The Quest For Less Co Learning From Ccs Implementation In Canada

04The Quest for less CO2: Learning from CCS Implementation in Canada05A Case Study on Shell’s Quest CCS ProjectPRECEDENTSETTINGCOLLABORATIONTO ADVANCECCS POLICYFRAMEWORKSAs worldwide commercial-scale deployment ofCCS is still in early days, government and publicsupport for project development are essential toincent early demonstration projects, which are neededto achieve lower costs and greater efficiencies througheconomy of scale. In addition to the C 865 million ofgovernment funding (Provincial & Federal), significantgovernment support was also required in Canada toenable the development of ground-breaking policyframeworks, including regulations tailored to CO2 storageas well as a measurement, monitoring and verification(MMV) system and post-closure certification protocol toenable the storage responsibility to be transferred overto the government after the project lifetime.Before Quest, there was no methodto acquire the subsurface rights tosequester CO2 in Alberta.Acts were in place for extraction, deep-well disposalof fluids, and the storage of gas, however not for thesubsurface sequestration of CO2. The government hadto amend existing legal and regulatory frameworks.To support, Shell had to understand the processes theregulator had to follow to establish new legislation;and the government learned about the technicalitiesassociated with sequestration leases. The Questsubsurface team clarified the science and specificsof CO2 storage and the goals of the project ingreat detail. Workshops were held to discuss ideassurrounding the legislation under development.In addition, Quest underwent an environmentalassessment to meet provincial governmentrequirements. From late 2009, the legislative andregulatory strategy was pulled together and the projectmoved forward. In December 2010 the governmentintroduced the act and the regulations were in place byApril of 2011. Once the regulations were introduced,Shell applied for sequestration leasesEARNINGSTAKEHOLDER TRUSTAND CONFIDENCESecuring local stakeholder support and regulatory approvalare critical steps, which for many projects can becomehurdles that significantly delay, or even prevent, approvals.As the concept of capturing and storing CO2 undergroundwas seen as still new in Alberta, the project team recognizedthe importance of gaining local support, and also broaderpublic acceptance in order to proceed. Describing Quest asone of several approaches to managing the CO2 from the oilsands helped provide an effective context for discussions withgovernment and the public.Honest and open face-to-face discussionsled by local staff were fundamental to thesuccess of the project.The Shell Scotford facility where Quest is situated,consists of an upgrader (operated on behalf ofthe AOSP) as well as a Shell wholly owned oilrefinery and chemicals facility. It is one of NorthAmerica’s most efficient, modern and integratedhydrocarbon processing sites, converting oilsands derived bitumen into finished productsvia upgrading, refining, and chemical products.The complex is located near Fort Saskatchewan,Alberta in an area known as the ‘IndustrialHeartland’. Several oil and gas, petrochemicaland fertilizer operations form the primary industrybase in the region. The Shell Scotford facility,originally established with the refinery in 1984,has a long history in the area and Shell has builta strong reputation as a good employer andvalued member of the community.The stakeholder engagement plan for Questneeded to consider, and in many cases buildupon this history, meanwhile recognizing theneed to be integrated with Shell’s outreachactivities already underway in the area.Channels of communication were establishedearly on and remain open even today, enablingboth formal and informal engagement to seekinformation and have questions answered orconcerns discussed. Prior to submitting a regulatoryapplication, and subsequently throughout theregulatory process, open houses were held toanswer questions and inform the public on theproject. The open houses also drew in suggestionsand feedback from local residents, one of whichwas a groundwater quality-monitoring program,which is now part of the MMV program.Another key success factor in the stakeholderengagement process was Shell’s collaborationwith the Pembina Institute, a Canadiannon-governmental organization. Often soughtfor their views on energy matters, Pembina is acredible and trusted voice among both membersof the public and other key stakeholders.Pembina was instrumental in facilitatingdiscussions between Shell and key localstakeholders including landowners and municipalleaders, notably through ‘Quest Café’ events.These events were a form of intimate dialoguesessions in which frank discussions about theconcerns, questions, challenges