SPE Economics & Management
Volume 4, Number 1, January 2012, pp. 32-41

SPE-158241-PA

Geologic Heterogeneity and Economic Uncertainty of Subsurface Carbon Dioxide Storage

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DOI  More information 10.2118/158241-PA http://dx.doi.org/10.2118/158241-PA

Citation

  • Heath, J.E., Kobos, P.H., Roach, J.D., Dewers, T.A., and McKenna, S.A. 2012. Geologic Heterogeneity and Economic Uncertainty of Subsurface Carbon Dioxide Storage. SPE Econ & Mgmt  4 (1): 32-41. SPE-158241-PA. http://dx.doi.org/10.2118/158241-PA.

Discipline Categories

  • 2.5.1 Global Climate Change/CO2 Capture and Management
  • 3.2.4 Decision-Making Processes
  • 3.7.1 Resource Potential

Keywords

  • carbon dioxide, well injectivity, heterogeneity, economics , uncertainty

Summary

Subsurface storage of carbon dioxide (CO2) has geologic and economic uncertainties that must be addressed as part of a performance assessment. A model presented herein links uncertainty in geologic heterogeneity and associated well injectivity to variability in costs. This includes a novel averaging scheme for CO2 injectivity using geostatistical realizations of petrophysical properties and a systems-level model that includes costs of drilling and completion of injection wells. Using the Mount Simon formation in the Illinois basin, USA, as a test case, this analysis demonstrates how the underlying costs of CO2-subsurface-storage projects can be highly sensitive to geologic heterogeneity.

© 2012. Society of Petroleum Engineers

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History

  • Original manuscript received: 28 April 2011
  • Revised manuscript received: 5 January 2012
  • Manuscript approved: 12 January 2012
  • Version of record: 8 February 2012