Italy's Saipem signs preliminary UK deal for CO2 transport, storage
MILAN, March 15 (Reuters) - Italy’s Saipem said on Friday it had signed a memorandum of understanding (MOU) to develop offshore infrastructure to transport and store carbon dioxide for a cluster of carbon capture projects in northern England.
The MOU was signed with the Northern Endurance Partnership (NEP) and Net Zero Teesside Power (NZT Power).
The two projects are expected to transport and store some 4 million tonnes of carbon dioxide each year from 2027.
Saipem will be responsible for the engineering, supply, construction and installation of a 145-kilometre (90 miles) offshore conduct, as well as inspections, for the NEP project.
It will provide the engineering, supply, construction and installation for a drainage line for the NZT Power project.
Offshore operations will be carried out by Saipem’s Castorone vessel, while those closer to the coast will be carried out by the Castoro 10 barge.
BP, Norway’s Equinor and France’s TotalEnergies are partners in the NEP project. NZT Power is a joint venture between BP and Equinor.
(Reporting by Alessia PéEditing by Giulia Segreti and Mark Potter)
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”