Storegga, Shell, and Harbour Energy become equal partners in the Acorn Project with the signing of the Acorn Development Agreement

Storegga, through its wholly owned subsidiary Pale Blue Dot Energy, Shell, and Harbour Energy (“Harbour”), the partners in the Acorn Project, one of the largest and most mature UK CCS and hydrogen projects, have today become equal partners in the project through the signing of the Acorn Development Agreement (“ADA”). As equal partners, Storegga, Shell and Harbour will develop Acorn through to Final Investment Decision (“FID”), construction, operation and beyond.

The Acorn CCS and Hydrogen Projects could provide critically important CCS and hydrogen infrastructure, helping industries and homes across Scotland and the UK to decarbonise. It is anticipated to be operational in the mid-2020s, providing a clear pathway to help Scotland and the UK to meet their net zero targets. Using CO2 from the St Fergus gas terminal in Aberdeenshire, from Scotland’s carbon intensive industries and imported COfrom the rest of the UK and Europe into Peterhead Port, Acorn is expected to be storing at least 5Mt/yr of CO₂ by 2030, half the CO2 emissions set out in the UK Government’s Ten Point Plan for a green Industrial Revolution by 2030.

The Acorn Project has a broader role to play in decarbonising the energy system, taking North Sea natural gas and reforming it into clean-burning hydrogen, with the associated CO2 emissions safely captured and stored under the sea at the licensed Acorn CO2 Storage Site. This could be operational by the middle of the decade, supporting industrial, power, mobility and domestic customers in North East Scotland and beyond through transportation within the natural gas system.

Nick Cooper, CEO of Storegga said:

‘Safely and securely managing and removing the emissions of industry and society is our core business, this agreement cements our relationship with our industry partners, Shell and Harbour Energy, and allows us to look forward with confidence to the next few years as we race to tackle climate change in a way that’s sustainable, cost efficient and deliverable.’

Commenting on the agreement, Steve Phimister, Shell UK’s Upstream Director, said:

‘Shell will seek to have access to an additional 25 million tonnes a year of carbon capture and storage (CCS) capacity by 2035. We have large scale projects being developed in Australia and Norway, and a facility in Canada already capturing 1 million tonnes per year. But to reach net zero the world needs much more CCS capacity. The Acorn project is an exciting vision for how we could help deliver that for Scotland and the UK.’

Phil Kirk, Harbour Energy’s Group President and CEO Europe, said:

‘Investing in carbon capture and storage initiatives is part of Harbour Energy’s commitment to a low carbon future and attaining our operational goal of Net Zero by 2035. We are delighted to continue working in partnership with Pale Blue Dot Energy and Shell on what is an important catalyst project for supporting decarbonisation of this region.’

Notes to Editors

Acorn Project

For more about the Acorn Project visit: www.theacornproject.uk

Storegga

Storegga exists to pioneer carbon reduction and removal projects for the net zero world. It aims to champion and deliver CCS, hydrogen, and other subsurface renewable projects in the UK and internationally to accelerate carbon emission reductions. Through its wholly owned subsidiary Pale Blue Dot Energy, Storegga is the lead developer of the Acorn Project in North East Scotland, providing essential infrastructure to help the UK and Europe meet net zero targets.

For more info on Storegga, Pale Blue Dot or Acorn contact storegga_media@camarco.co.uk or +44(0)203 757 4980

Shell

Learn more about Shell’s experience in CCS at:

https://www.shell.com/energy-and-innovation/carbon-capture-and-storage-projects.html

For more information on Shell’s involvement, please contact +44(0)207 934 5550

Harbour Energy

Brunswick Group

Patrick Handley / Tel: +44(0)7974 982395

Will Medvei / Tel: +44(0)7823 527148

Scotland’s net zero infrastructure receives major boost

Scotland took a step closer to its net zero carbon goals today [17th March 2021] with the announcement of over £30m of UK Government funding for a suite of initiatives linked to the Acorn carbon capture and storage (CCS) project.

The industry match funded initiative, called Scotland’s Net Zero Infrastructure (SNZI) programme, brings together academic and industrial partners to develop a major package of work designed to progress a national low carbon infrastructure. 

