#1ENERGI DAN RGI DAN SUMBER DAYA MINERAL THE MINISTRY OF ENERGY AND MINERAL RESOURCES THE REPUBLIC OF INDONESIA PROGRESS OF CCS/CCUS IMPLEMENTATION IN INDONESIA Dr. Muhammad Wafid Agung 30 September 2022 www.esdm.go.id Kementerian Energi dan @Kementerian ESDM @kesdm Sumber Daya Mineral Kementerian ESDM#2Concept of Draft Ministerial Regulation on CCS/CCUS Support the Development of CCS or CCUS (CO2 EOR/EGR/ECBM) Technical Aspects . • Focus on CCS/CCUS in Oil and Gas Working Area Conducted by O&G Contractor, based on Upstream O&G Business Mechanism, • Open for CO2 sources from outsite upstream O&G (for CCUS) CONCEPTS Based on Applicable Regulation, Referenced Standard, Good Engineering Practices And Site Characteristic Opportunities for CCS/CCUS Monetization The draft has been shared to the stakeholders for input & improvement Coordinating Ministry for Maritime & Investment Affairs ✓ Ministry of Environment & Forestry ✓ International Institutions (Government, Public/Private Institutions, Research Centers & Companies) from: • • UK Australia • South Korea • Japan • EU • US • Canada • Norway • Singapore www.migas.esdm.go.id f Halo Migas Ditjen Migas @halomigas @halomigas Halo Migas Ditjen Migas Contact Center ESDM 136#3Roles of CCS/CCUS - Indonesia Production Indonesia's Energy Sector Figure 5.29 ▷ CCUS deployment in Indonesia in the Announced Pledges Scenario, 2020 - 2060 Gas Gap Gas Production Gas Consumption The Role of Gas in Today's Energy Transitions...... Consumption International Energy Agency (IEA) Gas Export ■ Natural gas has an important roles in the energy transition before reaching 100% power generation from renewable energy sources. ■ CCUS plays a major role in reducing emissions from the natural gas value chain. CO2 separation from methane to meet natural gas or LNG standards. This process results in a highly concentrated (>98%) CO2 stream, which makes natural gas processing one of the least-cost applications of CCUS. Mt CO2 per year 240 200 160 120 80 40 Fuel supply Hydrogen-based production Biofuels production Other Industry Industry combustion Industry processes Electricity sector Bioenergy Natural gas Coal 2021 2030 2040 2050 2060 Source: IEA Special Report, 2022, An Energy Sector Roadmap to NZE in Indonesia IEA. All rights reserved. ☐ CCUS is set to play important roles in supporting Indonesia's energy transition, in particular in industry, electricity generation and fuel transformation. ☐ CCUS applications pick up after 2025, with the amount of CO2 captured rising to over 6 Mt annually in 2030, and reaching around 190 Mt annually in 2060 www.migas.esdm.go.id f Halo Migas Ditjen Migas @halomigas @halomigas Halo Migas Ditjen Migas Contact Center ESDM 136#4CCS/CCUS Projects in Indonesia August 2022 15 CCS/CCUS activities in Indonesia are still in the study/ preparation stage, but most are targeted for on-stream before 2030 Arun CCS Coal to DME + CCS/CCUS Sakakemang CCS CCUS to Methanol RU V Balikpapan Central Sumatera Basin CCS/CCUS Hubs East Kalimantan & Sunda East Kalimantan CCS/CCUS Study Tangguh EGR/CCUS Ramba CCUS/EOR Asri Basin CCS/CCUS Hubs Blue Ammonia + CCS Pilot CO₂ Huff & Puff Jatibarang Sukowati CCUS/EOR CCUS Study Gundih CCUS/EGR Abadi CCS/CCUS www.migas.esdm.go.id f Halo