Projects

Norway Full Chain CCS Project

PROJECT PROPONENTS:

Capture: Gassnova has awarded contracts to Norcem AS (cement plant), Yara Norge AS (ammonia plant) and Klemetsrudanlegget AS (waste-to-energy-recovery plant) for further studies of full-scale carbon capture at their respective plants

Transport: Gassco AS

Storage: Under evaluation

LOCATION: Norway

Capture: Brevik (Norcem AS), Herøya (Yara Norge AS), Klemetsrud ( Klemetsrudanlegget AS)

Storage: Smeaheia area, offshore Norway

INDUSTRY (FEEDSTOCK): Various

OVERALL PROJECT LIFECYCLE STAGE: Define

COCAPTURE START DATE: 2022

CO2 INJECTION CAPACITY VOLUME: Approximately 1.3 million tonnes per annum (Mtpa) if all three capture sources under evaluation progress into operation

CAPTURE TYPE: Various

CAPTURE METHOD: Various

NEW BUILD OR RETROFIT: Retrofit

PRIMARY STORAGE OPTION: Dedicated geological storage - offshore deep saline formation

STORAGE FORMATION AND DEPTH: Under evaluation

TRANSPORTATION TYPE: Ship transport to an intermediate storage site, then pipeline to the storage site

TRANSPORTATION DISTANCE TO STORAGE SITE (LENGTH OF PIPELINE): Under evaluation


Project description

 

The Norwegian Government is examining the feasibility of a full chain CCS project. 

Norwegian feasibility studies, released in early July 2016, aimed to identify at least one technically feasible CCS chain within Norway with corresponding cost estimates. The results of the studies indicate that it is technically feasible to realise several alternatives in Norway.

The Ministry of Petroleum and Energy had overall responsibility for the feasibility studies. Gassnova SF has been project coordinator and responsible for the capture and storage elements, while Gassco AS has been responsible for transport.

Three industrial players completed feasibility studies of CO2 capture;

  • Norcem AS assessed the possibility of capturing CO2 from the flue gas at its cement factory in Brevik,
  • Yara Norge AS assessed CO2 capture from three different emission points at its ammonia plant at Herøya in Porsgrunn, and
  • The Waste-to-Energy Agency in Norway’s Oslo municipality assessed CO2 capture from the waste recovery plant at Klemetsrud (Klemetsrudanlegget AS).

Gassco AS carried out a study of ship transport of CO2 between locations for capture and storage for different conditions and concluded that all the solutions considered within their transport study were technically feasible.

Statoil ASA completed feasibility studies of CO2 storage at three different sites on the Norwegian continental shelf. Both Statoil and Gassnova consider a solution for developing a CO2 storage site with onshore facilities and transport to the Smeaheia area (east of the Troll gas field and around 50 kilometres / 30 miles offshore) as the optimal solution. The Smeaheia area is considered to have the lowest implementation risk, large storage capacity, and it is relatively easy to develop the infrastructure capacity.

The feasibility studies estimated that the cost for planning and investment for such a chain is between 7.2 and 12.6 billion NOK (excluding VAT). The planning and investment cost will depend on how much CO2 would be captured, where it would be captured from and the transportation options developed, and is subject to an uncertainty of +/- 40 percent.

Following the release of the feasibility studies, the Norwegian Government, in its 2017 budget released in early October 2016, announced a grant of 360 million NOK (approximately US$45 million) for the continued planning of a full-chain CCS project. 

In mid-April 2017, it was announced that Gassnova had awarded contracts to Norcem, Yara and Klemetsrudanlegget, all three receiving financial support to continue studies of CO2 capture in greater detail at their respective facilities. Gassnova indicates that an investment decision by the respective capture parties would be anticipated by the middle of 2019.

The offshore Smeaheia area has been identified as the optimal storage site. Gassnova is negotiating with relevant parties for the funding of detailed CO2 storage studies and expects a contract will be signed with an Operator of the store before this northern hemisphere summer.

Depending on the outcome of the detailed studies presently (and soon to be) in progress, the intention of the Norwegian Government is to have a full chain industry-based CCS project operational by 2022.


Key project milestones

 

July 2016: Release of feasibility studies by the Ministry of Petroleum and Energy examining the feasibility of a full chain CCS project in Norway

October 2016: The Norwegian government, in its 2017 budget, announces a grant of 360 million NOK (approximately US$45 million) for the continued planning of a full chain CCS project

April 2017: Gassnova awards contracts to Norcem, Yara and Klemetsrudanlegget for further studies of full-scale carbon capture at their respective facilities

 

Project data is current as at 27/04/2017