- Net Zero Teesside Power and Northern Endurance Partnership joint ventures choose Costain to manage onshore CO2 gathering systems for the East Coast Cluster
- Project is set to be one of the world’s first commercial scale gas-fired power stations with carbon capture
- Scheme could power the equivalent of 1.3m UK homes, with up to 2m tonnes of CO2 captured each year
Costain, the UK infrastructure business, has been selected by Net Zero Teesside Power (NZT Power) and the Northern Endurance Partnership (NEP) as one of nine specialist partners for a landmark carbon capture scheme with a combined value of around £4bn. NZT Power and NEP are joint ventures involving the global energy leader, bp.
Costain’s involvement with NZT Power, NEP and their partners is to oversee and manage the engineering procurement and construction of the onshore CO2 gathering system and associated utilities serving the East Coast Cluster.
Costain is a recognised leader in energy infrastructure and in shaping energy transition solutions through its leading process design and programme management expertise. It has been involved in carbon capture projects since the 1960s and recently completed the front-end engineering design (FEED) for important elements of the landmark Teesside decarbonisation project.
Sam White, managing director for natural resources at Costain, added: 'This award is a testament to Costain’s position as a leading infrastructure solutions provider for the UK’s energy transition goals. Having completed delivery of the FEED stage, we continue to support bp as it progresses the wider decarbonisation of the local energy supply and pursues innovative carbon capture and storage solutions.
'We are committed to improving critical infrastructure in the North-East of England and we are creating jobs and developing skills across the region. This includes delivering major upgrades to the region’s highways, as well as our recent AMP8 award with Northumbrian Water Group to upgrade both its wastewater and water treatment infrastructure that will improve people’s lives while safeguarding the environment.'
NZT Power, a joint venture between bp and Equinor, could generate up to 860 megawatts of flexible, low-carbon power equivalent to the average electricity requirements of around 1.3m UK homes. Up to 2m tonnes of CO2 per year would be captured at the plant, and then transported and securely stored by the NEP in subsea storage sites beneath the North Sea.
NEP, a joint venture between bp, Equinor, and TotalEnergies, is the CO2 transportation and storage provider for the East Coast Cluster (ECC). The Teesside onshore NEP infrastructure would serve the Teesside-based carbon capture projects – NZT Power, H2Teesside and Teesside Hydrogen CO2 Capture – that were selected for first connection to the ECC by DESNZ in March 2023 as part of the UK’s cluster sequencing process for carbon capture usage and storage (CCUS). It is anticipated that around 4m tonnes of CO2 per year from these projects would be transported and stored from 2027.
Laura Hughes, energy sector director at Costain, commented: 'This is a transformational project that will have an enormously positive impact on the region. The successful delivery of the project will require a tremendous team effort, and we are looking forward to contributing our unique expertise in engineering and delivery. Teesside will gain an outstanding, integrated decarbonisation system, with the East Coast Cluster set to be the pioneer as schemes are rolled out across the UK.'
Ian Hunter, managing director Net Zero Teesside Power, said: 'The selection of contractors is a major step forward for Net Zero Teesside Power. We have selected world-class partners who have the experience and capability needed to deliver. We aim to take final investment decision in September 2024 or before, after which we’d look forward to working with our EPC partners through the construction phase.'
Chris Daykin, general manager, Northern Endurance Partnership, said: 'The selection of contractors is a clear signal of momentum within the East Coast Cluster. The Northern Endurance Partnership’s CO2 pipelines are essential to connect carbon intensive projects to offshore storage and would play an important role in helping the region pursue its net zero plan.'
The contracts are all subject to the receipt of regulatory clearances and final investment decisions (FID) being taken in September 2024 or earlier. Following FID, the projects would be aiming for commercial operations from 2027.
Source: Costain
