Horisont Energi and Neptune Energy have signed a Memorandum of Understanding with the international energy major E.ON with the aim to develop a European carbon capture and storage value chain.

The MoU covers several areas such as project financing, funding, and the development of a complete value chain for CO2 handling. If Horisont Energi´s and Neptune Energy´s application for CO2 storage for the Errai project is awarded, the intention is that this will be the first joint project.

Neptune Energy’s managing director in UK & Norway, Odin Estensen said: “A partnership with energy major E.ON will strengthen our ambition to establish Norway’s first commercial carbon storage project. This could be a key contributor to Neptune’s 2030 goal of storing more carbon than is emitted from our operations and from use of the oil and gas products we sell.”

Errai is the first commercial CO2 storage project in Norway and could have a major impact on the development of the carbon market in Europe. Errai could store 4-8 million tonnes of CO2 annually, with the potential to store more in later phases.