TotalEnergies, along with partners Equinor and Shell, has reached the final investment decision (FID) for the second phase of the Northern Lights Carbon Capture and Storage (CCS) project in Norway.
This phase will enhance the project’s transport and storage capacity from 1.5 million tonnes (mt) to more than 5mt of CO₂ per year by 2028.
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The first phase of Northern Lights is complete and set to receive CO₂ from industrial emitters.
Operations are set to commence this summer, with the initial CO₂ shipment from Heidelberg Materials’ cement factory in Brevik, Norway.
The CO₂ will be injected and permanently stored in a reservoir 2,600m below the seabed off Øygarden, western Norway.
TotalEnergies president exploration & production Nicolas Terraz: “I am delighted of the launch of Northern Lights phase 2, which represents a significant step forward for the CCS industry.
“Northern Lights can thus provide a concrete solution for the hard-to-abate industrial emitters in Europe, so that they can reduce their CO₂ emissions and thereby secure their businesses’ sustainability.”
The second phase entails an investment of Nkr7.5bn (nearly $700m), leveraging existing onshore and offshore infrastructures.
This expansion includes new onshore storage tanks, pumps, a jetty, injection wells and transport vessels, all due for completion by the second half of 2028.
This FID follows a 15-year commercial agreement between Northern Lights and Swedish district energy provider Stockholm Exergi.
The agreement involves the cross-border transport and storage of 900,000 tonnes of biogenic CO₂ emissions annually, starting in 2028.
Northern Lights JV managing director Tim Heijn said: “The decision to expand our CO₂ transport and storage services represents the next step in building a commercially viable CCS market in Europe. It confirms Northern Lights’ commitment to offer an effective solution for companies to reduce emissions.
“The investment decision is an important milestone for our company, our customers and industry partners, governments and regulators. We have jointly been working hard to establish the CCS chain and make a real difference enabling Europe to achieve climate targets.”
Stockholm Exergi is the fifth company to partner with Northern Lights for CO₂ transport and storage.
Northern Lights is also in advanced discussions with several large European industrial customers to market the remaining storage capacity.
These developments underscore the project’s pivotal role in advancing CCS solutions across Europe.
