Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)

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Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Tomakomai CCS Demonstration Project
             in Japan

         2014 International CCS Conference
                   Taipei, Taiwan

                   May 19, 2014

                  Masanori Abe
             Japan CCS Co., Ltd. (JCCS)
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
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                       Contents

   Overview of the Tomakomai Demonstration Project
   Investigation Works at Tomakomai Site
   CO2 Injection System and Monitoring System
   Schedule of EPC Period
   Information Disclosure
   Managing Risks

                                Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
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   Company Profile and Project Framework of JCCS
             Company Profile                              Project Frameworks -Functions of JCCS
Date of Incorporation: May 26, 2008
                                                                       Ministry of Economy, Trade
Business Description:                                                     and Industry (METI)
A comprehensive investigation for and                  Technical
implementation of CCS Demonstration                    Cooperation
Projects in Japan                                                             Contract
                                                       Research

                                                                                                       Investment
Capital: 243 mm yen                                   Organizations
Shareholders: 35 companies                           (Domestic and
                                                       Overseas )
11 electric power, 5 engineering, 4 petroleum,                                JAPAN CCS                               Private
3 petroleum resource developing, 4 general
                                                                                Co., Ltd.                           Companies

                                                                                                        Personnel
trading, 2 iron and steel, 2 city gas, 1 chemical,    Universities
1 non-ferrous metal and cement, 1 steel pipe,
1 special trading
President: Shoichi Ishii, Senior MD for JAPEX                                                        Subcontract
Directors: 6 representing the shareholders’                           Execution
industries                                                                                CCS Relating Companies,
                                                                                          ( Domestic and Overseas )
Auditor: Takashi Honjo, Senior MD for RITE
No. of Staff: 50                                                                                      Execution

                                                          Implementation of CCS Demonstration Projects

                                                                Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Overview of the Tomakomai Demonstration Project
                                                                                                              4
               Flow Scheme of CCS Demonstration Project

                                                  Reservoir : T1 Member of Takinoue Fm.
                                                              2,400~3,000m under the seabed

                                                                         Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Overview of the Tomakomai Demonstration Project
                                                                                       5
           Overall Schedule of CCS Demonstration Project

                                                  Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Overview of the Tomakomai Demonstration Project
                                                                                       6
          Purpose and Tasks of the Demonstration Project
       For CCS commercialization after 2020;
      demonstrate overall CCS system from capture to storage,
      confirm existing technologies adopted in the system work properly
       and efficiently,
      demonstrate CCS system is safe and reliable,
      confirm effectiveness of site selection guideline by demonstrating no
       leakage,
      clear up anxiety about earthquakes by the data collected,
        • no influence by natural earthquakes on CO2 stored
        • not arise perceptible earth tremor by CO2 injection
      confirm guidelines for geological models to built and to improve,
      prepare technical standards of operation and safety for the project,
      disclose project information & data and assist citizens in
       understanding CCS,
      clarify various tasks to be improved or solved toward
       commercialization.
                                                  Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Investigation Works
                                                                                              7
        Outcome from the Investigation Phase of Tomakomai Site
                           JFY.2009~2011
   Evaluation on existing geological data
                                                     Reservoir simulation
        Site Survey                                  ・Construction of simulation model
        ・3D seismic survey                           ・ Long-term simulation of CO2 movement
        ・Survey wells

                                                     Geological evaluation report of
        Conceptual design works
                                                         the Tomakomai area
        ・CO2 capture processes (Capture facility)
        ・CO2 transportation methods
        ・CO2圧入injection system(Injection facility)

        Monitoring program

                                                           Basic Plan of CCS
                                                        demonstration project at
                                                          the Tomakomai area
                                                         Copyright 2014 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Investigation Works
                                                                                                           8
   Investigation Works at Tomakomai Site : JFY.2009~2011

                                                                       Modeled Area for Moebetsu
                                                                          Fm. (8 km x 15 km)

                       Tomakomai

                                                                                            Survey well (CCS‐2)

                                                              Survey well (CCS‐1)
                                                                                 3D Seismic
                      Tokyo                                                         (2009)
                                   Hokkaido Is.
                                        Sapporo
                                                                                 3D Seismic
                                                                                    (2010)
                                           Tomakomai

                                                                      Modeled Area for Takinoue
                                                                         Fm. (8 km x 12 km)

                                   Tomakomai Area

                                                       Copyright 2013 Japan CCS Co., Ltd.
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Investigation Works
                                                                                                                            9
                                     Geological Structure of the Tomakomai Site

         Seismic Cross Section in E-W Direction
                                                                               N-S Section
                                           W                                                                       E

