PERDAMAN Chemicals and Fertilisers and Wesfarmers Premier Coal are among six companies that will take part in a carbon capture and storage project in the South West of the state worth a potential $1 billion.
PERDAMAN Chemicals and Fertilisers and Wesfarmers Premier Coal are among six companies that will take part in a carbon capture and storage project in the South West of the state worth a potential $1 billion.
Other companies involved in the joint venture project with the Department of Mines and Petroleum are Verve Energy, The Griffin Group, BHP Billiton Worsley Alumina and Alcoa of Australia.
The companies will vary in their involvement; some will have their carbon emissions captured and stored while others, such as Alcoa, are interested in using the emissions that have been captured.
The federal government will fund the initial $52 million feasibility study into the Kemerton-based CCS project as part of its broader emissions reduction strategy, which, should it be successful, would attract $330 million federal funding and $660 million state and industry funds.
The project would be located at the Lesueur formation, north of the Kemerton industrial area, and is the first on-shore carbon capture and storage trial project in Western Australia to involve the capture of CO2 emissions from industrial facilities, compressing them into a liquid and pumping this deep below the earth for permanent storage
“It is expected to take about four years of study and research, including detailed desktop modelling, before a final decision on the hub can be made,” Mines and Petroleum Minister Norman Moore said.
Once completed, the project would aim to capture up to 2.4 mega tonnes of CO2 a year from surrounding industry, including coal-fired power plants, the equivalent of the annual emissions released from 454,000 passenger vehicles or annual emissions from 178,000 households.
Mr Moore said the project had the potential to reduce carbon dioxide emissions by 30 per cent in the South West and by 9 per cent across the state.
Resources and Energy Minister Martin Ferguson said carbon capture and storage (CCS) was one of the fronts the federal government was using to reach emissions reduction targets.
“Carbon capture and storage has the potential to significantly reduce emissions across a variety of applications, for example in industry and power generation,” he said.
“The Renewable Energy Target and a price on carbon will drive investment in renewable energy but direct government investment is also needed to help industry make the breakthroughs needed to see new technologies deployed at scale.”
Mr Moore said a community consultative group would be established to address community concerns and knowledge gaps.
“Simon Holthouse, previous chair of the State Planning Commission and long-time local resident of Harvey, will chair the LCCG, which will provide a forum for open and accurate communication between the Department of Mines and Petroleum, the Collie Hub and the wider community,” he said.
The Collie project would be the third of its kind that is federally funded, with one other in Queensland and another in Victoria.
Mr Moore said the measures would ensure the project had a thorough and transparent examination before any commercial operations were considered.
“The LCCG will address any community concerns and knowledge gaps in regard to the Lesueur Strata of the Southern Perth Basin, advise on the research required to verify its suitability as a CO2 sequestration location and provide suggestions on preferred methods of information sharing and wider community involvement,” he said.
