Alberta Department of Energy Carbon Capture and Storage Program
STATUS:
Ongoing
TIME FRAME Start:
2008
TIME FRAME End:
DESCRIPTION:
The Canadian Province of Alberta has set aside C$2 billion to support (up to 75% of costs) the building four new carbon capture and storage demonstration projects that will start to permanently store up to 5 million tons of carbon dioxide by 2015. The CO2 must remain stored for a period of at least 10 years. All projects must be located in Alberta and any portion outside of Alberta will be ineligible under this program.
Funds dispersed by the Alberta government prior to the commencement of an approved project will be limited to a maximum of 40% of the total approved funding for the project and will be paid on specific project milestones, as specified in the grant agreement.
A maximum of 20% of the total approved funding for the project will be paid on commencement of the operations, and the remaining percentage will be disbursed as CO2 is captured and disposed, over a maximum of 10 years.
Revenue received by the project on the sale of CO2, emissions credits, etc. will reduce allowable costs upon which the grant is based.
EXPERIENCE:
In January 2010, the government of Alberta announced all four of the projects to be funded. They are:
The Swan Hills Synfuels Project, wherein Alberta will invest C$285 million for the in-situ coal gasification and CCS project. The project will access deep coal seams and convert the coal into syngas. Captured CO2 is to be used for enhanced oil recovery.
The Alberta Carbon Trunk Line project is to receive C$495 million. The Enhance/Northwest Project is to capture CO2 from the Agrium fertilizer plant and the Northwest upgrader and use it for enhanced oil recovery.
The Keephills 3 project, west of Edmonton, is to receive C$436 million to capture CO2 for enhanced oil recovery. The project developers are: TransAlta Corporation and Project Pioneer.
The Shell Quest Project is to receive C$745 million. Shell and its partners will capture and store 1.2 million tons of CO2 per year beginning in 2015 from Shell's Scotford upgrader near Fort Saskatchewan.
