Page 12 - 2024 CPC Corporation,Taiwan

Low-carbon and Renewable Energy Development
Exploration and Production
Taiwan has limited indigenous energy resources and therefore depends on imports for most of its fossil fuel needs. As a result, CPC has cooperated with the government’s policy to increase energy supply security and to forge greater international energy cooperation. CPC is dedicated to improving its performance in new energy development, expanding upstream operations, and increasing overseas production, to stabilize the supply of crude oil and natural gas to the domestic market and alleviate the impact of oil price fluctuations.
To improve overall strategic planning, and based on active expansion and focus, CPC has adopted exploration and production strategies that aim to expand overseas operations and exploit domestic operations, simultaneously undertaking mergers and acquisitions, as well as exploration and production and the training of talent for breakthroughs, in the hope of gradually increasing the proportion of self- owned energy reserves within its full sourcing range, while heading towards developing low-carbon energy resources.
Planning Geothermal Power Plants and CCS Demonstration Sites per Government Policy
Currently, the CPC’s onshore producing oil and gas wells are located in and around Tiehchenshan (TCS), Chinshui (CS), Chingtsaohu (CTH) (including Chuhuangkeng, CHK), and Kuantien (KT). In 2023, they yielded 90.9 million cubic meters of natural gas and 1,637 kiloliters of condensate.
In 2023, following the government’s National Renewable Energy Policy, CPC completed a geothermal survey and geochemistry study of the Ruisui-Yuli area in Hualien County, covering 72 square kilometers. CPC is also cooperating with Baseload Power, a company developing geothermal power in the same area, joining forces in prospecting and exploration. CPC had successfully concluded a combined production test for geothermal wells Nos. 15 to 18 in Tuchang, Yilan, revealing geothermal power potential of 2.5MW (a conservative estimate). Building on such foundation, in 2023, CPC has initiated drilling activities for geothermal well No. 19 in Tuchang and concurrently commenced the planning phase for a CPC-owned 4MW geothermal power plant. From 2023 to 2025, the company will expand the scope of exploration in Yilan and prepare for future power generation.
In addition to our commitment to renewable energy, CPC actively engages in collaborative efforts with the government to advance carbon storage initiatives. Presently, we are spearheading the TCS CCS Demonstration Project as a prominent showcase for carbon storage technology within Taiwan. A comprehensive array of continuous monitoring activity is underway. We envision this undertaking as a pivotal stepping stone for future coastal and offshore commercial-scale CCS projects.
Offshore E&P and Carbon Sequestration
Starting on December 18, 2012, CPC has worked with Husky Energy International Corporation to explore the oil and gas potential in the deep-water area of the Tainan Basin. The fundamental acquisition, processing, and interpretation of 2D and 3D seismic survey data was completed in 2021. CPC and Husky Energy also completed a joint study with risk assessment and basin modeling in 2022 and 2023. The two companies are progressing to integrated prospects evaluation in 2024.
Following the government’s Net-Zero emission policy, CPC is assessing potential sites for carbon sequestration in several basins in western offshore Taiwan, and Taishi Basin tops the list. The preliminary site characterization in Taishi Basin had been completed, and further appraisal programs, such as 3D seismic survey and drilling, will be conducted to update the subsurface data and risk evaluation. These data can improve the feasibility study and development concept. The initial goal is to establish an offshore carbon storage site at a scale of millions of tons, catering not only for CPC’s requirements but also accommodating other companies in Taiwan.
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