In fact, collaborators will invest almost NOK 6.9 billion (USD 673 million) in order to develop a value chain for Carbon Capture and Storage, reaching the global climate targets of the Paris Agreement.
What is more, the project is subject to final investment decision by Norwegian authorities and approval from the EFTA Surveillance Authority (ESA).
In light of the situation, Anders Opedal, executive vice president for Technology, Projects & Drilling at Equinor said:
This unique project opens for decarbosnisation of industries with limited opportunities for CO2-reductions. It can be the first CO2 storage for Norwegian and European industries, and can support goals to reduce net greenhouse gas emissions to zero by 2050.
The project also includes a study phase in which Equinor, Shell and Total partnered with Norwegian authorities to conduct engineering studies and project planning, drill a confirmation well and develop the necessary agreements.
After the investment decision, the trio intends to establish a joint venture company.
We appreciate the leadership shown by the Norwegian Government to accelerate the development of CCS value chains and believe that the Northern Lights CO2 transport and storage solution has the potential to unlock investment in capture projects across Europe.
...says Syrie Crouch, vice president for CCUS in Shell.
According to the companies, Northern Lights project will be developed in phases. Namely, Phase 1 includes capacity to transport, inject and store up to 1.5 million tonnes of CO2 per year. Once the CO2 is captured onshore by industrial CO2-emitters, Northern lights will be responsible for transport by ships, injection and permanent storage some 2,500 metres below the seabed.
Concluding, the CO2 receiving terminal will be located at the premises of Naturgassparken industrial area in the municipality of Øygarden in Western Norway.