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DOE’S FIRST LARGE-SCALE CCS PROJECT BEGINS OPERATIONS IN TEXAS
http://ghgnews.com/index.cfm/doee28099s-first-large-scale-cc...
Nearly four years after Congress passed the American Recovery and Reinvestment Act and allocated nearly $3.5 billion to carbon capture and storage development, the Department of Energy has finally brought a large-scale integrated demonstration project online. Capture and storage operations recently kicked off at Air Products and Chemicals’ Port Arthur project in Texas’ Gulf Coast, DOE confirmed this week. The $430 million industrial capture retrofit onto a hydrogen production facility owned by Valero Energy Corp. is officially the first project in DOE’s CCS demonstration portfolio to begin full-scale operations, according to the Department....

Capture at the hydrogen facility’s second steam methane reformer is expected to begin in April, and the two units together are expected to capture roughly one million metric tonnes of CO2 annually, ultimately helping produce up to three million additional barrels of oil annually for Denbury, according to DOE. The Department allocated $284 million in stimulus funding to the project....

CO2 capture for industrial operations is seen as particularly critical in the eyes of organizations like the International Energy Agency. While power generators can choose to pursue other lower-carbon options for generating electricity instead of CCS to meet emissions reduction goals, CO2 capture is considered the only path currently available for reducing emissions from industrial operations. IEA estimates that in order to limit the effects of climate change to a manageable level, 82 industrial capture projects must be in operation by 2020. But in its most recent technology report, IEA finds that while that goal is technically feasible, current investment patterns are “woefully off pace.”

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DOE’S FIRST LARGE-SCALE CCS PROJECT BEGINS OPERATIONS IN TEXAS

Norway Drops ‘Moon Landing’ as Mongstad Carbon Capture Scrapped
www.bloomberg.com/news/2013-09-20/norway-drops-moon-landing-...
Norway dropped plans for a full-scale carbon capture plant at its Mongstad refinery after cost overruns and delays, ending a project that was dubbed as the country’s “moon landing” by Prime Minister Jens Stoltenberg. The full-scale project will be halted, Oil and Energy Ministry Ola Borten Moe said today at a briefing in Oslo. The government will increase spending on a carbon test center at the plant by 400 million kroner ($68 million) and will seek to build a full-scale plant in another location, he said....

“This is some of the worst form of incompetence I’ve seen from the government,” Frederic Hauge, head of environmental group Bellona, said in an interview. “This will stand as the symbol of this government’s total failure on climate policy.” The effort was criticized this week by the nation’s Auditor General, which said the test center project was 1.7 billion kroner over budget, according to a statement on Sept. 17. In total, the government said it has spent about 7.2 billion kroner on carbon capture, including 1.2 billion kroner on the full scale project.

“The investigation shows that the complexity of implementing CCS was underestimated in 2006,” the auditor said. “Among other things, it has proven very difficult to plan and build capture facilities on a large scale near a refinery and heat and power plant in operation. This has entailed high costs and a longer implementation period.”

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