35AReservoir carbon dioxide from new gas fields

35A Reservoir carbon dioxide from new gas fields

(1) Tonnes of reservoir carbon dioxide that: (a) were separated in an acid gas removal unit from natural gas, crude oil mixtures or products produced from covered extracted hydrocarbons as part of one of the following activities: (i) the oil and gas extraction activity; (ii) the integrated crude oil extraction and stabilisation activity; (iii) the natural gas processing activity; (iv) the integrated natural gas extraction and processing activity; (v) the processed natural gas liquefaction activity; (vi) the unprocessed natural gas liquefaction activity; and (b) when separated, consist of a mixture that is overwhelmingly carbon dioxide (CO2) and may contain incidental associated substances derived from the source material and capture and separation processes; and (c) have not previously been included as a tonne of reservoir carbon dioxide under this section; and (d) were not imported as a carbon dioxide stream from another facility. (2) The metric in subsection (1) is applicable to a facility that separates reservoir carbon dioxide from natural gas, crude oil mixtures or products produced from extracted hydrocarbons as part of one of the following activities: (a) the oil and gas extraction activity; (b) the integrated crude oil extraction and stabilisation activity; (c) the natural gas processing activity; (d) the integrated natural gas extraction and processing activity; (e) the processed natural gas liquefaction activity; (f) the unprocessed natural gas liquefaction activity. Covered extracted hydrocarbons (3) Extracted hydrocarbons are covered extracted hydrocarbons if they: (a) originate from a field (other than a field that is covered by subsection (4)) in respect of which the commercial extraction of hydrocarbons was not undertaken before 1 July 2023; and (b) are used as an input in the unprocessed natural gas liquefaction activity or the processed natural gas liquefaction activity (whether or not they are processed at a natural gas processing facility to produce pipeline gas beforehand); and (c) are not purchased from the domestic wholesale gas market. (4) A field is covered by this subsection if, before 1 July 2023, the field, or part of the field, was included in an area in which the commercial extraction of hydrocarbons was occurring in accordance with a licence (however described) granted under a law of the Commonwealth, a State or a Territory. Emissions intensities (5) The default emissions intensity is zero t CO2‑e per tonnes of reservoir carbon dioxide. (6) The best practice emissions intensity is zero t CO2‑e per tonnes of reservoir carbon dioxide.