Norway Launches Sixth Licensing Round For Offshore CO2 Storage

Norway Launches Sixth Licensing Round For Offshore CO2 Storage - Carbon Herald

The Energy Ministry of Norway has initiated the sixth allocation process for exploring seabed acreage in the North Sea for offshore carbon dioxide (CO2) storage, aiming to bolster the country’s carbon capture and storage (CCS) sector.

The Ministry has designated two areas for exploration in this round, inviting interested parties to submit bids until April 24, Upstream reported Wednesday.

Exploration rights will be granted to assess reservoir suitability for CO2 injection and storage.

Terje Aasland, Energy Minister of Norway, emphasized the high industry demand for offshore CO2 storage and the strategic importance of CCS for the country’s growth.

“Several companies want storage areas for commercial storage of CO2 on the Norwegian continental shelf. We have developed a system that provides good access to promising areas,” he was quoted as saying by Upstream.

Relevant: Norway Makes Historic Vote In Favor Of Seabed Mining

The North Sea’s abundance of depleted oil and gas fields makes it particularly suitable for CO2 storage.

Aasland highlighted Norway’s potential as a CO2 storage hub for Europe, emphasizing the dual benefit of emissions reduction and job creation.

The government aims to establish storage capacity for 50 million tons of CO2 annually by the early 2030s, having already awarded licenses to 11 companies for a combined potential storage of 40 million tons per year.

One of the country’s flagship CCS projects, Longship/Northern Lights, is slated for launch in early 2025.

As part of the government’s full-scale CCS initiative Longship, Northern Lights, which is a joint venture of Equinor (NYSE: EQNR), Shell  (LON: SHEL), and TotalEnergies (EPA: TTE), will transport and store CO2 captured from industrial sites in northern Europe.

Read more: Yara And Northern Lights Collaborate On First Cross-Border Carbon Capture Project

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