Shell to build Canadian carbon storage facility

Company plans to spend US$10-15 billion across 2023-25 to development low-carbon energy solutions

Chemicals plant at Shell Scotford (CNW Group/Shell Canada Limited)

Shell announced its final decision to build Polaris, a carbon capture project at the Shell Energy and Chemicals Park, Scotford in Alberta, Canada.

Polaris is designed to capture approximately 650,000 tonnes of CO₂ annually from the Shell-owned Scotford refinery and chemicals complex. In addition to Polaris, Shell will also build the Atlas Carbon Storage Hub in partnership with ATCO EnPower. The first phase of Atlas will provide permanent underground storage for CO₂ captured by the Polaris project. Both projects are expected to begin operations toward the end of 2028.

“Carbon capture and storage is a key technology to achieve the Paris Agreement climate goals,” said Huibert Vigeveno, Shell’s Downstream, Renewable and Energy Solutions Director. “The Polaris and Atlas projects are important steps in reducing emissions from our own operations.”

Polaris and Atlas follow the success of the Quest carbon capture and storage (CCS) facility at Scotford, which has captured and stored more than nine million tonnes of CO₂ since 2015, the company said.

Shell is a 50/50 partner with ATCO EnPower in the Atlas Carbon Storage Hub. The first phase of Atlas will provide permanent underground storage for CO₂ captured by the Polaris project. A future phase of the Atlas Carbon Storage Hub, that could potentially store carbon for the partners and third parties, is subject to a future investment decision.

CO₂ emissions captured by Polaris will be sent to the Atlas Hub via an approximately 22-km pipeline to two storage wells. CO₂ will be stored there approximately two kilometres underground in the Basal Cambrian Sands, the same formation used to successfully store CO₂ from the Quest CCS facility.

As announced at Capital Markets Day in June 2023, Shell plans to invest US$10-15 billion across 2023-25 to support the development of low-carbon energy solutions including e-mobility, low-carbon fuels, renewable power generation, hydrogen, and carbon capture and storage.

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