Another Oil Company Turning To Carbon Capture Projects

Oil and gas company Lime Petroleum has entered into an agreement with Nautilus Carbon Services to secure a storage site in the Norwegian Continental Shelf where CO2 can be injected and safely stored permanently.
This is just the first phase of a larger project in which Lime Petroleum – a 90 percent subsidiary of Rex International Holding – will be participating along with Nautilus Carbon Services, and other joint-industry project partners. This project is in line with the global goal to reach net-zero emissions by 2050.
Rex International said in a statement that Phase I of the project will include research and development work to outline and describe the methodology and possible locations for a CO2 storage site.
Upon completion, a decision will then be made to initiate Phase II, the goal of which is to secure the award of an exploitation license on the Norwegian Continental Shelf with an application to the authorities.
“With LPA’s acquisition of 33.84 percent interest in the producing Brage Field, it is timely and opportune that Lime Petroleum participates in such a project that will progress the company’s ESG objectives and help the company gain a foothold in the emerging CCS value chain,” Lars Hübert, Chief Executive Officer of Lime Petroleum, said.
The Net Zero 2050 roadmap describes how a rapid increase in CO2 capture requires the development of geological storage locations. The main assumption reaching the goals by 2050 is that 95 percent of the captured volume needs to be stored in such geological formations.
Technology progress is likely to reduce the cost of capturing CO2 in the near future from power generation – as well as blue hydrogen from natural gas, industrial processes, energy from waste, and possibly direct air capture (DAC).
All these industries generate CO2 volumes exceeding, by orders of magnitude, the Scope 1 emissions from the oil and gas industry.
According to the International Association of Oil & Gas Producers, there are currently 51 existing and operational Carbon Capture, Utilization, and Storage (CCUS) facilities in Europe with a target of 50 MTons/year in 2030.
Ultra-high CO2 injection and storage rates are key to meeting the Net-Zero 2050 goals. According to the Net-Zero goals announced by the IEA this year, the global capture needs to be around 2 GTons/year in 2030, reaching nearly 6 GTons/year in 2040, and 7.6 GTons/year of total captured CO2 2050.
To contact the author, email bojan.lepic@rigzone.com
What do you think? We’d love to hear from you, join the conversation on the
Rigzone Energy Network.
The Rigzone Energy Network is a new social experience created for you and all energy professionals to Speak Up about our industry, share knowledge, connect with peers and industry insiders and engage in a professional community that will empower your career in energy.
- Shell CEO Says World 'Desperately In Need' Of Natural Gas
- Fate Of $8Bn Alaska Oil Project To Be Resolved In Next 30 Days
- Gov't Tampering Puts Australian Gas Market In Unenviable Position
- Texas Power Outages Increase As Ice Storm Persists
- Shell's Record Earnings Draw Angry Reactions
- Oil And Gas Firms Need To Accelerate Shift To Low Carbon Energy
- Oil Posts Second Weekly Loss as Stockpiles Swell
- OPEC+ Exports Show Russia Surges While Saudi Arabia Dials Back
- Capricorn Reshapes Its Board of Directors
- Lukoil Hits 50 Million Tons Of Hydrocarbon Production In Caspian Sea
- New SPR Bill Passes House
- What Bad Habits Should Oil and Gas Jobseekers Avoid?
- Biden To Support ConocoPhillips Alaska Oil Project, Defying Greens
- USA Drops 3 Gulf of Mexico Rigs
- USA Oil and Gas Employs Almost 1 Million in 2022
- Energy Services Sector Will Grow To $1 trillion In 2025
- Shell CEO Says World 'Desperately In Need' Of Natural Gas
- Shell Makes Host of Company Changes
- New Discoveries Make 2022 Highest Value Year In Over A Decade
- Winter Storm Mara Update
- Valaris Employee Reported Missing from Rig
- Gasoline and Diesel Prices Expected to Fall
- Is the USA Shale Boom Over?
- New SPR Bill Passes House
- Higher Oil Prices Have Not Led to More Exploration
- Shell Finds Gas In Pensacola High-Impact Well Off UK
- Iran Oil Gushes Into Global Market
- Will Oil Hit $100 Per Barrel in 2023?
- Eni, Chevron Make Significant Gas Discovery Off Egypt
- What Bad Habits Should Oil and Gas Jobseekers Avoid?