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Questions & Answers from our 12/20 Forum at BSC

Updated: Apr 25


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LEGEND:

BLUE: QUESTIONS (SOME GROUPED WITH ONE RESPONSE)

GRAY: RESPONSE



General Project Questions:

 

What is a CI score? Define CI score.

A: A Carbon Intensity (CI) score reflects the total GHG emissions associated with the lifecycle of a fuel (i.e., its production, distribution, and consumption). A CI score is the backbone of the Low Carbon Fuel Standard (LCFS) market. Established through regulatory policy, an LCFS is intended to reduce the carbon intensity of transportation fuels and to improve air quality. One example is the LCFS adopted by the California Air Resources Board (CARB), the state’s air quality regulatory agency. CARB’s LCFS is targeted at reducing GHGs in the state (20% by 2030 and 80% by 2050.

 

Every fuel sold in an LCFS market is benchmarked with a CI score. A fuel with a CI score above a benchmark creates a deficit. Producers of these fuels must purchase LCFS credits generated by fuels with CI scores below a benchmark. The lower a CI below a benchmark, the more valuable its corresponding credit. A CI score is calculated using various accepted methodologies; in simple terms, it is measured in grams of CO2 equivalent per megajoule of energy. It is expressed as gCO2e/MJ. 

 

Why 24 ft wide for CO2?

A: The largest diameter pipeline segment will be 24 inches, not feet, and the size of pipeline is commensurate with the volume of product to be transported.   A 24” pipeline is required to accommodate transportation of 18 million tons of CO2 annually.


How much water is going to be used in this project? 

A: During construction, water will be used for hydrostatic (pressure) testing the pipeline and for dust suppression. Water used for hydrostatic testing is a one-time event and will be discharged back to the source.  During operations, water will be needed for equipment cooling at each capture facility.   The volume of water utilized for cooling will typically be less than 10% of the total water utilized at the adjacent ethanol facility.  Sourcing, use, and discharge of all water will be permitted through the appropriate regulatory agency.

 

What is the diameter, volume, and pressure of the pipeline that has been operating, and what is the plume and dispersion model data for it compared to the diameter, volume, pressure, and dispersion metrics of the Summit Carbon Solutions pipeline? (apples to oranges, not apples to apples) 

A: Approximately 5,300 miles of CO2 pipelines are currently operating in 11 states.   Existing CO2 pipelines vary in size (diameter) up to 24” and most have a maximum operating pressure of approximately 2,200 psi. There are currently two CO2 pipeline systems in North Dakota (Dakota Gasification 14” pipeline with 2,700 psig maximum operating pressure and Denbury Green 12” pipeline with 3,702 psig maximum operating pressure). The DGC pipeline has been safely operating for more than 20 years.  Dispersion or release data is confidential, security sensitive information and typically only shared with the Pipeline Hazardous Materials Safety Administration (PHMSA) and state regulatory agencies.  Since PHMSA is accountable for safety in the design, construction, and operation of interstate pipelines, state regulatory agencies may or may not review dispersant analyses. That said, Canary is the software typically used for CO2 dispersant analysis and, as such, Summit Carbon Solutions assumes modeling results would be similar for pipelines in similar operation (pressure, flow rate, environmental conditions, etc.).   Summit Carbon Solutions has submitted its dispersant analysis to the North Dakota PSC. It’s important to keep in mind that PHMSA and state regulatory agencies typically use in-house technical experts and/or external technical consultants to review an operator’s dispersant analysis. 

 

Summit Carbon Solutions does not have access to dispersant analysis results for other pipelines, either planned or currently in operation.   Results from those analyses would be proprietary information.

 

Is this the first CO2 pipeline to transport CO2 in supercritical state? 

A: No. There are currently 5,300 miles of CO2 pipelines operating safely today.   Many of these pipelines, like the Dakota Gasification CO2 pipeline in North Dakota, have been operating safely for decades.

 

How many pipelines has Summit built? 

