Norway-based CO2 transport and storage provider Northern Lights and American-French oilfield services company SLB (NYSE: SLB) have signed a memorandum of understanding (MoU) with Microsoft (NASDAQ: MSFT), marking a strategic collaboration to digitize the carbon capture and storage (CCS) value chain.
As one of the pioneers in cross-border CCS, Northern Lights aims to enhance its operations through integrated cloud-based workflows, according to a company statement, published Monday.
Børre Jacobsen, Managing Director of Northern Lights, emphasized the crucial role of digital workflows in managing carbon dioxide (CO2) across the entire value chain, from capture to storage.
The partnership with SLB and Microsoft is set to foster the development of scalable and cost-efficient digital solutions tailored for the burgeoning CCS industry.
In the initial phase, SLB will leverage its Delfi digital platform to extend digital CCS workflows and numerical simulation systems.
This platform was previously deployed in 2022 to streamline subsurface workflows for Northern Lights.
Trygve Randen, Senior Vice President of Digital Products and Solutions at SLB, highlighted the necessity for CCS to scale up significantly within the next three decades to meet global net-zero targets.
Digital solutions, Randen stated, play a pivotal role in achieving the speed and scale required for CCS, making collaboration with Microsoft and Northern Lights instrumental in advancing the digitalization of the CCS value chain.
Microsoft, through its Azure platform, will ensure the deployment of scalable cloud services supporting Northern Lights’ business and SLB’s digital CCS workflows.
Collaboratively, SLB and Microsoft are working on an Azure-compliant open-source data platform to serve as the digital infrastructure for Northern Lights.
Sverre Brandsberg Dahl, CTO of Microsoft’s Energy and Resources Industry, expressed confidence that this collaborative project would drive significant CO2 reductions, contributing to the acceleration of the CCS industry and the necessary digital infrastructure to meet global climate goals.
Northern Lights, which is a joint venture of energy majors Equinor (NYSE: EQNR), TotalEnergies (EPA: TTE), and Shell (LON: SHEL), is on track for the development of transport and storage facilities, expecting to receive and store CO2 from industrial emitters by 2024.