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TotalEnergies Announces Commercial Agreement Between Northern Lights And Yara

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TotalEnergies SE is a French multinational integrated energy and petroleum company, one of the seven supermajor oil companies.

TotalEnergies on Monday announced the signing of a commercial agreement between Northern Lights and Yara to transport and store COcaptured from Yara Sluiskil, an ammonia and fertilizer plant in the Netherlands. From early 2025, 800,000 tons of CO2 per year will be captured, compressed, and liquefied in the Netherlands and then transported to the Northern Lights site to be permanently stored in geological layers some 2,600 meters under the seabed off the coast of Øygarden, in Norway.

This agreement, the first of its kind worldwide, is a major milestone in the decarbonization of heavy industry in Europe, paving the way for international CO2 transport and storage as a service, the company said in a statement on its website.

It sets a new standard for European industrial companies looking to use Northern Lights solutions as part of their decarbonization strategies.

“Developing CO2 transportation and storage services is crucial for decarbonizing European industry: we are pleased to welcome Yara as first commercial partner for Northern Lights, which will help support its decarbonization strategy,” the Chairman and Chief Executive Officer of TotalEnergies, Patrick Pouyanné said.

“TotalEnergies aims to develop a CO2 storage capacity of more than 10 million tons per year by 2030, both for its own facilities and for its customers, in line with its ambition to get to net zero by 2050, together with society.”

Also commenting, Northern Lights Managing Director, Børre Jacobsen said; “Yara, our first commercial customer, will fill the available capacity of Northern Lights Phase 1. This agreement will establish a market for CO2 transport and storage. From early 2025, we will be shipping the first tons of CO2 from the Netherlands to Norway. This will demonstrate that CCS is a climate tool for Europe.”

“We urgently need to take action to decarbonize industry, and Yara is a frontrunner in the field. I am very pleased to announce that we are now on our way to removing CO2 emissions from our production plant in Sluiskil.

“This will take us a step closer to carbon-free food production and accelerate the supply of clean ammonia for fuel and power production,” the CEO of Yara International, Svein Tore Holsether said.

As the first project to create a cross-border value chain, Northern Lights is designed to give European industrial companies a solution for safely and permanently storing their CO2 emissions underground.

The Phase 1 installations are scheduled to come on stream in 2024, with the ability to handle 1.5 million tons of CO2 per year. Several industries have shown a growing interest in these services.

As a result, additional capacity will be developed to accommodate rising demand, up to 5 million tons per year. Northern Lights is owned in equal shares by TotalEnergies, Equinor and Shell.

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