and benefits ofQuest were discussed in more detail. The sessionsensured stakeholders could express and receivecredible responses and solutions (as an example,the pipeline route was modified over 30 timesto incorporate local feedback and minimizedisturbances). Discussions also ensured peoplehad a full and accurate understanding of theproject, and that Shell had a deep understandingof stakeholder perspectives and took these intoaccount as the project was developed.One of the most successful stakeholderengagement mechanisms to come out of theQuest Cafés, which is still in place today,is a Community Advisory Panel which ismade up of local residents, members of theacademic community, political and regulatoryrepresentatives. The primary purpose of the Panelis to share regular updates about the project,specifically the MMV program and results, andfor Shell to take recommendations from the Panelon the best approach to communicate these resultsto the broader community.Through comprehensive stakeholder outreach,engagement and education, the Quest team wasable to successfully achieve approvals through theregulatory process

06CAPTURE TECHNOLOGYThe successful integration of the capture plant into the hydrogenmanufacturing unit’s (HMU) operation is a critical technicalcomponent to Quest’s success.Integration into Hydrogen Manufacturing UnitsQuest combines tried and tested technology in an integrated surface and subsurfacedevelopment. The CO2 formed as a by-product in hydrogen production is captured usingShell’s ADIP-X amine technology. ADIP-X is a widely applied CO2 removal process andhas been applied for decades within gas processing and liquefied natural gas plants. The successfulintegration of the capture plant into the hydrogen manufacturing unit’s (HMU) operation is a criticaltechnical component to Quest’s success. That said, only the application for CO2 capture is truly novel.Quest captures CO2 from the three HMUs atScotford. Of the CO2 produced in the reformer,roughly 80% is removed from the raw hydrogen- syngas - in an amine absorber (Figure 2).Capturing CO2 from this source has advantagesover post-combustion CCS. The higher pressure( 30 bar or 435 psi) allows for smallerequipment and more efficient CO2 absorption inthe amine. In addition the hydrogen is clean andno further gas clean-up is required.In the earlier project phases various alternativecapture technologies were considered. Reasonsfor selecting ADIP-X technology included thepossibility to physically fit the system in existingunits and the site specific utility systems. An amineSCOTFORD UPGRADER07A Case Study on Shell’s Quest CCS ProjectThe Quest for less CO2: Learning from CCS Implementation in CanadaThe ADIP-X absorber is fully integrated intothe HMU process (Figure 2), which impliesadditional measures are taken to minimize theimpacts on the hydrogen production. The rawhydrogen coming from absorber is sent to awater-wash column, which reduces the aminelevels in the gas to very low levels to protect thedownstream adsorbents. The hydrogen is furtherpurified in the existing pressure swing adsorptionunits (PSA) removing CO, CO2, and CH4 andreturning those to the reformer. To compensatefor the increase in this PSA tail gas streamheating value (which contains less CO2), flue gasfrom the HMU stack is recycled to the furnacevia the combustion air. This is one of the crucialmeasures for NOx control. The recycled fluegas substitutes the CO2 as an inert gas, whichreduces the reformer temperature. At lowertemperature there is less NOx formation.based system only requires one column (absorber)and vessel (water-wash) to be on the HMU plot,which significantly reduces the footprint in theHMU area. The single amine stripper (commonto the absorbers in the three HMUs), compressionand dehydration is set on its own plot (Figure 4).In addition Shell has experience with applyingamine technology in HMUs. In the ‘conventional’HMU line-up, CO2 is removed using an amine.There are numerous plants in operation withShell’s technology. The main utility needed foran ADIP-X unit is low pressure steam used toregenerate the amine solvent. At Scotford therewas sufficient steam available from amongst othersources, the HMUs, which further strengthened thecase for applying amine technology.In collaboration with the technology licensors forthe PSA units, several modifications have beenmade to optimize and tune the PSA for Questoperation. A change to the operation mode isCO2 COMPRESSIONCAPTURE FACILITYthat the lower CO2 load to the PSA allows theloading cycle times to be increased significantly.Several process control measures have also beendeveloped to successfully dampen loss of CO2capture and prevent escalation of trips on theADIP-X absorber.The CO2 absorbed by the amine is released ina common amine regenerator (stripper). Thecaptured