GEOLOGICAL STORAGE OF CO 2 processes, risks and opportunities

GEOLOGICAL STORAGE OF CO 2 processes, risks and opportunities Holger Ott DPG-Frühjahrstagung, Arbeitskreis Energie Berlin, 16. März 2015 Shell Global Solutions International B.V.

DEFINITIONS & CAUTIONARY NOTE Reserves: Our use of the term reserves in this presentation means SEC proved oil and gas reserves. Resources: Our use of the term resources in this presentation includes quantities of oil and gas not yet classified as SEC proved oil and gas reserves. Resources are consistent with the Society of Petroleum Engineers 2P and 2C definitions. Organic: Our use of the term Organic includes SEC proved oil and gas reserves excluding changes resulting from acquisitions, divestments and year-average pricing impact. Resources plays: our use of the term resources plays refers to tight, shale and coal bed methane oil and gas acreage. The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate entities. In this presentation Shell, Shell group and Royal Dutch Shell are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. 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There can be no assurance that dividend payments will match or exceed those set out in this presentation in the future, or that they will be made at all. We use certain terms in this presentation, such as discovery potential, that the United States Securities and Exchange Commission (SEC) guidelines strictly prohibit us from including in filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov. You can also obtain this form from the SEC by calling 1-800-SEC-0330. DPG, März2015_sl.2

Outline Geological storage of CO 2 processes, risks and opportunities Motivation Subsurface processes Examples of current R&D: pore scale physics Summary DPG, März2015_sl.3

THE CHALLENGE Royal Dutch Shell plc, Sustainability Report 2013 ~ 858 EJ/a DPG, März2015_sl.4

THE CHALLENGE Royal Dutch Shell plc, Sustainability Report 2013 ~ 858 EJ/a Characteristics: Relative percentage peaks, and declines after 2040 In 2050 still 70% fossil fuels in the primary energy mix 82% 70% Two issues with fossil fuels: Fossil fuels are finite with a reach of <100 a Emission of carbon dioxide acting as greenhouse gas DPG, März2015_sl.5

THE CHALLENGE IPCC - DATA D. P. van Vuuren et al., Climatic Change (2011) Working Group III Assessment Report of the Intergovernmental Panel on Climate Change DPG, März2015_sl.6

THE CARBON CYCLE Time scale for effective CO 2 storage >> residence time of CO 2 in the atmosphere Geological storage storage atmosphere athmosph. ~ 10 2 years Surface carbon cycle ~ 10 0 10 2 years Geological carbon cycle ~ 10 6 10 9 years DPG, März2015_sl.7

THE ROLE OF CCS AND BECCS Overshoot scenarios in contrast to long-term accumulating scenarios typically rely on the widespread deployment of BECCS and afforestation in the second half of the century [IPCC, 2014] overshoot Negative emissions through BECCS D. P. van Vuuren et al., Climatic Change (2011) DPG, März2015_sl.8

REQUIRED SCALE OF CCS 2 C limit CO 2 emission till 2050 need to be limited to 1100 Gt ~ 1/3 of carbon in total current reserves All ongoing and planned CCS projects till 2100 correspond to a volume of 9.1 Gt [Global CCS Institute, 2015] DPG, März2015_sl.9

İS SAFE UNDERGROUND STORAGE POSSIBLE? Underground gas storage Natural gas storage (common practice) CO 2 storage Also nature does it natural analogues Natural HC sources Natural CO 2 storage Jackson Dome Faulted anticline, onshore Gulf of Mexico 4,700 m 99% CO 2 Example: Pisgah field: Discovered by Shell around 1960 200 Mt CO 2 stored since 70 Ma DPG, März2015_sl.10

CCS IN THE OIL AND GAS INDUSTRY CO 2 -neutral production of hydrocarbons Contaminated Gas Production More than half of the total gas reserves contain large amounts of CO 2 CCS is license to operate Unconventional HC Production CO 2 Enhanced Oil Recovery Oil and gas industry combines the necessary technologies DPG, März2015_sl.11

TWO SHELL CCS PROJECTS Goldeneye/Peterhead: FEEDSTOCK: Power generation (natural gas) CAPTURE CAPACITY: 1.0 Mtpa CAPTURE TYPE: Post-combustion capture RESERVOIR: Lower cretaceous sandstone at 2,500 m bsl Goldeneye Field Quest (Canada) FEEDSTOCK: Hydrogen Production (Oil sands upgrading) CO2 CAPTURE CAPACITY: 1.08 Mtpa CAPTURE METHOD: retrofit Amine PRIMARY STORAGE OPTION: onshore deep saline formations FORMATION: Cambrian Basal Sands at a depth of around 2 km Quest Canada http://www.globalccsinstitute.com ; http://www.shell.co.uk ; http://www.shell.ca DPG, März2015_sl.12

OPTIONS FOR GEOLOGICAL STORAGE deep un-mineable coal seams or CO 2 enhanced CBM depleted oil and gas reservoirs deep saline aquifers CO 2 Enhanced Oil Recovery IPCC, 2005 DPG, März2015_sl.13

CO 2 IN THE RESERVOIR DPG, März2015_sl.14

CO 2 IN THE RESERVOIR Anticline structure (western Iran) 1 km DPG, März2015_sl.15

CO 2 IN THE RESERVOIR 2 mm Anticline structure (western Iran) 1 mm 1 km DPG, März2015_sl.16

7 CO 2 IN THE RESERVOIR 1000 6 P (bar) 100 10 liquid supercritical 3000 4000 m m 2000 m CP 1000 m gas 100 m CO 2 density (kg/m 3 ) 5 4 3 2 TP 1 1-50 0 50 100 DPG, März2015_sl.17 150 200 T ( C)

