Skip to content

Alberta.ca
Search Alberta.ca
Menu
 Home

 Emissions reduction resources
 Carbon capture, utilization and storage
 Carbon Sequestration Tenure
Table of contents

Carbon capture, utilization and storage –

Carbon Sequestration Tenure
Alberta has processes in place to help accelerate the development of CCUS.

On this page:
 Overview

 Carbon storage hubs in Alberta

 Approval process for storage hubs

 Granting carbon sequestration tenure

 First competition to develop storage hubs

 Second competition to develop storage hubs

 Small-scale and remote scenarios

 Contact

 Related
Overview
The demand for carbon capture, utilization and storage (CCUS) technology
from industry is increasing as it will help diversify the energy sector, including
developing clean hydrogen and supporting the shift towards a net-zero
electricity grid.

Carbon storage hubs in Alberta

To help manage the growth of this technology, Alberta is issuing carbon
sequestration rights through a competitive process that enables the
development of carbon storage hubs. A carbon storage, or sequestration, hub
will be an area of pore space, such as rock formations, managed by a
company that can effectively plan and enable carbon sequestration of
captured carbon dioxide (CO2) from various emissions sources.

Image 1. Illustration showing an example of a hub model with multiple

companies injecting into one hub location

This approach will ensure that carbon capture and sequestration will be
deployed in a responsible, safe and strategic manner. It will be an effective
way to avoid challenges associated with numerous, and potentially
overlapping, sequestration proposals.
Approval process for storage hubs
Alberta has the processes in place to advance the development of carbon
storage hubs while protecting the safety of Albertans and the environment.
Companies selected to explore the development of carbon storage hubs will
assess the suitability and safety of their locations. Once the proposed project
demonstrates it can provide safe and permanent storage, the company may
apply to government for the right to inject captured CO2. This agreement will
also ensure that they will provide open access and affordable use of the hub.

Evaluating the potential of carbon storage hubs is the first of many steps
required before they can be used. Other steps include ongoing monitoring,
measurement and verification activities, as well as consultation with
landowners, municipalities and other stakeholders.

In addition, for a proposal to move forward, the operator will need to obtain
approvals from the Alberta Energy Regulator (AER) to ensure the activity is
safe and environmentally responsible.

On April 25, 2023, the Government of Alberta delegated to the AER the
oversight of MMV plans, closure plans, and closure certificates for CCUS
activities in the province. The AER has amended references to and
submission requirements for MMV and closure plan submissions that can be
found at Directive 065: Resources Applications for Oil and Gas Reservoirs.

For more information about the AER approval process, see Carbon Capture,
Utilization, and Storage.

Granting carbon sequestration tenure

The Alberta government recognizes the need for timely and safe development
of sequestration hubs and allocation of sequestration pore space.

The Request for Full Project Proposals (RFPP) 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 is 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:

o managing the development of the hub and the efficient use of the
pore space

o ensuring open access to affordable use of the hub where

appropriate

o providing just and reasonable cost recovery to the agreement

holder

Additional information on the intended agreement provisions, conditions and

requirements are in the RFPP Guidelines (PDF, 1.2 MB).

First competition to develop storage hubs

To meet the large interest that has been expressed and to move forward in a
manageable manner, the province initially requested proposals that would
enable sequestration of carbon emissions from Alberta’s Industrial Heartland
region near Edmonton. Government selected 6 proposals to begin exploring
how to safely develop carbon storage hubs in the region. They are:

 Meadowbrook Hub Project, Bison Low Carbon Ventures Inc. for a

potential sequestration hub north of Edmonton

 Open Access Wabamun Carbon Hub, Enbridge Inc. for a potential

sequestration hub west of Edmonton

 Origins Project, Enhance Energy Inc. for a potential sequestration hub

south of Edmonton
  Alberta Carbon Grid™, Pembina Pipeline Corp. and TC Energy Corp.
for a potential sequestration hub north and northeast of Edmonton

 Atlas Carbon Sequestration Hub (Atlas Hub), Shell Canada Ltd. and
ATCO Energy Solutions Ltd. for a potential sequestration hub east of
Edmonton

 Wolf Midstream and partners for a potential sequestration hub east of

Edmonton

Next steps

All 6 proposals have entered into evaluation agreements with the province to
further explore the project areas’ suitability for safely storing industrial
emissions. If the evaluation demonstrates that the proposed projects can
provide permanent storage, companies will be able to apply for the right to
inject captured CO2. Only projects that meet Alberta’s rigorous safety and
environmental standards will ultimately be approved by the AER.