CO2 from the amine regenerator isthen compressed and dehydrated. Quest has aneight stage integrally geared compressor withinter-stage cooling and knock-out. The glycoldehydration unit is located between the 6thand 7th stage as at this location the pressure isoptimal for water removal and equipment size.The dry dense phase CO2 is transported bypipeline 64 km north of the Scotford facilityto where it is injected into the Basal CambrianSands (BCS) more than two kilometres below theearth’s surface. Three injection wells have beenestablished to ensure sufficient redundancy/availability to store CO2TRANSPORT & STORAGEH2 ProductFGRPSAAirFEEDLean AmineWaterWashCO21stSTAGEDehydration8thSTAGECO2 njection WellsSyngasH2, CO2, (CH4, N2, CO)3 Hydrogen Manufacturing UnitsFigure 2: Basic overview of Quest’s line-upLoaded AmineSteamCommon StripperLegend: HMU Hydrogen Manufacturing UnitPSA Pressure Swing AdsorptionFGR Flue Gas RecycleHMU streamCO2AmineSteam

0809The Quest for less CO2: Learning from CCS Implementation in CanadaA Case Study on Shell’s Quest CCS ProjectStoring the CO2 subsurfaceMeasurement, monitoring and verificationThe BCS is a deep saline aquifer, located about 2 km below ground, far below groundwaterlevels and oil and gas reservoirs. The storage formation is at the base of the central portion ofthe Western Canada sedimentary basin. Here CO2 will be injected over a period of 25 yearsand will remain permanently trapped in the formation.In the site selection for CO2 sequestration, itwas key to find a subsurface formation thatcould store CO2 and would contain the CO2such that it could not leak to any shallowreservoirs, neither hydrocarbon bearing noraquifers. Above the BCS, a number of thick seals(cap layer) are present including the MiddleCambrian Shale, and the Upper and LowerLotsberg Salts (Figure 3). In addition to havingsufficient cap layers, the site had to be in anarea with minimal penetrations of the storagecomplex by legacy wells.The site selection has placed theQuest project in a reservoir withexcellent seals and minimalpotential leak paths.In addition, the formation has high injectivity.Consequently, lower injection pressures arerequired which lowers the driving force forleaks, but also deceases the operational cost ofthe facilities as less compression horse poweris required. Modeling shows that even in theevent of a leak path it is highly unlikely thatgroundwater would be contaminated given themultiple layers of thick, low-permeability, andextensive sealing formations that separate theBCS from groundwater sourcesFigure 3: Schematic stratigraphic column ofthe BCS storage complex and an injection wellThe Quest Project has a responsibility to carefully monitor activity within the storage area and toverify that the CO2 remains permanently trapped in the subsurface. To this end, a comprehensiveMMV program is in place, which is considered to be one of the most innovative aspects anddemonstration elements of Quest. The Quest project received the world’s first Certificate of Fitnessfor safe CO2 storage from world-renowned risk management firm Det Norske Veritas (DNV).DNV assembled a panel of seven CCS experts from academia and research institutions to performthe review over a two-week period.The monitoring results will be transparent and publically availableto demonstrate that the Quest storage site is inherently safe.The MMV program underpins the ability todemonstrate safe, long-term integrity of thestorage, supports public acceptance, and canbe used to define balanced MMV requirementsfor future CCS projects. The current programcovers a wide range of technologies andanalysis throughout the atmosphere, biosphere,hydrosphere and geosphere [3].This MMV system is designed according toa systematic risk assessment, known as thebow-tie method. This focuses on the elementsof the MMV to address specific issues and is awell-established barrier (safeguard) approachShell uses for process safety throughout its globaloperations to achieve two distinct objectives:ENSURE CONTAINMENT – to demonstrate the security of CO2 storageand to protect human health, groundwater resources, hydrocarbon resources,and the environment.ENSURE CONFORMANCE – to indicate the long-term effectiveness of CO2storage by demonstrating actual storage performance is consistent with expectationsabout injectivity, capacity, and CO2 behaviour inside the storage complex;MMV will achieve this in two ways. First, theexpected effectiveness of existing safeguardscreated by site selection, site characterization,and engineering designs were verified. Second,the system creates additional safeguardsusing the same monitoring systems to providean early warning to trigger timely controlmeasures designed to reduce the likelihoodor the consequence of any leakage from thestorage site. Transfer of long-term liability tothe government is supported by MMV activitiesdesigned to verify that the observed storageperformance conforms to model-based forecastsand that these forecasts are consistent withpermanent secure storage at an acceptable risk.The Quest MMV program has been set up totest multiple approaches to define optimal MMVrequirements for future projects with a reducedset of technologies. As such, the program is byno means a precedent for follow on projects.In early 2015, the US Department of Energy andShell announced plans to collaborate in field teststo validate advanced monitoring, verification,and accounting (MVA) technologies forunderground storage of carbon dioxide

