“Quest continues to show the world that carbon capture and storage (CCS) is working, its costs are coming down and that Canadians are leaders in CCS,” said Michael Crothers, Shell Canada President and Country Chair. “If Quest were to be built today, we estimate it would cost about 20-30% less to construct and operate. With our know-how, strong regulatory frameworks and ideal geology, Canada is uniquely positioned to capitalize on CCS technology.”

“Canada's oil and natural gas sector recognized the need to reduce CO2 emissions and by leveraging technology and Canadian ingenuity, we are delivering impressive results,” said Tim McKay, President, Canadian Natural Resources Limited. “Quest’s achievement reinforces the significant opportunity that CCS projects have in the ongoing responsible development of Canada’s energy resources as part of a lower carbon emissions future.” 

Quest is operating at a lower cost thanks to a variety of factors including lower variable costs, capture reliability and reduced storage costs. To help encourage wider use of CCS technology around the world and bring down future costs of building CCS facilities, the designs, certain intellectual property and data from Quest are publicly available. This is due to Quest’s government funding arrangement, which is tied to knowledge sharing commitments to benefit future CCS projects.

“While Quest has benefited from significant government funding, the rapid learning curve and cost reductions are making CCS increasingly self-sufficient,” added Crothers. “Industry is looking at carbon capture utilization and storage (CCUS), which could provide the ability for projects to be self-funded if they are able to generate revenues from CO2. Currently, CCUS for enhanced oil recovery (EOR) is the most commercially viable option to progress self-funded carbon capture.”

Since its start up in late 2015, the capture process at Quest has also worked better than anticipated, helping the facility exceed its target of capturing one million tonnes of CO2 per year. The facility is also safely storing the CO2 deep underground better than expected. The geological formation used for storage, which is prevalent across much of Western Canada, is demonstrating incredible capacity for CO2 injection.

Quest is world’s first commercial-scale CCS facility applied to oil sands operations and is operated by Shell on behalf of the Athabasca Oil Sands Project (AOSP). The respective ownership interests of AOSP assets in aggregate, directly and indirectly, are 70% Canadian Natural Resources Limited and an affiliate, 20% Chevron Canada Limited and 10% Shell Canada Limited through certain subsidiaries.

Editor’s Notes:

  • The Quest CCS facility captures and stores about one third of the CO2 emissions from the Shell-operated Scotford Upgrader near Fort Saskatchewan, Alberta, which turns oil sands bitumen into synthetic crude that can be refined into fuel and other products. The CO2 is transported through a 65-kilometre pipeline and injected more than two kilometres underground below multiple layers of impermeable rock formations.
  • Quest has stored the most CO2 of any onshore CCS facility globally with dedicated geological storage. Quest has also captured more CO2 in a calendar year than any other CCS facility with dedicated geological storage. Source: Global CCS Institute
  • Quest has a robust measurement, monitoring and verification program verified by a third party (Det Norske Veritas (DNV)) to ensure the CO2 is permanently stored.
  • Quest received $865 million from the governments of Canada and Alberta to build and operate the facility.
  • Shell is involved in a slate of CCS projects worldwide. Shell is a partner in the Chevron-led Gorgon project in Australia and has a share in the Technology Centre Mongstad (TCM) in Norway. CCS technology developed by Shell subsidiary Cansolv is in use at the Boundary Dam CCS project in Saskatchewan.
  • Globally, there are 43 commercial large-scale CCS facilities, 18 in operation, 5 in construction and 20 in various stages of development, capturing almost 40 Mtpa of CO2. There are four large-scale CCS projects operating or under construction in Canada. Source: Global CCS Institute
  • CCS technology can be applied to a wide range of industries, including steel, cement and power generation, to significantly reduce CO2 emissions.


Shell Canada Media Relations: media-desk@shell.com

Investor Relations
North America: +1 832 337 2034

Cautionary Note

The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this release “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to Royal Dutch Shell plc and its subsidiaries in general or to those who work for them. These terms are also used where no useful purpose is served by identifying the particular entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this release refer to entities over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations”, respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in an entity or unincorporated joint arrangement, after exclusion of all third-party interest.

This release contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “aim”, “ambition’, ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’, ‘‘expect’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this release, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. No assurance is provided that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this release are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell’s Form 20-F for the year ended December 31, 2018 (available at www.shell.com/investor and www.sec.gov). These risk factors also expressly qualify all forward- looking statements contained in this release and should be considered by the reader. Each forward-looking statement speaks only as of the date of this release, May 23, 2019. Neither Royal Dutch Shell plc nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this release.

We may have used certain terms, such as resources, in this release that the United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov.

More in Media

Featured Stories and Speeches

Read about our activities, partnerships and our innovative approach.


Here you can access a selection of speeches and articles by Shell Canada’s leaders.