Research and Deployment Progress in Carbon Capture and Storage Technologies
On 18 September 2026, Greensand, Denmark’s first commercial-scale offshore CO₂ storage facility, commenced operations. The project establishes an integrated carbon capture, transport and storage value chain, with its initial phase expected to permanently store approximately 400,000 tonnes of CO₂ annually. This milestone reflects the accelerating transition of CCS from technology demonstration towards commercial deployment.
1. Research Progress and Emerging Technology Trends
Carbon Capture
Carbon capture technologies have developed into several established pathways, with current research focusing on improving capture efficiency while reducing energy consumption and costs.
Post-combustion capture using amine-based chemical absorption remains the most technologically mature approach and is widely applicable to coal-fired power generation, cement production and steelmaking. However, solvent regeneration typically requires approximately 2.4–3.5 GJ per tonne of CO₂ captured, while equipment corrosion and solvent degradation remain significant operational challenges.
Pre-combustion capture generally requires less energy, approximately 2.2–2.8 GJ/tCO₂. Chemical looping combustion, which uses circulating oxygen carriers to facilitate fuel oxidation and CO₂ separation, has demonstrated the potential to reduce energy requirements to approximately 0.3 GJ/tCO₂, with estimated mitigation costs as low as USD 22/tCO₂ under certain conditions.
Direct air capture (DAC), which removes CO₂ directly from ambient air, typically requires approximately 5–8 GJ/tCO₂ and remains relatively expensive, with reported costs of USD 94–232/tCO₂ depending on the technology and operating assumptions.
Advanced sorbent materials have become an important research direction. In July 2026, researchers at Northwestern University developed NU-6000-OH, a metal–organic framework (MOF) capable of effective CO₂ adsorption at concentrations as low as 30 parts per million (ppm). At 420 ppm, the material achieved 61.4% utilisation of its active adsorption sites, representing one of the highest reported values among comparable MOF materials under similar conditions.
CO₂ Transportation
CO₂ transportation is increasingly developing towards integrated systems combining pipelines, ships and road tankers. Pipelines remain suitable for large-scale, long-distance transportation, although corrosion caused by CO₂ impurities, fracture propagation and leak detection continue to present technical challenges.
Recent studies have focused on impurity-induced corrosion thresholds, pipeline integrity and advanced monitoring systems. In 2023, China conducted its first full-scale CO₂ pipeline burst test, generating experimental data on fracture propagation, pressure and temperature under dense-phase CO₂ transportation conditions. Subsequent research has explored digital twin technologies for real-time pipeline leak detection, with one study reporting approximately 90% detection accuracy under multiphase-flow and multiple-leak conditions.
Marine transportation offers greater flexibility for regions without pipeline connections. Advances in low-temperature liquid CO₂ carrier design and high-strength steel materials are supporting the development of larger transport vessels. In 2025, Brevik Engineering introduced a liquid CO₂ carrier design with a cargo capacity of 50,000 m³, demonstrating progress towards large-scale maritime CO₂ transportation.
Geological CO₂ Storage
Geological storage remains the principal approach for long-term CO₂ sequestration. Major storage formations include deep saline aquifers, depleted oil and gas reservoirs, unmineable coal seams and reactive geological formations suitable for mineral carbonation.
Research priorities have increasingly shifted from demonstrating the technical feasibility of CO₂ injection towards ensuring safe, efficient, verifiable and large-scale storage.
In August 2025, the IEA Greenhouse Gas R&D Programme (IEAGHG) reviewed the potential for in situ CO₂ mineralisation in mafic and ultramafic rocks, assessing geological resources, reactive transport models and prospective storage sites across multiple countries.
Other studies have explored improved injection technologies. Research on CO₂ microbubble injection suggests that enhanced dissolution and improved sweep efficiency could increase storage efficiency in heterogeneous geological formations, with reported improvements of up to 25% under specific experimental conditions.
2. Commercial Deployment and Project Development
Global CCS Project Expansion
The global CCS industry has continued to expand despite economic and regulatory uncertainties.
According to the Global CCS Institute, as of October 2025, 77 CCS projects were operational worldwide, representing a 54% increase compared with 2024. Their combined nominal capture capacity reached approximately 64 million tonnes of CO₂ per year. A further 47 projects were under construction, with a combined capture capacity of approximately 44 million tonnes annually, while 610 projects were at various stages of development.
Commercial CCS projects are supported by several distinct economic mechanisms, including carbon pricing, revenues from enhanced oil recovery (EOR), public financial support and tax credits.
Carbon Pricing and Enhanced Oil Recovery
Carbon pricing can encourage CCS deployment when the cost of capturing and permanently storing CO₂ is lower than the applicable carbon price.
Norway’s Sleipner project provides an early example. Operational since 1996, the project separates CO₂ from natural gas and injects it into the Utsira saline formation beneath the North Sea. With an annual injection capacity of approximately one million tonnes, the project was supported by Norway’s carbon tax, which created a financial incentive for geological storage.