They include: 

  • The detailed engineering required to move the Acorn CCS and Hydrogen projects to a final investment decision
  • Developing a new CCS-equipped power station at Peterhead which would become an early customer for the Acorn infrastructure
  • An assessment of the potential to re-use onshore pipelines to transport CO2 from the central belt of Scotland to the Acorn Project
  • An engineering design programme for a carbon capture system on a gas-fired power station in Grangemouth
  • Development of a “fabrication yard ready” design of a new class of ship which can service the needs of coastal CO2 emitters around the UK for delivery at Peterhead port

This important programme of new work and infrastructure reuse will provide a significant boost to the region’s fast-growing low carbon credentials, paving the way for onshore and offshore developments totalling in excess of £3 billion.  It will also map out the longer-term economic impacts, job preservation and creation opportunities as Scotland transitions away from oil and gas to low carbon fuels like hydrogen and CO2 removal technologies such as CCS.

The SNZI programme compliments work that is already underway on Scotland’s Net Zero Roadmap project. This funding will help enable the Acorn Project to be operational in the mid-2020s – a critical timeline to meet the UK’s ambitious net zero targets. 

Notes to Editors:  

The UK Government award is being made as part of Innovate UK’s Industrial Strategy Challenge Fund which is focussed on providing money to kick start clean growth projects. [Link to press release]. 

Net zero targets are goals set by Government to completely remove the amount of greenhouse gases produced. It is achievable by both reducing emissions and implementing methods of removing carbon dioxide from the atmosphere. Both the Scottish and UK Governments have made legally binding commitments to reach Net Zero by 2045 and 2050 respectively.

Pale Blue Dot is a Storegga Group company and the lead project developer of the Acorn Project alongside Shell and Chrysaor. Pale Blue Dot will project manage this Scottish Net Zero Infrastructure (SNZI) initiative with industry and academic partners delivering the following specific programmes of work:

  • SSE Thermal is developing a comprehensive decarbonisation programme for Peterhead Power Station
  • National Grid is exploring the potential repurposing of onshore gas pipelines to transport CO2  
  • Petrofac will support offshore pipeline and sub-sea activities to develop the Acorn CCS project
  • LNG9/GB-Tron will be undertaking an engineering design programme for carbon capture technology on a gas power station at Grangemouth 
  • The University of Strathclyde’s Centre for Energy Policy, will investigate the wider economy impacts and opportunities that a CO2 management industry presents for Scotland.
  • NECCUS, the body which brings together more than 40 organisations to bring down CO2 emissions, will provide a key link to other work in Scotland, including the ISCF Cluster Plan and Scotland’s Net Zero Roadmap (SNZR).

For more information about the Acorn Project, please visit: www.theacornproject.uk.

Pale Blue Dot to help Scottish drinks industry make the transformation to clean energy

A state-of-the-art hydrogen hub in Cromarty Firth could see Scotland leading the way in a new energy technology designed to decarbonise distilleries.

The plans, drawn up by drinks giants Glenmorangie, Whyte and Mackay and Diageo alongside energy provider ScottishPower and the Port of Cromarty Firth will explore whether hydrogen, created from renewable electricity could heat their malt processing plants.

If given the green light after a four-month feasibility study, which is led by low-carbon energy specialists Pale Blue Dot (a Storegga Group Company), the scheme would enable the creation of new jobs in the region and put the Highlands at the heart of the country’s ambition to achieve net zero carbon emissions by 2045.

In the long term, the programme is designed to reduce carbon emissions from other Scottish industrial and transport sectors. The developers argue that the region is uniquely well placed to manufacture clean – so-called green hydrogen – because of its ready access to low carbon electricity from offshore wind. In time it could mean ‘Highland hydrogen’ could be exported to the rest of the UK and mainland Europe.

Sam Gomersall, Pale Blue Dot’s hydrogen lead said, ‘The region could be a global leader in this technology bringing huge benefits to the economy. With the planned new offshore wind sites due to be developed in the coming years on the doorstep of the Cromarty Firth there’s almost nowhere better to be developing the hydrogen economy.’

Notes to editors

Green hydrogen is created using electrolysers powered by electricity from renewable sources. Power would be supplied from current and future wind farms off the coast of the Cromarty Firth, as well as onshore schemes, and fed to the hub.

Net Zero targets are goals set by Government to completely remove the amount of greenhouse gases produced by mankind, to be achieved by reducing emissions and implementing methods of absorbing carbon dioxide from the atmosphere. Global net emissions of carbon dioxide will need to fall to net zero by 2050, 2045 targets have been set in the UK.

