MERCHANDISER
US leads Large-Scale CCS Project Race
ANALYSIS OF PROJECTS in different countries suggests that the world’s first large-scale carbon capture and storage unit will start operation in the US in 2013. The top four places in the Bloomberg New Energy Finance (BNEF) Race To First, a semi-annual ranking of the world’s most advanced large-scale demonstration carbon capture and storage projects, are held by sites in North America.
refinery. It will sell this CO2 to Texas-based Denbury Resources for use in enhanced oil recovery operations. The project has a capital cost of $431m and is on track for full operation in Q1 2013. In second place in the Race To First is a project at the Boundary Dam Power Plant in Saskatchewan, Canada, developed by state-owned utility SaskPower. This is a government-industry partnership worth $1.25bn and is expected to complete in early 2014. The leading European project is German energy
company E.ON’s initiative to capture 1.1MtCO2/yr from 250MW of power capacity at the Maasvlakte coal-fired plant in Rotterdam, Netherlands, taking fifth spot in the list. Currently, the only other European CCS project to make the top 10 is 2Co Energy’s planned 650MW UK gasification power plant, in tenth place. All European projects, except E.ON’s, depend for their success on receiving additional public funding from the EU or national governments. A total of 24 demonstration projects worldwide qualified
CCS covers a group of emerging technologies that
remove and store CO2 gas from the exhaust of coal or gas-fired power stations or industrial installations – reducing GHG emissions into the atmosphere. The study found that US and Canadian projects benefit from more public funding, lower storage costs and more options for enhanced oil recovery than those elsewhere. Eight of the 24 projects qualifying for the H1 2012 edition
of Race To First will enter operation over the coming five years, BNEF predicts. They will have an aggregate annual injection rate of 16.8m metric tons of CO2 a year. Five will be in North America and three in Europe. Pennsylvania-based Air Products & Chemicals is the
frontrunner in the H1 2012 Race To First, with its Port Arthur demonstration project in Texas. The project will capture 1MtCO2/yr from two steam methane reformers at Texas-based Valero Energy Corporation’s Port Arthur
for the H1 2012 survey. In order to qualify, projects must span the full CCS value chain – including CO2 capture, transport and underground storage – and must take at least 1MtCO2/yr from power or industrial facilities. Michael Liebreich, BNEF Chief Executive commented: “It
has been clear for years that if the world’s industrial and power generation sectors are not to see a large part of their asset base rendered obsolete, they need carbon capture and storage to work. But not one large-scale, end-to-end project has yet been built, and the technologies still have to prove their cost-effectiveness. Our Race To First report shows that very soon the first projects will go live, and we will start getting the first real data on performance. The stakes couldn’t be higher.”
To access the Report go to:
www.bnef.com
To speak to our editor or talk to us about making a contribution to Commodities Now magazine or submitting information to our website contact:
#CommoditiesNow
Guy Isherwood T: +44 (0) 20 7801 0303 M: +44 (0) 7808 760 372 E:
gish@commodities-now.com
The magazine for the traded commodity markets and your official publication for the Commodity Business Awards. Since 1997 we have been
developing our expertise and market connections to provide commodity market professionals and the wider investment community with dedicated research and intelligence on the commodity complex. As well as the published magazine, our online presence –
commodities-now.com – provides updated news, key press releases, data, charts, research and reports dedicated to these markets.
22
June 2012
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96