Shell plc signed a non-binding memorandum of understanding (MoU) with China Petroleum & Chemical Corp. (Sinopec), China Baowu Steel Group Corp. Ltd., and BASF to explore the feasibility of developing an open-source carbon capture, utilization, and storage (CCUS) project in the East China region.
An open-source project could potentially offer industrial companies in the middle and lower reaches of the Yangtze River contractual opportunities to capture and store their CO2 emissions, Shell said in a release Nov. 4
The four parties intend to conduct a joint study to assess the technical solutions and develop a commercial model for the project. The study will also explore to establish high-integrity and verified low-carbon product supply chains and propose enabling policies. If successful, it will be China’s first large-scale open-source CCUS project with a potential capacity of tens of million tonnes/year of CO2, Shell said.
China holds an estimated 2,400 Gt in carbon storage capacity, second only to the USA, Shell said. The country currently has more than 40 CCUS pilot projects with a total capacity of 3 million tonnes. Many are small developments linked with enhanced oil recovery.