Clean coal project ZeroGen achieves milestone by successfully drilling and testing two wells

ZeroGen, Australia’s most advanced clean coal power demonstration project owned by the Queensland government, has achieved [*.pdf] a significant milestone with the completion of the first stage of its test drilling program. The ZeroGen Clean Coal Power Demonstration Project aims to enable deep cuts in carbon dioxide (CO2) emissions to the atmosphere by combining the technologies of Integrated Gasification Combined Cycle (IGCC) and CO2 Capture and Storage (CCS) (schematic, click to enlarge).

Biopact focuses on developments in CCS technologies because they allow for the production of radically carbon-negative energy when applied to biomass (more here, here and here). If implemented on a global scale, socalled 'Bio-energy with Carbon Storage' (BECS) systems take historic carbon dioxide emissions out of the atmosphere and allow us to go back to pre-industrial CO2 levels in a matter of decades (earlier post).

The first phase of ZeroGen’s test drilling, Drilling Program One (DP1), involved the drilling of two wells of depths between 1000 and 2000 meters in the Northern Denison Trough in Central Queensland. The tests involved injecting water into the underground saline reservoirs to replicate carbon dioxide released from the production of electricity by burning coal.

An international peer review of the results has now confirmed the tests were successful in determining that the local geology could support the clean coal technology. The ZeroGen team has now mapped out the area for a second round of tests to locate the best saline aquifer for storing large quantities of CO2 - a process called geosequestration. Other objectives of Drilling Program Two (DP2) are to investigate the cost considerations associated with on-shore CO2 storage as well as monitoring and verification techniques:
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DP1 was undertaken by Stanwell Corporation Limited with technical expertise provided by Shell Development (Australia) Limited, a world leader in CO2 sequestration, and a number of Queensland firms. The next phase of investigations will be managed by Stanwell Corporation Limited and will be undertaken in collaboration with Shell, Sunshine Gas, MBA Petroleum Consultants and AGR Asia Pacific.

ZeroGen's commercial partner Shell Development (Australia) has agreed to be part of the next stage and will work in collaboration with Sunshine Gas and MBA Petroleum Consultants. Shell has yet to decide whether to take a 10 per cent equity in the project.

Clean coal technology is considered crucial to addressing global warming, given the continued use of coal-fired power stations, particularly in developing countries. But much depends on whether electricity generated by projects such as ZeroGen would be competitively priced.

While there are a number of clean coal technology projects around the world, including geosequestration tests being undertaken in Victoria's Otway Ranges, ZeroGen is unique in that it is designed to produce power and reduce emissions using a series of technologies in Queensland geological conditions which are, most importantly, similar to that of China. Mr Beattie has made no secret of his desire to sell clean coal technology to China in an effort to safeguard Queensland's future as a coal exporter. He has promoted ZeroGen in meetings with Chinese government officials, while the ZeroGen team has also helped China's GreenGen project and held talks with potential Chinese investors.

Graham Reed, program manager for the Centre for Low Emission Technology, yesterday said ZeroGen had made "a very significant step in so far as this project and Queensland are concerned".

Peter Cook, chief executive of the Co-operative Research Centre for Greenhouse Gas Technologies, also welcomed the ZeroGen development, describing it as "a first, cautious and totally appropriate step in the process".

The ZeroGen plant's critics, including at one point federal Industry Minister Ian Macfarlane, argue that it is too small at 100mw and will not be commercially viable. Mr Macfarlane would not comment yesterday on the status of ZeroGen's application for federal funding.

But ZeroGen remains several years ahead of its comparable rivals, including the US-based FutureGen project, and is starting to be assessed by coal companies, whose financial support is crucial to its success.


ZeroGen Pty Ltd is owned by the Queensland Government and Stanwell Corporation Limited is the main service provider for the feasibility study. The feasibility study is expected to be completed by late 2008 and involves: further test drilling (DP2); an Environmental Impact Statement; the CO2 pipeline route identification; native title and cultural heritage negotiations; and extensive stakeholder engagement.

Image: artist impression of the proposed ZeroGen power station. Credit: ZeroGen.

References:
ZeroGen: Clean coal project achieves significant milestone - August 30, 2007.

ZeroGen: Test Drilling Fact Sheet [*.pdf].

Queensland Government: Smart State takes step closer to clean coal with ZeroGen - August 30, 2007.

The Australian: Low-emission coal test success - August 30, 2007.