PTTEP has reached a positive FID on the Arthit CCS Project in Thailand’s offshore Arthit gasfield, the company announced on Monday.
The project is Thailand’s first CCS initiative and is designed to reach a capture and storage capacity of up to 1 million tonnes per year of carbon dioxide in a phased development process scheduled to start in 2028. PTTEP estimates the project will command investments of around USD 320 million over five years.
PTTEP will use existing infrastructure at the gasfield and develop additional facilities as needed to inject carbon dioxide into selected reservoirs located at depths of between 1,000-2,000 metres. Project development is not expected to impact gas production at the Arthit field.
The Arthit gas and condensate field is located approximately 230 kilometres offshore in the Gulf of Thailand and operated by PTTEP with an 80% interest. Estimated to hold reserves of up to 53.8 bcm (1.9 tcf), the field has been producing since 2008.
“The Arthit CCS Project will serve as a pilot for cultivating expertise and driving CCS adoption in Thailand, including the Eastern CCS Hub in the Northern Gulf of Thailand, which has the potential to make a material contribution to the country’s net-zero target and enhance the nation’s long-term economic competitiveness,” said PTTEP CEO Montri Rawanchaikul.
Designated as a flagship government-backed initiative under Thailand’s Nationally Determined Contribution Action Plan on Mitigation 2021-2030, the project has been approved for state investment support, including potential tax incentives.
PTTEP is Thailand’s national upstream oil and gas company. It engages in exploration, development and production, and has operations in Southeast Asia, the Middle East and Africa.
Source: theenergyyear.com