China Launches First 10-million-ton CCUS Project to Probe into Decarbonization Solutions for Industrial Enterprises in East China

Rhea-AI Summary

Sinopec has announced a non-binding memorandum of understanding with Shell, China Baowu, and BASF to launch a groundbreaking 10-million-ton carbon capture, utilization and storage (CCUS) project in East China. This initiative aims to facilitate decarbonization for industrial enterprises and contribute to China's carbon neutrality objectives. The project will evaluate CO₂ transport solutions from industrial sources along the Yangtze River to designated storage sites, enhancing low-carbon supply chains and fostering a green economy.

Positive

• Launch of a significant 10-million-ton CCUS project, potentially positioning Sinopec as a leader in carbon management.
• Collaboration with major industry players (Shell, China Baowu, BASF) enhances credibility and resource sharing.
• Previous successful CCUS initiatives (1.52 million tons captured in 2021) demonstrate capability and experience.

Negative

• None.

Sinopec, Shell, China Baowu and BASF will explore open-source CCUS development to achieve carbon goals

SHANGHAI, Nov. 4, 2022 /PRNewswire/ -- China Petroleum & Chemical Corporation (HKG: 0386, "Sinopec") has signed a non-binding MoU with Shell, China Baowu and BASF to launch the first 10-million-ton carbon capture, utilization and storage (CCUS) project in East China. The open-source project will support industries in the region to decarbonize their operations and establish low-carbon supply chains, leading China's CCUS development and achieving the region's "dual carbon" goals.

CCUS, the carbon reduction process of capturing and making effective use of CO₂ from industrial-sourced emissions, is a technology that has the potential to significantly reduce emissions on a large scale and be a key component on the path to achieve carbon neutrality.

The project will explore the feasibility of transporting the CO₂ produced by industrial plants in the middle and lower reaches of the Yangtze River(including from steel, chemical, power, cement companies) to a CO₂ receiving station, then transport the CO₂ to onshore or offshore storage sites via short-distance pipelines. It aims to offer a flexible and efficient carbon reduction solution for industrial companies. Sinopec, Shell, China Baowu and BASF will not only support the decarbonization of current industries and building of low-carbon product value chains, but also accelerate the development of low-carbon products and a green low-carbon circular economy.

"Sinopec will work together with Shell, China Baowu and BASF to expand commercial decarbonization and actively promote the development of the full CCUS industry chain, not only making contributions to the green development of China, but also the world. Sinopec will continue to aim for mutually beneficial cooperation with global partners, fulfill our high-level opening-up and green development goals, and work towards realizing our carbon peaking and carbon neutrality goals," said Ma Yongsheng, president of Sinopec.

Sinopec is committed to leading China's industrial development of CCUS. In 2012, Sinopec launched China's first coal-burning power plant CCUS project in Shengli Oilfield, and in 2015 collaborated with Sinopec Nanjing Chemical Industries Co., Ltd. and Sinopec East China Oil and Gas Company to pioneer the utilization of CO₂ resources utilization throughout its upstream and downstream companies. Sinopec captured 1.52 million tons of CO₂ in 2021. China's first megaton-scale CCUS project, the Qilu-Shengli Oilfield CCUS project, officially launched in early 2022.

For more information, please visit Sinopec.

View original content to download multimedia:https://www.prnewswire.com/news-releases/china-launches-first-10-million-ton-ccus-project-to-probe-into-decarbonization-solutions-for-industrial-enterprises-in-east-china-301668933.html

SOURCE SINOPEC

FAQ

What is the Sinopec CCUS project about?

Sinopec's CCUS project aims to develop a 10-million-ton carbon capture, utilization, and storage initiative to support decarbonization in East China.

When was the Sinopec CCUS project announced?

The Sinopec CCUS project was announced on November 4, 2022.

Which companies are collaborating with Sinopec on the CCUS project?

Sinopec is collaborating with Shell, China Baowu, and BASF on the CCUS project.

How much CO2 has Sinopec captured in previous projects?

Sinopec captured 1.52 million tons of CO2 in 2021 and previously launched China's first megaton-scale CCUS project in early 2022.

What are Sinopec's goals regarding carbon neutrality?

Sinopec aims to lead in carbon management and contribute to China's carbon peaking and neutrality goals through initiatives like the CCUS project.