A: Collectively, the Summit Carbon Solutions team has constructed thousands of miles of pipeline in multiple states in the U.S. The Summit staff has also constructed hundreds of miles of pipeline in the Bakken Development area in North Dakota.  Hazardous Liquid Pipelines, whether in crude oil, products, or CO2 service, are designed, constructed, and operated within the boundaries of the same Federal Code.

 

Private Property Rights (ED):

Will you respect private property rights and find a route that is completely voluntary or resort to eminent domain?


ND ConstitutionArticle 1, Section 16 states that taking (Eminent Domain) cannot be done for “public benefits of economic development, including an increase in tax base, tax revenues, employment or general economic health.”That is exactly what the purpose of this pipeline is. Just read the Summit documents for proof. Tell us exactly how/why you think this is constitutional. (“Common Carrier” in NDCC doesn’t support the ND constitution)


A: Summit Carbon Solutions continues to use a voluntary approach negotiating directly with each landowner. This has been invaluable in helping address specific concerns and developing relationships with landowners. Voluntary agreements have been secured with over 2,500 landowners covering 4,100 parcels of land. In North Dakota, 80% of the route has been secured. Summit is offering fair compensation, working with landowners on a mutually agreeable path, and ensuring the land gets put back into production quickly and efficiently.

This pipeline will fulfill policies of the federal government and the State of North Dakota. Federally, the 45Q and 45Z tax credit programs are part of an intentional, bipartisan federal policy meant to encourage investment in projects that will capture and sequester carbon dioxide. The 45Q tax credit program, for example, has been increased and enhanced under several presidential administrations, dating back to 2008. This project will also help ethanol producers realize a 30-point drop in the carbon intensity score of the ethanol and help every corn grower in the United States. It will also enhance commodity prices and land values in the years to come. 


Private Property Rights (Survey):


Landowners that were taken to court over survey’s want to know if summit carbon solutions will reimburse their legal fees expenses to protect their property rights?


Why were the land owners contacted first instead of the surveyors just showing up on landowners property?

A: Over the past two years, Summit Carbon Solutions has worked closely with regulators and stakeholders at the federal, state, and local level to introduce and explain our project. 

-        While the majority of the survey work conducted up to this point has involved the landowner voluntarily offering the company permission to access their land, there have been a limited number of instances where state law has been invoked to allow this critical work to continue.  

-        Our team is committed to delivering on our commitment to meet or exceed all regulatory, environmental, and safety requirements.  

-        Part of that regulatory process involves conducting survey work to determine a route for our project that maximizes safety, avoids sensitive areas wherever possible, and, in North Dakota, maintains the required distances from homes and other occupied buildings. 

 

Easement Specifics:


At the end of the project will all easements be made strip easements even if they were at the first blanket easement?


Explain the easement process and the pros & cons between blanket & centerline easement for the landowner.

A: None of the easements Summit Carbon Solutions is seeking are blanket in nature. The method in which these easements are documented is standard for long-haul transmission pipelines. Other than some above-ground facility sites, Summit Carbon Solutions is seeking a 50-foot-wide easement along with temporary workspace to be used during construction. We typically ask for flexibility in our routes for a number of standard reasons; however, the landowners are well informed on the proposed route across their property and execute exhibits depicting such routes. Once construction is complete, an as-built drawing will be recorded, depicting the exact location of the centerline of the pipeline. 


What are these “landowners” being paid and how long is/are these “lands” tied up? 10 – 20 or more years?

A: As with any easement scenario, individual payments are private in nature as required by both parties. However, all payments to date have been fair and just compensation for the rights being sought.  In the event the pipeline is abandoned, there are measures that can be taken to terminate the easement. A typical breakdown of our easement compensation appears as follows: 


a.     Permanent easement acreage = 100% of market value

b.     Workspace acreage = 50% of permanent easement value

c.      Temporary damage; all land is considered to be in agriculture use which yields the highest payment for damages (i.e., crops vs. pasture). This is on a 3-year tiered breakdown:

i.     (100% yr. 1, 80% yr. 2, 60% yr. 3);

ii.     However, yield deficiencies tied to the pipeline are covered for the life of the project.


