On 9 January, the Danish Energy Agency, an agency of the Danish Ministry of Transport, launched its fourth tender, inviting applications for exploration and CO2 storage in three areas off the northwest coast of Denmark. According to Denmark’s geological survey, these blocks in the Danish North Sea are geologically “particularly suitable for storing CO2.” The application deadline is set for 6 March.
The Danish government issues permits in two phases: an exploration phase and a storage phase. If developers are granted an exploration permit, they have up to six years to investigate and assess the area’s suitability and CO2 storage capacity. Following this, they can apply for a storage permit for up to 30 years. The Danish state holds a 20% stake in all exploration and storage permits.
In February 2023, Denmark awarded three CO2 exploration permits, with three additional permits granted in June of the previous year. UK company INEOS Energy Denmark decided to invest on for the first phase of the Greensand CO2 storage project in December.
On 10 January, the first full-scale carbon storage in the EU will become a reality, a critical step in mitigating climate change, by achieving the storage volumes necessary to support Danish and European climate targets.
“Greensand Carbon Storage is a far better way to decarbonise Europe than deindustrialise. That just moves the problem elsewhere, doesn’t solve it, and destroys jobs. Our Investment in Greensand helps secure a sustainable future for both the planet and the economy,” Sir Jim Ratcliffe, Chairman of INEOS, said.
Carbon capture and storage (CCS) industry is gradually developing, particularly in northern Europe. The region benefits from geological advantages, such as declining oil and gas fields and government funding from countries including Denmark and Norway.
