The agreement is the first project to reach the technical feasibility stage since the companies signed a collaboration agreement in August to explore carbon capture, utilization, and storage (CCUS) projects in the UAE and the US and to incorporate climate technologies in energy projects such as emissions-free power and sustainable fuels (OGJ Online, Aug. 1, 2023).
The study will assess the feasibility of building the first megaton-scale DAC plant outside the US. The project is envisioned to be connected to ADNOC’s CO2 infrastructure for injection and permanent storage into saline reservoirs not used for oil and gas production, ADNOC said in a release Oct. 3. Financial details were not disclosed.
Use of CO2 extraction technology developed by Carbon Engineering for 1PointFive’s DAC plant being developed in Ector County, Tex., is expected, Occidental said in a separate release Oct. 3.
A $1.1-billion August deal by Occidental’s 1PointFive to acquire the Canada-based engineering company’s outstanding equity gives the operator opportunity to “rapidly advance DAC technology,” the company said at the time (OGJ Online, Aug. 15, 2023).
The Permian basin-area plant, Stratos, is expected to capture up to 500,000 tpy of CO2 from the atmosphere when fully operational (OGJ Online, Aug. 11, 2023).
As part of its carbon management strategy, ADNOC is currently testing the world’s first full sequestered CO2 injection well in a carbonate saline aquifer in Abu Dhabi, and in August made a final investment decision to proceed with the Habshan carbon capture project in Abu Dhabi for which it recently let an engineering, procurement, and construction contract (OGJ Online, Sept. 6, 2023; Oct. 3, 2023).
ADNOC recently increased its annual carbon capture capacity target to 10 million tpy of CO2 by 2030.