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Associated and Incremental Storage: Opportunities for Increased CO2 Removal with Enhanced Oil Recovery

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Climate Geoengineering: Science, Law and Governance

Abstract

Carbon dioxide removal is essential to reaching emmission reductions goals. Enhanced oil recovery with CO2 has the potential to sequester significant amounts of carbon oxide though well-established and readily dispatchable technologies. Programs, including 45Q, encourage use of anthroprogenic CO2 in enhanced oil recovery. These assets also present an opportunity for additional injection and storage of CO2 following the conclusion of economic recoveries of oil and gas, not only advancing decarbonization but providing opportunities for economic development and employment. This chapter examines legal and regulatory opportunities to maximize the decarbonization potential of CO2-EOR and incremental storage.

Tara Righetti is a professor at the University of Wyoming College of Law and the UW School of Energy Resources. Professor Righetti’s research is supported in party by the National Science Foundation EPSCoR program (NSF EPSCoR grant OIA-1632899). Professor Righetti acknowledges Madeleine Lewis (JD/MA’19) for her research assistance.

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Notes

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    Global CCS Inst., The Global Status of CCS: 2017, at 7, 9 (2017).

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    Christopher Zahasky and Samuel Krevor, Global Geologic Carbon Storage Requirements of Climate Change Mitigation Scenarios, Energy and Environmental Science (2020).

  3. 3.

    Romany Webb & Michael Gerrard, Overcoming Impediments to Offshore CO2 Storage: Legal Issues in the United States and Canada, 49 Envtl L. Rep. 10,634 (2019).

  4. 4.

    See The White House, United States Mid-Century Strategy for Deep Decarbonization (2016), available at https://unfccc.int/files/focus/long-term_strategies/application/pdf/mid_century_strategy_report-final_red.pdf (designating to CCUS technology a significant role in reducing carbon emissions by 2050).

  5. 5.

    See infra notes 30 - 47 and accompanying text.

  6. 6.

    Anthony Chavez, A Napoleonic Approach to Climate Change: The Geoengineering Branch, 5 Wash. Lee J. Energy, Climate Envt 111,124-125 (2013).

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    See generally Nat’l Ass’n of Regulatory Utility Comm’n’s, Carbon Capture, Utilization, and Sequestration: Technology and Policy Status and Opportunities (Nov. 5, 2018), available at https://pubs.naruc.org/pub/8C07B393-A9A0-3F04-4832-D43790E10B91 (analyzing future of CCUS technology in the context of declining coal and rising natural gas usage).

  8. 8.

    Id. Although the vitality of traditional dominant energy sources like coal are declining, natural gas remains abundant and affordable to consumers of electricity. Id.

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    See James Hansen, Young people’s burden: Requirement of negative emissions. 8 Earth System Dynamics 577 (2017); International Energy Agency, Carbon Capture and Storage: The Solution of Deep Emissions Reductions, OECD/IEA (2015), available at https://www.iea.org/publications/freepublications/publication/CarbonCaptureandStorageThesolutionfordeepemissionsreductions.pdf.

  10. 10.

    Academic literature refers to both CCUS and CCS, often using the terms interchangeably. However, there are differences between projects where CO2 is exclusively stored and projects where CO2 is utilized for EOR, or the production of chemicals or other industrial products, see, Rosa M. Cuellar-Franca & Adisa Azapagic, Carbon Capture, Storage, and Utilization Technologies: A Critical Analysis and Comparison of Their Life Cycle Environmental Impacts, 9 J. CO2 Utilization 82, 83 (2015).

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    Carbon Pollution Emission Guidelines for Existing Stationary Sources: Electric Utility Generating Units, 80 Fed. Reg. 64,662 (Oct. 23, 2015).

  26. 26.

    Repeal of the Clean Power Plan; Emission Guidelines for Greenhouse Gas Emissions from Existing Electric Utility Generating Units; Revisions to Emission Guidelines Implementing Regulations, 84 FR 32520 (July 8, 2019). The EPA is currently finalizing implementing regulations for the Affordable Clean Energy Rule and future emission guidelines promulgated under CAA section 111(d).

  27. 27.

    See 42 U.S.C. § 7411(b) (West 2018).

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    See Review of Standards of Performance for Greenhouse Gas Emissions From New, Modified, and Reconstructed Stationary Sources: Electric Utility Generating Units, 83 FR 65617 (Dec. 21, 2018).

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    Id.

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  33. 33.

    Figure provided via personal correspondence with Meltzer Consulting.

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  37. 37.

