Plans for a major European carbon capture and storage (CCS) project have taken a step forward with the signing of an option agreement for an onshore terminal.
- Horisont Energi, lead for the Errai CCS scheme, has signed an agreement with Haugaland Næringspark to use a receiving station in Gismarvik.
- Initial plans are for the project to store between 4 and 8 million tonnes of CO2 annually, with the potential to store more in later phases.
- Errai is the first commercial CO2 storage project in Norway, and could have a major impact on the development of the carbon market in Europe.
Horisont Energi, lead for the Errai CCS scheme, has struck a deal with Haugaland Næringspark to use a receiving station in Gismarvik, on the west coast of Norway.
Surplus carbon would be transported to the terminal, where it would be stored intermediately, before being injected into reservoirs under the North Sea.
Errai is the first commercial CO2 storage project in Norway, and could have a major impact on the development of the carbon market in Europe.
Initial plans are for the project to store between 4 and 8 million tonnes of CO2 annually, with the potential to store more in later phases.
Horisont Energi is partnered up with Neptune Energy on Errai, with the North Sea operator holding a 40% share in the scheme.
The company aims to store more carbon than is emitted from the production and use of its sold product by 2030.
Neptune’s managing director for Norway and the UK, Odin Estensen said: “This is an important step for the development of large-scale carbon capture and storage, and paves the way for a value chain that is crucial for reaching the climate target of net zero emissions by 2050.
“We look forward to leveraging both our oil and gas operations capabilities as well as our significant global experience from operating carbon capture and storage activities.”
The Errai partners recently submitted an application to the Norwegian Ministry of Petroleum and Energy for storage of CO2 on the Norwegian continental shelf.
Awards are expected to be announced during the first half of 2023, with project start up slated for 2026.
Much of the required infrastructure is already in place at Gismarvik, with access to fibre, electricity, water, and sewage, and a large harbour basin with deep-sea quay.
The terminal will receive CO2 from both European and Norwegian customers, including from a similar facility planned for the Port of Rotterdam.
Bjorgulf Haukelidsæter Eidesen, managing director of Horisont Energi, said: “We are pleased to announce this agreement with Haugaland Næringspark after a thorough process to find a suitable site for this large carbon capture and storage project.
“This will be an exciting contribution to the work of developing new green industry and infrastructure in Rogaland. We see increasing demand for CO2 storage in Europe and we will build up a European value chain in the market for carbon capture and storage. This can play a key role in the transition to net zero emissions.”