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    Santos mulls FID on Australian CCS

Summary

The company said it was waiting on regulatory developments before it moves forward.

by: Daniel Graeber

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Complimentary, NGW News Alert, Natural Gas & LNG News, Asia/Oceania, Energy Transition, Corporate, Investments, Infrastructure, Carbon Capture and Storage (CCS), News By Country, Australia

Santos mulls FID on Australian CCS

The chair of Australian energy company Santos said April 15 the company planned by year’s end to make a final investment decision (FID) on a carbon capture and storage (CCS) facility that it said would be amongst the largest in the world.

Keith Spence told shareholders during the company’s annual general meeting that its US$155mn Moomba CCS project could move forward once new legislation comes through from the federal government in Canberra.

“The 1.7 million tonne per annum project is waiting on a methodology to be approved under the Clean Energy Regulator’s framework so that CCS projects can generate Australian Carbon Credit Units,” he said. “We anticipate this will be in place by September this year, paving the way for what will be the second-largest, and the lowest-cost, CCS project in the world.”

Santos on October 22 said it had injected approximately 100 metric tons of CO2 into depleted gas reservoirs as part of the final field trial for the Moomba CCS project.

Last month, CEO Kevin Gallagher said  the company had drawn a roadmap to net-zero emissions by 2040.

Santos is looking to lower its Scope 1 and 2 emissions by 26-30% by 2030, versus a 2020 baseline, and it also plans to actively work with customers to reduce their Scope 1 and 2 emissions by more than 1mn mt/year within the next decade, through switching to cleaner fuels.