Read about Public and Environmental Safety (PDF, 157 KB) and Storage Hub
Development (PDF, 125 KB).

Second competition to develop storage hubs

A second competition was held to provide carbon storage services to regions
across the rest of the province not covered by the first RFPP. Government
selected proposals to begin exploring how to safely develop carbon storage
hubs across Alberta. They include:

 Athabasca Banks Carbon Hub, Vault 44.01 Ltd. and Moraine Initiatives
Ltd. for a potential sequestration hub north of Whitecourt

 Battle River Carbon Hub, Heartland Generation Ltd. for a potential

sequestration hub east of Red Deer

 Bow River Hub, Inter Pipeline Ltd. and Entropy Inc. for a potential
sequestration hub north of Calgary
 Brazeau Carbon Sequestration Hub, Tidewater Midstream &
Infrastructure Ltd. for a potential sequestration hub west of Edmonton

 Central Alberta Hub, Wolf Carbon Solutions Inc. and Whitecap

Resources Inc. for a potential sequestration hub east of Red Deer

 East Calgary Region Carbon Sequestration Hub, Reconciliation Energy

Transition Inc. for a potential Southern Alberta sequestration hub

 Grande Prairie Net Zero Gateway; NorthRiver Midstream Inc., Keyera

Corp., and Entropy Inc. for a potential sequestration hub north of
Grande Prairie

 Greenview Region CCS Project, ARC Resources Ltd. for a potential

sequestration hub southeast of Grande Prairie

 Maskwa Project, Kiwetinohk Energy Corp. for a potential sequestration

hub around Swan Hills

 North Drumheller Hub, Bison Low Carbon Ventures Inc. for a potential
sequestration hub north of Drumheller

 Oil Sands Pathways to Net Zero; Pathways Alliance for a potential

sequestration hub east of Edmonton

 Opal Carbon Hub, Kiwetinohk Energy Corp. for a potential sequestration

hub northwest of Whitecourt

 Pincher Creek Carbon Sequestration Hub, West Lake Energy Corp. for
a potential sequestration hub southeast of Pincher Creek

 Project Clear Horizon, City of Medicine Hat for a potential sequestration

hub northwest of Medicine Hat

 Ram River Carbon Sequestration Hub, Tidewater Midstream &

Infrastructure Ltd. for a potential sequestration hub west of Red Deer
  Rocky Mountain Carbon Vault, Vault 44.01 Ltd. for a potential
sequestration hub west of Edson

 Rolling Hills Carbon Sequestration Hub, AltaGas Ltd. and Whitecap

Resources Inc. for a potential sequestration hub northwest of Calgary

 Tourmaline Clearwater CCUS, Tourmaline Oil Corp. for a potential

sequestration hub south of Edson

Next steps

Companies will begin exploring how to safely develop carbon storage hubs. If
the evaluation demonstrates that the proposed projects can provide
permanent storage, companies will be able to apply for the right to inject
captured CO2. Only projects that meet Alberta’s rigorous safety and
environmental standards will ultimately be approved by the AER.

More information about projects selected in both competitions is available at

the online Carbon Sequestration mapping tool. Evaluation agreements allow
for proponents to assess the suitability of the location for carbon
sequestration. The locations on the map do not necessarily reflect the final
location, which will be determined after the assessment is complete. To
request a shape file, email: carboncapture.energy@gov.ab.ca.

Read about Public and Environmental Safety (PDF, 157 KB) and Storage Hub
Development (PDF, 125 KB).

Small-scale and remote scenarios

In addition to developing sequestration hubs, Alberta Energy and Minerals has
been engaging with stakeholders to understand what other carbon dioxide
storage options are available. Tenure applications from small-scale and
remote carbon sequestration proponents for scenarios that may not be met
through a hub are now being accepted.

For more information on carbon sequestration tenure.

Contact
Connect with Carbon Capture, Utilization and Storage:

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays)

Email: carboncapture.energy@gov.ab.ca

Related
Alberta Energy Regulator
Lead ministry:Energy and Minerals
Was this page helpful?
Yes No
Alberta.ca

Footer
 Ministries
 Jobs
 Contact government
 Staff directory

About Links

About Links
 Using Alberta.ca
 Disclaimer
 Privacy
 Accessibility

 Facebook
 Twitter
 Instagram
 Linkedin
© 2024 Government of Alberta
Back to top