# WIA-ENE-003: Carbon Capture & Storage Standard
## PHASE 1: Foundation and Feasibility

**Version:** 1.0
**Status:** Published
**Date:** 2025-12-25
**Philosophy:** 弘益人間 (홍익인간) - Benefit All Humanity

---

## 1. Executive Summary

Phase 1 establishes the foundation for carbon capture and storage projects, focusing on feasibility assessment, technology selection, site evaluation, and regulatory planning. This phase typically spans 6-12 months and represents 5-10% of total CAPEX investment.

**Key Deliverables:**
- Feasibility study and business case
- Technology selection report
- Storage site characterization (preliminary)
- Regulatory strategy and permit roadmap
- Conceptual design and cost estimate (±30% accuracy)

---

## 2. Emission Source Assessment

### 2.1 Data Collection Requirements

**Mandatory Parameters:**
- Annual CO₂ emissions (tonnes/year)
- Flue gas composition (CO₂ %, N₂, O₂, H₂O, impurities)
- Flow rate (Nm³/hour) and temperature profile
- Seasonal and operational variability
- Future production forecasts (20-year horizon)

**Facility Infrastructure:**
- Available footprint for capture equipment (hectares)
- Steam and heat availability for solvent regeneration
- Cooling water supply capacity and temperature
- Electrical power capacity and reliability
- Access for equipment delivery and construction

### 2.2 Emission Source Categories

| Source Type | Typical CO₂ Concentration | Annual Emissions | Recommended Technology |
|-------------|---------------------------|------------------|------------------------|
| Coal Power Plant | 12-15% | 2-5 Mt/year | Post-combustion (amine) |
| Natural Gas Combined Cycle | 3-4% | 0.5-2 Mt/year | Post-combustion or oxy-fuel |
| Cement Plant | 15-30% | 1-3 Mt/year | Post-combustion (advanced solvents) |
| Steel Mill (Blast Furnace) | 20-25% | 2-8 Mt/year | Post or pre-combustion |
| Hydrogen Production (SMR) | 15-20% (high pressure) | 0.5-2 Mt/year | Pre-combustion (Selexol/Rectisol) |
| Ethanol Production | 95-99% (fermentation) | 0.1-0.5 Mt/year | Simple dehydration + compression |

---

## 3. Technology Selection

### 3.1 Selection Criteria

**Technical Factors:**
- CO₂ concentration in source gas
- Capture efficiency target (typically 85-95%)
- Impurity tolerance (SOx, NOx, particulates)
- Retrofit vs. greenfield application
- Scale and modularity requirements

**Economic Factors:**
- Capital cost ($/tonne CO₂/year capacity)
- Operating cost ($/tonne CO₂ captured)
- Energy penalty (% of facility output)
- Levelized cost of capture over project life

**Strategic Factors:**
- Technology maturity (TRL 8-9 preferred for first projects)
- Vendor experience and support
- Availability of financing
- Regulatory approval timeline

### 3.2 Technology Comparison Matrix

| Technology | Capture Efficiency | Energy Consumption | CAPEX | OPEX | Best Application |
|------------|-------------------|--------------------| ------|------|------------------|
| Post-Combustion (MEA) | 85-90% | 3.5-4.5 GJ/t | $$$ | $$ | Retrofit coal/gas plants |
| Post-Combustion (Advanced Solvents) | 90-95% | 2.5-3.5 GJ/t | $$$$ | $$ | New builds, cement |
| Pre-Combustion (IGCC) | 90-95% | 2.0-3.0 GJ/t | $$$$$ | $$$ | New coal plants, H₂ production |
| Oxy-fuel Combustion | 95-98% | 2.0-2.5 GJ/t | $$$$ | $$$ | New plants, high purity needed |
| Direct Air Capture | 75-85% | 5.0-10.0 GJ/t | $$$$$+ | $$$$ | Negative emissions, remote |

---

## 4. Storage Site Evaluation

### 4.1 Screening Criteria

**Geological Requirements:**
- Depth: 800-3,000 meters (optimal pressure/temperature for supercritical CO₂)
- Porosity: >10% (preferably >20%)
- Permeability: >10 mD (preferably >100 mD)
- Cap rock: Low permeability seal (<1 nanodarcy)
- Structural integrity: No throughgoing faults in cap rock
- Storage capacity: >20 years of planned injection

