France’s CO2 storage deal with Norway paving the way for common European CCS market

Ministers of Norway and France have signed an agreement enabling cross-border transport and storage of CO2.

Facilitating the transport of CO2 from French industrial emission sources to Norway for storage beneath the North Sea seabed, the administrative arrangement is seen as an important step toward establishing a common European market for carbon capture and storage (CCS).

“This arrangement is a breakthrough for European climate cooperation. It demonstrates how we can work together to find practical solutions for cutting emissions and securing the future of industry in a low-carbon society,” said Norway’s Minister of Energy, Terje Aasland.

The agreement enables CO2 from French industrial hubs such as Le Havre, Dunkirk, and Saint-Nazaire to be transported to sites on the Norwegian Continental Shelf (NCS), where it will be permanently stored. It was signed by Aasland and France’s Minister of Economy and Finance, Éric Lombard, in Oslo on June 23.

Recognizing the importance of ensuring consistent reporting of CO2 emissions related to CCS operations, including cross-border transportation for storage covered by the deal, the duo undertook to report their greenhouse gas inventories on cross-border CCS operations and related CO2 emissions as part of the agreement.

Norway’s Ministry of Energy has awarded 12 exploration licenses and one exploitation license (held by Northern Lights) for CO2 storage on the NCS. One additional exploration license has also been offered.

Equinor was recently offered an exploration license for CO2 storage in the North Sea. This marked the eighth time acreage has been awarded for this purpose on the NCS.

Equinor is also one of the partners in the Northern Lights joint venture (JV). The firm and its partners, Shell and TotalEnergies, recently received approval from the Norwegian Ministry of Energy to expand their CO2 transport and storage development project.