Poland’s energy giant Orlen and Norwegian Equinor have signed a memorandum of understanding on cooperation in the field of carbon capture and storage (CCS) technology. The agreement aims to analyze the potential of this technology in Poland and search for the best solutions for the future, reports Salon24.
The signing of the memorandum is an important step towards achieving EU climate goals. As Orlen board member Wiesław Prugar emphasized, both companies have the appropriate competencies to support the development of CCS technology in Poland, Norway and Europe.
Equinor has over 30 years of experience in CO2 sequestration and is running similar projects in Great Britain and Denmark, among others.
“We are CCS pioneers, we have been injecting carbon dioxide for three decades, and we already have the necessary permits to conduct this activity,” said Equinor Vice President Irene Rummelhoff.
Equinor representatives pointed out that the Polish energy sector is still waiting for a strategy and regulations regarding CCS. Rummelhoff emphasized that the Norwegians are ready to share their experience, and cooperation with Orlen will include both an analysis of the possibilities of exporting CO2 to Norway and the potential of its storage in Poland.
She indicated that the greatest storage possibilities occur near emission sources, which could reduce transport costs.
Currently, CO2 capture and storage technologies are not yet commercially viable, but their future may depend on rising CO2 emission prices in the ETS.
“If emission prices rise to €100 per tonne in the early 2030s, CCS will become a more cost-effective solution,” Rummelhoff noted.
According to the memorandum, Orlen and Equinor will analyze potential carbon dioxide storage locations in Poland – both on land and in the Polish part of the Baltic Sea. The next step will be to assess the possibilities of implementing joint projects.
Orlen has previously announced that it plans to achieve the capacity to capture and store 4 million tons of CO2 per year by 2035. Part of this potential will be used to decarbonize the group’s assets, while the rest will be offered to other companies.
CCS plays a key role in the EU’s decarbonization strategy, especially in hard-to-reduce sectors such as cement, steel and chemicals. New regulations under the Net-Zero Industry Act (NZIA) stipulate that the EU must have the capacity to store 50 million tonnes of CO2 per year by 2030.
Norway’s Equinor is one of the most experienced players in the CCS industry. It has been operating a CO2 storage project in the Sleipner field since 1996. It is also a shareholder in Northern Lights – the first cross-border CCS project, which will provide CO injection services from 2025. The company also holds CO2 storage licenses in Norway, Denmark, the U.K. and the U.S.
Orlen, as one of the largest energy companies in Central and Eastern Europe, is developing its operations in many areas – from refineries and mining to renewable energy sources and small nuclear reactors (SMR). The new cooperation with Equinor may strengthen the company’s position in the area of green technologies and help achieve EU climate goals.
