Major Construction Contracts Awarded for UK’s First Gas-Fired CCS Project

A consortium of leading engineering firms, including Costain and Wood, has secured significant contracts to construct a groundbreaking carbon capture, utilization, and storage (CCUS) project in Teesside, UK.

The £4 billion project, led by Net Zero Teesside Power (NZT), a joint venture between bp and Equinor, will involve building a 742 MW gas-fired power plant equipped with carbon capture technology. The captured carbon dioxide will be transported and stored offshore in the North Sea.

Construction is expected to commence in mid-2025, creating thousands of jobs during the construction and operational phases. The project is set to be operational in 2028, marking a significant milestone in the UK’s efforts to decarbonize its energy sector.

The project’s success hinges on the collaboration of several key players, including Technip Energies, GE Vernova, TechnipFMC, and Genesis. These companies will contribute their expertise in various aspects of the project, from power generation and carbon capture to offshore storage.

The UK government’s investment of £21.7 billion in CCS clusters, including Teesside and Merseyside, has provided crucial support for this project. By prioritizing the development of low-carbon technologies, the government aims to position the UK as a global leader in the fight against climate change.

The Net Zero Teesside project is a pioneering initiative that could pave the way for the widespread adoption of CCS technology in the power and industrial sectors. By demonstrating the feasibility and commercial viability of carbon capture, this project will contribute to a more sustainable future.