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FEED contract and funding awarded to the Peterhead CCS Project

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The British Secretary of State signed an agreement with Shell UK Ltd this week to move forward with the Front End Engineering and Design (FEED) work on the Peterhead CCS Project in the UK.

The Peterhead CCS Project, which will capture CO2 from an existing gas plant, was one of two preferred bidders for the UK Government's £1 billion CCS Commercialisation Programme. The contract is similar to the one the government signed with the White Rose CCS Project in December last year.

- This is a beam of light on the present picture of CCS in Europe. Bringing Peterhead significant steps forward through this secured funding for the FEED phase, means to bring CCS forward in Europe and EU, says Camilla Svendsen Skriung, policy advisor for CCS in ZERO.

- The fact that this is a full-scale CCS project that will mitigate emissions of CO2 from a gas power plant is very important for the development of CCS related to gas. This confirms the need and possibility for CCS to be part of the EU 2030 Framework for Energy and Climate given long term and effective policy instruments ensuring further implementation of full-scale CCS, she continues.

The full-scale CCS project will capture from a 340MW gas turbine unit. The CO2 will be transported via underground pipelines to a depleted gas reservoir in the North Sea. The project’s main developer, Scottish and Southern Energy, say Peterhead represents the best site for CCS in the UK, and the project is one step closer to completion after the new agreement has been signed.



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