Project partners include ScottishPower, Glenmorangie, Whyte and Mackay and Diageo, The Port of Cromarty Firth and Pale Blue Dot Energy who are also leading the project.

For more information about Pale Blue Dot Energy, the leaders in a UK carbon reduction project, please visit the website: www.pale-blu.com.

For media queries please contact Max Prangnell: max.prangnell@pale-blu.com.

Image Credit: The Port of Cromarty Firth

Storegga attracts investment from GIC, Mitsui & Co., Ltd. and Macquarie

Storegga, an independent UK company pioneering carbon reduction and  removal for a net zero world, is pleased to announce that GIC, Singapore’s sovereign wealth fund and  Mitsui & Co. Ltd., a global trading and investment company, have become new investors in the  Company, alongside a further investment from the cornerstone investor, Macquarie. 

Storegga has the emerging asset base and the financial backing to become the UK’s leading  independent carbon reduction and removal company. Global interest in the UK’s confirmed commitment  to rapidly delivering CCS and the emission reduction technologies that it enables, has increased markedly over the last 12 months. Storegga aims to be at the forefront of the UK’s world-leading CCS  and decarbonisation ambitions, and to help build a world leading skills base for export and application  across the globe.  

Through its wholly owned subsidiary, Pale Blue Dot, Storegga is the lead developer of the Acorn CCS  and Hydrogen Project (“The Acorn Project”) based at St. Fergus, North East Scotland. The Acorn  Project is designated a European Project of Common Interest, providing essential infrastructure to help  both the UK and Europe meet net zero targets. It is expected to be operational in the mid-2020s and  has the potential to store at least half of the 10Mt/yr of CO2 storage targetted by the UK Government’s  Ten Point Plan for a green Industrial Revolution by 2030. The Acorn Project is highly scaleable and  overall has the potential to store 20Mt/yr or more of CO2 emissions by the mid 2030’s, in a region that  has been traditionally the home to a large proportion of the UK’s world leading oil and gas skills base. 

This major CO2 transportation and storage hub will be the enabler of a host of decarbonisation  opportunities including CO2 imports from across the UK and North West Europe to Peterhead’s deepwater port, a possible repurposing of pipeline infrastructure to support the decarbonisation of Scotland’s industrial central belt, large scale hydrogen generation and negative emission technologies  including Direct Air Capture (“DAC”). 

The funds raised today will be used to progress Storegga’s funding of some of the wider aspects of the  Acorn Project, Storegga’s plans for a UK based DAC facility, and support ongoing business  development activities by the Company. 

Along with these new investments, Storegga and Mitsui have entered into a non-exclusive agreement to initiate and progress further CCS opportunities in Europe and in the Asia-Pacific region. With Mitsui’s  strong presence in the Asia-Pacific, this strategic cooperation will allow Storegga and Mitsui to pursue  opportunities in the region, which Storegga expects will soon start to rapidly adopt CCS technology to  meet the region’s climate commitments. 

Nick Cooper, Storegga CEO, commented:  

“We are delighted that GIC and Mitsui are joining Macquarie as investors in Storegga. We welcome  their vision and commitment to help deliver a net zero future. The UK is emerging as a world-leader 

in CCS and its associated low carbon technologies; today’s investment by these partners strengthens  our ability to build a world class CCS project and help the UK to pioneer this rapidly growing sector. “As a new, independent, company in this sector we bring a sharp commercial focus and ‘‘can do” attitude to our COreduction and removal businesses. Our purpose is to drive the transition to a low carbon, and then no carbon economy.” 

Erik Petersson, Senior Managing Director in Macquarie’s Commodities and Global Markets  group, said: 

“Storegga’s Acorn Project is on course to be one of the UK’s first large scale carbon sequestration  projects and, as a business that has been active in the country’s energy market for many years, we see  supporting businesses like Storegga as a key part of our own energy transition journey. “We are extremely excited to increase our support for this business and its projects, which we believe  could provide a unique economic opportunity for Scotland and the wider UK. We look forward to working  with two other world class investors, GIC and Mitsui & Co, to make Storegga the UK’s leading  independent carbon reduction and removal company.” 

