News

China shows climate change prowess as large-scale CCUS facility enters construction

Friday, 31 March 2017
Xi’an, China

Embargoed to 9.00am (China Standard Time), Thursday 30 March, 2017: China reaffirmed its emergence as a rapid climate change mitigator with today’s announcement that the country’s first large-scale carbon capture storage and utilisation (CCUS) facility would enter construction.

The facility’s final investment decision represents a series of “firsts” for China and Yanchang Petroleum, one of China’s largest oil and gas companies and the facility’s owner.

This is the first large-scale CCUS facility to enter construction in China and Asia, and the first large-scale coal-to-chemicals carbon capture and storage facility.

Located near Xi’an (Shaanxi Province), Yanchang CCUS will capture more than 400,000 tonnes of CO2 per annum from two coal to gasification (syngas) plants. It will reinject captured CO2 into previously developed oil fields to release oil from existing formations in a process known as Enhanced Oil Recovery (EOR).

Speaking at today’s event, Global CCS Institute, Asia Pacific General Manager, Alex Zapantis, said the commitment and speed at which this project had progressed from conception to final investment was unrivalled.

“Four years ago, this was an industrial plant venting CO2 into the atmosphere. Today, just four years later, it is a standard-bearer for clean technology.

This facility is expected to capture between six and eight million tonnes of CO2 over the course of its life. This is a massive credit to Yanchang Petroleum and the Shaanxi Province which has created a small piece of history in a city renowned for its rich history – the famed Terracotta Army.

We look forward to seeing Yanchang Petroleum and others like it continue to advance the climate change agenda across China and show the world how practical, cost effective and climate-relevant CCS is.”

The Global CCS Institute has recognized seven additional large-scale CCS facilities in China across a range of large emission industries. This includes power generation, coal to liquids (CTL) as well as fertilizer and chemical production. 

“This is testament to the ability of CCS to retrofit the power and industrial sectors and give them a new, clean lease of life.”

Currently, there are 16 large-scale CCS facilities in operation around the world with a further five coming onstream within the next 12-18 months.

As the world authority on carbon capture and storage, the Global CCS Institute has played a critical role in the Yanchang CCUS facility’s deployment providing technical support, feasibility studies, equipment procurement and a study tour of Australia where other CCS facilities are in progress.

Today’s launch event was attended by dignitaries from China, the United States, Australia and Europe, including representatives from the US and Australian Governments, the International Energy Agency (IEA), the World Bank, and the China National Development and Reform Commission. It also included leaders from across major Chinese industry.

In 2015, the Yanchang CCUS project was identified as a cooperation project in the US-China Joint Presidential Statement on Climate Change when former US President Obama and Chinese President Xi committed to work collaboratively to address climate change.

Yanchang CCUS is a legacy of that cooperation.

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For media enquiries, contact:

Antonios Papaspiropoulos +61 401 944 478, Antonios.Papaspiropoulos@globalccsinstitute.com

Jake Lynn +1 202 895 2793, Jake.Lynn@globalccsinstitute.com
 

About the Global CCS Institute: The Global CCS Institute is an international membership organisation. Our mission is to accelerate the deployment of carbon capture and storage (CCS), a vital technology to tackle climate change and provide energy security.

Working with and on behalf of our Members, we drive the adoption of CCS as quickly and cost effectively as possible by sharing expertise, building capacity and providing advice and support so that this this vital technology can play its part in reducing greenhouse gas emissions.

Our diverse international membership consists of governments, global corporations, small companies, research bodies and nongovernment organisations, committed to CCS as an integral part of a low-carbon future. We are headquartered in Melbourne, Australia with regional offices in Washington DC, Brussels, Beijing and Tokyo. For more information, visit www.globalccsinstitute.com