Glencore’s CTSCo Carbon Capture and Storage (CCS) Project in Queensland has received a total of $20 million in funding, with Tokyo’s Marubeni Corporation and Electric Power Development Company Ltd each investing $10 million.
Glencore’s CTSCo Project aims to demonstrate carbon capture and storage technology. It focuses on capturing CO2 from the Millmerran coal-fired power station and permanently storing it deep underground in a dedicated storage site 100km from the power station.
CTSCo has the potential to store significant volumes of CO2 to reduce existing and future sources of industrial emissions. This could improve energy security for the national electricity market, maintain and grow jobs in regional Queensland and enable future industries including hydrogen production, while also contributing to Australian and Queensland Government climate and emission reduction goals.
A comprehensive Environmental Impact Statement for the project is currently in progress, working towards the commencement of CO₂ injection in 2025.
CTSCo is a Glencore wholly-owned company backed by Glencore funding. Other key project funding participants include Low Emission Technology Australia and the Australian Government.
“We are happy to be able to participate in the first CCS project in Australia to capture CO2 from a coal-fired power plant,” Jun Horie, Group CEO of Marubeni’s Materials Group, said.
“CCS is an important technology in enabling a carbon neutral economy worldwide, not to mention Japan. We hope to bring back what we learn from this project to contribute to the industry’s emission reduction goals.”
Hiroyasu Sugiyama, Executive Vice President of J-POWER, said the company was glad to be a member of the project.
“Promoting CCS projects will be critical technology to achieve net-zero emissions not only for the power sector but various sectors,” Mr Sugiyama said.
“We believe that the practical application of CCS and the technology will contribute to decarbonisation in Australia and all over the world as well.
Earl Melamed, Head of Glencore’s Global Coal Assets welcomed the partnership.
“CTSCo is one of the most advanced onshore CCS projects in Australia
and has the potential to store significant volumes of CO2 from a number of industries while playing an important role in deploying this critical emission reduction technology and bringing down its costs,” Mr Melamed said.
“Marubeni and J-POWER are long-term investors in the Australian resources sector and their involvement in our project further highlights the potential for CCS to materially reduce emissions in Queensland.”
Marubeni released its Long-Term Vision on Climate Change in March 2021, announcing its goal to become a net-positive company that can generate a positive impact on climate change and grow as a corporate group. To reach this goal, Marubeni plans to achieve net-zero GHG emissions by 2050, starting with halving its Scope 1 & 2 CO2 emissions and reducing 20 per cent of its Scope 3 CO2 emissions from recorded FYE March 2020 levels by 2030.
J-POWER announced the Blue Mission 2050 initiative in February 2021. It is a vision to achieve carbon neutrality and a hydrogen society in 2050. The company set a mid-term goal of reducing its CO2 emissions by 19 million tons in 2030, which represents a 40 per cent reduction against its three-year average emissions from 2017 to 2019. Furthermore, J-POWER introduced a new short-term target to reduce CO2 emissions by seven million tons in 2025.
Glencore recognises its responsibility to contribute to the global effort to achieve the goals of the Paris Agreement. Its ambition is to be a net zero total emissions company by 2050. In August 2021, the company increased its medium-term emission reduction target to a 50 per cent reduction by 2035 and introduced a new short-term target of a 15 per cent reduction by 2026.
Images of the Millmerran Power Plant, CO2 injection site near Moonie in Queensland, and the project location courtesy of Marubeni
