Property Rights / Permitting for Storage in the Evaluate stage

Objective

To objective of this activity is to:

• Acquire property rights to explore with right-to-convert at least in part to development
• Obtain an Exploration Permit

Major Deliverables

Reports and documentation associated with the Exploration Permit application and exploration activities, including the following:

• Legal instruments proving property ownership or the explicit agreement of existing owners to perform CCS-related activities on their property
• Completed Exploration Permit application and supportive documentation from the Concept Study for submission to the relevant authorities
• Exploration Permit received from the issuing authorities
• Site survey and characterisation report for submission as part of the Storage Permit application 

Tasks

To proceed to the exploration phase, the following tasks need to be addressed in relation to property rights and permitting:

• Establish ownership of surface/seabed and sub-surface through negotiation with existing owners and/or national government agencies responsible for such property administration - the exact definition of property rights and development potential will be dependent on:
• Prevailing national and international laws in force
• Whether site is onshore or offshore
• Whether exploration will involve non-intrusive (e.g. remote sensing) or intrusive (e.g. drilling) or activities - in the latter case, property access and ownership rights have to be clearly established
• Whether the CO₂ is being used for an EOR/EGR/ECBM scheme or hazardous waste disposal operation
• Submit the completed Exploration Permit application to the local/national government agencies responsible for authorisation. Supportive documentation should include:
  • Legal proof of ownership (or the explicit agreement of owners in legal terms to allow CCS-related activities on their property)
  • Insurance and/or liability documentation including details of any formally agreed compensation arrangements
  • Corrective action plans derived from the conceptual study
• Obtain Exploration Permit - a phased permit ensures operator has exclusive exploration rights and also verifies that the operator is suitably qualified to perform such work
• Ensure Exploration Permit is provided and covers all planned activities (including any monitoring tests, well tests, etc.). Perform site survey and data collection activities to Evaluate suitability of storage site and potential environmental impacts, including:
  • Site characterisation (comprehensive geological, biological, economic and engineering assessment of storage complex including caprock and reservoir)
  • Overburden assessment (potential migration pathways including existing wells, faults, fracture networks, geological heterogeneities, etc.)
  • Surface/seabed assessment (social, political and environmental factors, conflict of interest, etc.)
• Review data and if results are favourable in terms of site security, capacity, injectivity and minimal environmental impact, compile report and present results, recommendations and associated documentation to the relevant authorities as part of the formal application for Storage Permitting during the Define stage

Examples

• Det Norske Veritas, CO2QUALSTORE - Guideline for Selection and Qualification of Sites and Projects for Geological Storage of CO₂
• National Energy Technology Laboratory, Best Practices for: Site Screening, Site Selection and Initial Characterisation for Storage of CO₂ in Deep Geologic Formations 
• STRACO₂ - Site Qualification and Certification (Sandra Beranger, BRGM)
• The Global Carbon Capture and Storage Institute, Legal and Regulatory Review
• The Global Carbon Capture and Storage Institute, CCS Ready Policy: Considerations and Recommended Practices for Policymakers 
• NZEC Carbon Capture & Storage, International CCS Policies and Regulations 
• World Resources Institute, Guidelines for Carbon Dioxide Capture, Transport, and Storage
• The Bellona Foundation, Burying CO₂: The New EU Directive on Geological Storage of CO₂ from a Norwegian Perspective
• University College London, Onshore CO₂: Australian Onshore Regulation: the Victorian experience

Key Personnel

• National/Local Government Personnel (Environmental/Legislative)
• Project Manager
• Site Management Personnel
• Legal Practitioners (Property and Mineral/Oil/Gas/CCS specialists)
• Environmental Consultants
• Geochemists/Geologists/Geophysicists/Hydrogeologists
• Geotechnical/Geomechanical Specialists
• Drilling/Reservoir Engineers
• Well Test Personnel
• Financial/Economic Analysts