JAKARTA : Deployment of carbon capture storage in Indonesia by American energy giant Exxon Mobil Corp could cost about US$500 million, a senior official at Indonesia's state oil firm Pertamina said on Monday.
Pertamina and Exxonmobil signed a memorandum of understanding during the COP26 summit last week to look at ways of using CCS in Southeast Asia's largest country. "Our provisional estimate for investment needs is around US$500 million, excluding operating costs that will be incurred during CCS operations," Daniel Purba, Pertamina's senior vice president of corporate strategy, told CNBC Indonesia.
CCS facilities are likely to be implemented in two Indonesia oil and gas fields, namely the Gundih field in Cepu and the Sukowati field in Bojonegoro, in Central and East Java respectively, Purba said.Pertamina and Exxonmobil would need to build a 4 km gas pipeline from Gundih to a reservoir where they would inject the carbon, and another 30 km gas pipline from Sukowati, Purba added.
Indonesia, the world's eighth-biggest carbon emitter, has brought forward its goal for net zero emissions to 2060 or sooner.