Global assurance and risk management provider DNV has invested in a long-term carbon dioxide removal (CDR) deal with Norwegian company Carbon Centric.
Under the newly announced agreement, Carbon Centric will deliver 10,000 tonnes of CDR annually during a period of four years set to commence in 2028.
This deal will serve as a catalytic driver for the development of a new Carbon Centric carbon capture plant that will tackle approximately 30,000 tonnes of CO2 per year.
The plant will be combined with a bioenergy facility developed by Solor Bioenergi to create a bioenergy with carbon capture and storage (BECCS) capacity deployed at the Kirkenaer location in southeast Norway.
At this site, the BECCS plant will use amine-based technology for carbon capture from flue gas to lock in CO2 emissions that will then be liquified and transported to permanent geological storage sites.
As shared in the announcement, the deal between DNV and Carbon Centric is a three-digit million NOK commitment, which also marks Carbon Centric’s third CDR agreement to date and stands out as its largest one.
Kenneth Juul, CEO and co-founder of Carbon Centric, stated,
“Developing carbon-negative projects is demanding and requires partners that are willing to lead the way and support projects at an early stage. We are therefore very pleased that DNV believes in us and is purchasing credits from us now. This agreement demonstrates how long-term purchase agreements can help realise new projects for permanent carbon removal, reduce risk and accelerate the development of a market for carbon removal.”
Having secured this deal, Carbon Centric hopes to be able to reach a Final Investment Decision (FID) on the Kirkenær BECCS project in 2026. The company clarifies that the Kirkenær project will be its first CDR project that joins a growing pipeline of ambitious initiatives.
In the long run, Carbon Centric is working towards the goal of reaching final investment decisions on projects with a combined annual CO2 capture capacity of 1 million tonnes by 2030.
Established in 2021 with a joint ownership between Østfold Energi, Vardar, and Obligo, Carbon Centric is on a mission of removing as much carbon dioxide as possible, as quickly as possible.
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Commenting on the partnership with DNV, Carbon Centric shared,
“We are deeply grateful to DNV for choosing to engage at an early stage. Early offtake commitments of this nature are essential for de-risking BECCS projects and for enabling carbon removal projects to move from development into execution.”
“As a project developer with a growing portfolio, we see this agreement as a strong vote of confidence. We hope it sends a clear signal to the market that early commitments are critical if we are to scale enough BECCS projects to meet future demand for durable carbon removal.”
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