Saturday, October 29, 2011

Wyoming CO2 storage project may get put on hold

Work on a much-touted experimental underground carbon dioxide storage facility could come to a halt, partly because the CO2 needed to test the project is in such high demand by Wyoming oil producers that it would cost hundreds of millions of dollars. The University of Wyoming project aims to show the feasibility of storing CO2 emissions deep underground at a 25 square-mile test site east of Rock Springs. But while the project is based on the idea that CO2 is a byproduct and a pollutant due for stricter federal rules, CO2 is actually in demand in Wyoming, where oil producers pump it underground to force out hard-to-get oil, a method known as enhanced oil recovery. That means the sequestration project researchers’ plan to buy 3 million tons of CO2 for testing came with a big price tag: $750 million. The price could press pause on the project, said Rob Hurless of the University of Wyoming School of Energy Resources and an adviser to Gov. Matt Mead on energy issues...more

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