The project plans to design and develop a full chain, post-combustion facility, which will capture CO2 from a 340MW gas turbine unit. The captured gas would then be transported via an existing underground pipeline to St Fergus for eventual storage in the Shell-operated depleted gas reservoir, Goldeneye, below the North Sea. SSE’s project partners include Shell and Petrofac subsidiary CO2DeepStore, who will provide the offshore transport and storage elements of the proposal.
The projects future are now a bit uncertain due to the fact that the UK Carbon Capture and Storage Demonstration Programme that was promoted by the Department of Energy and Climate Change (DECC), was cancelled to most stakeholders surprise November 2015.
In March 2013 the UK government announced that the project was one of two preferred bidders for the UK Government's £1 billion CCS Commercialisation Programme. The UK government undertook discussions with the bidders to agree terms by the summer 2013 for Front End Engineering Design studies, which would last approximately 18 months. In February 2014 Shell signed an agreement with the UK government to start FEED phase of the project.
SSE, the UK’s largest generator of electricity from non-nuclear sources, believes Peterhead represents the best site in the UK for a gas CCS project, given the existing infrastructure and storage options that can be exploited.
Peterhead, which is the largest power station in Scotland, was refitted with three new gas turbines in 2000 at an investment of £220 million. Plans for a different capture scheme here were shelved by supermajor BP in 2007 after government delays.
Feasibility, onshore pre-FEED and offshore FEED studies finished. First injection was planned for 2016.
The Peterhead CCS Project was the first to be granted an agreement for lease (AfL) by the UK's Crown Estate (owner of storage rights on the UK continental shelf) for the permanent geological storage of CO2. In September 2012, a report by Scottish Enterprise highlighted Peterhead Port's potential as a destination for captured CO2 from other parts of the UK and Europe, before its onward transport by pipeline to storage sites in the Central North Sea. Download the report here.
More information and press releases
Aberdeenshire Council urged to back CCS project, The Press and Journal, June 13, 2015
Shell signs agreement to advance major clean energy project at Peterhead, February 24, 2014