March 2025
Special Focus: Petrochemical Technologies
Optimize direct air carbon capture systems for petrochemical sustainability
The advent of direct air carbon capture (DACC) systems presents a groundbreaking opportunity to capture carbon dioxide (CO2) and repurpose it as a valuable feedstock for petrochemical products like methanol and synthetic fuels.
As the world grapples with the twin challenges of reducing greenhouse gas (GHG) emissions and transitioning to sustainable industrial processes, the petrochemical sector stands at a pivotal crossroads. The advent of direct air carbon capture (DACC) systems presents a groundbreaking opportunity to capture carbon dioxide (CO2) and repurpose it as a valuable feedstock for petrochemical products like methanol and synthetic fuels. By embedding circular economy principles into the hydrocarbon processing industry (HPI), we can reduce dependency on fossil-based inputs, lower emissions and develop a sustainable path forward.
The energy-efficiency imperative. For DACC systems to achieve widespread industrial adoption, energy efficiency must be at the forefront of innovation. Traditional DACC systems have faced criticism for their high energy consumption and operational costs (OPEX), often making them economically unviable for large-scale use.
The cost of utilizing DACC-captured CO2 as a feedstock is higher compared to traditional fossil-based feedstocks. According to the International Energy Agency (IEA), the cost of CO₂ capture for DACC technologies is significantly higher than other carbon removal technologies, with estimates ranging from $100/t–$300/t of CO2.1
In contrast, fossil-based feedstocks have been economically advantageous due to established extraction and processing infrastructures. However, this cost dynamic is subject to change. As DACC technologies mature and scale, costs are expected to decrease. Innovations in capture efficiency, energy utilization and material science are driving these reductions. Additionally, policy mechanisms such as carbon pricing, subsidies and tax incentives are being implemented to make carbon capture more economically viable.
Moreover, the environmental benefits of utilizing captured CO2 are substantial. By incorporating CO2 into the production of chemicals and fuels, the petrochemical industry can reduce its net GHG emissions, contributing to global climate goals. This shift also aligns with increasing regulatory pressures and stakeholder demands for sustainable practices.
While the costs of utilizing DACC CO2 as a feedstock are higher than those of fossil-based feedstocks, ongoing technological advancements and supportive policy frameworks are poised to reduce these costs. The transition to CO2-derived feedstocks offers a pathway to sustainability while positioning the petrochemical industry to meet future economic and environmental challenges.
The costs of prior implementations have sometimes reached into the hundreds of millions of dollars. Recent advancements, however, are redefining this narrative, lowering OPEX and pushing equivalent outcomes to the millions of dollars range. High energy consumption is also now seen as unacceptable, and lower power or green power operations are now feasible.
Breakthroughs in adsorptive materials, modular system designs and artificial intelligence (AI)-driven process optimization are driving down energy requirements and improving capture efficiencies. For instance, the integration of proprietary adsorptive materials with enhanced selectivity for CO2 not only improves capture rates but also reduces the thermal energy needed for desorption. Modular designs further enable decentralized deployment, allowing systems to be placed directly at CO2 emissions hotspots, thereby minimizing transport and logistics costs.
Additionally, renewable energy integration is playing a vital role in lowering the carbon footprint of DACC systems. Solar and wind power provide the necessary energy for these systems to operate sustainably, further enhancing their appeal to environmentally conscious stakeholders. By aligning DACC operations with renewable energy sources, companies can address energy concerns while contributing to broader decarbonization efforts.
CO2 AS A PETROCHEMICAL FEEDSTOCK: UNLOCKING NEW VALUE STREAMS
The petrochemical industry’s reliance on fossil-based feedstocks has long been a cornerstone of its operations. However, utilizing DACC CO2 as an alternative feedstock offers a dual benefit: reducing the carbon footprint of petrochemical production while creating a sustainable supply chain.
- Methanol synthesis: Captured CO2 can be combined with green hydrogen (H2) to produce methanol, a versatile chemical building block. Methanol derived from atmospheric CO2 not only curtails emissions but also supports the production of low-carbon fuels and chemicals.
- Synthetic fuels: Synthetic fuels derived from CO2 provide a promising solution for sectors like aviation and shipping, where electrification remains challenging. By integrating DACC systems into the production of synthetic fuels, the petrochemical industry can address these hard-to-abate emissions while creating high-value products.
- Plastics and polymers: CO2 can also be utilized in the production of polycarbonate plastics and other polymers, offering a sustainable alternative to traditional petroleum-based inputs. This application not only reduces emissions but also contributes to the growing market for eco-friendly materials.
- Industrial carbonates: Another promising application is the conversion of CO2 into industrial carbonates used in construction and manufacturing. This process not only locks CO2 into stable forms but also replaces more carbon-intensive raw materials.
