First UK Commercial Carbon Capture Facility Moves Ahead

3rd February 2025

In early 2024, we reported on plans for the UK’s first commercial carbon capture, usage, and storage (CCUS) facility in the North East. Now, one of these groundbreaking projects has secured financial approval, paving the way for construction to begin in mid-2025. The Net Zero Teesside Power (NZT Power) project, a 742-MW gas-fired power plant with integrated carbon capture and storage (CCS), is set to become one of the world’s first commercial-scale facilities of its kind. Captured CO2 emissions will be transported and permanently stored beneath the North Sea.

The consortium behind this transformative initiative includes Technip Energies, GE Vernova, Balfour Beatty Group, and Shell Catalysts & Technologies. Project ownership lies with NZT Power, a joint venture comprising bp and Equinor (each holding a 45% share) and TotalEnergies (10%). Together, these companies also form the Northern Endurance Partnership (NEP), tasked with developing the CO₂ transportation and storage infrastructure.

Key Features of the Project

• Flexible Low-Carbon Power: The plant will produce up to 742 MW of dispatchable, low-carbon electricity enough to meet the annual needs of more than 1 million UK homes.
• Carbon Capture Goals: The facility will capture 2 million tonnes of CO₂ annually, significantly contributing to the UK’s net-zero targets.
• Economic Impact: Construction is expected to create over 3,000 jobs, with around 1,000 permanent jobs required annually during operations through 2050.
• Decarbonisation Hub: The plant will act as a central node for other Teesside industries to share CO₂ transportation and storage infrastructure.

Government Support and Future Prospects
The UK government has set a target to capture and store 20 million tonnes of CO₂ annually by 2030 as part of its clean energy transition. The London School of Economics and Political Science notes that this project aligns with national efforts to reinvigorate industrial regions like Teesside. Prime Minister Keir Starmer commented: "Backing the carbon capture industry will help reignite industrial heartlands and drive investment in communities like Teesside. This investment reflects a commitment to the industries of the future."

Timeline and Milestones

• March 2023: NZT Power was included in the Track 1 Project Negotiation List by the Department for Energy Security and Net Zero (DESNZ).
• December 2024: Financial close was achieved.
• Mid-2025: Construction is scheduled to commence.
• 2028: Facility start-up, supporting the government’s Clean Power 2030 ambition.

A Major Step Toward Net Zero
The Net Zero Teesside Power project is poised to become a landmark in the UK’s journey toward decarbonisation. By delivering clean energy and supporting local industries, this initiative represents a vital step in meeting national climate goals while driving economic regeneration in the North East. Carbon Capture and Storage (CCS) could be key in the reduction in Carbon Dioxide (CO2) from industrial processes and our full offering is found on our website at https://www.protea.ltd.uk/carbon-capture-and-storage-ccs

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