Upon completion of new CO2 pipeline, Denbury begins enhanced oil recovery in the Cedar Creek anticline

BAKER, MT (KUMV) – There’s still plenty of oil in the Williston Basin, and producers are using carbon dioxide to capture it.

The enhanced oil recovery process is becoming a necessity in the region and a company has just started using the new method in southeastern Montana.

Texas-based Denbury has completed a 105-mile pipeline that will deliver carbon dioxide from Wyoming to fields in the Cedar Creek Anticline, located in southeastern Montana and southwestern North Dakota. Officials say as the region matures, enhanced oil recovery will extend production for decades.

“Over its lifetime, (the Cedar Creek anticline) has produced about 700 million barrels of oil. With CO2, we think we should, over time, be able to produce about 400 million barrels extra,” said Chris Kendall, President and CEO of Denbury.

Since beginning operations in February, Kendall says the pipeline will transfer up to 2 million tonnes of carbon dioxide per year.

Sen. Steve Daines (R-MT) visited Baker on Tuesday for the CCA pipeline opening ceremony, praising the operation for creating jobs, producing carbon-negative fuel and promoting energy security .

“What we’re doing here to promote our country’s energy security is tied to economic security, but it’s more than that. It’s national security. That’s why it’s important that we continue to expand our oil and gas production here in the United States,” Daines said.

Using carbon dioxide from industrial facilities, Denbury uses pipelines to transfer the material to the fields, where it is pumped into the ground through an injection well. The CO2 then compounds with the crude oil, removing it from the rock and being able to be captured. It is then separated, the oil being sold to a third party while the CO2 is compressed and reinjected.

“We’re putting so much CO2 permanently underground that we’re offsetting more carbon emissions than a barrel of oil will ever generate,” Kendall said.

Kendall adds that they plan to complete injection well work and install CO2 recycling facilities by the end of 2023.

Copyright 2022 KFYR. All rights reserved.

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