10The Quest for less CO2: Learning from CCS Implementation in CanadaCOST EFFECTIVENESS THROUGHSMART CONSTRUCTIONAlthough Shell does not provide projectspecific costs, when the funding lettersof intent were signed in October 2009the gov’t provided an estimate of 1.35 billion(CAD). The government’s figure reflects costsover a 15-year period (which includes thedevelopment and construction phases and 10years of operations.) The Quest Project teamsuccessfully managed to deliver the project costeffectively despite a heated labor market at thetime of fabrication and construction. The stagewas set through the project planning process,in which clear expectations, early alignment,construction-led planning and design and carefulmanagement of scope and changes were key.Quest took modularization to the next level,Amine absorbers(HMU 1& 2)basing the onshore facility on offshore standardscovered by Fluor’s Third Generation ModularSMdesign practices. This delivered an integratedtight design on a comparably small plot, bystepping away from the traditional - “stick build”backbone with a central pipe rack and units tothe side. The modular construction considerablylimited the amount of onsite construction hours.The maximum module size was 7.3m (wide)x 7.6m (high) x 36m (long). Modules wereassembled in the Alberta area and transportedby road to the Shell Scotford site over theAlberta Heavy Haul corridor. The modulesinclude the complete processing facility.All mechanical, piping, electrical and controlsystem equipment were already in place.A Case Study on Shell’s Quest CCS ProjectCONCLUSIONIn addition to the novel application of CCS in an oil sands facility,Quest has yielded numerous lessons learned and best practicesrelevant to both technical and non-technical risks, which can helpreduce the time, effort and cost required to advance other CCSprojects worldwide. With prolonged operation and injectionexperience at Quest more information will be made available.Globally Quest can serve as a model for advancing anddeploying CCS in oil sands and other industrial operationsAmine stripperCompressor &dehydration systemFigure 4: 3D model of capture plant facilitiesThrough construction of Quest, it became clearthat cost can be further reduced with scale; if moreCO2 sources can be tied into the Quest facility,the cost per tonne of CO2 sequestered could befurther reduced. The 12 inch pipeline for Questhas been sized for 3.0 mtpa for CO2 – with upto 1.2 mtpa of CO2 currently available. A followon project which met the regulatory requirementscould potentially tap into the pipeline which wouldsubstantially reduce sequestration costs.In the earlier phases of the project it would havebeen beneficial to have a firmer understanding ofthe storage formation; however this data requiressignificant upfront expenses. The consequencewas that the subsurface and capture aspects ofthe project were not fully aligned until the lead-upto the final investment decision. The capture plantis therefore designed for a variety of subsurfaceoptions; notably the compressor and pipeline.Investing earlier in more appraisable would havereduced the capture plant costs.The Quest project also bore cost to developtechnology, legislative and regulatory frameworkswhich can now be used as templates forreplication to reduce front-end-project costsfor follow on projects. With the experience ofoperating the Quest carbon-capture facilities,areas are being identified in which contingenciesin the design could be reduced. The MMV systemis state-of-the-art and also a testing ground forvarious technologies. With prolonged injectionexperience at Quest, the program will be able tonarrow down which technologies would be bestsuited for future CCS applicationsResources1. Athabasca Oil Sands Project (AOSP) - http://ww

02 The Qet or le CO 2: Learnin ro CCS Ileentation in Canaa A Cae St on Shell Qet CCS Proet 03 THE QUEST FOR LESS CO 2: LEARNING FROM CCS IMPLEMENTATION IN CANADA A Case Study on Shell's Quest CCS Project QUEST "search or pursuit in order to find something" Pursuing a game-changing approach to managing CO 2 SEQUESTER "to remove, separate and discard or