CO2 injection could boost recovery of North Sea oil

INJECTING carbon dioxide into North Sea fields could help firms recover billions of barrels additional oil from the area and do much more for the environment and the economy than simply storing the gas underground, experts have said.

A report by academics in Scotland highlights the potential to use CO2 injection to boost recovery rates in the North Sea and also help speed the UK’s transition to a low-carbon economy.

The report by the Scottish Carbon Capture and Storage partnership of universities and the British Geological Survey notes production from a North Sea field typically leaves 55 per cent of the oil underground. It says firms could use carbon dioxide as a solvent to make oil flow more easily. This could help them squeeze around 5.7 billion barrels more out of North Sea fields, on one industry estimate.

Using CO2 to thin oil could also cut the costs of production, helping to safeguard jobs.

Oil and gas firms face high operating costs in the North Sea, which has been hit hard by the slump in the crude price since June.

As gas left over from the injection process could be stored in existing North Sea fields, the technique would allow CO2 to be dealt with in greater quantities and faster than by relying on facilities developed from scratch.

The report found investment in developing the processing facilities and related technologies could help position the North Sea as a long term low-cost storage option for the carbon generated by electricity producers.

The authors calculate every pound the government spent supporting the industry would generate wider benefits worth £7.20.