Net Zero Teesside - East Coast Cluster graphic - carbon capture and storage CCUS

BP picks contractors for UK’s landmark carbon capture and storage cluster prize

Oil and gas major BP has selected two consortia of engineering, ‎carbon capture licensors, power providers, and EPC contractors to participate in a Front End Engineering Design (FEED) ‎competition to advance the development of one of the first decarbonised industrial ‎clusters in the UK and the world. The lucky winner to take the project forward into construction will be selected in 2023.

Net Zero Teesside - East Coast Cluster graphic; Source: BP

BP awarded the contracts as part of the dual FEED competition for the Net Zero Teesside Power project and the Northern Endurance ‎Partnership’s carbon compression infrastructure in Teesside. Both projects are operated by BP.

Investing in carbon capture, usage ‎and storage (CCUS) is a key point of the UK government’s 10-point plan for a green industrial ‎revolution and this award represents the next step towards the proposed development of the UK’s ‎first full-scale integrated power and carbon capture project.

As previously reported, the UK government in October 2021 selected the Northern Endurance Partnership’s East ‎Coast Cluster as one of the first two clusters to be taken forward as part of its CCUS cluster sequencing process. The other selected cluster is HyNet.

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The Northern Endurance partnership will provide the common infrastructure needed to transport CO2 from ‎emitters across the Humber and Teesside to secure offshore storage in the Endurance aquifer ‎in the Southern North Sea.‎

Following the award of FEED contracts, the two consortia will now design and submit development plans for NZT Power’s proposed ‎power station and carbon capture plant, and NEP’s planned Teesside high-pressure CO2 compression and export facilities.‎

FEED prize winners

The first group of contractors includes Technip Energies and General Electric consortium – led by Technip Energies and ‎including Shell as a subcontractor for the provision of the licensed Cansolv CO2 capture ‎technology and Balfour Beatty as the nominated construction partner.‎

The second group is a consortium between Aker Solutions, Doosan Babcock, and Siemens Energy, which is led by Aker Solutions ‎and includes Aker Carbon Capture as a subcontractor for the provision of the licensed ‎CO2 capture technology.‎

Over the next year, each group will deliver a comprehensive FEED package, led from their UK ‎offices. Once the FEED process has been completed, the two ‎groups will then submit Engineering, Procurement and Construction (EPC) proposals for ‎the execution phase. As part of the Final Investment Decision expected in 2023, a single ‎consortium will be selected to take the project forward into construction, BP said on Wednesday.

Louise Kingham, BP’s UK head of country and senior vice president of Europe, said: “This first-of-a-kind project has the ‎potential to deliver enough low carbon, flexible electricity to power around 1.3 million homes, ‎and can help secure Teesside’s position at the green heart of the country’s energy transition.”

NZT Power, a joint venture between BP and Equinor, is a full-scale gas fired-power station fully ‎integrated with carbon capture. The project is expected to provide flexible, dispatchable low ‎carbon electricity to complement the growing deployment of intermittent forms of renewable ‎energy such as wind and solar.

Net Zero Teesside - carbon capture
Source: Net Zero Teesside

The contracts also include FEED for NEP’s Teesside facilities that will gather and compress ‎CO2 from NZT Power and other regional sources and export it offshore for permanent sub-‎surface storage in the Endurance carbon store. NEP will also take CO2 captured from a range ‎of projects in the Humber region as part of the East Coast Cluster. The Northern Endurance ‎Partnership is a joint venture between BP, Equinor, National Grid Ventures, Shell, and ‎TotalEnergies.

According to BP, the East Coast Cluster has the ‎potential to transport and store nearly 50 per cent of all UK industrial cluster CO2 emissions, which is up to 27 million tonnes of CO2 emissions a year by 2035. In addition, it anticipates creating and ‎supporting an average of 25,000 jobs over 2023 to 2050, with approximately 41,000 jobs at ‎the project’s peak in 2026.

The Northern Endurance Partnership-led East Coast Cluster was in October named as a Track-1 ‎cluster in the first phase of the sequencing process and now NZT Power expects to submit a bid in January 2022 for selection as part of the phase-2 of the ‎UK government’s CCUS cluster sequencing process.

Ewan Drummond, BP’s senior vice president, projects, said: “The signing of the dual FEED ‎contracts today is the culmination of an extensive market engagement process over the ‎past 18 months, and we are excited to be working with the selected Aker and Technip UK-‎led consortiums.”

Arnaud Pieton, CEO of Technip Energies, emphasised that this project perfectly illustrates that cross-industries collaboration is ‎central to reaching net-zero targets.