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The APPEA Journal The APPEA Journal Society
Journal of Australian Energy Producers
RESEARCH ARTICLE

Hydrogen storage potential of depleted oil and gas fields in Western Australia

Adam Craig A * , Stephen Newman A , Peter Stephenson A , Chris Evans A , Shaun Yancazos B and Simon Barber A
+ Author Affiliations
- Author Affiliations

A RISC Advisory Pty Ltd, Perth, WA, Australia.

B Nqpetro WA Pty Ltd, Perth, WA, Australia.

* Correspondence to: adam.craig@riscadvisory.com

The APPEA Journal 62(1) 185-195 https://doi.org/10.1071/AJ21146
Submitted: 16 December 2021  Accepted: 7 February 2022   Published: 13 May 2022

© 2022 The Author(s) (or their employer(s)). Published by CSIRO Publishing on behalf of APPEA.

Abstract

The global subsurface hydrogen storage industry is at an embryonic stage and is currently dominated by a handful of manufactured salt caverns worldwide. There are currently no known depleted oil or gas fields used to store pure hydrogen, although there are examples of hydrogen and natural gas mixtures. The Government of Western Australia has developed a renewable hydrogen strategy with a vision for Western Australia becoming a significant producer, exporter and user of renewable hydrogen. An element of the strategy and roadmap includes the possibility of utilising depleted oil and gas fields for transitory geological storage of hydrogen. The physical characteristics of hydrogen are quite different to natural gases and a number of potential loss mechanisms need to be considered for transitory geological storage. Currently, 30 renewable energy projects with associated hydrogen generation are proposed or being considered in Western Australia. It is assumed that some, if not all, of these projects may require transitory geological storage of hydrogen. An assessment of the required storage potential has been made and 23 onshore depleted oil and gas fields of the onshore northern Perth Basin and Carnarvon Basin were screened for their suitability to satisfy the storage requirements of a renewable hydrogen industry. Seven fields were then selected as suitable candidates for transitory hydrogen geological storage sites.

Keywords: Carnarvon Basin, depleted oil and gas fields, geological storage, hydrogen, Perth Basin, renewable energy.

Adam Craig is a highly experienced geoscientist with over 30 years’ experience working with WMC Resources, Woodside, Cooper Energy and KUFPEC prior to joining RISC. Adam has significant global experience in exploration, appraisal, development and production activities. He is a member of APPEA, PESA (2021–22 WA branch President), AAPG (CPG) and a Fellow of the Geological Society.

Stephen Newman has over 37 years’ experience in the international oil and gas industry as a geoscientist and commercial advisor working with BP, Woodside and RISC. At RISC Stephen has worked on numerous assignments which include buy side due diligence, resource assessments, peer support, divestment support and expert witness. Stephen is a member of PESA and the SPEE.

Peter Stephenson has over 35 years of reservoir engineering experience with BP, Shell, Woodside and RISC in the North Sea, Africa, Middle East and Australasia. Peter specialises in reservoir evaluation, field development planning, integrated project reviews and the leadership of multidisciplinary teams. Peter has developed incisive understanding of complex problems with experience in mature and greenfield oil, gas, gas-condensate and unconventional developments. Peter is a member of SPE, SPEE (Chairman Asia-Pacific) and IChemE.

Chris Evans is a Development Engineering Consultant with experience in integrated production modelling and production data analysis. Chris’ skills include static and flowing material balance, rate transient analysis, analytical and numerical modelling and oil and gas decline curve analysis. Chris has a degree in Petroleum Engineering (BEng Hons) from Curtin University, Western Australia, and is a graduate member of Engineers Australia.

Shaun Yancazos is a Reservoir Engineer who previously worked as a Field Engineer in Aberdeen with Schlumberger prior to joining RISC. Shaun is currently employed by Nqpetro WA Pty Ltd. Shaun has a strong understanding of reservoir evaluations, reserves audits, well test operations, cost estimation of fuel systems in addition to project and subcontractor management. Shaun has a degree in Petroleum Engineering (First Class Hons) from Curtin University, Western Australia.

Simon Barber joined RISC in 2014 as an analyst for the Geoscience and Reservoir Engineering teams. Simon’s experience comprises data management and analysis with industry software and GIS packages. Simon holds a Master of Arts from Curtin University and a Bachelor of Arts (Communication Studies) from the University of Western Australia.


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