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WCA Case Study | March 2009

Otway CO2 Storage Project

Australia

Australia’s CO2CRC Otway Project is the country’s first demonstration of deep geological storage of carbon dioxide (CO2). Located in the State of Victoria, near a small village called Nirranda, the Otway Project is the world’s largest research and geological storage demonstration project.

The A$40 million project is funded by the Australian Federal Government, the Victorian Government, and CO2CRC industry partners. Research agencies in Australia, Canada and the US have provided in-kind support.

Objectives

The Project has a number of core objectives:

Operation – the project is demonstrating that CO2 can be safely transported, injected, stored and monitored following the highest industry standards.

Research – effectively modelling CO2 behaviour in the sub-surface, demonstrating safe storage of the gas, verifying that it remains in the deep sub-surface and contributing to the development of technologies capable of making deep cuts in greenhouse gas emissions.

Regulation – testing the applicability of the existing regulatory environment in relation to transport, injection and geological storage of CO2 while providing science-based advice towards the development of a future regulatory regime.

Education and training – creating opportunities to educate and train people in CCS-related activities.

Collaboration – providing a broader platform for collaboration at national and international levels.

Community consultation – communicating effectively with the community and stakeholders about the nature, progress and outcomes of the project while building understanding and acceptance of CCS.

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Local Environment

Risk assessment undertaken by CO2CRC scientists showed that negative effects on the environment will be highly unlikely. Some land was disturbed with the laying of the pipelines and the drilling of a new well, but this was rehabilitated as required by the local landowners. CO2CRC is also bound by the Victorian Environment Protection; Planning and Petroleum Acts as well as local government regulations that ensure that properties and the environment are well protected.

The likelihood of injected CO2 entering the local groundwater is very low. This is because the cap rock immediately above the storage reservoir is a very thick impermeable layer and will not allow the gas to pass through it. Further there are several other layers of impermeable rock between the CO2 reservoir and the local groundwater sources far above.

Monitoring CO2 Storage

CO2CRC has put in place a series of monitoring and verification (M&V) procedures for the project which address the effectiveness and safety of the site for CO2 storage (assurance monitoring) and help understand the behaviour of the injected CO2 (integrity monitoring).

The monitoring and verification programme is:

  • Developing existing and new M&V technologies that can be deployed for future CCS projects in Australia and worldwide.
  • Helping Australian regulators and government officials develop appropriate regulatory frameworks for CO2 storage.
  • Informing and reassuring the local community that CO2 storage is a safe technology for reducing CO2 emissions.


The monitoring procedures include atmospheric monitoring, geochemical monitoring and geophysical monitoring, including seismic surveys. During the programme, CO2CRC is monitoring the environment for any changing levels of carbon dioxide in the soil, in the groundwater, in the air and deep underground. The monitoring programme started two years before injection and will continue for at least two years after the injection process has ended.

Given that the Naylor field has safely contained natural gas for thousands, if not millions of years, CO2CRC is confident that the CO2 will not leak.

For further information on the Otway Project visit the CO2CRC website: www.CO2crc.com.au/otway