Momentum is increasing as the Territory sees another important milestone in becoming a global leader in emission reduction technologies through carbon capture utilisation and storage (CCUS).
Santos, operators of the Bayu-Undan offshore gas production facility and Darwin LNG facility, announced entry into the front-end engineering and design (FEED) phase for the proposed Bayu-Undan CCUS project.
CCUS is a proven emission reduction technology considered a critical component in the global climate change mix.
Chair of the Gas Taskforce Alister Trier says decarbonisation strategies are essential in pursuit of net-zero emissions targets whilst enabling new investment and sustainable growth of energy intensive industries here in the Territory.
The Bayu-Undan CCUS project could potentially store up to 10 million tonnes of carbon dioxide per annum, equivalent to about 1.5% of Australia’s carbon emissions each year.
Testing the viability of the existing infrastructure in the Timor Sea and the subsea reservoir is already underway, with a memorandum of understanding between the operator and the Timor-Leste regulator to explore opportunities to permanently store carbon. A final investment decision is targeted for 2023.
Critical emissions reduction technologies are also paving the way for future industry development.
The Northern Territory Government partnership with CSIRO, industry and engineering companies is assessing viability of a large-scale CCUS Hub.
“Climate change action brings new innovations and opportunities for us to come together to respond to and manage risk, transform the way we do business and make bold decisions in all that we do,” said Mr Trier.
The proposed CCUS Hub would be one of the world’s largest facilities of its kind.
The multi-industry facility is envisaged to support the transformation of Middle Arm into a globally competitive, sustainable advanced manufacturing precinct, enable development of an interconnected hydrogen industry, and deliver a blueprint for future low emissions hubs around Australia.
“CCUS will not only drive local job creation and sustainable economic growth, but help attract international investment in transformative new low emissions gas-based manufacturing sectors, estimated to bring unprecedented multibillion dollar growth to regional, remote and urban Territorians for generations to come,” said Mr Trier.
Prospects of carbon capture facilities at Bayu-Undan have also spurred cross-industry collaboration, exploring opportunities for development of the Evans Shoal gas field, with an estimated resource base of at least eight trillion cubic feet of gas in place.
Read the Carbon Capture and Storage Hub Study completed in November 2020 by the Global CCS Institute