CO 2 IN THE RESERVOIR IPCC 2005 DPG, März2015_sl.20

PLUME MIGRATION: SWEEP EFFICIENCY Controlled by: M N SF M cap k r, nw m mq p KL c nw S W S SF SF mobility ratio Capillary number N Kg grav m Gravity number k r, w m w S W 1 Controlling: Injection pressure Migration distance Characterized region S. Berg & H. Ott, Int. J. Greenhouse Gas Control (2012) Pore-space utilization DPG, März2015_sl.21

HOW DOES A PLUME MIGRATE? Sleipner gas field in the North Sea operated by Statoil CO 2 injection since 1996 4D seismic survey DPG, März2015_sl.22

TWO-PHASE FLOW IN POROUS MEDIA Two-phase flow in porous media Darcy s Law: v i K k r, i m ( S i W ) p i g i S. Berg, S. Oedai & H. Ott & H. Ott et al., Int. J. Greenhouse Gas Control (2013, 2015) DPG, März2015_sl.23

TWO-PHASE FLOW IN POROUS MEDIA 1.0 Two-phase flow in porous media Darcy s Law: v i K kr, i( S m i W ) p i g i relative phase perm. k r (1) 0.8 0.6 0.4 0.2 S max,co2 S r,co2 S. Berg, S. Oedai & H. Ott & H. Ott et al., Int. J. Greenhouse Gas Control (2013, 2015) 0.0 0.0 0.2 0.4 0.6 0.8 1.0 DPG, März2015_sl.24 water saturation S W (1)

TWO-PHASE FLOW IN POROUS MEDIA Until recently knowledge of microscopic flow regimes form 2D microfluidics experiments and conceptual models Avraam & Payatakes, JFM, 1995 ganglion dynamics drop traffic flow 1.0 Lenormand JFM 1983 Snap-off relative phase perm. k r (1) 0.8 0.6 0.4 0.2 Connected pathways flow 0.0 0.0 0.2 0.4 0.6 0.8 1.0 DPG, März2015_sl.25 water saturation S W (1)

TWO-PHASE FLOW IN POROUS MEDIA 1.0 mct image of trapped CO 2 phase Iglauer et al., GRL and PRE 2010 Shell - Imperial College Grand Challenge on Clean Fossil Fuels relative phase perm. k r (1) 0.8 0.6 0.4 0.2 0.0 0.0 0.2 0.4 0.6 0.8 1.0 DPG, März2015_sl.26 water saturation S W (1)

PORE SCALE PROCESSES: CO 2 INVASION TOMCAT beamline t=15s 1 2 Berea sandstone Recent developments: mct scanning with Spatial and temporal resolution Access to pore scale displacement processes pressure p (mbar) 100 95 90 85 80 injected volume V ( ml) 5.1 5.2 5.3 5.4 5.5 6.15 pore filling events 31 nl 870 880 890 900 910 920 930 940 950 time t (s) Discrete filling events avalanches, bursts Time scale independent of the flow rate S. Berg, H. Ott, et al., PNAS (2013) DPG, März2015_sl.27

PORE SCALE PROCESSES: CLUSTER SIZES Cluster size distribution mobility and mobilization of the trapped CO 2 phase Long-term storage security nw clusters rock = transparent brine A. Georgiadis et al., Phys. Rev. E (2013) DPG, März2015_sl.28

PORE SCALE PROCESSES: CAPILLARY NUMBER Definition of Capillary number N micro cap mv Darcy Average Cluster Length -1300 Pa P c 1300 Pa N macro cap l cl mv KP darcy cl, av Average Capillary Pressure l cl Fast tomography Ganglia flow through viscous track force and through coalescence and breakup What controls CO 2 cluster mobility? Armstrong et al., Geophys. Res. Lett. 2013 DPG, März2015_sl.29

COMPLEX CARBONATES H. Ott et al., Geophys. Res. Lett. 2014 Complex solute transport and precipitation pattern Permeability reduction several order of magnitude Potential loss of injectivity H. Ott & S. Oedai, Geophys. Res. Lett. 2015 Dissolution regimes Well bore integrity Injectivity Permeability, subsidence Controlling parameters: Pe ul D Da kl u Two-phase flow:? DPG, März2015_sl.30

Multi-Scale Physics Sub-Pore Scale Pore Scale Darcy Scale Field Scale Fluid interfaces Wetting properties Roughness Reactive surface Pore-scale Displacements Mechanical contacts Relative permeability Capillary pressure Core flood upscaling Pilot Full field project upscaling Clusters nm mm mm cm m m km DPG, März2015_sl.31 ms s min days days years millennia

TECHNICAL INNOVATION Medical CT 1980s Wellington & Vinegar Example: computerized tomography under flow conditions Micro-CT H. Ott et al., RSI (2012) Synchrotron-based micro-ct S. Berg, H. Ott et al., PNAS (2013) Long core vertical CT J. Coenen (2015) Core scale 15cm 1m core 4mm core- Pore scale Resolution Pore scale and time resolution Reservoir relevant scales 3m core- DPG, März2015_sl.32

SUMMARY CCS license to operate for certain upstream operations CCS and BECCS can make a difference if applied on a large scale CO 2 storage is demonstrated by nature and applied by men Safe CO 2 storage is viable for well-selected reservoirs CO 2 storage implies very interesting and multi-disciplinary R&D DPG, März2015_sl.33

Thank you for listening! Questions? DPG, März2015_sl.34

People Rock & Fluid Physics Team DPG, März2015_sl.35