Ultimately compensation is discussed on an individual basis and tailored to each landowner’s particular program. With hundreds of North Dakota properties involved with our project, there is no “one size fits all” compensation scenario. The common denominator remains that all payments meet or exceed market value for limited surface rights associated with a pipeline easement.


Why are the leases 99 years if the project is only going to last 20 to 40 years?


A: The Summit Carbon Solutions easement is for a pipeline transmission system that traverses 5 states, thus it is structured to be as permanent as can be afforded under the law, which in North Dakota is 99 years. This is North Dakota specific and tied to the Century Code. Abandonment is in accordance with federal and state law.


Bismarck proximity


Move CO2 pipeline to 20-30 miles from Bismarck. Why not use the DAPL pipeline corridor?

Why not minimize the per capita impact of the route by moving it to lower current/future density area?


Population is safety’s greatest asset: ND avg 4.7/sq mile Bismarck 2049/sq mileLincoln 2564/sq mileETA miles 25/sq mile9 miles – 25 miles 2/sq mileWhy not move 25 miles North? If the IF happen23 emergency in a avg & If happens – 100 resources responding to a few affected versus 100’s to respond to w/not enough resources?


Pipelines that exist versus one planned:We respond to what we haveIts not a comparison. Why not plan safe as possible & build 25 miles outOnce in the next safest discussion turns to the next new attempt?


A:Summit Carbon Solutions’ preliminary route was ~4.5 miles outside of the city limits of Bismarck. Following the denial from the ND PSC, Summit heard the request and responded by moving the route approximately 9 miles north of the city limits of Bismarck.

 

As part of our North Dakota Petition for Reconsideration process, Summit will provide a detailed route analysis that compares routing options and supports the location of the current route.   The U.S. Army Corp of Engineers recently released a draft Environmental Impact Study assessing the current location of the Dakota Access Pipeline’s (DAPL) crossing of the Missouri River.   In that study, Energy Transfer (DAPL operator) identified the only viable alternative route would be north of the city of Bismarck.

 

For clarity, PHMSA requires that operators perform dispersant analyses to identify potential risks and/or impacts to High Consequence Areas (HCAs).    Even though PHMSA only requires these analyses in HCAs, Summit Carbon Solutions performed the analyses on the entire length of the pipeline in North Dakota.   Of the approximately 330 miles of pipeline in North Dakota, less than 1% of the total pipeline length may affect an HCA.   Because the pipeline will be located more than 5 miles outside of Bismarck, the city is not considered an HCA that could be affected by a pipeline release.  

 

Safety and First Responders:

1.     How fast do first responders need to be onsite to save lives? How many minutes? Is a volunteer force fast enough for rural areas?

2.     What equip is necessary for first responders and why won’t summit provide this info before they receive their build permits?

3.     How fast would Bismarck & Mandan need to evacuate if a leak headed for those areas?

4.     #1 issue is safety. What specific information can you/will you provide on risk exposure to individuals and animals in the event of a breach in the pipeline and release CO2 into the environment. (eg. Movement of CO2, mortality projections, range of danger etc.)

5.     Explain in detail how a rapid response crew will get into an area where a pipeline (24” pipe diam.) leak (of CO2 gas) occurs within range of multiple residences and livestock operations? How much time to get out of the area?

6.  We agree with everything you are saying but our biggest problem & concern is Safety & Property values!

7.  #1 Safety-Leaks: If a leak occurs (which would be highly likely in a pressured pipe 4 feel in the ground that is being farmed); there would be an explosion (?) that would create a plume that would kill people, animals etc. Are you willing to risk lives of ND farmers to move CO2?

