Role of Oil and Gas Industry in Meeting Climate Goals Through Carbon Capture, Storage and Utilization CCUS

Abstract

Abstract The near-linear relationship between anthropogenic CO2 emission and global warming is a major cause of concern among scientists. Achieving a low carbon future requires a new approach to providing energy solutions. This paper reviews the advancements in CCUS technology and actions of the oil and gas industry actively participating in Carbon Capture, Utilization and Storage (CCUS). CCUS has been identified to play a key role in achieving the goals of the Paris Climate Agreement. Oil and gas industry has been using CO2 Enhanced Oil Recovery (EOR) for many years which removes some CO2 permanently from the atmosphere. Currently there are more than 150 CO2 EOR projects in place worldwide. Additionally, the major oil and gas companies are stepping up to further remove CO2 from the environment through Direct Air Capture (DAC), Carbonate Fuel Cells etc. This paper discusses a few of the CCUS projects undertaken by some major oil and gas companies. Many companies are investing in startups, national research institutes and other ventures with proven viable technologies for carbon capture such as DAC and fuel cell technology. It is too early to say which of these technologies will emerge as the most superior one. Therefore, investing in different technologies and continuing with the established practices is the more fitting approach. The recent changes in 45Q tax credit in the USA is going to entice even more investors to approach CCUS as a commercially attractive venture. There is currently a lot of pressure from government and public to minimize CO2 emission in all industries and this will only increase with time. Oil and Gas industry is investing heavily on CCUS projects and are therefore best equipped to transition to carbon management companies. The end goal is to make the industry profitable while also safeguarding the environment.