!

• Commercial deployment of CCS will foster an industry equal in size or larger than the present oil and gas industry….

• CCS will require skills in engineering, geoscience, economics, legal areas and will offer broad career opportunities

Our thanks to the many researchers, especially those here in Adelaide, who contribute to the work of CO2CRC.Thanks also to the CRC Program and our many industry and government sponsors for their support.

CO2CRC Participants

Established & supported under the Australian Government’s Cooperative Research Centres Program

Thank you

For more information see

www.co2crc.com.au