Overview

Alberta is among the global leaders in carbon capture, utilization and storage, and continues to advance this technology to help our province capitalize on emerging opportunities and reduce emissions in industries across the energy sector.

To help manage the growth of this technology, Alberta is looking at issuing carbon sequestration rights through a competitive process that enables the development of carbon storage hubs. A carbon sequestration hub will be an area of pore space overseen by a company who can effectively plan and enable carbon sequestration of captured carbon dioxide from various emissions sources as a service to industrial clients.

Alberta is seeking efficiencies in the use of pore space for carbon sequestration in the province. The intent is to ensure carbon sequestration operators plan for additional volumes and accommodate other sources of carbon dioxide. Hubs that capture carbon dioxide from a cluster of industrial emission sources will allow for efficient pore space management working with other resource development activities. This approach will ensure that carbon capture and sequestration will be deployed in a responsible and strategic manner. It will be an effective way to avoid challenges associated with numerous, and potentially overlapping, sequestration proposals.

In the fall, Government requested Expressions of Interest (EOI) from companies interested in developing and operating a carbon sequestration hub in Alberta. Thank you to those who submitted an EOI. These voluntary submissions informed the Request for Full Project Proposals (RFPP) outlined below. Participation in the REOI stage is not a pre-requisite to participate in the RFPP stage.

Request for Full Project Proposals (RFPP)

Government received numerous EOI submissions illustrating a range of proponents (large and small), emissions sources, and storage scenarios across Alberta. To meet the large interest that has been expressed and move forward in a manageable manner, Requests for Full Project Proposals (RFPP) will be conducted in phases based on geographical regions of the province.

For this initial phase, the province is interested in proposals that will primarily enable sequestration of carbon emissions from Alberta’s industrial heartland region near Edmonton to help in the province’s recovery efforts by supporting the diversification of Alberta’s energy sector. This location is accessible to suitable storage locations and we saw a strong level of readiness from proponents.

The province recognizes the need for timely development of sequestration hubs and allocation of sequestration pore space. Further requests for proposals in other regions across Alberta will follow in 2022 beginning in the spring. Government will continue to monitor the sequestration needs of the province and provide additional opportunities in the future in response to market demand.

This process will ultimately facilitate the granting of a carbon sequestration agreement (“Agreement”) to the successful proponent(s), establish the boundaries of the Location, and facilitate the hub manager role. The intent of this Agreement will be to:

  1. grant the successful proponent the right to drill wells, conduct evaluation and testing, establish monitoring baselines, and inject captured carbon dioxide into deep subsurface formations within previously defined zones for sequestration, while also:
  2. placing requirements on the Agreement holder that include:
  • managing the development of the hub and the efficient use of the pore space;
  • ensuring open access to affordable use of the hub where appropriate; and
  • provide just and reasonable cost recovery to the Agreement holder.

Additional information on the intended Agreement provisions, conditions and requirements can be found within the RFPP Guidelines document.

All required regulatory approvals are the responsibility of the proponent and will not be granted through this process.

How to Apply

Refer to the Request for Full Project Proposals (RFPP) Guidelines (PDF, 1.4 MB) for criteria and submission information.

Updates

January 21, 2022 – Information about the weighting for the Detailed Evaluation Criteria (categories) in Table 1 of the RFPP (PDF , 489 KB) is now available. Please note, as per the RFPP, full project proposals are encouraged not to exceed 50 pages, and additional details can be provided as appendices. The Energy Carbon Capture email inbox has a message size limit of 100MB.

Timelines

Submissions are due by 11:59 PM MST on February 1, 2022. Applications will be accepted between January 4, 2022 and February 1, 2022.

The selection of successful proponents is targeted for the end of March 2022.

Subscribe for Ongoing Updates

Please check back to this webpage for updates to the clarifications above. To receive updates you can subscribe to the Carbon Sequestration Tenure Updates, the link will launch a new message in your email application with pre-populated information. When you send the email a confirmation email will be sent to you. If you do not reply, your request will be cancelled. For more information see our subscription page. This list and website are the primary sources of information for this process.

Read about the collection of your personal information

This information is collected so we may provide you with updates.

The email address you provide to Alberta Energy is collected under the authorization of Section 8 (1) (2) of the Government Organization Act, and is being managed in accordance with Section 33 (c) of the Alberta Freedom of Information and Protection of Privacy Act.

Submitting this information is strictly voluntary and by providing your email address you are giving Alberta Energy your permission to use your email address to subscribe to updates Carbon Sequestration Tenure Management expressions of interest (EOI) Mailing List. Your email address will be shared in confidence with the System Administrator. Your personal information will not be used or disclosed for any other purpose without your consent by Alberta Energy.

Should you wish to have your personal information removed, changed or have any further questions or concerns, please contact [email protected].

Contact

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays, and closed December 27 to 31, 2021)
Email: [email protected]

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