WORKSHOP ON CO2 CROSS-BORDER TRANSPORT AND STORAGE (CCS) IN ASIA AND THE PACIFICOVERVIEW OF GLOBAL CCS AND CO2CROSS-BORDER TRANSPORT PROJECTSWORKSHOP ON CO2 CROSS-BORDER TRANSPORT AND STORAGE (CCS) IN
ASIA AND THE PACIFIC
8 FEBRUARY 2024

IAN HAVERCROFT
GENERAL MANAGER – KNOWLEDGE AND ANALYSIS

THE GLOBAL CCS INSTITUTE
Accelerating the deployment of CCS for anet-zero emissions future.
WHO WE AREInternational CCS think tank with offices around theworld.
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SCALING UP THROUGH 2030
▪ The CCS project pipeline has exhibited strong year-on-year growth over the last 6 years,
growing at a compound rate of more than 35% per annum since 2017.​▪ As of July 2023, there are 392 facilities in the pipeline, representing a 102% year-on-yearincrease. 41 facilities are in operation, with a capacity to capture and store 49 Mtpa and 351
facilities are in development. ​▪ Growth has been driven by strong policy, particularly in North America and Europe.​▪ There is increasing diversity in CCS applications across industries; the ongoing development ofCCS networks has resulted in a new industry category of “CO2 transport and storage” facilities. ​▪ Whilst the progress is encouraging, achieving global climate targets will require annual CO2storage rates of approximately 1 Gtpa by 2030 and multiple Gtpa by 2050.​▪ As more projects progress from planning and development to execution phase, permitting,public engagement and project management will increasingly become more critical.

CCS PROJECT PIPELINE: UNPRECEDENTED LEVELSGLOBAL CCS FACILITIES: 2023
41 Facilities in operation
26 Facilities inconstruction
325 Facilities indevelopment

APPLICATION OF CCS ACROSS INDUSTRIESDEVELOPMENT OF CROSS-BORDER CCS PROJECTS▪ Recent years have seen a focus upon alternative business models that have the potential toaccelerate deployment, reduce costs and remove supply chain risks.
▪ A key example has been the development of networks that connect multiple capture sources tostorage resources using shared CO2 transport infrastructure.

▪ In several jurisdictions, the focus has turned to projects which include the transport ofcaptured CO2 across territorial boundaries - including between nations – for permanentgeological storage.
▪ Significant opportunities recognised by government and industry, in supporting projects of thisnature – strong interest in Asia Pacific and Europe.
▪ Project proponents, policymakers and regulators required to consider the legal implications oftransporting captured CO2 across territorial boundaries, and between nations.

ASIA PACIFIC▪ Transboundary CCS projects are featured heavily within the region’s project pipeline, althoughmany at very early stages of development:- Bayu-Undan, Carbon Aceh Arun Hub, ExxonMobil Indonesia Regional Storage Hub▪ Regional governments are increasingly offering support for projects:- Australian Commonwealth government’s recent legal amendments- Japanese government has provided formal funding support for projects which include
transboundary transport and storage- MOUs signed between Singapore and Australia, and Singapore and Brunei.
▪ Strong industry interest in transboundary operations throughout the region:- Petronas is developing a project with several Japanese corporations with a view tosupporting storage operations in Malaysia by 2028.
- Woodside and Santos have signed MOUs with Japanese and South Korean corporations
to investigate and develop storage operations in Australia- Several international corporations have signed an MOU aimed at examining potential
CCS value chains in the APAC region, which includes consideration of export andstorage options.

EUROPE▪ In Europe there is increased growth in cross-border CO2 networks involving transport by ship
as well as pipelines.
▪ Emergence of projects within the North Sea, but more recently there have been projects
proposed in the Baltic and Mediterranean:- Northern Lights project remains a leader with transboundary CO2 T&S agreements withYara and Orsted- Project Greensand in Denmark is currently in the pilot phase, with CO2 initiallytransported from an INEOS facility in Belgium to an offshore storage site in Denmark- ENI’s Ravenna Hub in Italy is in early development and will see the storage of CO2, thathas been transported from across southern Europe.
▪ These projects and others, are supported by regional frameworks and bilateral agreements
between several governments in the region.

CASE STUDY: BAYU-UNDAN PROJECT▪ In 2021, Santos signed an MOU with Timor Leste’s regulator to develop a CCS project at theBayu-Undan field in the Timor Sea.
▪ The project targets the capture of up to 10 million tonnes of CO2 per annum – initially from theDarwin LNG facility in Australia – for storage in the Bayu-Undan reservoir in Timor Leste.
▪ Santos has highlighted the proposed repurposing of the existing gas export pipeline from BayuUndan to the Darwin LNG plant.
▪ The repurposing of the existing offshore platform, facilities and wells is also proposed.

▪ In March 2022, the project formally progressed to the FEED stage.
▪ Regionally significant project with the potential for the addition of further sources of CO2 fromother nations.

▪ Project has raised important legal and regulatory considerations for both Timor Leste andAustralia.

WORKSHOP ON CO2 CROSS-BORDER TRANSPORT AND STORAGE (CCS) IN ASIA AND THE PACIFIC

IAN HAVERCROFT

GENERAL MANAGER – KNOWLEDGE AND ANALYSIS
IAN.HAVERCROFT@GLOBALCCSINSTITUTE.COM