Page 11 - AsianOil Week 44 2021

AsianOil OCEANIA AsianOil

Santos, Beach reach FID on Moomba CCS

PROJECTS & SANTOS and Beach Energy have reached a final Santos to achieve net-zero Scope 1 and 2 emis-
COMPANIES investment decision (FID) on their $165mn sions by 2040.”
Moomba carbon capture and storage (CCS) Gallagher argued that decarbonising hydro-
project in South Australia. carbons was an essential step in helping the
Santos said on November 1 that the project, world to reach net zero by 2050.
which it operates with a 66.7% interest while He said: “2050 is only 30 years away and over
Beach holds the remainder, was slated to start the last 30 years since the first climate change
up in 2024. conference in 1992 the world’s consumption
The CCS project aims to store 1.7mn of hydrocarbon fuels has increased in absolute
tonnes per year of carbon dioxide (CO2) in terms and decreased by only 4% in terms of pri-
the Cooper Basin, with capacity to expand this mary energy share.”
to 20mn tpy. The executive added that the Australian gov-
Santos said it had successfully registered the ernment’s focus on CCS and other low-emission
CCS project with the Clean Energy Regulator, technologies would allow the country to become
paving the way for the project to qualify for Aus- a “carbon storage superpower”.
tralian Carbon Credit Units for emissions reduc- The government laid out its plan to achieve car-
tion over a 25-year crediting period. bon neutrality by 2050 last week, announcing that
Santos’ managing director and CEO Kevin a “technology not taxes” approach to emissions
Gallagher said the project was set to become one reduction would help the country reach its target.
of the “biggest and lowest cost in the world”. Canberra said it expected AUD20bn
He added: “We forecast a full lifecycle cost ($14.94bn) worth of state investment in
of less than $24 per tonne of CO2 including low-emissions technology over the next dec-
cash costs in operation of $6-8 per tonne of ade to unlock at least AUD80bn ($59.79bn)
CO2, with first injection targeted for 2024. worth of similar private and public invest-
This decision is a critical step in decarbonising ment. The government highlighted not just
natural gas on our path to new low-emissions CCS as an investment target, but also said it
and clean-burning fuels such as hydrogen. It would provide funding for clean hydrogen and
is also an important milestone in our plan for energy storage.™

Week 44 04•November•2021 www. NEWSBASE .com P11