**Economic Considerations:**
- Distance from capture facility (transport cost)
- Existing infrastructure (oil/gas wells, seismic data)
- Land access and permitting complexity
- Injection well costs ($3-8 million per well)

### 4.2 Storage Formation Types

**Depleted Oil and Gas Reservoirs:**
- **Advantages:** Proven containment, existing data, potential EOR revenue
- **Capacity:** 675-900 Gt CO₂ globally
- **Typical injection rate:** 500-2,000 tonnes/day per well
- **Storage security:** Very high (demonstrated for millions of years)

**Deep Saline Aquifers:**
- **Advantages:** Largest capacity, widespread distribution
- **Capacity:** 10,000+ Gt CO₂ globally
- **Typical injection rate:** 1,000-5,000 tonnes/day per well
- **Challenges:** Less characterized, requires extensive monitoring

**Basalt Formations:**
- **Advantages:** Mineralization (permanent storage), rapid reaction
- **Capacity:** 25,000+ Gt CO₂ globally
- **Typical injection rate:** 100-500 tonnes/day per well
- **Status:** Emerging technology, successful pilots (Carbfix, Iceland)

### 4.3 Characterization Program

**Phase 1A: Desktop Study (Months 1-2)**
- Review existing geological data
- Identify candidate formations
- Preliminary capacity estimates
- Risk assessment and site ranking

**Phase 1B: Field Investigation (Months 3-8)**
- 3D seismic survey (100-200 km², $2-5 million)
- Characterization wells (2-4 wells, $3-8 million each)
- Core sampling and laboratory analysis
- Formation fluid sampling and geochemistry
- Injectivity testing

**Phase 1C: Modeling and Assessment (Months 7-12)**
- Reservoir simulation and flow modeling
- CO₂ plume migration prediction
- Geomechanical modeling (fault stability, caprock integrity)
- Storage capacity estimation (P10, P50, P90)
- Monitoring and verification plan development

---

## 5. Economic Analysis

### 5.1 Cost Categories

**Capital Costs (CAPEX):**
```
1 Mt/year Facility Example:
├─ Capture Plant: $600-900M
│  ├─ Process equipment: 60%
│  ├─ Civil and structural: 20%
│  ├─ Electrical and instrumentation: 15%
│  └─ Engineering and contingency: 5%
│
├─ Transport Infrastructure: $50-200M
│  ├─ Pipeline (100 km @ $500k/km): $50M
│  ├─ Compression stations: $30M
│  ├─ Metering and control: $10M
│  └─ Rights-of-way and permitting: $10M
│
├─ Storage Development: $100-250M
│  ├─ Characterization and permitting: $20M
│  ├─ Injection wells (4 wells): $30M
│  ├─ Surface facilities: $30M
│  ├─ Monitoring system: $20M
│  └─ Contingency and closure fund: $50M
│
└─ Total CAPEX: $750-1,350M
```

**Operating Costs (OPEX per year):**
```
├─ Energy (electricity + steam): $15-25M
├─ Solvent makeup and chemicals: $3-5M
├─ Labor (30-50 FTE): $5-8M
├─ Maintenance (3% of CAPEX): $5-10M
├─ Monitoring and verification: $2-4M
├─ Insurance and regulatory: $1-2M
└─ Total OPEX: $30-55M/year
```

### 5.2 Revenue Streams and Incentives

**Carbon Credits:**
- Price range: $20-100/tonne CO₂ (varies by market)
- Annual revenue (1 Mt/year @ $60/t): $60M
- Certification cost: $50-200k/year

**Tax Incentives (e.g., US 45Q):**
- $85/tonne for geological storage
- $60/tonne for utilization
- 12-year credit period

**Enhanced Oil Recovery:**
- Payment for CO₂: $15-30/tonne
- Risk: Oil price volatility

### 5.3 Financial Modeling

**Levelized Cost of Capture:**
```
LCOC = (CAPEX × CRF + OPEX) / Annual CO₂ Captured

Where CRF = Capital Recovery Factor
      = (r × (1+r)ⁿ) / ((1+r)ⁿ - 1)
      r = discount rate (typically 7-10%)
      n = project life (20-30 years)

Example (1 Mt/year, 20 years, 8% discount):
LCOC = ($1,000M × 0.102 + $40M) / 1Mt
     = $142M / 1Mt
     = $142/tonne CO₂
```

