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Northern Lights and Yara sign CO2 transport and storage deal
The Northern Lights carbon capture venture has signed a cross-border CO2 transport and storage deal with Yara International
The companies have agreed commercial terms to transport CO2 captured from the Yara Sluiskil plant in Sluiskil, the Netherlands, and store it permanently under the seabed off the coast of western Norway.
Yara Sluiskil is a petrochemicals facility that uses North Sea gas to produce nitrogen fertilisers and industrial chemicals.
Under the agreement, 800,000 tonnes of CO2 per year will be captured, compressed, and liquefied in the Netherlands and then transported to the Northern Lights site to be permanently stored in geological layers some 2,600 m under the seabed off the coast of Øygarden, in Norway, beginning early 2025.
Northern Lights managing director Børre Jacobsen said, “Yara is our first commercial customer, filling our available capacity in Northern Lights. With this, we are establishing a market for transporting and storing CO2. From early 2025, we will be shipping the first tonnes of CO2 from the Netherlands to Norway. This will demonstrate CCS is a climate tool for Europe.”
Northern Lights is a joint venture between oil majors Equinor, Shell and TotalEnergies, and a major part of the Longship project – a full CCS value chain initiative supported by the Norwegian state.
The JV has partnered with British waste management firm Cory Group, rotor sail manufacturer Norsepower and ABB.
Northern Lights partners have handed out several contracts beginning with the build of the facility. Equinor awarded US$58M in contracts in January 2021, for EPC and installation work on a 100-km pipeline and installation of a 36-km umbilical to connect the injection well to the Oseberg A platform, from which the subsea injection facilities will be operated. More recently, the contracts have been vessel-focused since the announcement of the two dedicated LCO2 carrier newbuilding contract in October 2021.
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