Commercialization of Al Reyadah – World's 1st Carbon Capture CCUS Project from Iron & Steel Industry for Enhanced Oil Recovery CO2-EOR
Abstract As fossil fuels will continue to be a key source of energy for the world, the role of carbon capture utilization and storage (CCUS) has become increasingly important in addressing climate change by limiting emissions and by establishing a pathway to reaching net-zero. In spite of its significance, the deployment of CCUS globally in the past decade has not met expectations. It is largely due to the challenges in commercializing the technology. On the contrary, ADNOC successfully deployed CCUS in 2016 and has been operating Al Reyadah - the world's first CCUS project in Iron & Steel Industry and Middle East's first commercial CCUS project for enhanced oil recovery (CO2-EOR). Similar to other industrialized economies, Abu Dhabi has various sources where carbon dioxide (CO2) is emitted. It also has an advanced oil & gas industry which requires CO2 for enhanced oil recovery (EOR) in order to improve production output. ADNOC synergized these two industries to create a business case. The concept of a CO2 network, linking CO2 producer (source) and CO2 user for EOR (sinks) was developed as far back as 2008. Various studies where undertaken and a steel facility was identified as an ideal choice for a 1st project, given availability of CO2 and proximity to the ADNOC oil fields. In 2012, Al Reyadah was formed to develop the facility and pipeline that is operating today. This is the first step in a vision that would see multiple sources within Abu Dhabi that will be connected via a pipeline network to supply the CO2 needs of ADNOC for EOR, sequestering CO2 and reducing the UAEs greenhouse footprint, whilst freeing up vital hydrocarbon gases (used currently in EOR) for use in commercial industry. From inception, Al Reyadah has been referenced for decarbonization by many global organizations including International Energy Agency (IEA) and International Renewable Energy Agency (IRENA) and has won prestigious recognitions from Carbon Sequestration Leadership Forum (CSLF) and Emirates Energy Awards (EEA). This paper discusses the various strategies and commercialization tactics that ADNOC applied to deploy this unique project, which is only among 21 CCS/CCUS projects operating in the world in 2020 and a precursor to thousands of CCS/CCUS projects that are expected to be built globally in the coming years.