Northern Endurance Partnership (NEP) and The Crown Estate have signed a landmark seabed lease that clears the way for construction of the United Kingdom’s first commercial-scale offshore carbon capture and storage (CCS) project.
The agreement establishes the UK’s first commercial lease for permanent offshore CO2 storage and associated pipeline infrastructure, creating a regulatory and commercial template for future CCS developments around the country’s coastline. It follows an Agreement for Lease signed in September 2023 and represents a major step toward full project delivery.
The lease covers NEP’s offshore pipeline corridor and the Endurance carbon storage site, a large saline aquifer located approximately 90 miles offshore in the southern North Sea.
Together with nearby geological formations, the Endurance complex provides access to an estimated 1 billion tons of CO2 storage capacity. The lease will remain in place until injection operations are completed, currently expected in the mid-2050s.
NEP is developing the offshore transport and storage infrastructure to serve industrial emitters across Teesside and the wider East Coast Cluster, forming a core pillar of the UK’s net zero strategy.
Construction momentum builds after regulatory and financial milestones
The lease signing follows a series of key regulatory and financial approvals secured by NEP in late 2024. In December, the partnership reached financial close on the first phase of Teesside’s onshore CO2 transport infrastructure, which will initially serve the Net Zero Teesside Power project and future industrial capture facilities.
At the same time, NEP achieved financial close on the 90-mile offshore pipeline connecting Teesside to the Endurance storage site and received the UK’s first-ever offshore carbon storage permit from the North Sea Transition Authority (NSTA).
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With all major consents now in place, construction activities are already underway. The project remains on track for start-up in 2028, positioning Endurance as the backbone of the UK’s first large-scale carbon transport and storage network.
Industry leaders have framed the project as critical national infrastructure. NEP says the development will enable hard-to-abate sectors, including power generation, chemicals and heavy industry, to decarbonise while supporting regional economic growth and job creation in northeast England.
The Endurance project is expected to act as a catalyst for broader CCS deployment across the UK, accelerating investment into carbon management infrastructure as part of the country’s long-term climate strategy.
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