This demonstration project in its Study phase is being carried out on behalf of the black coal industry to assess and, if possible, demonstrate the technical viability, integration and safe operation of Carbon Capture and Storage (CCS) in the Surat Basin to benefit all emitters of CO2.
Who is CTSCo?
Carbon Transport and Storage Company (CTSCo) is a wholly grant-funded subsidiary of Glencore, one of the world’s largest, diversified natural resource companies. Glencore's commitment to climate change mitigation is documented in its 2017 publication "Climate change considerations for our business".
The purpose of CTSCo is to assess and deliver the Surat Basin CCS Project on behalf of Government and Industry funders.
The Project has been established to demonstrate the technical viability, integration and safe operation of CCS in the Surat Basin to benefit all emitters of CO2.
The small team involved in delivering the current study phase have deep sub-surface technical expertise derived from many years experience working in the conventional oil and gas industry in the Surat Basin.
CTSCo Governance Structure
Funding agreement to deliver
The work being undertaken for this Study is under a “contract to deliver” to the Project Funders, that is COAL21 and Australian Government. This is what is known as a “technical service to deliver”. Glencore provides the governance and support services – i.e finance system, contract approvals etc.
Project oversight and reporting
A Project Oversight Committee (POC) was established as part of the COAL21 Funding Agreement to:
- Provide strategic guidance and assistance to CTSCo in fulfilling the Project technical outcomes and objectives;
- Facilitate co-operation and collaboration amongst the Parties to promote and fulfil the Project outcomes and objective;
- Monitor and review the progression of the Project.
The POC include representatives from COAL21, the Federal Government and Glencore.
Internal review and continuous improvement process
Two expert reference/review groups have been established to provide independent, expert advice on the relevant program areas and report to the POC as required. These groups include:
- Geotechnical Reference Group with technical experts and scientists in geology, geophysics, storage and water to provide expert advice to the relevant program area on subsurface geoscience (geology, geophysics, hydrological, geochemical etc.).
- Community and Stakeholder Engagement Reference Group with communication leaders in the resource, academic and research sectors to provide advice to the relevant program areas on all aspects of community and stakeholder engagement in order to achieve a social licence to operate.
Who Supports CTSCo?
Current Stage: Feasibility Study/ Front End Engineering Design (FEED)
In June 2016, the Federal Department of Industry Innovation and Science (DOIIS) granted $8.775 million towards the Feasibility/FEED Study Stage completion. This is the next step in moving the project toward a final investment decision and construction.
In October 2014, CTSCo was granted $15.24m from the COAL21 Fund for work on the Feasibility/FEED Study Stage of the Surat CCS Project.
Managed by Australia Coal Association Low Emissions Technologies Ltd (ACALET), the COAL21 Fund was established by the Australian black coal industry to support the research, development and demonstration of cleaner coal technologies. The outcomes from the studies will be made public and therefore benefit all emitters of CO2 that require storage.
Previous stage: Pre-feasibility study stage funding
Prior to starting work on the current stage, CTSCo participated in the Carbon Capture and Storage Flagship program and received funding support for the now completed pre-feasibility stage from the Australian and Queensland Governments, ACALET and Glencore.
The Australian Government’s Carbon Capture and Storage Flagships program was established to promote the wider dissemination of CCS technologies by supporting a small number of demonstration projects.
The project has also received financial support for separate research and development projects from the Australian National Low Emissions Coal Research and Development (ANLEC R&D).
ANLEC R&D is supported by COAL21 and the Australian Government.