The CO2CRC Otway Projecty j

Dr Peter Cook CBE, FTSEChi f E ti

All imageCO2CRC unless s copyright

Presentation by Dr Clinton Foster, Director, CO2CRCCSLF Meeting March 2011

Chief ExecutiveCooperative Research Centre for Greenhouse Gas Technologies (CO2CRC)

© CO2CRC All rights reserved

unless s copyright otherwise specified

CO2CRC Otway Project ParticipantsRESEARCH PARTICIPANTS

INDUSTRY AND GOVERNMENT PARTICIPANTS/FUNDERS

CCS Projects in Australiaj

CO2CRC Otway Project Stage 1A t li ’ fi t d t ti CO t j tAustralia’s first demonstration CO2 storage project

Australia’s only operational storage project and a world class research facility, that has safely stored 65,000 t of CO2 as part of Otway 1, and attracting wide community interest and support CO2CRC Otway 2 is now underwaycommunity interest and support. CO2CRC Otway 2 is now underway

4

Location of CO2CRC Otway Project

Sealing Faults provide the traps in the vicinity of the CO2CRC Otway Project

Source of CO2

Depleted gas field

© CO2CRC.All rights reserved.

Otway geological model

SchematicStratigraphic Column

of Otway Basin

CO2CRC Otway Project

Injection phase - prediction

Arrival: 4-8 months

Modeling migration of carbon dioxide within the reservoir

Observation wellObservation wellObservation wellObservation well

CO2 Injection wellCO2 accumulationCO2 accumulation CO2 injection well2 j2

Monitoring at the CO2CRC Otway site

Assurance monitoring provides confidence to the community that there is no leakage to the biosphere

Atmospheric monitoring•Monitoring began lateMonitoring began late 2006

•Existing CO2 sources h t i dcharacterised

•No evidence of emissions from CO22storage to date

•Monitoring using CO2concentration aloneconcentration alone needs ideal conditions, so other species including CH4,SF6, CO

Atmospheric module

Flux station

including CH4,SF6, CO and 13CO2 aremonitored to enhance sensitivityD. Etheridge et al.,

CSIROy

CSIRO

Soil gas monitoring

δ

No largeNo large circles which could indicate aindicate a leak

Hydrodynamics & groundwater Monitoring (Near-Surface)

Cap

Objective:- Monitor water levels to determine seasonal variation, flow rate and direction

Steel Cable

Cable permanently installedCap

,- Identify any chemical changes associated with possible CO2 leakage

Datalogger

Waterlevel

5-10m

Methods:- Dataloggers- Water chemistry

Screen

Aquifers monitored:- Shallow unconfined Port Campbell LimestoneLimestone,- Deep confined Dilwyn aquifer

Integrity monitoring provides confidence to the regulator that there is no leakage out of the storage formation

Seismic monitoringR f i i• Range of seismic techniques

• Vertical Seismic Profiling (VSP) Profiling (VSP) (source surface, receiver downhole)

• High Resolution Travel timeTravel time

• Microseismic surveys (measures creaks in the subsurface)

Naylor-1 Site

Rod 0.75”” ”

” I.D.

2025 m

2020 mIntegrated Bottom holeAssembly Packer

” ID; 27’

-2030 m

2025 m

Naylor 1 Perf2028 to 2032

Integrated

2040 m Depth80oC17 MPa(2500psi)

2045 m

Perf2039to

GasWater

•

• -–

2050 m

2045 m2055

Geophone with clamp (1.125 V - 1.5”? 3C)

Pressure/Temp andU-tube Inlet

Geophone with clamp (1.125 V - 1.5”? 3C)

Pressure/Temp andU-tube Inlet

–• -

•

2055 mTotal Depth: 2060 m

Hydrophone (1.25”) Hydrophone (1.25”)

Downhole fluid sampling from 2 kilometers

Figure X – U-tube surface facility (yellow container) – above

Figure X – Isotube sample

li d l fcylinder – left

Figure X – Inside the u -tube surface facility - right

Injection phase - prediction

Arrival: 4-8 months

Naylor CO2 sampling data

What has CO2CRC Stage 1 achieved?

• Demonstrated safe and effective storage of 65000 tonnes of CO2 in a depleted gas field with no leaks

• Confident that would detect CO2 migration into the overlying formation and a significant leak into the atmosphere or soil

• The reservoir models gave good predictions of “break through” of CO2g g p g

• Have been able to sample ‘in situ’ formation waters from 2 km depth.

• Provides insights into the potential for CO2 enhanced gas recovery

• The community has remained supportive and interested

• The regulators are happy

• Set the scene for Stage 2

What have we learned from CO2CRC Stage 1?• Essential to take the regulator along with you, as the project is developed and

implemented, particularly in the absence of clear regulations

• CCS R&D or pilot projects should not be regulated under the same regime as a commercial-scale project – potentially too onerous and too expensive

• Getting the right arrangements in place for handling liability is crucial to the development of the appropriate company structure – and vis versa

• Assume it will cost you more than the estimates suggest – we worked with a 20%Assume it will cost you more than the estimates suggest we worked with a 20% contingency and used all of that

• You are unlikely to achieve the Sleipner “gold standard” of seismic imaging onshore and we have to be realistic about using onshore 3D seismicg

• Onshore 3D seismic surveys are disruptive to landowners and we will need effective fixed seismic arrays for onshore monitoring

• Tracers are very valuable in a research environment but are not appropriate for• Tracers are very valuable in a research environment but are not appropriate for ongoing use in large scale CCS projects because of the problems of contamination

• Effective relations can be built up with the local community, but start very early, be completely open and still expect at least one difficult person!completely open – and still expect at least one difficult person!