8.  If there is a rupture north of Bismarck and at 8% + CO2 concentration people can suffocate, and vehicles won’t run – how will summit protect Bismarck? What safety program will protect our metro area? Who will pay for all the electric emergency vehicles etc?

9.  We are not against pipelines!!! We are against this high pressure 24” line buried only 4” in the ground! And, built by a company that has no experience with this type of project! And, no plan if there is a leak and this community cannot handle the # of patients that will be affected! Plus it will kill our land values!!! So why did a liberal state like California make a law that NO CO2 pipeline in their state. We agree with everything you are saying but our biggest problem & concern is safety & property values!

10.  You may be “80% of the way there” – What about the greater good and the concerns for others who are not benefiting financially but live in the hazardous zones??? I have heard nothing yet to address their concerns.

 

A: Ensuring the safety of our communities, landowners, and employees is a core value of Summit Carbon Solutions. Summit has met with county Emergency Managers, first responders, and other stakeholders to discuss the construction and operation of the pipeline, the dispersant analysis, Emergency Response Plans, and resource needs, for all counties that Summit’s pipeline traverses. To date, this has been completed in Dickey, Burleigh, Oliver, Mercer, and Morton Counties. ​Identifying equipment needs is in progress and Summit will provide equipment specific to a response to a CO2 release prior to the pipeline being placed into operation.   The primary burden to handle emergencies will fall on Summit’s staff with the aid of first responders (cities, townships, and counties) as needed, in the unlikely event of a release. 

 

PHMSA requires that response training is provided annually, and Summit will conduct training well in advance of operation.   Summit will also provide training more often if required.   Summit Carbon Solutions is currently sponsoring training at Texas A&M’s facility which periodically conducts CO2 specific response training.     Summit Carbon Solutions has identified candidates in North Dakota for the spring 2024 session.

 

While in operation, Summit Carbon Solutions will have a dedicated operations team located along the pipeline that monitors the pipeline corridor and will respond to emergencies and 811 (One-Call) notifications. In addition, aerial surveillance will be conducted twice per month and the pipeline system will be continuously monitored from Summit’s Control Center.  

 

ADDITIONAL QUESTIONS:

When CO2 mixes with H2O it will explode!

A: While water and CO2 combined may be corrosive, CO2 is not ignitable or combustible.  The nearly pure CO2 stream received from ethanol plants will be dehydrated at each capture facility before injection into the pipeline. There will be CO2 analyzers at each capture facility to validate product quality, including water content. If the analyzer detects a quality issue, we will shut down that facility until the issue can be resolved.   In addition, a robust integrity management system will be employed that includes cathodic protection and periodic inspection of the pipeline to ensure corrosion risks are mitigated.

 

Why is this big pipeline going to be built at only 4 feet deep?

 

A: Federal (PHMSA) regulations require a minimum depth of 3 feet from top of pipe to grade. Since most of Summit Carbon Solutions’ pipeline system will be installed in agricultural areas, Summit Carbon Solutions chose to exceed PHMSA requirements and install the pipeline at a minimum 4-foot depth of cover. According to PHMSA safety statistics reported over the last 25 years, a leading cause of pipeline damage is third party excavation (line strike) and not agricultural practices.   Nonetheless, Summit Carbon Solutions chose a conservative approach.   

 

Satartia:

Don’t lie about the CO2 pipeline break at Satartia, Mississippi. Let someone here talk about what happened in the Satartia, Mississippi break!


A: It should be noted that the unfortunate CO2 pipeline incident near Satartia, Mississippi, resulted in a thorough PHMSA investigation.  The agency identified causative factors that led to the incident, and subsequently cited the pipeline operator for violating multiple existing regulations. Unlike Denbury (Mississippi pipeline operator), Summit Carbon Solutions is strictly adhering to PHMSA requirements which have proven to be adequate in minimizing risk associated with a pipeline release.    Statistics support the effectiveness of PHMSA’s CFR 49, Part 195 requirements: pipelines are 99.99% safe – a safety record that outperforms transportation by rail or truck. The 5,300 miles of CO2 pipelines currently in service across the U.S. are compliant with PHMSA regulations and have the lowest incident rate of all regulated pipelines.

