Deployment Models for Commercialized Carbon Capture and Storage

Abstract

Even before technology matures and the regulatory framework for carbon capture and storage (CCS) has been developed, electrical utilities will need to consider the logistics of how widespread commercial-scale operations will be deployed. The framework of CCS will require utilities to adopt business models that ensure both safe and affordable CCS operations while maintaining reliable power generation. Physical models include an infrastructure with centralized CO(2) pipelines that focus geologic sequestration in pooled regional storage sites or supply CO(2) for beneficial use in enhanced oil recovery (EOR) and a dispersed plant model with sequestration operations which take place in close proximity to CO(2) capture. Several prototypical business models, including hybrids of these two poles, will be in play including a self-build option, a joint venture, and a pay at the gate model. In the self-build model operations are vertically integrated and utility owned and operated by an internal staff of engineers and geologists. A joint venture model stresses a partnership between the host site utility/owner's engineer and external operators and consultants. The pay to take model is turn-key external contracting to a third party owner/operator with cash positive fees paid out for sequestration and cash positive income for CO(2)-EOR. The selection of a business model for CCS will be based in part on the desire of utilities to be vertically integrated, source-sink economics, and demand for CO(2)-EOR. Another element in this decision will be how engaged a utility decides to be and the experience the utility has had with precommercial R&D activities. Through R&D, utilities would likely have already addressed or at least been exposed to the many technical, regulatory, and risk management issues related to successful CCS. This paper provides the framework for identifying the different physical and related prototypical business models that may play a role for electric utilities in commercial-scale CCS.

Fundamental study of CO2-H2O-mineral interactions for carbon sequestration, with emphasis on the nature of the supercritical fluid-mineral interface.

“…, ∆ (6)(7)(8)(9)(10)(11)(12)(13)(14)(15) where is the angle between the vertical axis pointing upward and the normal direction to the interface pointing from scCO 2 to water. , can be either positive or negative depending on the interface orientation.…”

“…Large-scale geologic storage of CO 2 envisions injection of ~ 1 million metric tons per year of CO 2 at single subsurface target formations at depths > ~ 800-1000 m [12][13][14]. The process involves compression of CO 2 into a supercritical fluid phase with densities more similar to liquids than gases.…”

Biomass in a petrochemical world

“…Where companies are interested in pipeline supplies of syngas, there is a need to create the pipeline infrastructure. There is little evidence of this happening at the moment, but the relevant issues are being explored in analogous discussions about creating new CO 2 pipelines to carry captured CO 2 from large point sources to one or more geological storage locations [56][57][58][59]. The issues that need to be dealt with relate to defining an entry specification for gas into a shared network, deciding how to fund an oversized pipeline network that can handle higher throughputs in future, agreeing how early users and later users pay for access in a way that provides equitable reward to those who invested the capital, and finding a workable approach to securing access rights over land owned by multiple parties along with the relevant planning approvals [19].…”

Recovery Act: Geologic Sequestration Training and Research

“…Two students were awarded Ph.D. degrees for their work. (Esposito et al, 2011a). The paper describes and compares the options for physical deployment of carbon capture and storage and the business models that electric utilities may choose to adopt for management and sequestration of carbon dioxide from combustion of fossil fuels.…”