Page 9 - EurOil Week 46
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EurOil                                       COMMENTARY                                               EurOil


                                                                                                  South Africa is at the
                                                                                                  forefront of carbon
                                                                                                  capture development in
                                                                                                  Africa.
















                         gas (GHG) intensity by 25% by 2030, while  CCS scheme: a group of pilot facilities off the
                         its 800,000 tpy Al Reyadah CCUS facility is  coast of Rio de Janeiro. These facilities, located
                         expected to grow rapidly with a target in place to  aboard four floating production, storage and
                         capture 5mn tpy of CO2 by the same date.  off-loading (FPSO) vessels, capture and inject
                           Oman has long been leading the pack in  CO2 into three oilfields in the offshore San-
                         terms of EOR and the Sultanate is also develop-  tos basin – Lapa, Lula and Sapinhoá. The CO2
                         ing a commercial-scale hydrogen facility at the  injections help maintain reservoir pressure and
                         port of Duqm as Muscat seeks to diversify its  maximise yields while also curbing emissions.
                         economy away from oil and gas.         The CCS project has been in operation since
                           To the north, however, flaring remains  2013 and has already injected 10mn tonnes of
                         commonplace in Iraq, though initiatives are  CO2 into the fields. Petrobras hopes to bring the
                         ramping up to monetise gas and reduce emis-  total up to 40mn tonnes by 2025.
                         sions. Meanwhile, it is worth noting that certain   The NOC also serves as the head of the Brazil-
                         international operators developing assets in the  ian CCS Network, which published a CO2 stor-
                         Kurdistan Region of northern Iraq have reported  age atlas for the country in 2015. The network
                         less than 8kg of CO2 equivalent per barrel of oil  has also started work on at least 20 CCS research
                         equivalent (kgCO2e/boe), far below some of the  projects with the goal of supporting innovations
                         region’s top producers. Aramco, for example,  in the capture, transport and storage of CO2.
                         last year reported an upstream carbon intensity
                         of 10.1 kgCO2e/boe.                  South Africa
                                                              South Africa has been one of the key players in
                         Latin America                        carbon capture and storage (CCS) initiatives
                         Efforts to develop carbon capture and storage  in Africa. Its government formed the South
                         (CCS) capacity are at a relatively early stage  African Centre for Carbon Capture & Storage
                         in Latin America. The two countries in the  (SACCCS), a division of the state-owned South
                         region that show the most promise on this  African National Energy Development Institute
                         front are Mexico and Brazil, which have esti-  (SANEDI), in 2009. In turn, SANEDI became a
                         mated CO2 storage potential of 100bn tonnes  member of the Global CCS Institute in 2019.
                         and 4 trillion tonnes respectively. Both have   To date, SACCCS and SANEDI have mostly
                         explored their options and have launched a  focused on investigation of the technical feasi-
                         number of pilot projects, but Brazil has made  bility of proposed CO2 storage options. How-
                         more progress.                       ever, they have also launched a Pilot Monitoring
                           In Mexico, the Energy Ministry suggested in  Project (PMP) to build the country’s capacity for
                         its 2014 “Technology Roadmap on CCS” that  CO2 monitoring. The project is in line with the
                         the government establish a national CCS strat-  CCS Roadmap strategy document adopted by
                         egy and inventory, as well as a centre for techno-  the South African cabinet in 2012, and it is due
                         logical research, development and testing. Since  to be followed with a carbon capture pilot plant
                         then, it has updated the report, identified a num-  (CCPP), for which the World Bank will provide
                         ber of research priorities and proposed several  a technical assessment.
                         exploratory projects.                  South Africa’s interest in CCS is not limited
                           Nevertheless, the country has not taken  to the public sector. Sasol, which is the coun-
                         much in the way of action since the 2018 presi-  try’s biggest corporate taxpayer, rolled out a
                         dential election. Andres Manuel Lopez Obrador,  new 10-year carbon transformation plan just
                         the populist candidate who won that vote, has  last week. The company – which happens to be
                         shelved CCS initiatives, arguing that the Mexi-  the operator one of the world’s largest individual
                         can government does not have the funds needed  sources of greenhouse gas (GHG) emissions,
                         to pursue such projects.             the Secunda coal-to-liquids (CTL) plant – is
                           Meanwhile, Brazil’s national oil company  currently in the first phase of its carbon transfor-
                         (NOC) Petrobras is looking for ways to integrate  mation campaign. This plan aims to cut the com-
                         CCS into its upstream operations. To this end, it  pany’s CO2 emissions by 10% on 2017 baseline
                         has launched Latin America’s only operational  levels by 2030. ™



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