The UK Approves Eni’s Carbon Storage Permits for HyNet CCS Project

The UK’s North Sea Transition Authority (NSTA) has issued three carbon storage permits to Italy’s oil & gas giant Eni for the HyNet carbon capture and storage (CCS) project in Liverpool Bay. This approval paves the way for the development of a 109 million tonne CO2 storage system over 25 years.

This latest approval comes on the heels of a permit issued by NSTA in December 2024 for the Endurance site in the Southern North Sea, marking significant progress in the UK’s carbon capture efforts.

HyNet Project Details

The HyNet permits cover CO2 transport and storage infrastructure for industrial emitters across north-west England and north Wales. The system will store CO2 in depleted oil and gas fields in the East Irish Sea, approximately 20 miles offshore from Liverpool.

Eni is now authorized to prepare for injecting up to 4.5 million tonnes of CO2 per year, with operations expected to commence as early as mid-2028. The permits were awarded alongside an economic license issued by the Department for Energy Security and Net Zero (DESNZ).

Positive Economic Impact

Eni’s HyNet project is projected to create 2,000 construction jobs and unlock £2 billion in supply chain contracts. The system will utilize over 90 miles of repurposed offshore and onshore pipelines to minimize costs and construction impact.

A new platform will be installed at the Douglas field to receive CO2 from the Point of Ayr gas terminal in Flintshire. The captured CO2 will then be transported to the Hamilton, Hamilton North, and Lennox reservoirs operated by Eni for permanent storage.

Government Support and Future Plans

The UK Energy Secretary, Ed Miliband, expressed enthusiasm for the project, highlighting the creation of a new clean energy industry in the country. With significant carbon storage potential in the North Sea, the UK aims to leverage this resource to bolster its energy security and create long-term economic benefits.

The NSTA emphasized the rigorous technical assessments conducted to ensure site integrity and mitigate potential leakage risks. The UK government’s commitment to supporting CCS projects like HyNet underscores the country’s dedication to achieving its net-zero targets.

Conclusion

The approval of Eni’s carbon storage permits for the HyNet CCS project signifies a major step forward in the UK’s efforts to combat climate change and transition to a low-carbon economy. With substantial economic benefits and job creation opportunities, projects like HyNet are instrumental in driving sustainable growth and energy security in the country.