Subsea7 Secures Major Contract for CO2 Project
Oslo-listed Subsea7 has been awarded a significant contract by Equinor, valued between $50 million and $150 million, for the second phase of the Northern Lights CO2 transport and storage initiative off the coast of Norway. This project aims to enhance the capacity for carbon dioxide storage and transport, marking a crucial step in the fight against climate change.
Details of the Contract and Project Scope
Under this contract, Subsea7 will handle the engineering, procurement, construction, and installation of a five-kilometre CO2 pipeline. The company will also oversee the installation of integrated satellite structures, umbilicals, tie-in, and pre-commissioning activities. The fabrication of the pipeline is set to take place at Subsea7’s spoolbase in Vigra, Norway, with offshore operations scheduled for 2026 and 2027.
The Northern Lights project is a collaborative effort involving energy leaders Equinor, Shell, and TotalEnergies. The first phase of the project has already been completed and is prepared to receive CO2 from various industrial emitters across Norway and Europe. Operations are expected to commence this summer, starting with CO2 transport and storage from Heidelberg Materials’ cement factory in Brevik, as part of Norway’s Longship initiative.
Recently, the three companies made a substantial investment decision of $717 million to expand the project’s capacity. This expansion follows a commercial agreement with Stockholm Exergi, a Swedish energy provider, to facilitate the cross-border transport and storage of up to 900,000 tonnes of biogenic CO2 annually. The second phase of the Northern Lights project aims to boost the transport and storage capacity from 1.5 million to a minimum of 5 million tonnes of CO2 per year.
Infrastructure Expansion and Future Plans
The upcoming infrastructure enhancements will include additional onshore storage tanks, pumps, a new jetty, injection wells, and an increased number of CO2 carriers. These developments are crucial for accommodating the anticipated rise in CO2 transport and storage needs. The expansion is projected to be completed and operational by the second half of 2028, further solidifying the Northern Lights project as a key player in carbon management efforts in Europe.
This initiative not only represents a significant investment in sustainable technology but also underscores the commitment of Equinor, Shell, and TotalEnergies to address climate change through innovative solutions. As the world increasingly focuses on reducing carbon emissions, projects like Northern Lights are essential for achieving long-term environmental goals.