    Life cycle analyses of the net environmental impacts of associated storage from CO2-EOR are unclear, see, Michael Godec et al., Evaluation of Technology and Policy Issues Associated with the Storage of Carbon Dioxide via Enhanced Oil Recovery in Determining the Potential for Carbon Negative Oil, 114 Energy Procedia 6563, 6573-74 (2017).

  38. 38.

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  40. 40.

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  41. 41.

    Hussain, et al., Comparative life-cycle inventory (LCI) of greenhouse gas (GHG) emissions of enhanced oil recovery (EOR) methods using different CO2 sources, 16 Intl J. Greenhouse Gas Control 129–144, (2013)

  42. 42.

    Michael Godec et al., supra note 38 at 6565.

  43. 43.

    See Godec, Potential Issues, supra note 41 at 7402.

  44. 44.

    Godec, et al., supra note 38 at 6566 (“[s]ince the purchased cost of injected CO2 was often the largest cost component of a CO2-EOR project, CO2-EOR operators attempted to optimize incremental oil production in individual CO2-EOR projects by minimizing the amount of CO2 injected per incremental barrel of oil produced.”).

  45. 45.

    Godec, et al., supra note 38, at 6567.

  46. 46.

    U.S. Dep’t of Energy/National Energy Technology Laboratory, DOE/NETL-2011/1504, Improving Domestic Energy Security and Lowering CO2 Emissions with “Next Generation” CO2-Enhanced Oil Recovery (CO2-EOR), (report prepared by Advanced Resources International, Jun. 20, 2011), available at http://www.netl.doe.gov/energy-analyses/pubs/NextGen_CO2_EOR_06142011.pdf

  47. 47.

    Data regarding incidents in CO2 wells may be difficult to study. See Porse, S.L., Wade, S., & Hovorka, S.D., Can We Treat CO2 Well Blowouts Like Routine Plumbing Problems? A Study of the Incidence, Impact, and Perception of Loss of Well Control, 63 Energy Procedia 7149 (2014).

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    8 Patrick H. Martin & Bruce M. Kramer, Williams Meyers Manual of Oil and Gas Terms §§ 1125-26 (2015).

  109. 109.

    Agencies may be able to grant injection easements pursuant to Title V of the Federal Land Management Policy Act. See, 43 U.S.C. §1761(a) (West 2018), and, Bureau Land Mgmt., Colo. State Office, Colorado State Office, Instructional Memorandum No. CO-2016, Class II Injection Facilities and Wells (Mar. 28, 2016). For an analysis of these issues, see, Tara Righetti, Kris Koski, Jesse Richardson, and Sam Taylor, The Carbon Storage Future of Public Lands __ Pace Envtl. L. Rev. __(2021).

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    Interstate Oil & Gas Compact Commission Task Force on Carbon Capture & Geologic Storage, A Legal and Regulatory Guide for States & Provinces 15, 22 (2007).

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    Ky. Rev. Stat. Ann. § 353.808 (West 2011); Wyo. Stat. Ann. § 34-1-153 (2011).

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  120. 120.

    Wyo. Stat. Ann. §§ 35-11-313 —316 (2011).

  121. 121.

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  122. 122.

    40 C.F.R. §§ 144.11– 144.19, 144.51 (West 2018).

  123. 123.

    40 C.F.R. § 144.51.

  124. 124.

    Godec, supra note 41, at 7407.

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  126. 126.

    40 CFR § 144.19 (West 2018).

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    Memorandum from Peter C. Grevatt, Director Office of Ground Water and Drinking Water, EPA 1 (Apr. 23, 2018), available at https://www.epa.gov/sites/production/files/2015-07/documents/class2eorclass6memo_0.pdf

  128. 128.

    Koski, et al., supra note 117.

  129. 129.

    40 CFR § 98.441, subpart RR (2010).

  130. 130.

    40 CFR § 98.448 (2010).

  131. 131.

    40 CFR § 998.446(d) (2010).

  132. 132.

    40 CFR § 998.446(f)(3) (2010).

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    Nat. Res. Def. Council, supra note 126, at 7–8.

  134. 134.

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    See Id.

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    Id at 172.

  139. 139.

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    Id.

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Righetti, T. (2021). Associated and Incremental Storage: Opportunities for Increased CO2 Removal with Enhanced Oil Recovery. In: Burns, W., Dana, D., Nicholson, S.J. (eds) Climate Geoengineering: Science, Law and Governance. AESS Interdisciplinary Environmental Studies and Sciences Series. Springer, Cham. https://doi.org/10.1007/978-3-030-72372-9_9

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