Shell and the Norwegian petroleum company Statoil have signed an agreement to work towards developing the world's largest project using carbon dioxide (CO2) for enhanced oil recovery (EOR) offshore.
The final result would be increased energy production with lower CO2 impact. The concept involves capturing CO2 from power generation and utilising it to enhance oil recovery.
"Our aim is to establish a broad partnership in order to realise the ground-breaking project. This C02- project responds to vital future challenges facing society, the environment and the industry," said Chief Executive Officer Helge Lund in Statoil.
CO2 to the oil fields
The project consists of a gas-fired power plant and methanol production facility at Tjeldbergodden in Central Norway, providing CO2 to the Draugen and Heidrun offshore oil and gas fields. Power from the plant will also be provided to offshore fields, enabling near zero CO2 and nitrogen oxide (NOx) emissions from these installations, according to Statoil and Shell.
The various elements of the project will be phased in during the period 2010-2012. The project will contribute to long-term electricity balance in Central Norway as well as ensuring stable power delivery to industries producing vital hydrocarbons for Europe. The project could potentially store approximately 2- 2.5 million tonnes of CO2 annually, according to the oil companies.
Minister of the Environment is positive
Norwegian Minister of the Environment Helen Bjørnøy is pleased with the new industry inititative. In a statement she congratualates Statoil and Shell with a wise decision and looks forward to cooperating with them to fully realise what could be a prominent example of Norway as an environmentally safe and technologically advanced nation.
Presentation: Shell and Statoil have signed an agreement to develop the above-pictured CO2 tranport plan. Here is the entire presentation.