The UAE state-owned oil giant ADNOC has just purchased a 10% stake in the carbon capture and storage (CCS) firm Storegga.
The purchase was made as part of Storegga’s latest funding round, which saw investments from other major players, as well.
For instance, Australian asset manager Macquarie and Singapore’s sovereign wealth fund GIC also invested in the UK carbon capture firm.
Storegga is one of the joint venture partners facilitating the Acorn CCS project in Aberdeenshire, along with Harbour Energy, Shell and others.
Other projects Storegga is involved in include the Cromarty Hydrogen Project in the UK and the the Trudvang CCS project in Norway.
Although the total investment of its fourth funding round was not disclosed, Storegga did share the acquisition of a 10% equity stake by ADNOC, which in turn stated its intention for the strategic investment.
Namely, the Emirati oil and gas company has set out to achieve a target carbon capture capacity of 10 million metric tons of CO2 by the end of the decade.
And while ADNOC has undeniably been treading the path toward sustainability with investments in climate tech, this latest investment in Storegga marks the first of its kind for the fossil fuel giant in international carbon management.
As such, Musabbeh Al Kaabi, executive director for low carbon solutions and international growth at ADNOC, dubbed it an “important milestone in the company’s decarbonisation journey”.
“Carbon capture is an important tool to responsibly reduce carbon emissions and meet global climate goals and ADNOC will continue to scale-up this technology as we work towards net zero by 2045,” Mr Al Kaabi said.
Nick Cooper, CEO of Storegga, also commented on the new partnership, saying that such collaborations are an integral part of the world’s transition to a low-carbon future.