The UK Oil and Gas Authority’s UKCS Energy Integration: Interim Findings report has found that partnering between oil and gas, renewables, hydrogen and carbon capture can accelerate energy transition and reduce carbon emissions.
The UK Oil and Gas Authority’s UKCS Energy Integration: Interim Findings report has found that partnering between oil and gas, renewables, hydrogen and carbon capture can accelerate energy transition and reduce carbon emissions.
The report discusses the first phase of the UKCS Energy Integration project, led by the OGA, considering how oil and gas infrastructure and capabilities can be leveraged for carbon capture and storage (CCS) and to support renewable energy production and hydrogen generation, transportation and storage.
The report emphasises that opportunities for UKCS deployment are plentiful, diverse and location-specific. Additionally, the UK has significant wind power potential, untapped carbon storage capacity, and extensive oil and gas infrastructure in place.
The report finds that platform electrification could significantly reduce emissions on oil and gas installations by using low-carbon electricity, including directly from offshore wind farms, to replace generation from gas and diesel.
Gas-to-wire (GtW) would enable gas to be converted to electricity offshore and transported using existing windfarm cables. It is particularly suited to the Southern North Sea and East Irish Sea.
Opportunities for oil and gas synergies with CCS projects is very significant.
Hydrogen has feasible production avenues through both ‘blue’ hydrogen (produced by natural gas reforming) and ‘green’ hydrogen (electrolysis produced by renewables), enabling decarbonization of power, heat and transport.
Offshore energy hubs can help to scale up net-zero energy solutions, e.g. by allowing hydrogen to be generated offshore using windfarms and stored in reservoirs to be transported to shore using oil and gas infrastructure. Multiple sites across the UK would be suited to energy hubs.
Phase 1 of the project was completed by Lloyd’s Register (LR). The OGA has appointed EY to support delivery of phase two. The project will conclude in Q2 2020, after which a final report will be published.