Migas Ditjen Migas @halomigas @halomigas Halo Migas Ditjen Migas | Contact Center ESDM 136 4#5Status of CCS/CCUS Projects in Indonesia August 2022 No Projects 1 Tangguh EGR/CCUS 2 Gundih CCUS/CO2-EGR 3 Sukawati CO2-EOR Conducted by bp Berau Ltd., study was conducted by CoE-ITB Pertamina, CoE ITB, JGC, J-Power, JANUS & Supported by METI Japan Pertamina, LEMIGAS, JAPEX & Supported by METI Japan • Repsol Sakakemang B.V. Inpex Masela Ltd. Joint Study Blue Ammonia & CCS Pertamina & PT. Panca Amara 4 CCS Sakakemang 5 Abadi CCS/CCUS 6 in Central Sulawesi 7 8 Study of CCUS for Coal to DME East Kalimantan CCS/CCUS Study 9 Arun CCS Utama, JOGMEC, Mitsubishi, ITB PT. Kaltim Parna Industri & ITB Pertamina & Chiyoda Corporation Carbon Aceh & PEMA Status FEED Preparation POD Ubadari dan Vorwata EGR/CCUS has been approved Phase-2 Study to mitigate uncertainties & risks Subsurface Study by Pertamina Study CO2-EOR as CCUS by Pertamina, LEMIGAS, JAPEX Site selection & characterization • Preparing Lab test for Feasibility • FS with ITB (Completed on July 2022) JSA Finalization Preparing required data by Pertamina Pre-Feasibility Study (surface facilities) Joint Study Agreement (JSA) has been signed, Preparing access data & CA MoU Carbon Aceh-PEMA has been signed Preparing for Joint Feasibility Study (Expected to be started in 2022) Internal study Onstream Target Schedule 2026/2027 2026 ■Pilot Test 2026-2027 ■Full Scale: 2031 2027 FS (July 2023) 2028 FS (Dec 2023) 2028 CO2 Stored Potential 25 to 33 million tCO2 for 10 to 15 yrs 3 million tCO2 for 10 yrs 7 to 14 million tCO2 for 15 yrs (base case 10 milliontCO2) 30 million tons of CO2 emissions for 15 years 70 million ton of Native CO2 by 2055 19 million tCO2 for 20 yrs 10 million tCO2 for 10 years 26 or 131 million tCO2 for 20 years, depends on scenarios 10 Ramba CCUS (CO2-EOR) Pertamina 11 Central Sumatera Basin CCS/CCUS Regional Hubs Pertamina & Mitsui East Kalimantan & Sunda Asri 12 13 - Basin CCS/CCUS Regional Hubs CO2 Capture & Utilization to Methanol RU V Balikpapan 14 CCUS Study Pertamina & Air Liquide Pertamina & Chevron 2030 Preparing required data & CA 2028 Pertamina & Exxon Mobil Subsurface Evaluation 2028 15 Pilot Test CO2 Huff and Puff Jatibarang JSA has been signed, Joint Study until 2023 Discussion on field candidate, preparing JSA Validating the simulation result & preparing 2028 Pertamina & Region 2 - Zona 7 injection well, JSA with JOGMEC has been Pilot Test W4 Oct 2022 5 signed#6Closing Regulatory frameworks for CCS/CCUS are crucial enablers, MEMR has finalized draft ministerial regulation on CCS/CCUS for Oil and Gas Working Area and is ready for harmonization among related Ministries International cooperation and collaboration in technical, safety, economic and regulatory framework are much needed to increase the implementation of CCS/CCUS, including: ➤ Mapping of potential CO2 storage capacity in Saline Aquifer CO2 utilization from oil and gas field to produce Methanol Feasibility Study on Blue Hydrogen Development Study on the development of Business Model & MRV for CCS Hub ➤ Capacity building (seminar, training, course, etc) www.migas.esdm.go.id f Halo Migas Ditjen Migas @halomigas @halomigas Halo Migas Ditjen Migas | Contact Center ESDM 136