 

The CO2 release in Satartia involved a complete sever of a 24” diameter pipeline which is the largest pipeline that Summit Carbon Solutions currently plans to install.    The Satartia pipeline also operated at similar pressures as proposed for Summit Carbon Solutions’ pipeline.   One significant difference: the Denbury pipeline CO2 stream was naturally occurring CO2 which included Hydrogen Sulfide (H2S), a deadly gas.   Even with H2S present, there were no fatalities, and no one was injured in the Satartia incident.  Per PHMSA’s incident report, 45 people went to the hospital for evaluation but no one was admitted. For avoidance of doubt, the Satartia incident was a worst-case incident scenario that could occur, contained a deadly gas that will not be in Summit Carbon Solutions’ CO2 stream, no one died, and no one was injured.

 

 

Insurance coverage:


1.     Private property insurance companies have sent letters that they will not protect or insure property liability. Will summit or state cover in case of loss?

2.     Lignite Council President please have entire panel & summit respond:CO2 is a pollutant, even if it can have by products. Multiple insurance companies have said having this pipeline on your property will invalidate your homeowner insurance. Homeowners need this coverage. Will the state guarantee available coverage? World, Federal Gov’t & Insurers consider CO2 a pollutant. Massive EPA caselaw.

3.     What are landowners to do when their insurance companies cancel their liability insurance due to the super critical CO2 24000 PSI pipeline?


A: There is no need for a landowner to secure insurance due to the pipeline's presence. Summit Carbon Solutions is responsible and will cover any costs related to pipeline damage unless damage is purposely inflicted by a third party. Each easement agreement includes a clause that indemnifies a landowner from this responsibility.

 

EOR vs. Permanent Geological Storage vs. Utilization

 

1.     Will it be stored underground forever as stated by some official months ago or will it be used for “enhanced oil recovery”?

2.     How much of Summit Carbon Solutions CO2 that comes thru the pipeline will be stored in the ground versus how much will be used for enhanced oil recovery? My understanding is the tax credit varies depending on use, which is why I ask.

3.     Why not go for EOR immediately rather than hanging it out as a “someday”?

4.     What will happen with the CO2 in this “oversized” pipeline? IF it is to be SEQUESTERED – What does that mean?

5.     If CO2 is so important to oil at the Backen, why are we putting in a hole at Center ND?

6.  You talk about storage then you talk about utilization 2 me they are opposites

7.  If CO2 is so useful then why are we pumping it into the ground to never be able to access it?

8.  Can the Summit CO2 pipeline be used for oil recovery, oil enhancement or is it only to be sequestered? If sequestered how long?

9.  Do you acknowledge that CO2 piped through Summit pipeline will not be used for enhanced oil recovery for at least 14 years, if ever? (due to preferential payments for storing it instead of EOR)

10.  If you can extract more oil and make caron fiber products why not use the sequestration money to do that rather than pay out for 12 years in storage?

11.  I don’t understand the permanent sequestration of CO2. Can you explain how & why this is good or necessary.

12.  How will putting CO2 permanently in the ground help oil and gas recovery?

13.  CO2 is only 1% in the air – why bury it? The volcano at St Helen, MT – occurred because th buried CO2 overheated and the irruption caused the volcano. They tell us CO2 will be stored 1,000 years true or false?


A: Summit Carbon Solutions is going to permanently store the CO2 safely underground and will not utilize this project for enhanced oil recovery (EOR). The company is investing $100’s of millions in its permanent storage locations in North Dakota, where hydrocarbons aren’t present. Our operating agreements with our capture facilities explicitly say our captured CO2 will be used for permanent storage. The economics for sequestration are superior to EOR and other types of utilization (see tax credit table for reference, as well as access to markets where ethanol will be sold with higher margins). In the future, if other shippers are added to the pipeline system, and the economics for EOR or other uses present different advantages compared to those of sequestration, we are open to communications to find a mutually beneficial agreement.


