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Shell, Sinopec, Baowu and BASF to study feasibility of building massive China carbon capture project

  • The partners will undertake a feasibility study to build a commercial project with a capacity to store millions of tonnes of carbon dioxide
  • The project is in line with Shell’s ambition of having at least 25 million tonnes a year of carbon capture and storage capacity by 2035

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China’s success in decarbonising its economy is crucial in the fight against global warming and climate change, analysts say. Photo: AP Photo

Global oil and gas giant Shell has teamed up with China Petroleum & Chemical (Sinopec), China Baowu Steel Group and BASF to study the feasibility of building a large-scale carbon capture and storage (CCS) project in China.

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If the technical study shows that it can work, it could lead to China’s first large-scale project with a capacity to put away tens of million tonnes of carbon dioxide annually, Shell said in a statement on Friday.

It could offer a decarbonisation solution to some of China’s most energy and carbon-intensive industries such as steel, cement and chemicals, and help meet its goal to become carbon neutral by 2060. China is the world’s biggest carbon dioxide emitter, accounting for 31 per cent of the world’s emission last year.

“This project is also in line with Shell’s strategic approach to provide decarbonisation solutions to individual market sectors, as well as our ambition of having access to at least 25 million tonnes a year of CCS capacity by 2035,” said Huibert Vigeveno, Shell’s downstream director.

China has the geological potential to store 2.4 trillion tonnes of carbon dioxide, second only to the United States: Photo: AF)
China has the geological potential to store 2.4 trillion tonnes of carbon dioxide, second only to the United States: Photo: AF)
China’s success in decarbonising its economy is crucial in the fight against global warming and climate change, analysts say. While the small scale of existing CCS projects have so far kept costs high, large companies are undertaking efforts to try to make them commercial.
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