A word from the CEO
Underground storage is a key enabler of hydrogen and future gas supply
Australia is emerging from the coldest months of winter, having avoided any substantial disruption to energy supply, but the challenges of continuing to negotiate peak demand periods while maintaining energy affordability and managing the energy transition pose ever greater challenges to policymakers around the world.
A critical additional challenge in fossil fuel-dependent economies such as Australia is maintaining long-standing energy partnerships with our trading partners and protecting the jobs and other economic benefits that flow to Australians.
It is no coincidence that the economies relying on Australia’s coal, oil and gas are now looking to Australia to provide new energy solutions and emissions reduction possibilities.
That will include carbon capture and storage to lower the carbon footprint of fossil fuel production and use and developing our capacity to supply new energy sources such as hydrogen.
CO2CRC is playing a key enabling role in both areas.
Creating a hydrogen economy at scale and ensuring continuous supply will require significant advancements in hydrogen storage. Funded by Beyond H2, CO2CRC has recently completed an important study on the viability of demonstrating underground hydrogen storage in depleted natural gas reservoirs.
The work is supported by an updated National Hydrogen Strategy as the Energy and Climate Change Ministerial Council recognises the importance of hydrogen to our energy economy.
That economy relies on a secure, affordable, safe and sustainable energy supply.
Australian Energy Market Operator data shows the cost of generating electricity rose 31 per cent in the three months to June, the second-highest wholesale price spike on record for the quarter.
Those price rises in part reflect gas prices, which can only be addressed by increased supply.
Export customers, most notably Japan and Korea, are also looking at securing new gas supply agreements to meet their ongoing needs. A recent paper published by the Oxford Institute for Energy Studies (OIES) highlighted these customers are increasingly concerned Australia will not be able to meet their future needs.
Clearly new gas resources must be developed to meet domestic and export gas demand. However, as the OIES report highlights, many of Australia’s undeveloped gas resources contain high levels of CO2, and their development will not be viable without CCS.
That will require faster delivery of projects than we have seen to date – and must-see greater collaboration between industry and government – at state and federal levels.
Working with governments to make permitting these essential projects more efficient is a key focus for CO2CRC, as is our continued research and development work to underpin the energy transition.
I am also delighted that the Australian Government released ten new areas for offshore greenhouse gas storage locations to explore. It shows the government’s commitment to supporting our resource industries to develop geological carbon storage facilities at a large scale to reduce Australia’s emissions.
CCS is already unstoppable in Europe and the US. Australia deserves to retain a globally leading position with respect to innovation and deployment.
Dr Matthias Raab, CEO.
Underground Hydrogen Storage – A safe, cost-effective solution to an emerging need
The growing importance of hydrogen to the Australian economy has been highlighted by the decision of the Energy and Climate Change Ministerial Council to update the National Hydrogen Strategy which was first published in 2019. Hydrogen is a key energy carrier that can provide flexibility to the electricity grid and has a direct role in decarbonising high energy demand sectors of the economy. As hydrogen usage increases, large-scale multiday and seasonal hydrogen storage will be important for energy security, supporting the grid and, potentially, buffering hydrogen exports. Underground hydrogen storage (UHS) in engineered salt caverns, porous formations (such as depleted gas reservoirs) or lined rock caverns is a promising option for large-scale storage as it combines a small surface footprint with high capacity and lower safety and environmental risks than comparable energy storage technologies. Field-scale demonstrations are required to validate the principles underling UHS and the insights from such projects will be crucial for planning, upscaling and integrating UHS into the future energy system and establishing a robust regulatory framework and best practices for deploying the technology at commercial scale. A pre-feasibility study recently completed by CO2CRC investigated the viability of demonstrating underground hydrogen storage in a depleted gas reservoir. The study is available to CO2CRC members on PTS and CO2Tech can assist companies with UHS assessment and planning.
David Whittam is Program Manager Hydrogen at CO2CRC.
CO2CRC‘s Symposium is Australia’s leading Carbon Capture, Utilisation and Storage event. With a host of local and international expert speakers including carbon management specialist Dr Sallie Greenberg. Held at Torquay Victoria from November 20-23 the CO2CRC CCUS Symposium is the ultimate destination to reach a sophisticated niche energy audience and network with leading speakers from industry, government, and research.
Register Now to take advantage of our Super Early Bird Rates!
Biowaste to Building Material
Imagine being able to create a disaster-resistant construction material that is 100% recyclable and 100% renewable.
That’s what the team at *CO2Tech, are working on as they strive toward creating a low-cost, eco-friendly material to address the global housing shortfall in developing countries, whilst reducing the impacts of climate change.
The novel product is called LIGNIK and it recently featured in the Asia Development Bank (ADB) Carbon Capture, Utilization, and Storage Game Changers in Asia and the Pacific 2022 Compendium of Technologies and Enablers.
