Global Storage Resource Assessment 2019 Update 10365GLOB-Rep-01-01 June 2020 2020 9 pale- Support by: Global Storage Resource Assessment 2019 Update Contents Pale Blue Dot Energy (10365GLOB) Page 2 of 95 Contents Document Summary Client Oil and Gas Climate Initiative (OGCI) Project Title 10365GLOB Title: Global Storage Resource Assessment 2019 Update Distribution: Classification: Client Confidential Date of Issue: 22nd June 2020 Prepared by: Shelagh Baines, Elle Lashko Approved by: Alan James Disclaimer: While the information contained in this document is believed to be accurate at the time of printing, no representation or warranty, express or implied, is given by Pale Blue Dot Energy Limited (“PBD”) or any of its respective affiliates or any of PBDs or its respective affiliates directors, officers or employees or any other person whatsoever on the completeness, accuracy or fairness of the information contained in this document, nor is any responsibility accepted for any errors, misstatements in, or omissions from, this document or any direct or consequential loss howsoever arising from any use of, or reliance on, this document or otherwise in connection with it. 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All material presented in this report, unless specifically indicated otherwise, is under copyright to PBD Amendment Record Rev Date Description Issued By Checked By Approved By V00 30-04-20 Draft S Baines / E Lashko R Gilbert A James V01 22-06-20 Amended to include comments from OGCI SWG S Baines / E Lashko R Gilbert A James Global Storage Resource Assessment 2019 Update Contents Pale Blue Dot Energy (10365GLOB) Page 3 of 95 Table of Contents CONTENTS . 2 1.0 EXECUTIVE SUMMARY . 7 2.0 OBJECTIVES BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF AUSTRALIAN STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 41 FIGURE 6-2. STORAGE RESOURCE SUMMARY FOR AUSTRALIA COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS, IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 42 FIGURE 6-3. A) SPREAD OF STORAGE RESOURCE IN ALL BALTIC SITES ACROSS SRMS CLASSIFICATIONS. B) SPLIT OF BALTIC STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 47 FIGURE 6-4. STORAGE RESOURCE SUMMARY FOR BALTIC REGION COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. PROJECTS WERE NOT SPECIFICED FOR ANY OF THESE SITES. WHERE POSSIBLE THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS, IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 48 FIGURE 6-5. A) SPREAD OF STORAGE RESOURCE IN ALL BRAZILIAN SITES ACROSS SRMS CLASSIFICATIONS. B) SPLIT OF BRAZILIAN STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 50 Global Storage Resource Assessment 2019 Update Contents Pale Blue Dot Energy (10365GLOB) Page 5 of 95 FIGURE 6-6. STORAGE RESOURCE SUMMARY FOR BRAZIL COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS, IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 51 FIGURE 6-7. A) SPREAD OF STORAGE RESOURCE IN CANADIAN SITES ACROSS SRMS CLASSIFICATIONS, WHERE A PROJECT HAS BEEN SPECIFIED. B) SPREAD OF STORAGE RESOURCE IN ALL CANADIAN SITES ACROSS SRMS CLASSIFICATIONS; BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF CANADIAN STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 55 FIGURE 6-8. STORAGE RESOURCE SUMMARY FOR CANADA COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 56 FIGURE 6-9. A) SPREAD OF STORAGE RESOURCE IN CHINESE SITES ACROSS SRMS CLASSIFICATIONS, WHERE A PROJECT HAS BEEN SPECIFIED. B) SPREAD OF STORAGE RESOURCE IN ALL CHINESE SITES ACROSS SRMS CLASSIFICATIONS; BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF CHINESE STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 66 FIGURE 6-10. STORAGE RESOURCE SUMMARY FOR CHINA COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE, THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 67 FIGURE 6-11. ABOVE: SPREAD OF ALL STORAGE RESOURCE ACROSS SRMS CLASSIFICATIONS. BELOW: SPLIT OF STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 73 FIGURE 6-12. STORAGE RESOURCE SUMMARY FOR THE INDIAN SUB-CONTINENT COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE, THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 74 FIGURE 6-13. A) SPREAD OF STORAGE RESOURCE IN NORWEGIAN SITES ACROSS SRMS CLASSIFICATIONS, WHERE A PROJECT HAS BEEN SPECIFIED. B) SPREAD OF STORAGE RESOURCE IN ALL NORWEGIAN SITES ACROSS SRMS CLASSIFICATIONS; BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF NORWEGIAN STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 78 FIGURE 6-14. STORAGE RESOURCE SUMMARY FOR NORWAY COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE, THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 79 Global Storage Resource Assessment 2019 Update Pale Blue Dot Energy (10365GLOB) Page 6 of 95 FIGURE 6-15. A) SPREAD OF STORAGE RESOURCE IN UK SITES ACROSS SRMS CLASSIFICATIONS, WHERE A PROJECT HAS BEEN SPECIFIED. B) SPREAD OF STORAGE RESOURCE IN ALL UK SITES ACROSS SRMS CLASSIFICATIONS; BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF UK STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 84 FIGURE 6-16. STORAGE RESOURCE SUMMARY FOR THE UK COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE, THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 85 FIGURE 6-17. A) SPREAD OF STORAGE RESOURCE IN U.S. SITES ACROSS SRMS CLASSIFICATIONS, WHERE A PROJECT HAS BEEN SPECIFIED. B) SPREAD OF STORAGE RESOURCE IN ALL U.S. SITES ACROSS SRMS CLASSIFICATIONS; BOTH PROJECT SPECIFIED AND NOT. C) SPLIT OF U.S. STORAGE RESOURCE BETWEEN SALINE AQUIFERS AND HYDROCARBON FIELDS, BOTH PROJECT SPECIFIED AND NOT. . 90 FIGURE 6-18. STORAGE RESOURCE SUMMARY FOR THE U.S. COMPILED IN THE GSRA 2019 UPDATE. GRAPH ABOVE IS LOG SCALE AND GRAPH BELOW IS LINEAR. BLUE BOX HIGHLIGHTS SITES WHERE A PROJECT HAS BEEN SPECIFIED. WHERE POSSIBLE, THE DATA HAVE UNDERGONE DUE DILIGENCE CHECKS IDENTIFYING POTENTIAL REPEAT ENTRIES TO AVOID DOUBLE COUNTING. . 