It sounds like there is to enrich the oil & gas industry and give pittance to landowner with a one-time payment. How much are landowners who store CO2 receiving? Monthly? 

A: There is a payment to secure the land on option, then a payment when we execute the option. Additionally, the landowners will be paid per CO2 injected into their pore space, similar to oil and gas mineral rights.


What is going to happen if the ground shifts where this CO2 is stored?

A: In studying and choosing our storage sites for permitting, we’ve conducted rigorous testing to ensure we are choosing geologically stable areas. Once operational, we will monitor seismic activity, etc., to ensure we’re effectively managing risks. CO2 injection and storage is regulated by the North Dakota Industrial Commission, who will permit our storage facilities.

 

 

Plants need CO2:


1.     When we capture & store all the CO2, what happens to plants & trees that utilize CO2 for their growth?

2.     Greenhouses are not CO2 in the area that farmers need for crops – why take it away? How big is pipeline going to Canada?

3.     How is CO2 good for the ag- farms when it’s in a pipeline underground?

4.  How can crops and grasslands survive if we remove the vital survival ingredient necessary? CO2 is the oxygen for green plants. This sounds like a giant scam.

5.  The US Dept. of Ag reports that US agriculture emitted about 671.5 million metric tons of CO2 equivalent in 2021. Isn’t CCS just putting some back in the earth?


A: Excess carbon dioxide does increase growth in some crops, but it also decreases their nutritional value. Additionally, researchers are attempting to reduce CO2 levels to those from a few decades ago. READ MORE HERE.

 

Land Values:

1.     How is this pipeline going to affect the value of the land it will be on?

2.  So, the person that has the land where this pipeline is going through is “paid.” What about the person who has land across the road, they get nothing & their land value is decreased because of their neighbor’s choice?

3.  We agree with everything you are saying but our biggest problem & concern is Safety & Property values!

4.  We are not against pipelines!!! We are against this high pressure 24” line buried only 4” in the ground! And, built by a company that has no experience with this type of project! And, no plan if there is a leak and this community cannot handle the # of patients that will be affected! Plus it will kill our land values!!! So why did a liberal state like California make a law that NO CO2 pipeline in their state. We agree with everything you are saying but our biggest problem & concern is safety & property values!


A: Outside of rare exceptions, there is no empirical evidence that suggests the presence of a pipeline lowers property values. Boulder Appraisal did extensive research on the property values around a CO2 pipeline. The research found no significant preference among buyers between encumbered and non-encumbered lots. Factors like lot size, yard space, and developable area were more influential in decision-making, minimizing the impact of pipeline encumbrances. This trend was consistent in both newer and more mature neighborhoods.   Natural gas and refined products pipelines have existed within the city limits of Bismarck for decades and their presence has not deterred economic or residential development.

 

Economics:

 

What is being done with the “legacy fund” for the people of North Dakota? Why is it not being used for tax breaks for the people of North Dakota?

Tax Credits: Who is getting them and for how long? 

A:

Federal Tax Credit 

Criteria 

Availability 

45Q, Carbon Sequestration  

(est. in 2008; improved in 2018; and again, in 2022 by IRA.)  

·       Permanent geologic sequestration; independently verified, or for Enhanced Oil Recovery (EOR).  

·       Begin construction by 2033. 

·       Meet prevailing wage and apprenticeship requirements. 

·       $85 for each metric ton (MT) permanently sequestered ($60 MT if EOR). 

·       Credit may be claimed for a 12-year term. 

45Z, Clean Fuel Production (a new production tax credit established by IRA.) 

·       Based on GHG lifecycle of a clean fuel; must meet emissions standards and verification. 

·       Clean fuels produced starting in 2024 and sold before 2028. 

