As industries face increasing pressure to decarbonize, carbon capture, utilization, and storage (CCUS) is gaining momentum as a key solution. The oil and gas sector is at the forefront of transforming CCUS from an emissions abatement tool into a scalable business, leveraging government incentives and industry expertise. While policies such as the U.S. Inflation Reduction Act and Alberta’s Carbon Capture Kickstart program are accelerating deployment, cost reduction remains the primary challenge. This talk will explore the evolving cost reduction pathway for CCUS, highlighting near-term efficiencies in project execution—such as modularization and standardization—expected to lower costs by 15–30%. Over the medium term, advancements in capture technology and the emergence of a carbon management industry will drive further reductions. A major focus will be on CCUS hubs, which are set to capture 72.5 million metric tons of CO₂ by 2030, creating infrastructure for broader industrial decarbonization. Additionally, regional differences in regulatory frameworks and commercial strategies are shaping diverse business models, as demonstrated by Talos Energy’s CCUS initiatives in the U.S. Gulf Coast. This discussion will provide insight into the key drivers shaping CCUS deployment, the role of hubs in accelerating scale, and the industry’s path toward making CCUS a cost-effective and sustainable decarbonization strategy.