**Net Present Value (NPV):**
- Calculate present value of all cash flows
- Include carbon credit revenues and tax incentives
- Assess sensitivity to key variables (carbon price, CAPEX, energy cost)

---

## 6. Regulatory Strategy

### 6.1 Permit Requirements (Example: United States)

**Capture Facility:**
- Air Quality Permit (Prevention of Significant Deterioration)
- Water Discharge Permit (NPDES)
- Building and construction permits
- Environmental Impact Assessment (state/federal)
- Timeline: 12-24 months

**Pipeline:**
- Pipeline construction permit (state/federal)
- Right-of-way agreements
- Environmental assessment
- Water crossing permits
- Timeline: 18-36 months

**Storage Site (EPA Class VI UIC Permit):**
- Area of Review delineation
- Geologic characterization report
- Monitoring and verification plan
- Financial assurance demonstration
- Public notice and comment period
- Timeline: 24-48 months (critical path item)

### 6.2 Stakeholder Engagement

**Community Outreach:**
- Public information sessions
- One-on-one meetings with neighbors
- Community benefits agreement
- Local hiring commitments

**Government Relations:**
- Early engagement with regulatory agencies
- Pre-application meetings
- Joint development with multiple projects (hub approach)

---

## 7. Risk Assessment

### 7.1 Technical Risks

| Risk | Probability | Impact | Mitigation |
|------|-------------|--------|------------|
| Technology performance shortfall | Medium | High | Vendor guarantees, pilot testing |
| Storage site inadequacy | Low-Medium | Very High | Comprehensive characterization, backup sites |
| Construction cost overrun | Medium-High | Medium | EPC contracting, contingency reserves |
| Equipment delivery delays | Medium | Medium | Early procurement, multiple vendors |

### 7.2 Commercial Risks

| Risk | Probability | Impact | Mitigation |
|------|-------------|--------|------------|
| Carbon price volatility | High | High | Long-term offtake agreements, hedging |
| Regulatory changes | Medium | High | Policy advocacy, flexible design |
| Public opposition | Low-Medium | Medium | Community engagement, transparency |
| Financing challenges | Medium | High | Government support, strategic partners |

---

## 8. Phase 1 Deliverables

### 8.1 Feasibility Study Report

**Contents:**
1. Executive Summary
2. Emission Source Analysis
3. Technology Selection and Justification
4. Storage Site Evaluation
5. Economic Analysis and Business Case
6. Regulatory Strategy
7. Risk Assessment and Mitigation
8. Project Schedule and Next Steps
9. Appendices (data, calculations, references)

### 8.2 Go/No-Go Decision Criteria

**Proceed to Phase 2 if:**
- ✓ Storage site identified with >20 years capacity
- ✓ Technology selected and vendors identified
- ✓ Levelized cost <$150/tonne (or economically viable with incentives)
- ✓ Regulatory path forward clear
- ✓ Stakeholder support or manageable opposition
- ✓ Financing pathway identified
- ✓ Management and board approval

---

## 9. Phase 1 Timeline and Budget

**Duration:** 6-12 months
**Budget:** $5-15 million (5-10% of total CAPEX)

**Month 1-2:** Desktop studies, team assembly
**Month 3-4:** Site selection, technology vendor engagement
**Month 5-8:** Geologic characterization, preliminary engineering
**Month 9-10:** Economic modeling, regulatory strategy
**Month 11-12:** Feasibility report, decision gate

---

## 10. Alignment with WIA-ENE-003 Standard

Phase 1 implements the following WIA-ENE-003 requirements:

- **Section 3.1:** Emission source characterization methodology
- **Section 3.2:** Technology selection framework
- **Section 4.1:** Storage site screening and evaluation
- **Section 5.1:** Economic assessment protocols
- **Section 6.1:** Regulatory compliance planning
- **Section 7.1:** Risk management framework

---

**Philosophy:** This phase embodies 弘益人間 (홍익인간) by establishing a solid foundation for carbon capture projects that will benefit all humanity through climate action.

**Next Phase:** PHASE2-implementation.md