Comparing Different Approaches to Managing CO₂ Storage Resources in Mature CCS Futures

Publication Overview

This report develops scenarios for CO₂ storage development in the Southern North Sea Basin to compare first-come, first-served and managed approaches to CO₂ storage site licensing. The report describes the benefits and consequences of these broad strategies for the pore space owner and the operator, and considers current approached to managing offshore and onshore storage resources (in a range of jurisdictions). A workshop was held in the early stages of the report process, which helped to evaluate approaches to the management of pore space in different jurisdictions. The following general issues were discussed at the workshop and are looked at further in the report: – The availability of storage capacity – Other uses and users of the pore space – Priorities on different uses in different jurisdictions – Potential routes to wider storage deployment – Technical regulatory challenges for storage in areas of multiple stacked storage opportunities – Risks that may arise from site interactions – Examples of pore space conflict resolution – Strategic initiatives for storage deployment. The report details potential subsurface interactions, UK policy for CO₂ storage development (including a UK Southern North Sea case study), potential interactions between two case studies in the Southern North Sea, CO₂ storage permitting in the Netherlands, CO₂ storage in Australia, the role of CO₂ enhanced oil recovery (EOR) in Texas, USA and managing the pore space in Alberta, Canada.

Publication Summary

• There are many potential competing users of the surface and subsurface in both onshore and offshore environments
• There are various different approaches to storage management, all of which are highly dependent on the jurisdiction involved
• Most jurisdictions currently work under a ‘first-come, first-served’ approach
• Management of storage on a first-come, first-served basis is likely to be sustainable in the short to medium term
• Pressure increases do not always result in detrimental effects, but pressure responses in open storage sites should be the focus of a detailed assessment in all cases
• The operator and regulator must understand the consequences of a pressure increase over an area much larger than the extent of the CO₂ plume itself
• The main benefit of a first-come, first-served approach is that the operator has the final decision on where to develop CO₂ storage
• The first-come, first-served approach should work for multiple-stacked sites
• Potential disadvantages of the first-come, first-served approach include possible reduced storage capacities, difficulties for monitoring and a lack of regional storage optimisation with stranded sources