While more expensive than traditional fossil-based feedstocks due to high capture costs of $100/t–$300/t, DACC CO2 offers a strategic opportunity for future competitiveness and sustainability.2 As innovations in capture efficiency, energy use and material science progress, these costs are projected to decrease, making CO2-based production more viable. Furthermore, policy mechanisms like carbon pricing and tax incentives will incentivize broader adoption. The transition aligns with regulatory demands and growing consumer preference for sustainable solutions, enabling the petrochemical sector to reduce emissions while fostering resilient and forward-thinking industrial practices (FIG. 1).
FIG. 1. A compact carbon capture unit integrated into an enhanced oil recovery operation at the wellhead (model).
Overcoming challenges to scale. Scaling DACC systems for industrial use presents several key challenges:
- Economic viability: While costs have dropped significantly, achieving consistent capture costs below $100 per ton (t) remains a benchmark for commercial feasibility. For example, the 2014 Boundary Dam retrofit in Canada aimed for a 90% CO2 reduction but faced cost overruns and operational issues, doubling electricity costs and highlighting the economic and integration challenges of such technologies.3
- Infrastructure integration: Adapting existing petrochemical infrastructure to accommodate DACC CO2 requires substantial investment and innovation in storage and transport systems.
- Regulatory support: Policies such as carbon pricing, tax credits and subsidies play a crucial role in offsetting initial capital expenditures (CAPEX) and incentivizing adoption.
- Public perception and awareness: Educating stakeholders about the benefits of DACC is crucial for market acceptance. A recent example in Australia saw a Glencore subsidiary’s proposal to inject 110,000 t of CO2 into the Great Artesian Basin rejected due to strong opposition from local communities and concerns over water contamination. Highlighting success stories can help build confidence in scalability.4
Collaborations between DACC providers and petrochemical companies will be essential to overcome these barriers. By aligning goals and sharing resources, these partnerships can accelerate the adoption of CO2-based feedstocks and demonstrate the economic and environmental benefits of this approach.
Embedding circular economy principles. A circular economy approach redefines CO2 from a waste product to a resource. In the petrochemical industry, this paradigm shift involves capturing CO2 emissions, utilizing them in production processes, and ultimately reducing the need for virgin fossil inputs. By creating closed-loop systems, the industry can significantly lower its carbon intensity while enhancing supply chain resilience.
For instance, the integration of DACC systems with industrial hubs creates opportunities for shared resources and symbiotic relationships. CO2 captured at one facility can serve as a raw material for nearby operations, reducing transportation costs and fostering local economic growth. These interconnected ecosystems exemplify the principles of a circular economy, driving efficiency and sustainability across the value chain.
Additionally, adopting circular economy models can enhance compliance with emerging regulations and align with growing investor demands for sustainability. Industries that embrace these changes are likely to gain competitive advantages, from cost savings to brand reputation benefits, positioning them as leaders in environmental stewardship.
Looking ahead: The future of DACC in the petrochemicals sector. The next decade will be pivotal for integrating DACC systems into petrochemical operations. Regulatory frameworks are expected to evolve, with governments worldwide incentivizing carbon capture technologies through enhanced tax credits and emissions trading schemes. Concurrently, technological advancements in materials science and AI-driven optimization will continue to improve the efficiency and cost-effectiveness of DACC systems.
Emerging innovations, such as advanced catalysts and hybrid capture systems, promise to further enhance the viability of CO2 utilization in petrochemical processes. Additionally, international collaboration on research and development could accelerate breakthroughs, enabling the petrochemical industry to adopt these technologies at scale.
As the petrochemical sector embraces these innovations, the potential to redefine its environmental impact is enormous. By positioning CO2 as a valuable resource rather than a liability, the industry can lead the charge toward a sustainable, low-carbon future. The adoption of DACC systems not only aligns with global climate goals, but also positions the petrochemical industry as a pioneer in the transition to a circular economy.
This strategic shift requires bold leadership and collaboration across sectors. For those in the HPI, the time to act is now—because the transition to a sustainable future will not wait.
LITERATURE CITED
1 IEA, “Direct air capture,” online: https://www.iea.org/energy-system/carbon-capture-utilisation-and-storage/direct-air-capture#programmes
2 IEA, “Current cost of CO2 capture for carbon removal technologies by sector,” September 2020, online: https://www.iea.org/data-and-statistics/charts/current-cost-of-co2-capture-for-carbon-removal-technologies-by-sector?utm_source=chatgpt.com
3 resiliance, “Canceled Canadian CCS project deemed not economically feasible,” May 2024, online: https://www.resilience.org/stories/2024-05-13/canceled-canadian-ccs-project-deemed-not-economically-feasible/
4 The Guardian, “Queensland rejects Glencore carbon capture and storage proposal for Great Artesian Basin,” May 2024, online: https://www.theguardian.com/australia-news/article/2024/may/24/queensland-glencore-carbon-capture-storage-proposal-rejected-great-artisan-basin
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