Global Carbon Capture Utilization and Storage (CCUS) Market 2024–2033

Reports Description

As per the current market research conducted by CMI Team, the global Carbon Capture Utilization and Storage Market is expected to record a CAGR of 13.3% from 2023 to 2032. In 2022, the market size is projected to reach a valuation of USD 2.1 billion. By 2032, the valuation is anticipated to reach USD 7.5 billion.

CCUS Projects Database, Operational and Planned Capacity (Mt CO2 per year)

Source: According to iea.org

The Carbon Capture Utilization and Storage (CCUS) market involves technologies and processes aimed at capturing carbon dioxide emissions from industrial processes and power generation, utilizing CO2 for various applications, and safely storing it underground.

The market’s nature is dynamic and driven by environmental concerns, climate change mitigation efforts, and supportive government policies. Key trends include advancements in CCUS technologies, growing emphasis on sustainable practices, and the integration of CCUS in clean energy projects to achieve a low-carbon future.

Carbon Capture Utilization and Storage Market – Significant Growth Factors

The Carbon Capture Utilization and Storage Market presents significant growth opportunities due to several factors:

• Environmental Regulations and Climate Change Goals: Stringent environmental regulations and ambitious climate change mitigation goals set by governments worldwide drive the adoption of CCUS technologies. Policymakers emphasize reducing carbon emissions, compelling industries to seek CCUS solutions for sustainable operations.

• Corporate Sustainability Initiatives: In response to growing public awareness of environmental issues, corporations are prioritizing sustainability and pledging carbon neutrality. CCUS presents a tangible method for companies to offset emissions, aligning with their sustainability commitments and enhancing brand reputation.

• Technological Advancements: Ongoing research and development efforts in CCUS technologies result in efficiency improvements and cost reductions. Advancements in carbon capture, utilization, and storage processes attract investment and foster broader market implementation.

• Economic Incentives and Carbon Markets: Governments and international organizations introduce economic incentives, grants, and carbon credit mechanisms, making CCUS projects financially attractive. Carbon trading mechanisms enable companies to generate revenue through the sale of carbon credits, promoting CCUS adoption.

• Integration with Clean Energy: Integrating CCUS technologies with clean energy projects, such as renewable energy and hydrogen production, offers an opportunity to decarbonize industries and achieve carbon-neutral energy systems. Synergies between CCUS and clean energy contribute to sustainable development.

• Circular Economy and Utilization: Exploring innovative utilization opportunities for captured CO2, such as enhanced oil recovery, construction materials, and chemicals production, opens paths to create additional revenue streams. Adopting a circular economy approach to carbon management maximizes the value of captured CO2, promoting a sustainable and economically viable CCUS market.

Carbon Capture Utilization and Storage Market – Mergers and Acquisitions

The Carbon Capture Utilization and Storage (CCUS) Market has seen several mergers and acquisitions in recent years, with companies seeking to expand their market presence and leverage synergies to improve their product offerings and profitability. Some notable examples of mergers and acquisitions in the Carbon Capture Utilization and Storage (CCUS) Market include:

• Occidental Petroleum and Carbon Engineering: In 2018, Occidental Petroleum entered into a partnership with Carbon Engineering, a Canadian-based clean energy company. The collaboration aimed to develop direct air capture technology for capturing CO2 emissions from the atmosphere and advancing CCUS solutions.

• ExxonMobil expands agreement with Global Thermostat: In 2020, ExxonMobil and Global Thermostat expanded their joint development agreement following 12 months of technical evaluation to determine the feasibility and potential scalability of Global Thermostat’s technology that captures carbon dioxide (CO2) directly from the air.

• Equinor and Microsoft: In 2018, Equinor, a Norwegian energy company, partnered with Microsoft to explore CCUS opportunities. The collaboration aimed to leverage Microsoft’s cloud and AI technologies to optimize carbon storage and accelerate the development of carbon-negative solutions.

• Carbon Clean Solutions and Veolia: Carbon Clean Solutions, a technology provider specializing in carbon capture, has partnered with Veolia, a leading waste management company, to collaborate on large-scale CO2 capture and industrial reuse projects. The joint initiative aims to capture carbon dioxide emissions from industrial processes and find innovative ways to reuse the captured CO2.