                                      0                                                                                 0

                                                    Quaternary
                                     0.5                                                                               0.5

                                                    Mukawa Fm.
                                                                             Moebestu Fm. Mudstone layer
                                     1.0                                                                               1.0
                                                    Moebetsu Fm.             Moebestu Fm. Sandstone layer

                                                                                                                             Two-way Time (sec)
                Two-way Time (sec)

                                     1.5            Nina Fm.                                                           1.5

              E-W Section                           Biratori + Karumai Fm.
                                     2.0            Fureoi Fm.                                                         2.0
                                                                             Takinoue Fm. T1-Member

                                     2.5
                                                    Takinoue Fm.                                                       2.5

                                     3.0                                                                               3.0
                                           Well A
                                                                                                            1 Km
                                     3.5                                                                               3.5

                                                                                                                                    9
Tomakomai CCS Demonstration Project in Japan - 2014 International CCS Conference Taipei, Taiwan May 19, 2014 Masanori Abe Japan CCS Co., Ltd. (JCCS)
Investigation Works
                                                                                                                                                                                                                                10
                      Survey Wells: Tomakomai CCS-1 & CCS-2
   Tomakomai CCS-1                Tomakomai CCS-2                                   Section view of Tomakomai CCS-1
                                                                                            苫小牧CCS-1傾斜掘り予実績

                                                                                                            Horizontal Displacement (m)

                                                                                           -100   100    300    500        700      900                   1,100           1,300     1,500     1,700       1,900
                                                                                       0

                                                                                                    20"Casing                                                                E(+)/W(-) (m)
                                                                                     200            @200m                                                             0           200       400         600       800   1,000   1,200
                                                                                                                                                                  0

                                                                                     400                          計画
                                                                                                                                                           -200
                                                                                                                  実績

                                                                                     600
                                                                                                                                                           -400

                                                                                     800                                                                   -600

                                                                                                                                          N(+)/S(-) (m)
                                                                                    1,000                                                                  -800

                                                                                    1,200                 13-3/8"Casing                                   -1,000

                                                                                                          @1408m

                                                                Vertical Depth(m)
                                                                                                                                                          -1,200
                                                                                    1,400

                                                                                                                                                          -1,400
                                                                                    1,600

                                                                                                                                                          -1,600
                                                                                    1,800

        Rig: 48.5m high               Rig: 30.2m high                                                                                                                                       KOP : 870m
                                                                                                                                                                                            BUR : 3.0deg/30m
                                                                                    2,000
                                                                                                                                                                                            EOB : 1320m
  ・For Takinoue Fm.              ・For Moebetsu Fm.                                                                                                                                          Hole Angle : 42.07 deg
                                                                                                                                                                                            Actual MD : 3700m
                                                                                    2,200
  ・Term: Nov. 2010 – Mar. 2011   ・Term: Apr. 2011 – Jul. 2011                                                                                                                               Vertical Depth : 3046.89m
                                                                                                                           9-5/8"Casing                                                     Holizontal Displacement : 1757.00m
  ・Deviated well                 ・Vertical well                                     2,400                                  @2749m                                                           Surface : X=‐152,965.378
                                                                                                                                                                                                      Y=‐52,024.990
  ・Drill depth : 3,700m          ・Drilled depth : 1,218m                            2,600
                                                                                                                                                                                            Target : X= ‐153,856.757
  ・Vertical depth : 3,047m                                                                                                                                                                           Y=‐51,277.031

  ・Horizontal reach : 1,757m                                                        2,800

  ・Max. inclination : 42°                                                           3,000

                                                                                                                                                                             7"Liner:3700 m
                                                                                    3,200

                                                                                    3,400

                                                                                             Copyright 2013 Japan CCS Co., Ltd.
Investigation Works
                                                                                                    11
             Moebetsu Formation : Long-term simulation (1)

     (1)3 years after the start of injection; i.e. at the completion of injection

                           Injection Well

                                                                 Injection Well         100%
                          1km

         Gas CO2                                          1km               Cap rock
        saturation                                                          Reservoir

       (base case)                                                                      50%

                                  PLAN           PROFILE
                                                  東西断面図  (E-W)                           0%

                           Injection Well
                                                                                        1.5mol/kg
                                                                 Injection Well
                          1km
                                                           1km               Cap rock   1.0mol/kg
     Dissolved CO2                                                          Reservoir
      (base case)
                                                                                        0.5mol/kg

                                  PLAN           PROFILE (E-W)                            0mol/kg
Investigation Works
                                                                                                  12
             Moebetsu Formation : Long-term simulation (2)

