Big Oil, Big Bet: Indonesia’s Pertamina & Exxon Aim For Gigatonne CO2 Grab

Exxon Mobil Corporation (NYSE:XOM) and state energy firm Pertamina reportedly plan to perform appraisal drilling for a carbon capture and storage (CCS) hub in Indonesia. The companies partnered for preliminary work to design a commercial model for the Asri Basin Project CCS hub, reported Reuters.

As per a preliminary joint study by Pertamina and Exxon, the Asri basin in Pertamina’s Offshore South East Sumatra block could store up to 3 gigatonnes of carbon dioxide and would require investments of $2 billion. The companies also inked a framework agreement with South Korea’s KNOC, allowing it to join the partnership and inject emissions into the facility.As per the report, Indonesia allowed CCS operators to set aside 30% of their storage capacity for imported carbon and estimates its depleted oil and gas reservoirs and saline aquifers to provide storage for hundreds of gigatonnes of CO2.

Source: msn.com