• Aker Solutions Forms Collaboration with Cognite: In 2018, Aker Solutions, an engineering and technology company, formed a collaboration with Cognite, a software provider, to strengthen its digital offering. The partnership aims to leverage Cognite’s expertise in digital solutions and Aker Solutions’ engineering capabilities to enhance digitalization in the energy sector.

These mergers and acquisitions helped companies expand their product offerings, improve their market presence, and capitalize on growth opportunities in the Carbon Capture Utilization and Storage (CCUS) Market. The trend is expected to continue as companies seek to gain a competitive edge in the market.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

Carbon Capture Utilization and Storage Market – Significant Threats

The Carbon Capture Utilization and Storage (CCUS) Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• High Implementation Costs: The significant upfront costs associated with developing and deploying CCUS projects pose a threat. Financial constraints and uncertainties around return on investment may deter some industries from adopting CCUS technologies.

• Limited Storage Capacity: The availability of suitable underground storage sites for long-term carbon storage may be limited in certain regions. Insufficient storage capacity could hinder the scalability and widespread implementation of CCUS projects.

• Public Acceptance and Opposition: CCUS projects may face public opposition due to concerns about safety, environmental risks, and the perception that it prolongs reliance on fossil fuels. Negative public sentiment could lead to regulatory challenges and delays in project approvals.

• Technological and Operational Risks: The complexity of CCUS technologies introduces technical and operational risks, including potential leakage of stored CO2 or system failures. Ensuring robust safety measures and addressing potential risks is crucial to gaining stakeholder confidence in CCUS solutions.

Report Scope

Category-Wise Insights

By Service:

• Capture: It plays a vital process that involves capturing carbon dioxide emissions from industrial sources or power plants before they are released into the atmosphere. This critical step employs innovative technologies like post-combustion, pre-combustion, and oxyfuel combustion capture, which are constantly advancing to enhance efficiency and cost-effectiveness.

• Transportation: Transportation involves moving the captured CO2 from the capture site to the storage or utilization site using pipelines, ships, or trucks. Efficient and safe transportation is critical for the successful implementation of CCUS projects.

• Utilization: Utilization involves finding applications for the captured CO2, such as in enhanced oil recovery (EOR), manufacturing chemicals, or producing fuels. Utilizing captured CO2 offers opportunities for revenue generation and enhanced carbon management.

• Storage: Storage refers to the secure and long-term sequestration of captured CO2 in geological formations, such as depleted oil and gas reservoirs or saline aquifers. Safe and reliable storage ensures permanent carbon removal from the atmosphere.

By Technology

• Pre-combustion capture: A technology that captures carbon dioxide from fossil fuel before it is combusted, through processes like gasification. Trends show increasing research in integrated gasification combined cycle plants and their application in hydrogen production.

• Oxy-fuel combustion capture: This technology involves burning fossil fuel with oxygen instead of air, resulting in a CO2-rich flue gas, making it easier to capture. Trends indicate advancements in oxy-fuel combustion technologies for power generation and industrial applications.

• Post-combustion capture: A technology capturing CO2 from flue gases after fuel combustion, typically using solvent-based absorption. Trends reveal continuous improvements in solvent-based processes and the utilization of post-combustion capture in industrial emissions and power plants.

By End Use Industry

• Oil & Gas: In the oil and gas sector, Carbon Capture Utilization and Storage (CCUS) encompasses the capture of CO2 emissions from production processes, aiming to enhance sustainability and mitigate the environmental impact of hydrocarbon extraction and refining. The industry trend indicates a rising emphasis on integrating CCUS technologies to achieve emission reduction goals, adhere to environmental regulations, and exhibit commitment to environmentally responsible practices.

• Power Generation: In power generation, CCUS targets capturing CO2 emissions from coal-fired power plants and other sources, mitigating greenhouse gas emissions, and promoting cleaner energy production. The trend in this sector is increasing adoption of CCUS as power companies aim to transition towards low-carbon energy sources and achieve carbon neutrality in line with global climate objectives.

• Iron & Steel: For the iron and steel industry, CCUS focuses on capturing CO2 emissions from steel manufacturing, supporting carbon-neutral steel production, and reducing the industry’s carbon footprint. The trend in this industry is a rising recognition of the importance of CCUS in addressing carbon-intensive processes, ensuring sustainable steel production, and positioning the sector for a low-carbon future.

