Equinor, Shell and Total have decided to invest in the Northern Lights project in Norway's first exploitation licence for CO2 storage on the Norwegian Continental Shelf. Plans for development and operation have been handed over to the Ministry of Petroleum and Energy.
"The Northern Lights project could become the first step to develop a value chain for carbon capture and storage (CCS), which is vital to reaching the global climate goals of the Paris Agreement. Development of CCS projects will also represent new activities and industrial opportunities for Norwegian and European industries, said?Anders Opedal, executive vice president for Technology, Projects & Drilling at Equinor.
The investment decision is subject to final investment decision by Norwegian authorities and approval from the EFTA Surveillance Authority (ESA).
The investment decision concludes the study phase during which the Equinor, Shell and Total worked closely with Norwegian authorities to conduct engineering studies and project planning, drill a confirmation well and develop the necessary agreements. Following the investment decision, the partners intend to establish a joint venture company.
The initial investments will total almost NOK 6.9 billion. The project will generate much needed jobs for Norwegian industry, with an estimated 57 % of the investment going to Norwegian contractors.?
“Together with our partners, under the leadership of Norway, we are taking the Final Investment Decision for this first commercial-scale carbon transportation & storage project in Europe, the first of this industrial magnitude for Total. Today more than ever we are willing to increase our efforts on the development of the CCS technology which is essential to reach Europe carbon neutrality and is fully part of Total’s new Climate Ambition to get to Net Zero by 2050,” commented Philippe Sauquet, president Gas Renewables & Power at Total.?