CO₂-enhanced oil recovery (CO₂-EOR) represents another established commercial pathway. By injecting CO₂ into mature oil reservoirs, operators can improve oil recovery while retaining a portion of the injected CO₂ underground.
The SACROC project in the United States, launched in 1972, was among the earliest large-scale applications of CO₂-EOR. However, the net climate benefits of CO₂-EOR depend on accounting boundaries, including the origin of injected CO₂, operational emissions and emissions associated with additional oil production.
Public Funding and Tax Incentives
Public financial support is particularly important for CCS applications in sectors where capture costs remain high and carbon prices are insufficient to support commercial investment.
Norway’s Longship project illustrates a publicly supported, integrated CCS value chain. The project combines CO₂ capture from cement production, liquefaction, maritime transportation and offshore geological storage through the Northern Lights infrastructure. Commercial operations began in 2025, supported by substantial Norwegian government funding.
Tax incentives provide an alternative mechanism. In the United States, the Section 45Q tax credit supports eligible carbon capture and geological sequestration activities through credits linked to qualifying quantities of CO₂.
The Illinois Industrial CCS project, operational since 2017, captures CO₂ from ethanol fermentation and injects it into the Mount Simon Sandstone formation. The project demonstrates how tax incentives can support industrial carbon storage, although long-term commercial viability depends on operating performance, verified storage quantities and the applicable policy framework.
Together, these projects demonstrate that successful CCS deployment depends not only on technological maturity but also on stable financial incentives, reliable transport and storage infrastructure, and transparent monitoring, reporting and verification (MRV) systems.
3. Implications and Recommendations for CCS/CCUS Development in China
As more CCS projects move towards construction and commercial operation, the industry’s central challenge is shifting from demonstrating the feasibility of geological CO₂ storage to ensuring the long-term coordination of capture facilities, transport networks, storage operators and financial stakeholders.
China has made progress in carbon capture, utilisation and storage (CCUS), particularly in high-concentration industrial CO₂ capture and CO₂-EOR applications. However, further development is needed to expand deployment and improve commercial viability.
China’s reported annual CO₂ injection capacity is approximately 5.9 million tonnes, while actual injection is around 3.86 million tonnes. These figures remain below the reported target of 10 million tonnes of annual CO₂ injection by 2030.
Economic barriers remain significant. Capture costs for low-concentration industrial flue gases are estimated at CNY 250–450/tCO₂, increasing to approximately CNY 350–600/tCO₂ when transportation and storage are included. By comparison, the national carbon market allowance price was approximately CNY 97.9/tCO₂ at the end of August 2026, indicating that carbon pricing alone is currently insufficient to support widespread CCS deployment.
Several priorities should therefore be considered.
First, differentiated deployment strategies should be adopted according to technological maturity and project economics. Priority could be given to high-concentration industrial CO₂ sources and projects with favourable transport and storage conditions, while research and demonstration efforts should focus on reducing costs for more challenging applications, including power generation, steelmaking and cement production.
Second, national assessments of CO₂ emission sources and geological storage resources should be strengthened. Comprehensive inventories should identify the location, scale, concentration and remaining development potential of major industrial CO₂ sources. Geological storage sites should be systematically evaluated according to storage capacity, injectivity, containment integrity and monitoring feasibility. Coordinated source–sink matching would help reduce transportation costs and avoid geographical mismatches between capture facilities and suitable storage formations.
Third, a comprehensive regulatory framework for geological CO₂ storage should be established. Drawing on international experience, including the US Environmental Protection Agency’s Class VI well regulations and the EU CCS Directive, China could develop dedicated permitting procedures covering site selection, injection operations, monitoring, closure and post-closure responsibilities.
Clear rules governing subsurface pore-space rights, long-term liability and the transfer of responsibility after site closure would also help reduce investment uncertainty and improve project bankability.
Fourth, monitoring, reporting and verification systems should be strengthened. Standardised methods are needed to quantify injected and permanently stored CO₂, account for leakage risks and ensure the environmental integrity of CCS projects. Particular attention should be given to CO₂-EOR, where net emissions reductions depend on lifecycle accounting, including additional oil production, CO₂ recycling and associated emissions.
Finally, China should strengthen its participation in international CCS/CCUS standardisation and cooperation. Building on its involvement in the development of international standards, including ISO 27927, China could promote methodological alignment, mutual recognition of MRV systems and regional cooperation in cross-border CO₂ transportation and storage.
Overall, the development of CCS/CCUS is entering a new phase characterised by larger projects, integrated infrastructure and increasingly complex commercial arrangements. Advancing deployment in China will require coordinated progress in technological innovation, infrastructure planning, regulatory development and financial support, alongside robust lifecycle emissions accounting and verifiable long-term storage.
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[1] https://mp.weixin.qq.com/s/krkuKyspjirJ40j9fQMONQ