Carbon Dioxide Industry Hotspots for September 2015


Release time:

2015-10-01

Hot 1:Turning Waste into Treasure and Recycling CO2 to Increase Oil Production in North Jiangsu Oilfield Hot 2:China's largest-scale CO2-free storage fracking test successfully conducted in Jilin oilfield Hot 3:Yara International sells European CO2 business for more than 200 million euros Hot 4:China and the United States issued another statement to launch the carbon emissions trading system in 2017

Hot 1:Turning Waste into Treasure Recycling Carbon Dioxide to Increase Oil Production for North Jiangsu Oilfield

East China Petroleum Bureau Liquid Carbon Company plays the advantages of a specialized company engaged in carbon dioxide production and operation and application of carbon dioxide oil drive, using the idle carbon dioxide recovery device with an annual production capacity of 50,000 tons of carbon dioxide of SINOPEC to recover the carbon dioxide in the tail gas emitted from the ammonia plant of NANHUA, and produces a total of 5,000 tons of liquid carbon in the one hundred days of the cooperation, and the produced liquid carbon is transported by tanker trucks to the oil recovery plant of the East China Petroleum Branch Company. The liquid carbon produced was transported by tanker truck to the oil extraction plant of East China Oil & Gas Branch for pressure injection into the formation for carbon dioxide oil repulsion or throughput, and more than 4,500 tons of carbon dioxide were used. According to the conversion of oil exchange rate of 1 ton per 3 tons of liquid carbon to drive oil in Taizhou group reservoir of Caoshe Oilfield, it can increase 1450 tons of oil for the oilfield, and if it is used for CO2 throughput operation in Jinhujinnan block, according to the conversion of oil exchange rate of 1.3 tons of liquid carbon to drive oil of 1 ton, it can increase 3,460 tons of oil.

The "marriage" of this project is in line with the national macro-policy guidance and the Group's overall strategy of green and low-carbon development, creating a precedent of comprehensive utilization of carbon dioxide resources and energy saving and emission reduction, which is of far-reaching significance.

Hot 2:China's Largest-scale CO2 Waterless Storage Fracturing Test Successfully Conducted in Jilin Oilfield

China's largest-scale CO2 waterless storage fracturing test was successfully conducted in Jilin Oilfield recently. Jilin Oilfield and the Exploration Institute jointly conducted 5 wells of CO2 waterless storage fracturing test continuously in Jilin Oilfield tight oil block. Among them, the 53 Ping 9-3 well achieved the parameter indicators of 21 cubic meters of sand added to a single layer, 696 cubic meters of single layer of fluid entering the well, 7.9 cubic meters/minute of construction displacement, and the highest sand ratio of 12.8%, which set a new record of CO2 waterless storage fracturing in China and realized a new breakthrough in the technology.

Carbon dioxide-free hydraulic fracturing is an anhydrous-phase production enhancement and reforming technology that uses liquid carbon dioxide as a fracturing fluid instead of water, and high-strength solids, such as quartz sand or ceramic grains, as proppant. At present, the first well of Red 87-22-4, which completed the construction, is self-injecting production, with daily production of 28.1 tons of fluid and 12.4 tons of oil, respectively, and the effect of production increase is obvious.

Hot 3:Yara International sells European CO2 business for over €200 million

On September 15, Norway's Yara International and U.S. industrial gas manufacturer Praxair signed a sale agreement for a deal worth a total of €312 million, which is expected to close in the first quarter of 2016.

Under the agreement, Yara International will sell its CO2 business to Praxair for EUR 218 million. The agreement also includes the sale of Yara International's 34% stake in the Scandinavian gases business, a joint venture with Praxair, in a transaction valued at €94 million.

Under the agreement, Yara International will supply CO2 gas to Praxair and continue to operate CO2 units at three fertilizer plants.

In 2014, Yara International's European CO2 business sold more than 850,000 metric tons of liquid CO2 and 50,000 metric tons of dry ice, generating sales revenues of €112 million. It operates five CO2 liquefaction plants, three CO2 vessels, seven ship terminals and six dry ice production facilities in Europe.

Hot 4:China and the United States issued another statement to launch the carbon emissions trading system in 2017

Recently China and the United States issued another Joint Statement on Climate Change, in which China will commit to launching a national carbon emissions trading system by 2017. In the joint statement, Xi Jinping said that the Chinese government has committed to put forward 20 billion yuan (about 3.1 billion U.S. dollars) to support other developing countries to deal with climate change. It is expected that the domestic carbon trading market trillion space will be opened to promote the development of clean energy and energy saving, corresponding to the A shares, environmental protection, new energy and other listed companies are worth investors focus on.

Local time on September 25, China and the United States once again issued a "joint statement on climate change", China will commit to 2017 to start the national carbon emissions trading system. Following the "landmark" agreement between the U.S. and China at the end of last year, the move will again be a major step forward in China's efforts to promote greenhouse gas emissions reductions and combat climate change.

In the joint statement, Xi said the Chinese government has pledged 20 billion yuan ($3.1 billion) to support other developing countries in tackling climate change. The Chinese government also pledged in this joint statement to strictly limit the flow of public investment to high-polluting and high-emission projects at home and abroad.

As early as the end of last year, China and the U.S. have released a Joint Statement on Climate Change, jointly announcing an agreement related to the control of greenhouse gases, with China committing to peak carbon emissions around 2030 and strive for an early peak, and to raise the share of non-fossil energy in primary energy consumption to about 20% in 2030, a move that has been touted as a major step forward for China to take a positive step forward in its response to climate change.

Insiders believe that both public commitments and external donations are demonstrating China's responsibility as a major country in addressing climate change, which is of epoch-making significance, and this commitment will positively affect the pattern of the Paris climate talks to be held at the end of this year, and will also exert great pressure on developed countries, including the United States, to raise the level of funding.

The carbon market is a high-level form of promoting a low-carbon economy, and governments can promote a low-carbon economy through a variety of administrative means, including administrative restrictions, subsidies, carbon taxes and fees, and carbon trading markets. Carbon market is an artificial creation of a market through administrative means, which has the functions of price discovery and resource allocation, and can prompt the economy to complete the task of carbon emission reduction at the lowest cost, which is favored by the theoretical circles.

The US-China climate reduction contract means that the world's two largest carbon emitters have entered the global carbon emission system. The US-China climate emissions reduction contract is also a signal for the opening of the Chinese market, which will usher in new opportunities now that the national carbon emissions trading market program has entered an accelerated research phase and is likely to be launched in 2016.

Data show that in 2014, the global carbon trading scale amounted to 44.7 billion euros, the European Union accounted for up to 92%, while the EU total carbon emissions for the global emissions of about 10%. In fact, in 2011, the global carbon trading market was once close to 100 billion euros, with the economic recovery and governments to increase the degree of attention, the future of the global carbon trading market size is likely to exceed trillion again.

From the investment strategy, the carbon trading market has a close relationship with the two major areas of clean energy and energy saving and emission reduction, for the enterprise, it will be a comprehensive use of clean energy and energy saving and emission reduction to complete the task of energy saving and emission reduction. If the price of carbon emission rights is in a reasonable position, it can comprehensively promote the development of clean energy and energy saving and emission reduction.

In addition, the carbon trading market itself due to the existence of serious information asymmetry between buyers and sellers, which will also create a huge intermediate market, the Internet has brought new opportunities to the intermediate market, so the future in the carbon trading intermediate out of the.