• Chemical & Petrochemical: In the chemical and petrochemical sectors, CCUS plays a vital role in capturing CO2 emissions from processes like hydrogen production, advancing green chemistry practices, and facilitating sustainable chemical manufacturing. The trend in this segment is an increasing integration of CCUS technologies to achieve carbon neutrality, minimize the environmental impact of chemical processes, and support the transition to a more sustainable chemical industry.

• Cement: CCUS initiatives in cement manufacturing involve capturing CO2 emissions, a significant source of carbon emissions, to promote carbon-neutral building materials and support environmentally responsible construction practices. The trend in the cement industry is a growing focus on CCUS adoption as a key strategy to decarbonize cement production, align with global climate goals, and drive sustainability in the construction sector.

• Others: The “Others” category encompasses diverse industries adopting CCUS technologies to offset carbon emissions, contributing to a more sustainable future across various industrial sectors. The trend in this category is a broadening application of CCUS in different industries, including textiles, food processing, and waste management, driven by a collective commitment to combat climate change and embrace environmentally friendly practices.

Carbon Capture Utilization and Storage (CCUS) Market – Regional Analysis

The Carbon Capture Utilization and Storage (CCUS) Market is segmented into various regions, including North America, Europe, Asia-Pacific, and LAMEA. Here is a brief overview of each region:

• North America: The Carbon Capture Utilization and Storage (CCUS) market in North America is experiencing a significant trend, characterized by growing government support and private sector investments in sustainable technologies. The region’s strong emphasis on curbing carbon emissions and shifting towards cleaner energy sources is driving the adoption of CCUS solutions to achieve ambitious climate objectives. ExxonMobil Corporation, Chevron Corporation, and Occidental Petroleum Corporation are key players in North America’s CCUS market.

• Europe: In Europe, the CCUS market trend revolves around robust environmental policies and the commitment to achieve carbon neutrality. The European Union’s climate targets and carbon pricing mechanisms drive companies to invest in CCUS as a crucial tool for carbon reduction and compliance with stringent regulations. Major players in Europe’s CCUS market include Royal Dutch Shell plc, Equinor ASA, and TotalEnergies SE.

• Asia-Pacific: In the Asia-Pacific region, the CCUS market trend is influenced by rapid industrialization, increasing energy demand, and growing environmental awareness. Governments and industries are recognizing the importance of CCUS to balance economic growth with environmental sustainability.

• LAMEA (Latin America, Middle East, and Africa): This region has rich oil and gas reserves and the drive to diversify energy sources while addressing climate concerns. Governments and industries are exploring CCUS as a solution to reduce carbon emissions from the fossil fuel sector. Prominent players in LAMEA’s CCUS market include Saudi Aramco, Abu Dhabi National Oil Company (ADNOC), and Qatar Petroleum. These national oil companies play a significant role in the region’s energy landscape and are actively exploring CCUS opportunities to support sustainable development.

Competitive Landscape – Carbon Capture Utilization and Storage (CCUS) Market

The Carbon Capture Utilization and Storage (CCUS) Market is highly competitive, with a large number of manufacturers and retailers operating globally. Some of the key players in the market include:

• ExxonMobil Corporation
• Royal Dutch Shell plc
• Chevron Corporation
• TotalEnergies SE
• BP plc
• Equinor ASA
• Mitsubishi Heavy Industries Ltd.
• Air Products and Chemicals Inc.
• Aker Solutions ASA
• Schlumberger Limited
• Others

These companies operate in the market through various strategies such as product innovation, mergers and acquisitions, and partnerships.

Several new players have entered the Carbon Capture Utilization and Storage (CCUS) Market with innovative approaches and developments. These new entrants leverage advanced technologies, such as virtual and augmented reality, to enhance attendee experiences and offer unique event solutions.

They also focus on sustainability, incorporating eco-friendly practices and promoting socially responsible events. However, the Carbon Capture Utilization and Storage (CCUS) Market is primarily dominated by key players with established market presence and extensive resources. These dominant players have a wide network, strong industry partnerships, and a proven track record of successful event management.

Their market dominance is reinforced by their ability to deliver comprehensive event solutions, attract top clients, and provide end-to-end event planning and execution services.

The Carbon Capture Utilization and Storage (CCUS) Market is segmented as follows:

By Service

• Capture
• Transportation
• Utilization
• Storage

By Technology

• Pre-combustion capture
• Oxy-fuel combustion capture
• Post-combustion capture

By End Use Industry

• Oil & gas
• Power generation
• Iron & steel
• Chemical & petrochemical
• Cement
• Others

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America