1. Carbon IN TRAnsport
Launching project scheme
Implementation of LLSC study key findings
Melbourne
October 4th, 2011
Cees van der Ben & Michael Tetteroo

2. Note
This document and all information contained herein are the property
of
VOPAK, Anthony Veder, Gasunie & Air Liquide
and are Strictly Confidential
It may not be copied or used without the written permission of
VOPAK, Anthony Veder, Gasunie & Air Liquide
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3. Rotterdam Climate Initiative (RCI)
city region CO2 reduction targets
-50%
vs 1990
by 2025
CCS plays a mayor role in the Dutch national reduction targets in
general and in the Rotterdam targets in particular.
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4. NW-Europe allows for short links
between sources and sinks
Several depleted gas fields become available and in due time
incl. future aquifers: 50+ years of storage capacity for Europe.
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5. Driving down costs
Sharing infra structure:
simultaneously handling CO2
from multiple parties
Combining CO2 flows lies in the
nature of CCS:
Power generation is responsible for 65%* of all green house gas emissions
OECD/IEA Ref. Scenario
2006 2030
Majority of sources
Total [TWh] 18921 33265 (+76%) are comparable
Coal 41% 44% regarding:
Nuclear 15% 10%
• Flow & conditions
Renewables 18% 23%
• Compositions
• Characteristics
• Demands
*): Reference Scenario in 2005 & 2030: resp. 61% & 68 % in CO2 eq. terms

6. CINTRA logistic concept
• Bulk making/breaking for off shore CO2 storage
• Intermediate Storage
• Combine and link pipeline systems and barging/shipping routes: 4 routes
• Provide independent custody transfer metering (for ETS)
• Network building block (at rivers and coast lines)
• Optimum CO2 : -50 ˚C, 7 bara
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7. CINTRA’s CO2 Hub Partners
• Transport from the Emitters via pipelines or
barges
• Collection of CO2 to the CO2 Hub
• Loading of sea vessels / injection in trunk line
for transport to depleted offshore gas fields.
• Liquefaction at the Emitter’s
site or at the CO2 Hub
• Temporary Storage of CO2
• Connecting Hub to offshore
trunk line or transfer to
vessel
• Locking the sea vessel to a floating turret or loading tower
linked with the sub-sea system of the depleted gas/oil field
• Injecting the CO2 into the porous rocks (depleted gas or oil
field or aquifers, at required temp’s and pressures
• As an alternative, mooring near a platform for discharging
the CO2 into a depleted field via the platform utilities
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8. CO2 Hub Concept Advantages
• Multiple emitters linked with multiple sinks , increasing reliability of
CO2 take-away
• Modular design allows easy volume related ramp up
• Variable destinations with liquid logistics
• Cost reduction through EOR
• Reduced project risk without onshore pipelines and onshore storage
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9. How does it work
• MOVIE – will be shown during
presentation
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10. Hub Concept Organic Growth Model:
Asset build up follows the volume build-up
Source 1 Source 2 Source 3 Source 4 Source n
3
1
2 2
1. Early scheme: single source flow too 3. Final mature scheme:
small to justify off shore pipe multiple sources & sinks, both
2. Intermediate scheme: two combined depleted reservoirs and EOR
flows do allow for an off shore pipe at production wells
=> ship moves into alternative CO2 or
LPG service
2 3
3
1
2
Potentially
Ship now could ship that
become pipe used to sail
line for 2 on sink 1 Sink 3: EOR
Sink 1 Sink 1 Sink 2 Sink n
sources at oil field
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11. Potential CO2 Sinks
Other EOR
300 Mton CO2 K12B Projects
capacity
Taqa
40 Mton CO2
capacity
CO2 from
other ports
• First targeted sink: Dan Field Danish Continental Shelf, EOR Project Maersk Oil
• Hub forms a reliable CO2 source for EOR projects, allowing for a stable off take
• More contacts with other sink operators at the North Sea
• Potential CO2 from other ports will drive down costs for all participants further
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12. Rotterdam distance to sinks
• Dutch sinks are all within
the 400 km range
• Rotterdam Ideally located
for North Sea distribution
• Offshore EOR potential
significant
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13. CO2 Hub
Legal/Contractual Framework
Providing a One-Stop-Shop
Transfer of CO2 title
SH SH SH SH
Emitter Rotterdam Cintra Sink Operator
Necessary
sub-contracting Compression Bulk making Sea
for other Liquefaction
specialized & Transport and terminal Transport
services
• CO2 title transfers from Emitter to sink Operator
• Transport organized via Service Level Agreements
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14. CO2 Hub
Legal/Contractual Framework
• Emitters as CINTRA’s customers
• ETS allowances for Emitter
• CINTRA as multi-customer independent operator
no title to CO2
• CINTRA Transportation Agreements: long term take-
or-pay contracts
• TA’s and SLA’s based on repeatable formula
• Impartiality and transparency towards customers
• CINTRA has one TA per emitter, backed up by one
SLA per JV partner each
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15. Stakeholder Management
Purpose:
mitigate risks associated with negative public perception for CCS
Type of Risks:
1. Negative image for companies involved
2. Delay in time
3. Extra costs / investments to be made
beyond a first class SHE strategy
Steps to come to Stakeholder Strategy:
• Step 1: - Actor and network analysis
• Step 2: - Inventarization communications and information options
• Step 3: - Link actual communication option to key stakeholders
• Step 4: - Execution in line with project development
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16. CO2 Hub Location
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17. Connecting Hinterland
Barges to CO2 Hub
Hub
Emitter
Emitter
• Liquefaction of CO2 at site
• River barges transport liquid CO2
over Rhine
• Cargoes from several sources can be
combined: economies of scale
Emitter
• Capacity on Rhine is abundant vs.
