CO₂ Storage: 5 insights from our journey so far
Over the past years, we’ve built up a diverse portfolio of geological CO₂ storage projects, totaling more than 20 ventures. Below are some of our most important insights and learnings.
From starting out with a consortium and research project in 2020, we’ve propelled far in building expertise. Today, we have detailed insights into the storage capacity of several European CCS countries and offer commercial evaluation and independent audits of potential storage sites.
Care to take a closer look at our accomplishments before you read? Explore our Team CV here outlining our extensive experience with geological CO₂ storage.
1. Do the groundwork before client engagement.
When our team began working with commercial aspects of geological CO₂ in 2020, our efforts were not driven by client engagement. The motivation for our research and innovation CO₂ storage project arose from our anticipation of future business patterns.
Curiosity: How could our geological expertise gained from oil and gas projects be applied to the CCS business?
Big picture: How could ExploCrowd contribute to securing Europe’s energy supply and reducing CO₂ emissions?
Even without clients, our ambitions were high. With support from Innovation Norway, our first project involved a full evaluation of a potentially commercial venture, including identifying CO₂ storage sites to assessing geological risks, and estimating storage capacities and costs. These efforts provided invaluable insights that we have since refined, benefiting subsequent CO₂ storage initiatives and clients.
Sveinung Hatløy, Senior Geoscientist:
– When we understood what it would take to get the CO₂ storage business up and running, I must admit that I had my doubts because of the uncertainties that significantly impact business cases. However, we were prepared for when the business eventually began to pick up, and we were ready to assist clients in competing for the best storage spaces available.
In 2021, when a client came and asked for the best storage site we could find for them in the Norwegian North Sea, we knew exactly what we were looking for. Soon, we had a CO₂ storage inventory prepared, detailing estimated storage capacity, main risks, and confidence levels for over 50 opportunities that the client could select from to fit their strategy. That felt good.
2. Invest in geology to de-risk CO₂ storage projects.
Potential and confidence. Potential and confidence. And once more: Potential and confidence. This mantra should guide anyone aiming for a commercially viable CO₂ storage site – with a geologist as both backing band and conductor.
CO₂ storage site selection: Geologists play a pivotal role in identifying suitable storage sites by assessing factors such as porosity, permeability, and seal integrity at both local and regional levels.
Risk assessment: A number of risks needs to be considered when working with CO₂ storage, including careful assessment of leakage and subsurface movement of the CO₂ plume and the pressure wave that travels ahead of it. Geologists conduct comprehensive risk assessments to mitigate these risks and ensure the safety and effectiveness of storage operations when injecting under ground.
Data quality assurance: Investing in high-quality data and interpretation is essential for bolstering confidence in CO₂ storage ventures. If you don’t have access to adequate data up front, you need to have a plan for how to acquire this to de-risk your project. CO₂ storage projects will cost billions of Euro, so an investment of several tens of millions of Euro can seem reasonable in order to increase confidence.
By prioritising geology investment, stakeholders can de-risk CO₂ storage projects and make well-informed choices throughout the process.
3. Dive into the details, again and again.
To store CO₂ effectively, three factors must be considered:
A trap large enough to contain the injected CO₂
An aquifer with sufficient capacity to absorb water pushed out of the trap and accommodate the CO₂
Rock permeability suitable for fluid flow over the project’s lifespan
While these requirements may seem straightforward, the third factor presents a critical time-dependent challenge that can hinder the realisation of a commercially viable prospect within a 25-year timeframe. It matters if your project timeline is 25 years or 1000 years.
Accurately evaluation of prospects demands a comprehensive understanding of the dynamic behaviour of the entire aquifer system. However, due to the significant resource investment required, this aspect if often overlooked in early screening and evaluation stages, leading to less-than-optimal selection of potential CO₂ storage sites, and missed opportunities.
To solve this issue, we developed a Proprietary Proxy Model back in 2022. It’s a dynamic simulation tool for rapid regional screening of CO₂ storage sites. This model enables us to assess potential storage locations within project timelines and has become a valuable addition to our product portfolio.
Over the past few years, we have screened the most promising areas of the Norwegian North Sea, Norwegian Sea, and Barents Sea. Several potential sites have been identified and evaluated in detail using both the Proxy Model and later full-scale reservoir simulation models covering the entire aquifer. You can read about the Proxy Model here.
Lex Rijkels, Associated Specialist Reservoir Engineering:
– After years of focused engagement in commercial aspects of geological CO₂ storage, our team understands the critical importance of thorough and repeated screening, simulation, and evaluation. At times, a fresh perspective is needed to uncover overlooked opportunities or identify risks that require careful evaluation. Our team has experienced both scenarios first hand.
Our efforts have equipped ExploCrowd with detailed insights into the CO₂ storage capacity of key European CCS countries. Additionally, we have garnered valuable IP-rights as part of our process.
4. Be bold enough to question ‘the truth’.
Has the theoretical potential of geological CO₂ storage been mistakenly seen as realistic storage capacity? Is there sufficient emphasis on data quality assurance when assessing commercial viability? Are geologists, policymakers, and business developers unintentionally talking past each other?
These questions have sparked ongoing discussions within our team for years. In 2023, when we after a conference realised that we were not alone with these considerations, we made the decision to publicly address what we consider a discrepancy between the usage of published CO₂ capacity estimates and their intended purpose. We presented some of our research, along with initiatives aimed at:
Raising awareness: As geologists, navigating uncertainty is integral to our work and expertise. Uncertainty is a natural part of maturation, and confidence almost always means lower numbers than theoretical potential, because you get access to more data and therefore get more certainty. As a result the ranges narrow, both the upside potential and the downside risk.
Communication: We advocate for establishing a common communication framework for uncertainty and matureness level of each project. Improved communication and understanding among different stakeholders are crucial to ensure that upcoming large-scale CO₂ storage projects are developed with informed decision-making, safeguarding against substantial investment loss. If you are curious about our view on this, you can read more about this topic here.
Sidsel Lindsø, CEO:
– Challenging established truths can be daunting, yet we believe it’s essential for paving the path to success. From our perspective as geologists and subsurface experts, we recognise the imperative of using ranges instead of singular numbers. While it might seem simpler to communicate a single figure, it can imply an estimate with high confidence even though there is a high level of uncertainty. To mitigate risk, we always recommend a quality appraisal program which step by step reduces uncertainty and builds confidence.
5. Sharing is key for accelerating the process.
Geological CO₂ storage presents a complex challenge, but we firmly believe that sharing knowledge and insights collaboratively will accelerate the process.
At ExploCrowd, sharing is embedded in our business culture. Our experience has shown that sharing has a positive impact on innovation, speed, and confidence:
It fosters the development of new concepts and possibilities.
People thrive in an open and trusting environment, resulting in faster workflows.
Close collaboration, including with client teams, cultivates a deep understanding of each other’s capabilities, empowering us to move faster and with confidence.
George Jones, Associated Specialist:
– In recent years, our research, methods, and business culture have propelled us far in building expertise in geological CO₂ storage. Starting with an initiative and a consortium in 2020, four years later, our work integrates and covers all the crucial disciplines necessary for commercial evaluation and independent audits of potential sites. We are eager to share our experiences and insights to drive the industry forward, ensuring energy security and reducing CO₂ emissions for all.