Masaharu Okubo, Chief Operating Officer of the Energy Business Unit 1 Mitsui & Co said: “We will work closely with Storegga’s management team and help accelerate its vision and  commitment by using our extensive knowledge of the energy sector and strong global networks. Mitsui  believes providing low-carbon solutions to hard-to-abate industries such as energy will be critical in  achieving net-zero carbon targets. Through development of CCS projects globally, Mitsui will help  create an eco-friendly society.” 

For further information please contact: 

Camarco (PR and Media) 

Billy Clegg, Georgia Edmonds, Monique Perks 020 3757 4983 

Madano (Public Affairs) 

Andrew Turner 07702 962043 

Notes to Editors: 

Storegga Geotechnologies 

Storegga is an, independent, low-carbon project delivery business at the forefront of the global Net Zero  strategy. Through its wholly owned subsidiary, Pale Blue Dot, Storegga is the lead developer of the  Acorn Carbon Capture and Storage (“CCS”) and Hydrogen project, providing essential infrastructure to  help the UK meet its net zero targets.  

Storegga has partnered with leading engineering and technology groups at the forefront of their fields  to accelerate project activity. The Company has partnered with Carbon Engineering to develop Air  Capture (“DAC”) in the UK,  

Storegga Geotechnologies: (https://www.storegga.earth/

For more information on the Acorn CCS and Hydrogen Project, please visit: About Acorn – Acorn CCS (theacornproject.uk)

GIC 

GIC is a leading global investment firm established in 1981 to manage Singapore’s foreign reserves. 

As a disciplined long-term value investor, GIC is uniquely positioned for investments across a wide  range of asset classes, including equities, fixed income, private equity, real estate, and infrastructure.  Headquartered in Singapore, GIC has investments in over 40 countries and employs over 1,700  people across 10 offices in key financial cities worldwide.  

For more information on GIC, please visit http://www.gic.com.sg/ or LinkedIn Mitsui 

Mitsui & Co., Ltd (8031: JP) is a global trading and investment company with a diversified business  portfolio that spans approximately 65 countries in Asia, Europe, North, Central & South America, the  Middle East, Africa and Oceania. 

Mitsui has over 5,600 employees and deploys talent around the globe to identify, develop, and grow  businesses in collaboration with a global network of trusted partners. Mitsui has built a strong and  diverse core business portfolio covering the Mineral and Metal Resources, Energy, Machinery and  Infrastructure, and Chemicals industries.  

Leveraging its strengths, Mitsui has further diversified beyond its core profit pillars to create  multifaceted value in new areas, including innovative Energy Solutions, Healthcare & Nutrition and  through a strategic focus on high-growth Asian markets. This strategy aims to derive growth  opportunities by harnessing some of the world’s main mega-trends: sustainability, health & wellness,  digitalization and the growing power of the consumer.  

Mitsui has a long heritage in Asia, where it has established a diverse and strategic portfolio of  businesses and partners that gives it a strong differentiating edge, provides exceptional access for all  global partners to the world’s fastest growing region and strengthens its international portfolio

For more information on Mitsui Corporation, please visit www.mitsui.com

Macquarie 

Macquarie Group Limited (Macquarie) is a diversified financial group providing clients with asset  management and finance, banking, advisory and risk and capital solutions across debt, equity and  commodities. Founded in 1969, Macquarie employs over 16,300 people globally. Macquarie’s assets  under management (AUM) at 30 September 2020 were $A556.3 billion.  

Macquarie is a global leader in environmental products and the energy transition more generally. It  was recently awarded a number of awards at the Energy Risk Awards, including 2020 Environmental  Products Bank of the Year, 2020 Oil & Products and Derivatives House of the Year and the 2019  Natural Gas/LNG House of the Year. Macquarie is active in both voluntary and compliance carbon  markets globally and continues to innovate in the delivery of environmental commodities products and  markets. 

For more information on Macquarie Group, please visit www.macquarie.com/uk/en

Acorn wins prestigious award

Pale Blue Dot’s carbon capture and storage project, Acorn, has been voted Transition Economist project of 2020, by industry analysts PE Media Network. The award celebrates the leading lights and most important playmakers from across the global energy sector in the last year.

Acorn was credited for its CCS project based on the North East coast of Scotland. It attracted 54% of a public vote for the new category which recognises the company that has done most to help the transition away from fossil fuels to low carbon energy.

Alan James, Pale Blue Dot’s Managing Director said,  “It’s great for the whole team to be recognised for the hard work they do every-day to ensure we are capturing carbon and tackling climate change by the mid 2020s.”