STAVANGER, Norway, July 5 (UPI) -- The axing of a Shell-Statoil project in Norway provides further proof that carbon capture and sequestration is still far from economically viable.
Royal Dutch Shell and Statoil, Norway's national oil company, have dropped plans for a demonstration project to capture carbon dioxide emitted by a power station and inject it under the sea. Both companies said that while the technology is feasible, that economics are not, the Financial Times reported.
Carbon-capture sequestration and other emissions-reducing technologies are in high demand due to growing concern over greenhouse gases and climate change.
The project would have taken carbon dioxide from a gas-fired power station in Norway and injected it into an offshore oilfield for enhanced oil recovery.
Statoil said the extra oil that could be recovered was "too low to justify the necessary investments in the field." The announcement came following a yearlong feasibility study announced in March 2006.
Recently, British Petroleum also announced it was canceling a proposed carbon-capture project in Scotland.
