Global CCS Business Environment Trends

JOGMEC analyzes the regularly updated CCS related policies and trends worldwide. We are especially focusing on trends in the licensing and certification scheme for CCS projects.
JOGMEC will utilize these analyses and the network constructed by resource diplomacy to improve the CCS business environment.

Toward Social Implementation of CCS

JOGMEC will evaluate the potential storage capacity and long-term stability for CCS project, and investigate schemes that quantify the CO2 emission reduction. JOGMEC will apply carbon intensity methodology to evaluate the environmental value of hydrogen and ammonia, whose GHG emissions have been reduced by CCS.

Initiatives in the carbon market

As a member of the CCS+ Initiative, JOGMEC is actively contributing to establishing a methodological framework to quantify CO2 emissions reductions generated from carbon capture and storage (CCS) projects, thereby helping make a carbon-neutral society a reality.

CCS-related legal framework and business environment (Australia)

Australia is one of the leading countries in the development of CCS laws and systems. JOGMEC is working in partnership with the Australian government and actively supporting hydrogen, ammonia, and CCS projects by Japanese companies. Understanding Australia’s CCS legislation and new incentive schemes will help promote relevant projects.

CCS-related legal framework and business environment (Canada)

In Canada, policymakers and project proponents are leveraging existing industries, human resources, and expertise to advance CCS/hydrogen projects and develop a CCS-related legal framework. As well as monitoring these trends, JOGMEC is working in partnership with the Canadian federal government, the Province of Alberta, and the Province of British Columbia to advance CCS resource diplomacy.

Recent carbon capture and storage trends in ASEAN

Fossil fuels are expected to remain the primary energy source in ASEAN. Expectations for carbon capture and storage (CCS) technology that supports both energy supply and climate change mitigation are growing. In recent years, the development of the business environment for CCS has been rapidly advancing in ASEAN nations. JOGMEC is pursuing comprehensive efforts to contribute to deployment of CCS in the region in cooperation and collaboration with respective stakeholders.

Laws and regulations related to the Post-Closure Stewardship Fund in Alberta, Canada

In Alberta state, Canada, there is a fund of CCS, Post-Closure Stewardship Fund, for the purposes of monitoring the injected CO2, fulfilling obligations assumed from lessee to the state government. The fund is paid by the lessee and its annual rate is established according to the injected CO2 amount.

Business overview

JOGMEC is promoting the acquisition of oil and gas resources through CCS technology (e.g., efficient CO2 separation and storage technology), as well as supporting oil and gas field development while considering climate change issues with the goal of achieving both sustainable energy development and a low-carbon society.

DDR Membrane

Measures to reduce GHG emissions by applying CCS is important to realize the development of high-concentration CO2-containing gas fields as a new resource.
The DDR membrane, developed by NGK INSULATORS, LTD. and JGC Corporation, is an excellent technology for separating and recovering CO2 from natural gas.
JOGMEC is supporting field demonstration tests for commercialization of this CO2 separation technology.

Related
information

• Launch of the Demonstration Project of CO2 Recovery Process
  ～JOGMEC Technical Solutions Project～

JAPAN-GTL

JOGMEC has developed the JAPAN-GTL process in collaboration with Japanese private companies. As demands for decarbonization increase toward the goal of becoming carbon neutral by 2050, this technology has been receiving renewed attention as a synthetic fuel manufacturing technology that uses CO2 as feedstock. We aim to advance the JAPAN-GTL technology to practical use.

Related
information

• Characteristics of JAPAN-GTL

Initiative for methane leakage mitigation

Hydrogen carriers are mainly liquid hydrogen, MCH, and ammonia, which have characteristics that are different from one another. The development of hydrogen carriers is currently underway. JOGMEC will provide technical and financial support for the establishment of commercial clean fuel project.

Screening and Selection of CCS sites

We select the suitable areas and strata for CO2 subsurface storage through the analysis of geological structures from available seismic surveys and well data. The know-how and data accumulated through oil and gas reservoir evaluations conducted by JOGMEC worldwide are extremely useful in this respect.

Subsurface Reservoir Evaluation

We analyze the geological structures in the selected sites existing approximately 1,000–3,000 m underground and create geological models to estimate CO2 storage capacity from data, such as well logging, rock samples, and seismic surveys to accurately determine how much CO2 the selected CCS target structure could store.

CO2 Injection Simulation

We conduct CO2 injection simulations to comprehend the CO2 storage mechanism at CCS sites and design optimal injection plans. We need to understand the behavior of fluids over a time period of thousands of years to evaluate the long-term storage safety, which is different from a typical analysis for oil and natural gas development.

Project Support

We utilize our expertise with laboratory experiments and numerical simulations, which we have cultivated to date, to provide technical support for subsurface evaluations of CCS projects integrated with hydrocarbon resource development.

Well Design and Well Integrity Assessments

In the CCS Project, it is required to prevent the leakage of injected CO2 for a long period of time. Therefore, it is important that the wells in the CO2 injection area are capable of preventing leakages, while being constructed with CO2 corrosion resistant materials to prevent the formation of leakage paths due to corrosion.

Utilization of Geomechanics

The injection of CO2 changes the stress state in the subsurface. Appropriate geomechanical analysis is necessary to elucidate how much these changes may be affecting the safe and stable storage of CO2.

CCS Post-Closure monitoring

For achieving CCS commercialization, it is essential to properly establish a system of transferring liability from operators to competent authorities during the period between Post Injection and Site Closure. In Alberta, Canada, management liability is transferred from the operator to the provincial government through the issuance of a Closure Certificate. While efforts should be made to adequately reduce risks through Post Injection monitoring conducted by operators, a reduction in the burden is also important for rational CCS commercialization.

CO2 injection at Indonesian onshore oil field

JOGMEC and its partners, PT Pertamina (Persero) and PT Pertamina EP, have successfully implemented CO2 Huff ‘n’ Puff tests at Jatibarang Oil Field, Indonesia. Through these tests, valuable technical data for CO2-EOR and CO2 underground storage have been obtained and analyzed using various modern technologies.