91 Tables TABLE 4-1. STORAGE RESOURCE CLASSIFICATION SUMMARY FOR THE GSRA-2019 UPDATE . 22 TABLE 6-1. 2019 STORAGE RESOURCE CLASSIFICATION SUMMARY FOR AUSTRALIA . 40 TABLE 6-2. 2019 STORAGE RESOURCE CLASSIFICATION SUMMARY FOR BALTIC REGION (DENMARK alternative storage resources such as CO2-Enhanced Oil Recovery (EOR) operations, basalts, unconventional organic-rich shales, and deep unmineable coals seams were excluded. A comprehensive bibliography of papers and web-based datasets, all available in the public domain, was built and reviewed prior to being approved by the OGCI SWG for use. This formed the basis of the assessment and is presented in Section 5.0. The bibliography contains a wide range of information sources, including regional scale national and multinational CO2 storage resource assessments, more detailed evaluations, often targeting a basin, sub-basin, or formation, and focussed technical studies of a field or site. WP1: Define, acquire, review portfolio of CO2 Storage Resource Assessments. Restate Assessments against current SRMS the 2019 assessment is designed to conform to the 2017 published SRMS, together with its glossary of definitions and guidance. 3.2 Double Counting The source bibliography portfolio contains a wide diversity of published estimates of storable quantities using different approaches and methodologies which are not always documented in detail. Often, as with the US DOE CO2 Storage Atlas, estimated storable quantities are presented on a state or province basis, without the detailed information on which basins or geological formations, Global Storage Resource Assessment 2019 Update Storage Resource Management System (SRMS) Pale Blue Dot Energy (10365GLOB) Page 19 of 95 or which portions of these were included in the estimate. At the same time, estimated storable quantities may be available for the same geographic region but at a Basin and/or Formation level, and not attributed to a state or province. This creates a clear risk of double counting which is acknowledged and must be appropriately managed. Ideally, estimated storable quantities should be presented on the basis of basin, formation, state, and storage site to enable appropriate countrywide assessment, however, this is currently only available in countries with no requirement for state or provincial resource breakdowns, such as the UK and Norway. Four potential strategies for handling this concern have been considered: - 1. Calculate This would involve the refinement of the estimated storable quantities by the Assessor, such that each was divided by basin, formation, state, and storage site using the published materials. Such allocation is likely to either: Degrade the quality of the regional storage resource estimate Lend more credibility, maturity and confidence to early regional evaluations than is appropriate Introduce additional error to the evaluation by using an inappropriate allocation algorithm Falsely suggest that adequate definition was available for the important early, regional evaluations to allow reliable and representative allocation As such, where there is an evaluation which covers more than one state, region, province, or basin within the same country, no attempt to allocate resources between the various areas has been made. The calculate approach was tested but it was rarely possible to complete in a manner acceptable to the assessment team and is beyond the scope of this assessment. 2. Ignore This option accepts and acknowledges that the issue is real, but simply make no attempt to estimate its impact. Whilst the Calculation Option is not possible, this approach was not viable since it would undermine the Global Storage Resource Assessment programme objectives. 3. Subtract This approach subtracts the storage resource of a specific storage site from the more regional or state-wide estimate that covers the same geographical area. This option has some potential to manage the double counting issue. The SRMS however presents very clear guidance on the aggregation of resource estimates, which it is felt should apply equally to subtraction of resource estimates as well as summation. Specifically, the SRMS guidance is that Storable quantities classified as Capacity, Contingent Resources, or Prospective Resources should not be aggregated with each other without due consideration of the significant differences in the criteria associated with their classification. With single state-wide estimates being classed here as Undiscovered, the subtraction of the Discovered contingent resources from a specific site is problematic. Subtraction has been used in some cases where it was considered appropriate but only for storage resources within the same major SRMS maturity class. Global Storage Resource Assessment 2019 Update Storage Resource Management System (SRMS) Pale Blue Dot Energy (10365GLOB) Page 20 of 95 4. Qualify Another approach is to accept the state-wide estimates as very high-level summaries and where more detailed and/or reliable technical summaries with a basin / formation / site focus are available they have been selected as the preferred source. In these circumstances, the state-wide entry in the assessment database is still preserved and the estimates included in the assessors notes, but no resources have been classified. The Subtract and Qualify approaches outlined noted here have been used to manage the Double Counting issue to some extent. Whilst these approaches mitigate some of the risk of double counting, it is not possible at this stage to eliminate fully the risk of double counting within the GSRA database. Where this is identified as a significant issue, this is reported in the accompanying country assessment documentation. 3.3 Multiple Evaluations Where multiple evaluations of an area or site are available the principles that have been followed a