By Paul Homewood
h/t Dennis Ambler
Back to the drawing!!
April 27, 2022 (IEEFA):
At a cost of more than A$3 billion, Gorgon, the largest carbon capture and storage (CCS) project in the world, failed to materialize.Underperformance of targets in the first five years of operation by about 50% indicates New report from Institute of Energy Economics and Financial Analysis (IEEFA).
Carbon capture technology has historically been used as an enhanced oil recovery (EOR) method – selling CO captured2 for oil companies to push more oil out of depleted wells, making any initial “carbon capture” negligible. According to the Global CCS Institute, approximately 73% of carbon sequestration globally is now used for EOR projects – called Carbon Capture Use and Storage (CCUS).
In some newer projects like Gorgon CCS Western Australiainstead of being sold for EOR, CO is captured2 isolated in dedicated geological storage structures. Although Gorgon’s gas plant produced its first LNG cargo in March 2016, the first CO2 injections from its CCS facility occurred in August 2019 – three and a half years late.
Report author Bruce Robertson said: “Gorgon CCS failed to achieve its predefined goals. “CCS technology has been around for 50 years. If Chevron and its partners couldn’t get it up and running in the last 5 years at Gorgon, it is not an effective technology to reduce carbon emissions. ”
Gorgon recently agreed to purchase and cede credible greenhouse gas offsets recognized by the Western Australian Government to cover a 5.23 million metric ton CO2 shortfall target.
“It is estimated that Chevron and its partners will spend up to $184 million to cover that shortfall,” said Robertson.
“Instead of continuing with fossil fuels and the technological impracticalities of try to catch their pollution, governments and investors must address the root causes, and limit fossil production. “Emergency investment in renewable energy and storage technology is the cheaper and future-proven path.”
Carbon capture may one day work, but we obviously can’t rely on it now.