Emerging Need for CO2 Supply
In 2019, enhanced oil recovery (EOR) activities in the Permian Basin produced on average 350,000 BOPD [=barrels of oil per day]. The International Energy Agency estimated world CO2-EOR production at 450,000 BOPD in 2019. The CO2, mostly naturally sourced, is transported to oil fields through a network of 4,500 miles of pipelines. The development of this vast CO2-supply infrastructure in the region has resulted from the increasing CO2 demand for EOR. CO2 supply hasn’t always met the demand, restricting EOR production. The latter is starting to force a change in the low-cost natural CO2 supply trend, with forecasts including emerging industrial CO2 capture projects.1Nuñez-López, V., & Moskal, E. (2019). Potential of CO2-EOR for Near-Term Decarbonization. Frontiers in Climate, 1, 5.