     (2)20 years after the completion of injection

                          Injection Well

                                                               Injection Well         100%
                         1km

         Gas CO2                                        1km               Cap rock
        saturation                                                        Reservoir

       (base case)                                                                    50%

                                 PLAN          PROFILE (E-W)                           0%

                          Injection Well
                                                                                      1.5mol/kg
                                                               Injection Well
                         1km
                                                         1km               Cap rock   1.0mol/kg
     Dissolved CO2                                                        Reservoir
      (base case)
                                                                                      0.5mol/kg

                                 PLAN          PROFILE (E-W)                            0mol/kg
Investigation Works
                                                                                                  13
             Moebetsu Formation : Long-term simulation (3)

     (3)1,000 years after the completion of injection

                          Injection Well

                                                               Injection Well         100%
                         1km

         Gas CO2                                        1km               Cap rock
        saturation                                                        Reservoir

       (base case)                                                                    50%

                                 PLAN          PROFILE (E-W)                           0%

                          Injection Well
                                                                                      1.5mol/kg
                                                               Injection Well
                         1km
                                                         1km               Cap rock   1.0mol/kg
     Dissolved CO2                                                        Reservoir
      (base case)
                                                                                      0.5mol/kg

                                 PLAN          PROFILE (E-W)                            0mol/kg
Investigation Works
                                                                                                      14
              Geological Evaluation on Moebetsu Formation

                      Survey Well       Planned Injection    Depth structure map for the
                      Tomakomai CCS-1   Well
                                                              top of the reservoir
                                                             The reservoir, a sandstone layer of Lower
                                                              Quaternary Moebetsu Formation is
                                                              distributed 1,100 to 1,200 m deep below
                                                              the seabed.
                                                             Porosity and permeability of the reservoir
                                                              are 20 to 40% and 9 to 25md, respectively.
                                                             The reservoir is covered by an about 200m
                                                              thick mudstone layer of the Moebetsu
                                                              Formation as a cap rock.
                                                             The reservoir has gentle monocline
                                                              structure with a NW dip of 1 to 3 degrees
                                                              at the planned injection point.

                                                                 Copyright 2014 Japan CCS Co., Ltd.
Investigation Works
                                                                                                  15
              Geological Evaluation on Takinoue Formation

           Survey well        Planned injection Well
                                                        Depth structure map for the
           Tomakomai CCS-1                              top of the Takinoue Formation
                                                         The reservoirs is the T1 Member of the
                                                          Takinoue Formation of 2,400 to 3,000 m
                                                          deep below the seabed.
                                                         Miocene saline aquifer composed of
                                                          volcanic and volcaniclastic rocks of about
                                                          600m thick.
                                                         Porosity and permeability of 3 to 19%
                                                          and 0.01md to 2.6D, respectively.
                                                         Covered by about 1,100m thick Miocene
                                                          mudstone layers (Fureoi Formation,
                                                          Biratori-Karumai Formation and Nina
                                                          Formation) as cap rocks.
                      Fault
                                                         Anticlinal structure with a NNW-SSE
                                                          trending axis in a wider range.
                                                         Planned injection point penetrates the
                                                          north-eastern wing of the anticline with a
                                                          NE dip of about 15 degrees.
                                          (C.I.=50m)

                                                           Copyright 2014 Japan CCS Co., Ltd.
Injection and Monitoring
                                                                                                                                                      16
                                                Schematic Cross Section

                                                      Injection Well           Quaternary sediment
                                                      for Moebetsu
                                                     Fm. (projected)
                                                                               Mukawa Fm. (sandstone, mudstone, etc.)

                                                                               Moebetsu Fm. (Mudstone)                    Cap rock
                                                                                                                           Reservoir
                                     Moebetsu Fm. (Sandstone)
 Depth in meters (bMSL)

                                     Nina Fm. (Mudstone)

                                                                               Injection Well for                Cap rock
                                     Biratori-Karumai Fm. (Mudstone)
                                                                                 Takinoue Fm.

