Yara and Northern Lights Signs World’s First Cross-border CO2 Transport and Storage Deal

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Yara and Northern Lights Signs World’s First Cross-border CO2 Transport and Storage Deal

Wed, 08/31/2022 - 12:26
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The way of CO2 from Yara Sluiskil to the sotrage site (© Northern Lights)
The way of CO2 from Yara Sluiskil to the sotrage site (© Northern Lights)

Yara and Northern Lights, on August 29, 2022, signed a partnership deal to transport carbon dioxide captured in an industrial facility in the Netherlands and permanently store it in Western Norway. This will be the first cross-border CO2 transport and storage contract when the commercial terms are finalized.

The agreement will form the basis for other industrial firms across Europe wanting to use the Northern Light and other CO2 stores and options in the North Sea. The CO2 will be captured from Yara Sluiskil, a fertilizer and Ammonia plant in the Netherlands, and stored beneath the North Sea in Western Norway.

Working with CCS to Reach Climate Goals

Since 1990, Yara Sluiskil has reduced its carbon emission per annum from its fertilizer and ammonium production facility by 3.4 million tons. Large volumes of CO2 are reused in greenhouse plant production as one of the ingredients for carbonated drinks. It is also used to manufacture urea and AdBlue.

From 2025, about 800,000 tons of pure carbon dioxide will be captured and liquefied in the Netherlands before being transported to Northern Light for the store. The compressed and liquefied CO2 will be stored at 2,600 meters below the seabed off Oygarden’s coast.

“Action to decarbonize industry is urgent, and Yara is a frontrunner. I am very pleased to announce that we are now on our way to removing CO2 emissions from our production plant in Sluiskil. This will take us a step further towards carbon-free food production and accelerate the supply of pure ammonia for fuel and power production,” said Svein Tore Holsether, Yara International ASA CEO.

On his part, Borre Jacobsen, Northern Light’s Managing Director, said Yara was its first commercial customer. He confessed that Northern Light was establishing a CO2 transport and storage market through this agreement.

The Northern Light’s executive confirmed that the company would be shipping the first CO2 from the Netherlands in early 2025. According to him, the undertaking will demonstrate that CCS is Europe’s climate tool.

Safe and Proven Capture, Transport, and Storage of CO2

Northern Light is the Longship project’s CCS division, a project that the Norwegian government funds 80%. Over the years, the Norwegian government has partnered with Northern Lights and Industrial emitters to establish open access to full value chain CCS.

As a funding condition, the government required Northern Lights to craft a commercial business model and extend its services to the whole of Europe.

The Longship model proves that CCS is achievable, safe, and cost-effective and has led to development of a supporting commercial model and a market.

The Longship model enables Norwegian businesses and service providers to innovate, leverage experience, and have adequate offshore storage capacity. It also provides critical decarbonization options and solutions for European industry.

 

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