The world’s first full-scale gas carbon capture and storage project came a step closer yesterday after the awarding of a key design contract for the Peterhead Power Station based project.
It was confirmed that Wood Group Kenny, part of north-east-based energy services giant Wood Group, had secured the front-end engineering and design contract for the subsea and pipeline element of the Peterhead Carbon Capture and Storage (CCS) project.
The scheme is one of two projects the other being the Alstom, Drax Power, BOC and National Grid backed White Rose Project in Yorkshire chosen last year to go to the next stage of the UK Government’s £1 billion CCS commercialisation competition.
The development of cost-effective CCS technology and infrastructure is seen as key to the Government’s ambition of decarbonisation in the UK power and industrial sectors.
The Peterhead project is being developed by Shell, with strategic support from Perth-based utility firm SSE.
It is designed to capture up to one million tonnes of carbon dioxide emissions and transport them by subsea pipeline to be stored in the depleted Goldeneye gas reservoir around 100km offshore and 2km under the seabed.
It will also provide clean energy for around 500,000 homes equivalent to the domestic power demand for Edinburgh and Glasgow combined.
The six-month contract awarded to Wood Group Kenny yesterday includes work to develop a landfall solution at the Peterhead Power Station, and the design of a new export pipeline from Peterhead Power Station to a subsea tie-in with the existing Goldeneye pipeline.
The agreement will also see the firm work on the development of new subsea intervention valve, control system and tie-in spools.
A total of 80 engineers will support the project from Wood Group Kenny offices in Aberdeen and London.
Wood Group Kenny regional director Bob MacDonald said: “Using our 30 years of subsea infrastructure design, Wood Group Kenny is well placed to deliver high-quality, cost-effective solutions that will help achieve the targets of the UK Government.”
Business, Enterprise and Energy Minister Matthew Hancock said: “We are leading the way in Europe in developing this innovative low-carbon technology.
“Testing the commercial feasibility of carbon capture storage is an important step.
“So far, more than 20 front-end engineering and design subcontracts have been awarded supporting both the Peterhead and White Rose CCS commercialisation programme projects.
“Combined, these projects if successful could support jobs during construction and generate enough clean electricity for up to one million homes upon completion,” he added.
Earlier this year Shell said it expected the construction phase of the Peterhead project to create between 100 and 150 jobs, with the facility supporting up 30 jobs over a 10-year period once fully operational.