Environmental & Social Information • Nov 24, 2023
Environmental & Social Information
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Aker Carbon Capture awarded FEED for Hafslund Oslo Celsio's CCS project on their waste-to-energy plant at Klemetsrud in Norway
Aker Carbon Capture, together with Aker Solutions, has been awarded a full FEED
by Hafslund Oslo Celsio (Celsio), the largest supplier of district heating in
Norway, to develop carbon capture at their waste-to-energy facility at
Klemetsrud in Oslo, Norway. Through the FEED, Aker Carbon Capture, Aker
Solutions and Celsio have established a framework for an intention to execute an
engineering, procurement, construction, installation, and commissioning (EPCIC)
contract, subject to contract negotiations and final investment decision (FID).
The FEED award follows Celsio's cost reduction initiative for the Oslo CCS
project and will be delivered based on Aker Carbon Capture's modularized Just
Catch 400 unit, with a design capacity to capture up to 400,000 tonnes of CO2
per year. The waste incineration plant at Klemetsrud is the largest carbon
emitter in Oslo and is responsible for 17 % of the capital's fossil carbon
emissions. The Celsio CCS project is part of Longship, the Norwegian
Government's carbon capture and storage project, which will also include CO2
captured at Heidelberg Materials' cement plant in Brevik, where the carbon
capture plant is delivered by Aker Carbon Capture and Aker Solutions. The
awarded FEED is limited to the capture facility at the existing waste
incineration plant, and not including the intermediate storage and harbor
facility at a port to be decided.
"We are excited to support Celsio in realizing Norway's first waste-to-energy
plant with full-scale CCS. This will be an important contribution to the city of
Oslo's efforts to achieve its ambitious climate goals. Together, we have
developed a cost-efficient concept based on Aker Carbon Capture's standardized
and modular Just Catch 400 offering, validated by the ongoing delivery of seven
carbon capture units across Norway, Denmark, and the Netherlands," said Egil
Fagerland, Chief Executive Officer at Aker Carbon Capture.
"We are pleased to have Aker on board for the journey towards realization of our
carbon capture project. Today's announcement is a significant decision in our
extensive efforts to reduction costs, however there are several milestones that
needs be overcome before we aim for a new investment decision in the summer of
2024. We are depending on improved framework conditions and income potential
before the realization of CCS in Oslo. Without carbon capture on our emissions
at Klemetsrud, it will be impossible to reach Oslo's climate goal, to reduce the
emissions by 95 percent in 2030, compared to 2009-level," says Knut Inderhaug,
Managing Director at Hafslund Oslo Celsio.
"Aker Carbon Capture's proprietary technology was tested and verified through
our Mobile Test Unit at this waste incineration facility back in 2016. Since
then, we've been bringing down the cost curve for carbon capture through
continued testing, investments in product development, and the delivery of
standardized and modular Just Catch units, thereby enabling our customers to
efficiently realize their projects," said Fagerland.
"At Aker Solutions, we have three decades of experience in designing and
delivering large, complex, first-of-a-kind projects from the Sleipner CO2
storage platform in the 1990's to the current Northern Lights development off
the coast of Norway. With our strong engineering, procurement, construction, and
installation capabilities, we are proud to support Hafslund Oslo Celsio in
making this project a reality. The Celsio CCS development is of great importance
to further strengthen Norway's leading position in CCS and ensure the country's
ambitious climate goals are achieved," said Kjetel Digre, Chief Executive
Officer at Aker Solutions.
The Celsio carbon capture project has since April 2023 been through a cost
reduction phase after the previous project cost estimate exceeded the investment
budget. As part of the cost reduction phase, new vendors were brought in to
present alternative solutions that could lower costs. Aker Carbon Capture and
Aker Solutions participated in the process. On the basis of feasibility and
concept studies conducted, the two companies were selected to perform a FEED
based on Aker Carbon Capture's Just Catch 400 product, with the framework for a
possible EPCIC.
Celsio's waste-to-energy facility at Klemetsrud treats household waste, and
waste from industry and enterprises. The waste treated at the facility consists
of approximately 50 percent biogenic CO2, which creates the possibility to
deliver negative emissions. The carbon capture project can provide unique
learnings for the European waste-to-energy industry, which includes close to 20
facilities in Norway and around 500 similar facilities across Europe.
ENDS
Media contacts:
Aker Carbon Capture
Marianne Stigset, mob: +47 41 18 84 82 (http://tel:+47 41 18 84 82), email:
Aker Solutions
Rebecca Cox, email: [email protected]
Hafslund Oslo Celsio
Truls E. A. Jemtland, mob : +47 92 02 94 80 (http://tel:+47 92029480), email:
Investor contacts:
David Phillips, mob: +44 7710 568279 (http://tel:+44 7710 568279), email:
Aker Carbon Capture is a pure-play carbon capture company with solutions,
services and technologies serving a range of industries with carbon emissions,
including the cement, bio and waste-to-energy, gas-to-power and blue hydrogen
segments. Aker Carbon Capture's proprietary, carbon-capture technology offers a
unique, environmentally friendly solution for removing CO\2\ emissions.
Visit akercarboncapture.com (https://www.akercarboncapture.com/) and connect
with us on LinkedIn (https://www.linkedin.com/company/aker-carbon
-capture), Facebook (https://facebook.com/akercarboncapture),
Twitter (https://twitter.com/akercarbon),
Instagram (https://www.instagram.com/akercarboncapture/) and
YouTube (https://www.youtube.com/channel/UCqE71jAZxmM-CNhfUQq86kQ). This press
release may include forward-looking information or statements and is subject to
our disclaimer, see akercarboncapture.com (https://www.akercarboncapture.com/).
Aker Solutions delivers integrated solutions, products and services to the
global energy industry. The company enables low-carbon oil and gas production
and develops renewable solutions to meet future energy needs. By combining
innovative digital solutions and predictable project execution Aker Solutions
aims to accelerate the transition to sustainable energy production. Visit
akersolutions.com for more information.
Hafslund Oslo Celsio (Celsio) is the largest supplier of district heating in
Norway and supplied 36% of the district heating generated in Norway in 2021. It
sold 1.8 TWh of district heating and generated 0.1 TWh of electricity. Celsio's
waste-to-energy plant at Klemetsrud, Oslo, is Norway's largest with a capacity
to end-treat 350,000 tonnes of waste per year. The company is also expanding its
activities to district cooling and fiber networks. The company employs
approximately 230 people. Celsio is owned by a Norwegian investor consortium
comprising Hafslund (60%), Infranode (20%) and HitecVision (20%).
This information is considered to be inside information pursuant to the EU
Market Abuse Regulation, and is subject to the disclosure requirements pursuant
to Section 5-12 the Norwegian Securities Trading Act.
This stock exchange announcement was published by Katja Aanestad, Marketing
Communications, Aker Carbon Capture on 24 November 2023 at CET 17:05.
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