·       Meet prevailing wage and apprenticeship requirements. 

·       For ethanol, the base amount credit is 2 cents per gallon for each reduction below a CI score of 50 (i.e., the benchmark). 

·       Maximum tax credit, $1.00 per gallon if the CI score is zero. 

 

40B, 45Z, Sustainable Aviation Fuel (SAF) Tax Credits (two-phased approach by IRA.) 

·       2023-2024, Biomass-Based Diesel Blenders Tax Credit (BTC) established under 40A, is expanded to include a separate per-gallon incentive for SAF under Section 40B.  

·       2025-2027, tax credit is enhanced so renewable fuels, including SAF, will be eligible for the Clean Fuel Production Credit (CFPC); Section 45Z.  

·       BTC, $1-per-gallon tax credit for  each gallon of biodiesel and renewable diesel blended into the U.S. diesel pool (w/o consideration for lifecycle GHGs). IRA, however, sets a baseline GHG reduction and incentivizes increased reductions. (BTC claimed through excise tax system.) 

·       New SAF - $1.25-per-gallon credit for a qualified mixture. Must have minimum reduction of 50% in GHG lifecycle (compared to petroleum-based jet fuel.) 

·       Supplemental SAF - one cent additional per-gallon credit for each percentage point above the 50% reduction, for a maximum of $1.75 per gallon.  

 

 

 

 

 1.       Are they looking at using natural gas for oil recovery?

A: Bakken oil producers along with energy researchers from EERC are exploring all options to increase oil recovery in the Bakken.  Currently, oil producers are using a variety of technologies like increasing well density, longer lateral wells (now three miles horizontally vs two miles), recompletions of existing wells and downhole pressure pumps to increase production.  However, to supercharge the Bakken, we are going to likely need a combination of CO2 and natural gas liquids. 

 

2.       How close in years are we using carbon for recovery in North Dakota?

A: Great. There are a handful of small CO2 or natural gas pilot projects occurring as we speak but full-scale enhanced oil recovery with CO2/natural gas could be 5-12 years away.  However, like any new technology, if the size of the prize attracts the investment, once the code is cracked on how to make it happen and the economics and supply chain is figured out, the industry will move quickly because that’s how the oil business works.

 

 

 

3.       Are the pumps used to move CO2 through the line, powered by wind or solar? Or is it powered by the local electric Co-op? If coal power is shut down how will the pumps be powered? We are on the edge of not having enough electric now, this project takes a tremendous amount of power. Will this pipeline take priority power to run in a power shortage?

A: The pumps used in the pipeline industry are powered by the electric co-op, base-load electricity is typically needed because the power demand is 24/7 and cannot be intermittent.  Industrial power use is always secondary to consumer use, but we have learned that if you shut down pipelines first, there is no power to send to the consumers.  CO2 lines for injection and storage wouldn’t carry a priority. [JH1] [RN2] 

 

 

4.       Why are we as a state not requiring this carbon from Summit to be able to be used for enhanced oil recovery?

A: Summit Carbon Solutions is a private company, none of us are supportive of having the state dictate business decisions for any reason.  In addition, the demand for CO2 for Bakken enhanced oil recovery does not exist today.


5.       Can you explain how the capture process will work in a coal plant.

The most common means of capturing CO2 from a coal plant involves routing the flue gas through a column filled with packing and a chemical solvent that selectively removes the CO2 from the flue gas. 

A: The solvent is then heated, which drives off the CO2 for compression, dehydration and transport to utilization and/or storage. Other technologies such as cryogenic capture and/or membranes are also under development.


6.       How is eminent domain (when used by for profit companies) different than communism?

A: North Dakota as a rural state has always needed infrastructure, whether it be railroads to export farm commodities, powerlines to connect farms at the end of the road, fiber and utilities to reach every home, and pipelines to export our oil and natural gas.  Allowing one or several landowners to stop an entire project that an entire industry that is critical to our state’s economic success and the ability to have jobs and a future for our children to live and work here is the reason legislators and state leaders in North Dakota and across the country have supported the use of eminent domain as a last resort.  The use of eminent domain is not easy and certainly not a wise economic decision for a company and frankly is rarely used on common carrier type projects. 


