The UK Oil and Gas Authority (OGA) has awarded a carbon dioxide (CO2) appraisal and storage licence to Eni.

The carbon storage licence will cover an area located within the Liverpool Bay area of the East Irish Sea.

Under the licence, Eni plans to reuse and repurpose depleted hydrocarbon reservoirs (the Hamilton, Hamilton North and Lennox fields) and associated infrastructure to permanently store CO2 captured in North West England and North Wales.

Eni said it aims to be part of a collaborative effort with industrial companies to capture and transport CO2 from existing industries and future hydrogen production sites for fuel switching, heating, power and transportation in the context of UK targets for net zero emissions by 2050.

Eni expects the project to benefit local communities by creating new jobs and assist to develop the economy of the area whilst providing a tangible pathway to energy transition and decarbonisation.

Dr Andy Samuel, chief executive of the OGA, said: “The Energy Integration work we’ve been leading shows that the combination of various energy systems, including carbon capture and hydrogen, can make a significant contribution to the UK’s net zero 2050 target.

“HyNet is an exciting example of energy integration in action – re-using existing infrastructure and depleted reservoirs for significant carbon storage, coupled with hydrogen generation for a variety of innovative uses.”

Claudio Descalzi, Eni chief executive, also stated: “This is a vitally important project for Eni and represents a milestone for the 2050 Net Zero ambitions of the UK and a fundamental pillar for the strategy of energy transition and decarbonisation that Eni is strongly committed to.”

Eni has won a CS licence with a six-year ‘Appraisal Term’, allowing assessments and planning that may lead to a subsequent application to the OGA for a storage permit and the associated approvals required prior to any CO2 storage operations commencing.

This article is reproduced at www.offshore-energy.biz