Orlen has received approval for funding from the European Union aimed at a project involving the storage of CO2 under the North Sea, though this does not guarantee that the investment will proceed. A final decision regarding the project is expected in 2028. If approved by stakeholders, Atlas will be able to provide services to European industrial facilities that struggle to eliminate emissions using existing technologies.
Many companies face the choice between incurring emissions costs or scaling back production. The project will utilize the EXL011 license located in the Norwegian section of the North Sea, in which Aker BP holds an 80% stake and acts as the operator, while Orlen Upstream Norway controls the remaining 20%. Both companies are responsible for the infrastructure necessary for the injection and permanent storage of carbon dioxide in geological formations situated approximately 2,000 meters beneath the sea floor.
Transport of the captured CO2 will be managed by Hoegh Evi. The CO2 will be liquefied and transported to the storage site by specialized vessels, allowing for direct injection from the transport units, thereby eliminating the need for the construction and maintenance of surface platforms designed for CO2 reception. This approach is expected to reduce both the initial investment costs and the ongoing expenses associated with operating the storage facility.
The initial capacity of the facility is projected at 6 million tons of CO2 per year, with geological conditions permitting an increase to at least 10 million tons. Modular installations will facilitate the scaling of the project, which will depend on the interest from potential clients.
The approval of Orlen’s project highlights the significant competition for EU funding, with the European Commission selecting 77 projects from 358 applications. The total funding pool amounted to €3.4 billion, while applicants sought a combined €17.5 billion. The EU Innovation Fund is one of the world’s largest financing programs, primarily focused on supporting decarbonization and the implementation of low-emission technologies to assist Europe in achieving climate neutrality by 2050.
This program emphasizes the commercialization of groundbreaking industrial solutions, assisting them in transitioning from research phases to market implementation. The fund’s financial resources originate from the sale of greenhouse gas emission allowances under the EU emissions trading system, contributing to an estimated budget of around €50 billion for the period from 2021 to 2030. Funding primarily targets projects related to renewable energy sources, energy storage, hydrogen technologies, carbon capture and storage (CCS/CCU), and energy-intensive industrial sectors.