The CO2Tech team were thrilled to have their technology acknowledged in the prestigious publication.
Read more about how CO2Tech is utilising CO2 and biowaste through specialised microbial processes, to produce climate-friendly biosynthetic materials designed to be 3D printed.
*CO2Tech is CO2CRC Limited’s fully owned commercial subsidiary offering multi-disciplinary technical consultation, advisory and project management services across the #ccus value chain. If you’re interested to discover more about LIGNIK investment opportunities, contact us via our website https://co2crc.com.au/
Carbon Capture, Utilization, and Storage Game Changers in Asia and the Pacific: 2022 Compendium of Technologies and Enablers
Your Premier Destination for Carbon Capture, Utilisation, and Storage Education
At CO2CRC, effective education is the key to achieving a sustainable and low-carbon future. As a leading organization in Carbon Capture, Utilisation, and Storage (CCUS), we are committed to empowering experts, policymakers, investors, bankers, super funds managers, scientists, and the general public, with the knowledge and tools needed to drive positive change.
Our next CCUS Fundamentals Course takes place on the 18 OCTOBER 2023 so secure your place today!
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Energy Transition News
Resources Minister Madeleine King has released a new group of potential offshore carbon capture and storage sites, in a decision that will enrage teal independents and climate activists who want the technology blocked because it provides a pathway for the gas industry to continue operating on a net-zero basis.
Global technology and e-commerce giants are driving demand for direct air capture technology to remove carbon emissions, according to Sydney-based carbon removal company, AspiraDAC. but Australian firms are lagging behind,
24/08/23 German industry leans on Berlin for swift carbon storage plan – Reuters
Leading German companies have urged Berlin to make public its strategy to enable carbon capture and storage by the end of this year, as they seek to capitalise on weakened opposition to the technology and prevent any political delay
23/08/23 Carbon Capture Holds Key – Latrobe Valley Express
The Latrobe Valley and the broader Latrobe Region can play a leading role in Australia’s Energy transition according to the chief executive of CO2CRC, Dr Matthias Raab
Labor Resources Minister Madeleine King will issue a full-throated endorsement of the British government’s revitalised focus on expanding carbon capture projects in the North Sea, saying Australians need more education about the benefits of the technology
21/08/2023 Victoria’s quiet new curveball to Japan on hydrogen – AFR
The Andrews government has introduced new planning oversight to major hydrogen projects, as the Japanese backers of a $3 billion project in Victoria warn they need clearer signs of government support to push ahead with it.
20/08/2023 SK Innovation Kickstarts Korea-Malaysia CCS Project – Business Korea
Experienced and technically skilled companies are joining the coalition between South Korea and Malaysia for the Carbon Capture & Storage (CCS) project.
17/08/2023 Occidental buys carbon air capture tech firm for $1.1 billion – Reuters
U.S. oil and gas producer Occidental Petroleum (OXY.N) on Tuesday agreed to pay $1.1 billion for technology supplier Carbon Engineering Ltd to help it develop a string of carbon-capture sites it hopes will profit from tackling climate change.
17/08/2023 Carbon Capture Must Avoid Recycling’s Failures – Bloomberg (Energy Daily)
Most projects haven’t overcome the fact that it’s cheaper to release CO2 into the atmosphere than paying to clean it up.
17/08/2023 All options’ needed on hydrogen: Japan ramps up push on CCS – AFR
The Japanese backers of a controversial project to convert Victoria’s brown coal into liquid hydrogen for export are warning that the $3 billion development will not go ahead without clearer signs of support from the state and federal government.
11/08/2023 U.S. unveils plans for large facilities to capture carbon directly from air – Science
The U.S. Department of Energy (DOE) today announced it will spend $1.2 billion for two pioneering facilities—one in Texas, the other in Louisiana—that will remove millions of tons of carbon dioxide (CO2) annually from the atmosphere using a technology known as direct air capture (DAC).
06/08/2023 Timor-Leste looks to grasp carbon storage revenues – AFR
The head of Timor-Leste’s national oil company has underlined the importance of carbon sequestration as a potential new revenue stream for the impoverished nation after the company signed an accord with Santos to examine partnership opportunities in carbon capture and storage.
04/08/2023 Labor accused of propping up gas projects with carbon pollution permits – the Age
Environment and Water Minister Tanya Plibersek’s Sea Dumping Bill, which would permit Australia to export, import and store carbon pollution in Australian waters, was approved by the House of Representatives on Thursday. It is expected to be made law by the Senate with support from the Coalition in coming weeks
03/08/2023 Seven companies team up on carbon capture and storage project in Japan – Offshore Energy
ITOCHU Corporation, Nippon Steel Corporation, Taiheiyo Cement Corporation, Mitsubishi Heavy Industries (MHI), ITOCHU Oil Exploration Co., INPEX Corporation, and Taisei Corporation have joined forces to conduct a feasibility study on Japanese Advanced CCS Project.
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