Projects, Financial and Commercial

The Projects, Financial and Commercial Team is a direct link to the broader CCS industry. It delivers robust analyses on CCS developments around the world, and provides the framework to support the Institute’s knowledge sharing relationships. The Team comprises experts in various technical fields.

Project collaboration

This year marks the fourth year the Institute has undertaken its survey of large-scale integrated CCS projects (LSIPs) around the world, and the database maintained by the Institute remains the most comprehensive international compilation of CCS projects. The response rate for the May–June 2012 survey of CCS projects was 75 per cent, and the results form a major part of the Institute’s annual Global Status of CCS report.

A public data set, projects map, charts and project pages based on this information are published on the Institute’s website and are updated regularly to reflect changes to the status and details of individual projects. The Institute also published short updates of the global overview of CCS projects in December 2011, and March and June 2012.

The Institute’s strong collaboration with international CCS projects provides it with extensive access to project knowledge and experience, and will result in over 60 special reports on key CCS issues. Approximately 40 reports have already been delivered and disseminated by the Institute for the benefit of the wider CCS community.

Reports and knowledge gained from projects are reviewed by the Institute, stored for value-add research and analysis, and shared with interested participants in the CCS sector (via website, workshops, meetings, presentations, social media, recorded interviews, and webinars) in an ongoing effort to accelerate the development of CCS.

The Institute’s collaboration with projects is underpinned by knowledge sharing agreements with 15 projects (four in North America, four in Europe, six in Australia and one in Japan).

As these agreements near completion, a steady flow of knowledge is being maintained by approaching projects, consultants and research organisations around the world to develop reports and tools targeted at addressing specific information gaps facing the global CCS community.

To date, the Institute has commissioned nine targeted reports covering topics such as community consultation strategies, ship transportation of CO2, mitigating CO2 migration, CCS contractual frameworks, the business case for CCS, relative permeability and hubs.

The Institute has also entered into key new markets that are significant to the progression of CCS globally including China, and the Middle East and North African (MENA) region. First contacts with projects for possible broader knowledge sharing agreements in future have been established.

Two independent internal audits on processes used by the Institute to deliver reports and manage confidential information from projects were held during 2011–12, with positive results.

Capture, transport and storage

The Institute’s Capture Team participated in workshops and activities on a low-carbon use of Victoria’s vast Latrobe Valley brown coal resource, and developed a state-of-the-art methodology with WorleyParsons for validation of process performance with CCS, based on a case study of a Latrobe power station. Future activities will support the dissemination of this study.

The Institute also announced its support for an international best-practice methodology relevant to the permitting of post-combustion capture technologies utilising IP-protected amines, to be carried out in collaboration with the Commonwealth Scientific and Industrial Research Organisation (CSIRO). In addition, the Institute has hosted capture-specific webinars and blogs on promising carbon capture technologies including chemical looping combustion, oxycombustion, direct injection combustion engines and enzyme-promoted potassium carbonate post-combustion capture.

The Capture Team also provided a peer review of the Roadmap for the Demonstration of Carbon Capture and Storage (CCS) in China (Final Report) – June 2011, from the perspective of carbon capture, with positive feedback received from the Asian Development Bank (ADB).

An Institute staff member acted as a lecturer/ mentor at the IEAGHG CCS Summer School at Tsinghua University, Beijing, China, delivering three presentations and hosting a panel discussion.

The Institute’s Storage Team participated in project reviews of Quest (Canada), Gorgon Project (Australia), CarbonNet (Australia), Rotterdam Climate Inititative Phase 3 (Netherlands), Getica Project (Romania), Pioneer (Canada) and Mountaineer Commercial Scale CCS Project (US). Other activities included the Det Norske Veritas (DNV) recommended practice documents, the Energy Institute Technical Paper Reviews and the Technical Steering Committee of the Plains CO2 Regional Partnership in the US.

The Institute’s Storage Team has contributed to the wide dissemination of topical information on CCS storage through presentation of papers in numerous venues including a workshop on CO2 EOR in Beijing, an Institute workshop on CCS in Mexico City to more than 220 students and university faculty, and an Institute workshop on CCS at the International Geological Congress in Brisbane. Papers were also presented on the role of CO2 EOR in CCS to European Members at a meeting in Bergen, and at a sponsors’ meeting of the IEAGHG Weyburn-Midale CO2 Monitoring and Storage Project (held in Denver). Participation at technical meetings included the IEAGHG Joint Network Meeting (New Mexico), a keynote speech at Technoport in Trondheim (Norway), a Measurement, Monitoring and Verification (MMV) meeting in Mobile (US), the Platts Conference (UK) and the EAGE CO2 Geological Storage Workshop (Edinburgh).

The Institute continues to participate in the development of a number of project proposals supporting the development of transport and storage of CO2, it has also hosted storage-specific webinars focused on CO2 EOR and Basin Resource Management.

Public engagement

Working in close partnership with the CSIRO and the (IEA) global social research network, the Institute drew upon the lessons learnt from international CCS demonstration projects in the development of a suite of resources to complement its existing Communications and Engagement Toolkit for CCS Projects.

“We commend the Institute’s work on public acceptance and urge that this work is continued and enhanced.”

Gwen Andrews, Vice President, Power and Environmental Policies - Asia and Oceania, Alstom

The new resources include a Social Site Characterisation Toolkit containing a social science literature review and practical resources to assist project developers in understanding a project’s local community. The resources also feature a risk communication guide with a review of best practice research and examples of lessons learnt from five North American CCS case studies.

The Institute also supported a number of CCS demonstration projects to capture and share their early public engagement and communication experiences through reports, case studies, webinars and presentations – including the highly regarded ROAD Project’s Stakeholder Management Report work to incorporate new information emerging from these projects.

Following a global review that highlighted the lack of suitable, publicly-available CCS education materials, the Institute worked closely with CSIRO scientists and education experts to produce a set of primary and secondary school level CCS education resources. These underwent extensive peer and scientific review, along with classroom-based trials in Australia and internationally, prior to being launched in August 2012. In order to set the CCS education resources firmly in the context of sustainability and climate change mitigation, the Institute and CSIRO established an education module integrating CCS resources into CSIRO’s Australian sustainability program ‘CarbonKids’, that has started to be delivered via workshops to school communities across Australia.

Financial and commercial

In 2011–12, the Institute’s financial and commercial work program was re-shaped to assess the risks facing CCS projects. Key outcomes included:

  • published business case and financing reports from the ROAD, Tenaska Trailblazer and AEP Mountaineer CCS projects for the benefit of the wider CCS community;
  • developed a report on The Global Financial Crisis and CCS which was selected in June 2012 to be delivered at the Greenhouse Gas Technologies Conference (GHGT11) in Kyoto in November 2012;
  • participated in an executive roundtable of the Carbon Sequestration Leadership Forum (CSLF) on Commercial and Financial Structuring of Industrial-Scale Projects with CCS in January 2012; and
  • developed a CCS screening financial model in partnership with the Japan Bank for International Cooperation (JBIC) which will be used to analyse project options, policy options, and technology types in conjunction with Members of the Institute.

In addition, the Institute has hosted finance-specific webinars focused on Barriers to Project Finance for CCS, Bridging the Commercial Gap for CCS, and Financing a Pulverized Coal Plant with Post-Combustion Capture.

Institute Public Engagement Manager Kirsty Anderson and Institute CEO Brad Page at the CarbonKids CCS module launch, Canberra, August 2012.