GE Vernova, CARBONCO, bp, PLN Nusantara and Jawa 1 to develop CCUS Value Chain feasibility study in Indonesia

GE Vernova, in collaboration with CARBONCO, a decarbonization solutions specialist under DL E&C Co., Ltd (KRX: 375500), BP Berau, operator of Tangguh, PT. PLN Nusantara Power (a subsidiary of Indonesia's national utility PLN), and PT Jawa Satu Power (owner of PLTGU Jawa 1 jointly owned by Pertamina New and Renewable Energy, Marubeni, and Sojitz), has officially announced the signing of a Memorandum of Understanding (MoU). The purpose of this MoU is to jointly conduct a feasibility study for the development of a Carbon Capture, Utilization, and Storage (CCUS) value chain and collaborative solutions to decarbonize gas power plants in Indonesia, all powered by GE Vernova power technology. BP Berau Ltd represents the Tangguh Production Sharing Contract (PSC) contractors, including MI Berau B.V., CNOOC Muturi Limited, Nippon Oil Exploration (Berau) Ltd., KG Berau Petroleum Ltd., Indonesia Natural Gas Resources Muturi, Inc., and KG Wiriagar Petroleum Ltd.

This strategic initiative aligns with Indonesia's ambitious energy transition efforts towards a lower-carbon future, particularly within the power generation sector. The MoU signing took place at the 1st International & Indonesia CCS Forum 2023, held from September 11-12 at Mulia Hotel, Jakarta.

The MoU builds on an earlier announcement made in October 2022, when GE and CARBONCO initiated discussions about integrating CCUS technology with gas-fired power plants in Asia and Oceania, all powered by GE Vernova technology. Subsequently, both parties identified concrete opportunities based on economic feasibility and project viability. This MoU with bp, PLN Nusantara Power, and Jawa1 marks a significant milestone in accelerating the adoption of CCUS technologies throughout Asia.

Under this agreement, PLN Nusantara, Jawa 1, CARBONCO, bp, and GE Vernova will collaborate across the entire CCUS value chain. This includes implementing carbon capture technology in gas-fired power plants, transporting captured CO2 to import/export terminals, and sequestering the captured CO2 at the Tangguh field in Teluk Bintuni, Papua Barat, Indonesia. The study aims to gain a deeper understanding of developing a CCUS value chain centered around Indonesia as a regional hub.

GE Vernova will leverage its expertise in advanced technology and controls to integrate combined cycle power plants with CARBONCO's CCUS technology. With a proven track record in gas combined cycle plant engineering, operability, and integration with carbon capture plants, GE Vernova will lead the integration efforts, focusing on dispatchability, lower carbon intensity, high flexibility, reliability, and reduced capital costs.

CARBONCO will contribute its technological capabilities and over two decades of experience in executing various global decarbonization projects. Having completed Front-End Engineering Design (FEED) and detailed engineering designs for carbon capture at a 3,000-ton-per-day scale, CARBONCO will emphasize standardization and modularization to ensure quality and mitigate uncertainties in the joint study.

Ramesh Singaram, Asia President & CEO of GE Vernova's Gas Power business, emphasizes the role of GE Vernova in supporting regional energy goals and fostering collaborations with global and local stakeholders to advance breakthrough energy technologies such as carbon capture. He anticipates that this partnership will establish a robust value chain for carbon emissions reduction in the power sector, contributing to Indonesia's climate change commitments.

Dr. Sang Min Lee, CEO of CARBONCO, highlights CARBONCO's commitment to combat climate change by transitioning the region's power industry towards cleaner energy efficiently. He underscores the importance of collaborating with global and local partners like GE Vernova, bp, PLN Nusantara, and Jawa1 in achieving this goal and anticipates that this agreement will further accelerate their efforts.

The Tangguh CCUS project, led by bp, represents the most advanced CCUS initiative in Indonesia. It received approval from the Government of Indonesia in 2021 for ongoing Front-End Engineering Design (FEED) work and planned project sanction in the near future. With a significant storage capacity of approximately 1.8 GtCO2, Tangguh is poised to become Indonesia's first Carbon Capture and Storage (CCS) hub, serving both domestic and international emitters. The initial phase of the Tangguh project aims to inject over 30 million tons of CO2 into the reservoir to enhance gas production through Enhanced Gas Recovery (EGR), making it the world's first large-scale CCUS project with EGR.

Kathy Wu, BP Regional President Asia Pacific, Gas & Low Carbon Energy, emphasizes bp's commitment to supporting Indonesia in achieving its Net Zero target. As a long-time strategic partner for Indonesia, bp brings global knowledge, expertise, technology, and financial capabilities to advance CCUS/CCS initiatives in the country.

In pursuit of its role as a leader in the global energy transition, GE Vernova will spin off into an independent company in 2024, dedicated to accelerating the path toward more reliable, affordable, and sustainable energy. With over 70 years of presence in Indonesia and contributing up to 30 percent of the country's power needs, GE remains deeply committed to Indonesia's energy landscape.

Source:ge.com