Australia Aims to Scale Up Offshore CCS

Emily Chow
Tuesday, May 16, 2023

Australia plans to scale up its capability for offshore carbon capture and storage (CCS) and will shortly seek public feedback on a new round of greenhouse gas storage acreage, the country’s resources minister said on Tuesday.

The country, one of the world's largest liquefied natural gas (LNG) exporters, is banking on CCS technology to decarbonize its industries and continue expanding its LNG production to meet demand from top buyers such as Japan and South Korea.

"Last year, I announced the first two new offshore greenhouse gas storage permits in 14 years, but there is scope to dramatically scale up Australia’s offshore CCS capability," Resources Minister Madeline King said at an industry conference.

The government will shortly start public consultation on a new round of greenhouse gas storage acreage, she added.

Australia has also started looking at formulating policy on CCS projects for broader industrial use, King said.

"We want a regulatory system for offshore CCS that is robust and responsive, and positions Australia’s resources sector to bring new CCS projects online," she added.

Australia aims to cut carbon emissions by 43% by 2030, and reach net zero by 2050. The country is home to the world's largest commercial CCS project, Gorgon, run by Chevron Corp, which has struggled to hit capacity.

The Australian government's CCS push comes in the wake of Washington's Inflation Reduction Act, which provides big incentives for CCS, and Britain's 20 billion pound ($24 billion) investment in such projects over the next two decades.

The Australian Petroleum Production and Exploration Association (APPEA) wants to work with the government to develop a national carbon capture utilization and storage (CCUS) strategy, provide policy direction and prioritize carbon management hubs, its chair Meg O'Neill told the conference.

Carbon emissions are captured and stored at a site to prevent its release into the atmosphere. Captured CO2 usually is permanently stored underground, but CCUS reuses the CO2.

Environmental groups oppose CCS, saying it will unnecessarily prolong fossil fuel use.

($1 = 1.4743 Australian dollars)

(Reuters - Reporting by Emily Chow; Additional reporting by Renju Jose; Writing by Florence Tan; Editing by Sonali Paul)

Categories: Energy Industry News Activity Decarbonization CCS Carbon Storage Carbon Capture And Storage

Related Stories

Azeri SOCAR Plans New Agreements with Oil and Gas Majors

Velesto’s Jack-Up Rig Set for Drilling Job off Indonesia

Petronas, Inpex Secure Oil and Gas Exploration Rights off Indonesia

Mubadala Energy Open to Sell Andaman Gas for Domestic Use

Valeura Energy Greenlights Wassana Oil Field Redevelopment off Thailand

MODEC, Sumitomo Partner Up for Delivery of Gato do Mato FPSO

EnQuest Bags Two Production Sharing Contracts off Indonesia

Hanwha Drilling’s Tidal Action Drillship En Route to Petrobras’ Roncador Field

China's ENN, Zhenhua Oil Ink LNG Supply Deals with ADNOC

Woodside to Shed Some Trinidad and Tobago Assets for $206M

Current News

Azeri SOCAR Plans New Agreements with Oil and Gas Majors

TPAO, SOCAR and BP to Ink Caspian Sea Oil and Gas Production Deal

Fugro Lands Deepwater Gas Field Job in Southeast Asia

OMV Exits Ghasha Gas Project off UAE with Lukoil Stake Sale

China's Sinopec Laucnhes $690M Hydrogen Venture Capital Funds

CIP, ACEN Partner Up for First Large-Scale Offshore Wind Farm in Philippines

Valeura Concludes Eight-Well Drilling Campaign in Gulf of Thailand

Three Dead in Chevron's Angolan Oil Patform Fire

BW Opal FPSO Vessel set for Work off Australia

Keyfield Ventures into Indonesia’s Oil and Gas Market with New Partner

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com