7.       I am a friend of Ag & a friend of energy, but am opposed to the CO2 pipeline and the subsidy scheme for CO2 and climate alarmism. 

A: Do you believe I cannot be a supporter of Ag & Energy if I don’t the support the pipeline?

Many North Dakotans likely agree that we don’t like climate alarmism.  The problem is that society across the world has reacted to the elevated attention brought to climate change and North Dakota can stand and object - but we still need markets for our exports and investment to keep producing our resources.  It would be great if we could just ignore the climate noise but check out the polling on climate and the world’s reaction on this issue, right or wrong, it’s something we must acknowledge.  The recent passage of federal law for credits for CO2 storage are here and private investment is choosing to build a business on that model.  North Dakota is ahead of the rest of the world in knowing how to do this and we have the unique geology and regulations in place to be first in-line to innovate.  If we do it right, landowers can benefit and we create a source and transport mechanism for CO2 that can ultimately be used to super-charge the Bakken which may provide generations of jobs, opportunity and economic benefits across the state.


8.       Has injection been evaluated onsite instead of collecting CO2 from TX to ND to be injected in our state?

A: Perhaps the question might be whether the CO2 be injected in Iowa or areas where it is being captured vs injecting it in North Dakota?  The answer is simply no, Iowa, MN, SD and most other Midwest states do not have the unique geology that we have in the Williston Basin of North Dakota.  That geology is also why we have oil, coal, natural gas production in our state.


9.       Where is the current CO2 that is being piped to Canada coming from?

A: The Dakota Gasification Plant in Beulah, ND has been capturing CO2 off its plant and transporting it via a CO2 pipeline to an oil field in Weyburn, Saskatchewan. 


10.   What size is the Dakota Gas pipeline to Canada compared to the 24” summit pipeline?

A: The DGC line is 14” to Tioga, and 10” from Tioga to Weyburn.


11.   Why is ND tax dollars being used for this project & not being given back to the residents of ND OR being used to give the kids in school free lunches?

A: We are unaware of North Dakota tax dollars being used for this project. The North Dakota Legislature allocates specific funds for a variety of economic development projects and of course separately allocates funding for school and tax relief. 

 

12.   If you think we need subsidies – who is going to pay for that?

A: The federal government has created tax credits for carbon storage, like it or not like all other policy, it’s in the law and available like all other programs. 


13.   The whole CSS scheme relies on two things -

Believing that CO2 caused climate change exists is caused by man & can be controlled by man.2. It is worth trying to store CO2 underground to decrease our emitted CO2, despite the fact that whatever we store is dwarfed many many times over by just the increase of nations like China & India so it literally makes no difference. If we don’t believe these things, why do it?

A: Many North Dakotans likely agree that the climate change narrative is more political than scientific, but the reality is that federal and international policy is being driven to reduce carbon emissions.  Whether that will have a positive impact on climate change is certainly debatable.  However, policy, law, and enormous pressure is being placed upon fossil fuel producers that impact agriculture and energy and we must figure out the best way to manage the challenge and perhaps utilize our state’s geology to create an advantage. 


14.   How will putting CO2 permanently in the ground help oil and gas recovery?

A: Putting CO2 permanently in the ground does not help oil and gas recovery, however, having a pipeline to bring CO2 into the Williston Basin for use when the technology is developed is a huge benefit and the likelihood of building a pipeline across many states to help oil, gas or coal gets more challenging by the day.  CO2 that is utilized in CO2-EOR is ultimately stored in the ground over time.  Each ton of CO2 stored in an EOR project typically results in 2-3 additional barrels being produced that would otherwise not be produced.

 



 


 

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