pipeline hardly feasible
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18. Current project status
• Launching emitters:
– Coal fired power plant + post combustion capture 1.1 MTA
– Hydrogen plant 0.4 MTA
• Launching sink: Maersk off shore EOR operation
• Launching scope:
– On shore pipeline: 25 km, 40 bar
– Terminal: 2.0 MTA liquefaction capacity, 20 kcbm LCO2 storage
– Ships: 2 x 12 kcbm with onboard conditioning equipment
– Off loading: double buoy system
• Timing:
– LOI’s in place: Q4 2011
– FID: Q3 2012
– RFO: Q2 2015
– Challenge: synchronize timing & permitting
• Expected 2025 throughput: total 8 MTA of which 15 MTA via barge
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19. Launching Scheme
Dan Field on the Danish
sector of the North Sea is
operated by Maersk Olie
og Gas AS on behalf DUC
– Dansk Undergrunds
Consortium.
Dan
• 1.5 MTA of CO2
• Rotterdam Denmark
• EOR
CINTRA
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20. GCCSI LLSC study
lessons learned to date
General
• Start engineering at the sink
• Minimize CO2 composition requirements
• Combining multiple emitters in one network is technically feasible.
• No metallurgical/corrosion issues found other than water => dry the
CO2 at the source
SHE
• No items of concern encountered
• Low vessel collision risk due to high LCO2 density
• On shore pipeline through busy areas: 40 bar
Compression
• Up to 100 bar: bull gear compressor ; beyond: pump
• Moderate ambient temperatures: no power consumption difference
between conventional compression or
compression/liquefaction/pumping.
Pipeline
• In dense phase in order to minimize costs
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21. GCCSI LLSC study
lessons learned to date
Costs: contract duration
Pipeline system tariffs are hurt the most by short term contracts
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22. Transportation Costs: insight evolution
LNG CO2
Source: IEA GHG, 2004
CO2 CO2
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23. GCCSI LLSC study
lessons learned to date
Costs
• CO2 transportation is to be considered as a regular infra
structural project: 20+ year contract durations
• CO2 liquefaction’s energy intensity is relatively low =>
cost break even distances are
1. for on shore pipe versus barge: 200 km (and not 1500 km)
2. for off shore pipe versus ship: 150 km (and not 750 km)
• Depending on flow and distance the transportation costs
may vary from 20 to 120 €/ton
• Combining multiple emitters in one system is paramount
to make CCS affordable, especially for industrial
(smaller) emitters
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24. GCCSI LLSC study
lessons learned to date
Legislation
• Biggest remaining uncertainties:
– CO2 custody transfer: who, when and to whom
– Monitoring requirements in the mean time
Barging/shipping
• No CO2 venting/re-liquefaction in transit
• Barge max. LOA 135 m → 150 m in the future
• Max barge size Ruhrgebiet → R’dam: 7500 tonnes (Ruhrgebiet →
Karlsruhe: 6000 tonnes)
• Required ship sizes: 10,000 - 30,000 m3
• Ship min. required off loading temperature: 0 ˚C
• sea water suffices as heat source for LCO2 “vaporization”
Ship off loading
• HP pressure CO2 unmanned off loading: technically feasible at acceptable
uptimes in deep and shallow water.
• Depleted reservoir’s existing wells require retubing
• Ship → sink batch injection technically feasible, multiple wells likely to be
required flow wise.
• Tubing: low temperature material of construction.
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25. The offshore scope - shipping
450
• Depleted gas field NS 400
• Stand alone operation
Ship manifold pressure (bara)
350
•Stay above hydrate formation bottom hole 300
temperature: 13 ˚C 250
• Challenges: all solvable 200
Intermittent flow 150
Pressure over sink life time: 100
50
150 – 400 bar at well head
0
0 2 4 6 8 10 12 14 16
Time line (years)
3.5
Ship transport capacity [mmt/yr]
3
2.5
2
30,000 cbm ship
1.5
1
10,000 cbm ship
0.5
0 50
100
150
200
250
300
350
400
450
500
550
600
650
700
750
800
850
900
950
0
• Loading & discharge 2000 t/hr Distance [nm]
• Sailing speed 15 kts
• Voyage related spare 1 day
25
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26. THANK YOU
QUESTIONS?
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