                                     Fureoi Fm. (Mudstone)

                                                                                                                   Reservoir

                                     T1 Member of Takinoue Fm. (Volcanic
                           m         Rocks)                                                                                                           m

                                     Takinoue Fm. (Mudstone)
                                                                                                                                               m
                          Landward                                                                                                        Seaward
                                                                   ※Cross-sectional view along the trace of the injection well for the Takinoue Formation

                                                                                                    Copyright 2014 Japan CCS Co., Ltd.
Injection and Monitoring
                                                                                                                                             17
                 Plan View of Injection & Monitoring Systems
                              High‐sensitivity
                               Seismograph
                                  Station

                           Observation well for
                           Moebetsu Formation
                                (vertical)         2 Injection wells
                                                      (wellhead)
                                                                                                                      Observation well for
        Observation well                                                                                              Takinoue Formation
        Tomakomai CCS‐1                                                                                                    (vertical)
          (wellhead)

                                                                       Working area of 3D seismic survey
                                                  OBS

                                            OBS                        OBC (Ocean Bottom Cable): used for 2D seismic survey and
                                                                       monitoring of micro‐seismicity and natural earthquakes.

                                                                       OBS (Ocean Bottom Seismometer): used for monitoring of
                            OBS                   OBS                  micro‐seismicity and natural earthquakes.

© Google Image © 2013 DigitalGlobe Data SIO, NOAA, U.S. Navy, NGA, GEBCO Image © 2013 TerraMetrics
                                                                                        Copyright 2014 Japan CCS Co., Ltd.
Injection and Monitoring
                                                                                                                                                                                      18
                   Conceptual Diagram of Monitoring System
                                                           Control Building
                                                                                                                                                                             Hi-net Data
                                                                                                                                              Observed Signals
                                                                                                                                                                            (National EQ)
                                                                                                                                                                 Observed
                                                                                                                                      Observed
                                                                                                                                                                 Signals

                                                     CO2
                                                                                                                                      Signals

                                               CO2

                                                              Observed Signals

                                                                                  Observed Signals
      Onshore              Tomakomai

                                                                                                     Observed Signals

                                                                                                                           Observed Signals
    Seismometer              CCS-1                                                                                                            Observation Well      Observation Well
                           (Converted to a
                           Monitoring Well)                                                                                                    Moebetsu Fm.          Takinoue Fm.
                                      Inj. Well       Inj. Well
                                      Takinoue        Moebetsu
                                           Fm.        Fm.

                                              OBS     OBS                         OBS                                                         OBS

                                                     Permanent-Type OBC

                                                                                 Moebetsu Fm.
                                                                                 Sandstone Layer

        : CO2 Flow Meter
       : Pressure & Temperature
         Sensor                                                                                                         Takinoue Fm.
       : 3-Component Seismic Sensor
                                                                                                                        T1 Member
                                                                                                                        Copyright 2014 Japan CCS Co., Ltd.
Injection and Monitoring
                                                                                                                     19
                               Marine Environmental Survey
     Marine environment shall be surveyed based on “Act on Prevention of
     Marine Pollution and Maritime Disaster” by which geological storage of CO2
     under the seabed is regulated.
                                                    Marine Environmental Survey Plan
        1. Survey Area (Fig)
        • At 12 survey points in the Tomakomai
          port area
        2. Methods of Survey
        • Seabed survey by Side-Scan Sonar and
          Sub-bottom Profiler
        • Current direction and speed survey by
          Current Meter
        • Sampling of seawater by Water Sampler
          for concentration of salt etc. and
          plankton observation                                                                         Survey Area
        • Seabed mud survey by Bottom Sampler
        • Collection of benthos by Net or Dredge
          Unit
        • Observation of benthos by divers or ROV

        3. Surveys in three stages
        • During EPC period
        • During demonstration operation
            ⁻ During CO2 injection                  Modified from Tomakomai Port Plan
            ⁻ After CO2 injection
        • After demonstration operation
                                                                  Copyright 2014 Japan CCS Co., Ltd.
20
                                Schedule in EPC Period of the Tomakomai CCS Project                                                                                            As of Apr. 9, 2014

                                                                                                                                                                                  FY 2016
                                       FY 2012                         FY 2013                               FY 2014                                    FY 2015
                                                                                                                                                                                  Onward
                    Onshore
      Facilities

                                                              Engineering                                                    Site work
                                                                                                                                                               Commissioning     Operation

                                                                                 Injection well for
     Injection

                                                                                                                  Drilling
       Wells

                                                                                 Takinoue Formation
                                                                                                                                                                                 Injection
                                                                                                      Injection well for
                                                                                                       Moebetsu Formation          Drilling

                                                   Observation well converted                                Installation of
                                                    from survey well          Retrofitting                   observation equipment

                                                               Observation well for
                      Onshore

                                                                                                        Installation of                  Baseline Observation
                                                               Takinoue Formation       Drilling                                                                                Observation
                                                                                                        observation equipment
                                                                                                                                         (Temperature, Pressure, Seismicity)
                                Observation well for                                                      Installation of
                                Moebetsu Formation Drilling                                               observation equipment
Monitoring System

