enhanced oil recovery
Two out of three respondents in a new University of Texas poll said energy issues are important to them. But the harsh rhetoric of campaign season makes it seem like politicians can never agree on important policies needed to provide safe, reliable and affordable energy while also protecting the environment.
Well they can, and they did. Right now in Washington, D.C., we have a bipartisan bill that would reduce carbon emissions and develop domestic energy resources.
I spent the last few days at the eleventh annual Carbon Capture Utilization & Sequestration Conference (CCUS) in Pittsburgh.
For its first 10 years, it was the CCS conference, focused primarily on advancing efforts to capture and permanently sequester carbon emissions underground. This nascent technology is absolutely critical if we are going to continue burning fossil fuels and have any hope of averting dangerous climate change.
This year the conference organizers added “Utilization” to the title. This addition reflects a new reality: in the absence of strong climate policy, the key driver of CCS innovation is the utilization of CO2 for enhanced oil recovery (CO2-EOR). This is a little-known technique in which CO2 (usually drawn from naturally occurring underground reservoirs) is injected into declining oil fields to boost their output. It now accounts for about 6 percent of domestic U.S. oil production.
Bloomberg editors endorse NEORI's production tax credit recommendations
Few policy options can be a win-win for both political parties, as well as industry, environmental advocates, and labor. Similarly, increasing oil production and decreasing carbon emissions are thought of as conflicting goals. Yet, a solution may be on the horizon. On February 28, the National Enhanced Oil Recovery Initiative (NEORI) released its recommendations for advancing enhanced oil recovery with carbon dioxide (CO2-EOR). NEORI is a broad coalition of industry, state officials, labor, and environmental advocates.
While NEORI participants might not agree on many energy and environmental issues, each participant recognizes the vast potential of CO2-EOR and worked toward producing a set of policy recommendations for its expansion. CO2-EOR already produces 6 percent of U.S. oil, and it could potentially double or triple existing U.S. oil reserves. In comparison to other options, CO2-EOR offers an extraordinarily large potential expansion of domestic oil production, while also advancing an important environmental technology.
Recently, I had the opportunity to attend as an observer the launch of the National Enhanced Oil Recovery Initiative, facilitated by the Center and the Great Plains Institute. In the short time since the launch, the EOR Initiative has generated notable
Carbon dioxide enhanced oil recovery (CO2-EOR) works by injecting CO2 into existing oil fields to increase oil production. It is not a new concept. In fact, around 5 percent, or 272,000 barrels per day, of all domestic oil produced comes from oil recovered using this technique, which was first deployed in West Texas in 1972. Decades of monitoring CO2-EOR sites have shown that in properly managed operations the majority of CO2 is retained in the EOR operation and not released to the atmosphere. One of the initiative’s goals is to better understand the role of CO2-EOR for carbon storage as this industry grows to produce more than 1 million barrels per day, or around 17 percent of domestic oil supply in 2030.