How Carbon Capture and Storage Technology is Transforming Oil and Gas Production
By: Rejith P R, Correspondent, Asia Business Outlook Team
The APAC Oil and Gas industry is witnessing remarkable momentum, with a considerable number of projects in the pipeline. As per the research findings, it is anticipated around 2040 projects during 2023-27. Of which, the petrochemical enterprises would serve the most. China has to deal with most projects, followed by India, Indonesia, Australia, Pakistan, Vietnam, Malaysia, South Korea, Thailand, and Bangladesh. Undoubtedly, the nations will contribute the maximum output of products and services. However, the industry needs to focus on preventing the carbon emissions emitted during the process and how effectively it can be collected until further required applications.
Rajesh Patel, CEO of EnergyScape Asia said that "Carbon capture and storage isn't just a technology; it's a bridge to our sustainable future. By investing in CCS, Asian industries can mitigate their carbon footprint and lead the charge towards a greener economy."
Offsetting The Emissions
The oil and gas industry leverages CCS technology to keep carbon emissions in control and may not affect nature. Strictly following this procedure helps companies focus on production and move forward. However, the absence of upgraded technology will lead to a vast amount of carbon emissions that go into the atmosphere and lead to global warming. So, how does CCS work well overall? It can capture carbon emissions from refineries and power plants and also from companies dealing with the production that emits carbon, which can prevent a significant portion and is less likely to reach the atmosphere.
Hence, for the industry, CCS is the crucial one that has to be implemented for the smooth functioning of the business operations by lowering the environmental impact and assisting in meeting emission reduction goals.
The CCS is predominantly helpful for the firms that have yet to succeed in recovering the oil from existing wells. The process works in this way: by injecting the captured carbon into depleted oil reservoirs, the oil that could not get from the deeper Prior has an excellent opportunity to find the resource with the help of enhanced pressure created by the injected carbon, called enhanced oil recovery and also known as tertiary recovery. This oil recovery will increase the chances of oil production and give a massive incentive for the successful implementation of CCS technology.
Most interestingly, the amount earned from the oil recovery can even compensate for the cost of capturing and accumulating carbon, enabling CCS projects to be more cost-effective for oil and gas organizations.
The state of the CCS technology links current energy systems based on fossil fuels and cleaner, more sustainable substitutes. More importantly, the world is actively shifting to renewable energy sources to protect mankind from carbon emissions and other harmful gases reaching the atmosphere. Nevertheless, the root of carbon cannot be eradicated from the planet as fossil fuels are still essential for energy security and economic stability in plenty of regions. Considering the consequences, the CCS enables the oil and gas sector to function more cautiously by lowering carbon emissions and enhancing the life span of natural resources in a carbon-dependent world.
Legal Compliances and Corporate Obligations
As pointed out earlier, the world is in the phase of removing carbon from the universe. The oil and gas sector will obviously intensify the pressure to lower carbon content. Although there is enormous pressure, the CCS technology will save the companies to a certain extent and allow the firms to showcase their commitment to improving the environment and enhancing strict rules during the process. With this, we can comprehend the implementation of CCS is pivotal in the industry, and simultaneously, at the same time, it helps the firms and protects nature, which will increase its reputation, make it socially responsible, and lure potential investors and customers.
How CCS can be Successful
Before successfully implementing CCS technology, companies must consider the infrastructure for capturing carbon, movement, and storage. However, it requires a massive investment to put everything in the right shape, and getting approval from the regulatory can be crucial. Besides, finding the correct place for storing the carbon is significant since there could be a possibility of leakage, which must be thoroughly monitored to ensure secure storage.
The successful operation may also depend on public acceptance as they have concerns about carbon storage's safety and future impact. Hence, there must be effective communication and willingness to adapt and engage with stakeholders to increase public trust and smooth the dealings.
In a nutshell, CCS technology is the future and acts phenomenally in the oil and gas industry to serve the overall purpose. Globally, the world is experiencing the issue of global warming, and the inclusion of CCS will help lower emissions and protect the environment to a certain extent. Even though CCS is transforming the industry, the firms that have not leveraged this should install this as part of the global initiative, as it is high time. Eventually, CCS will remain a successful tool that will change the industry's future while preserving energy and economic sustainability.