                                                   Onshore seismometer       Installation            Test Measurement                     Baseline Observation                  Observation
                                                                                                                                         (Seismicity)

                                                               OBC       Installation              Test Measurement
                                                                                                                                          Baseline Observation
                     Offshore

                                                                                                                                         (Seismicity)
                                                                                        OBS        Installation   Test
                                                                                                                  Measurement                                                  Observation
                                      Offshore 2D seismic survey     Baseline survey

                                    Marine environmental survey         Baseline surveys (seasonal)

          OBC ( Ocean Bottom Cable ) : used for 2D seismic survey and monitoring of micro-seismicity and natural earthquakes.
          OBS ( Ocean Bottom Seismometer ) : used for monitoring of micro-seismicity and natural earthquakes.

                                                                                                                        Copyright 2014 Japan CCS Co., Ltd.
21
                  Information Disclosure from FY2011 – FY2013
     Panel Exhibitions; 67 times in total, in Tomakomai, its 4 neighbor towns & Sapporo.
     Small Lecture Meetings; more than 30 times in Tomakomai & all over Japan.
     CCS Forum; 3 times in Tomakomai. More than 700 citizens attended in total.
     Kids Science Rooms: 10 times in Tomakomai in FY2013
     Site Visits and Displays at Environmental Exhibitions are also carried out.

Typical Opinions at the FORUM                               ① Panel Exhibitions:
                                                              will be held frequently in many places with improvement of
                                                              contents following progress of the project.
(1) Information Disclosure                                  ② Lecture Meetings:
      to be properly, timely and transparently               will be continuously held to assist better understanding of CCS
      to inform more about CCS                               (The next lecture meeting will be held in January 2013.)
      to respond diligently and faithfully                 ③ Site Visits:
                                                              such as injection wells and construction site will be planned
                                                              for better understanding of the demonstration project.

(2) Safety & CO2 Seepage
      to consider not only economic      Development &
                                                            ④ Real-time View:
                                                              A camera will be installed at the construction site to provide
        effect but also safety            disclosure of
                                                              real-time view of the site, which will be open on the JCCS
      to inform risks more in detail     monitoring plan     homepage.
       about CO2 seepage
                                                            ⑤ Lecture Meetings for Young Generation
(3) Approach to Young Generation                              Lecture meetings will be continuously held in Tomakomai and
      Young generation of the FORUM attendants               its surrounding area.
       were only small percentage.                          ⑥ Hands-on Science Rooms for Children
      More attractive events for young generation            Hands-on science classrooms will be held for school children
       should be necessary.                                   to understand global warming and CCS system.

                                                                       Copyright 2014 Japan CCS Co., Ltd.
22
                              Managing Risks (1)
Risk: technical or non-technical
 Technical Risk: CO2 injectivity and CO2 leakage
 Non-technical Risk: Induced Seismicity
         ➪ Monitoring is important to improve public perception

   Risk of CO2 Leakage
       From surface facilities; design and construction based on the applicable laws and
        regulations
       Through wellbore; design and construction in accordance with the Mining Act and the
        Mining Safety Act
       From reservoir; site selection in accordance with the Marine Pollution Act and the
        METI standard

   Appropriate site selection can reduce the risk of CO2 leakage:
       Appropriate geological structure; shape, fault, tectonics, etc.
       Appropriate reservoir characteristics; porosity, permeability, relative permeability,
        mechanical strength, thickness, continuity, etc.
       Appropriate caprock characteristics; threshold pressure, permeability, mechanical
        strength, thickness, continuity, etc.

                                                       Copyright 2014 Japan CCS Co., Ltd.
23
                             Managing Risks (2)
   Numerical Modeling
       METI standard: in order to geologically assess a CO2 storage project, conceptual
        and detailed models should be formulated

   Monitoring
       Regulated in the Marine Pollution Act: Application must be renewed every 5
        years as long as CO2 is stored sub-seabed
       At every renewal, it is required to confirm that stored CO2 stays in the reservoir
        as previously planned.
       In the demonstration plan, monitoring will be carried out in the 3 years injection
        period and the following 2 years post injection monitoring period.
       Monitoring will be carried out by METI after the demonstration project.

   History Matching
       METI standard: the reliability of the numerical simulation models used in
        estimating CO2 behavior is improved with monitoring data

                                                     Copyright 2014 Japan CCS Co., Ltd.
24

Thank you for your attention.

                 http://www.japanccs.com

                 Copyright 2014 Japan CCS Co., Ltd.
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