The UK has launched the second round of carbon capture licensing

The United Kingdom has launched its second round of carbon capture licensing. This was announced by the regulator, the North Sea Transition Authority (NSTA).

The NSTA is offering 14 sites in Scottish and English waters for exploration and evaluation, which could potentially store up to 2 gigatons of carbon dioxide. The sites to be offered fall into two broad categories: depleted hydrocarbon fields selected by the NSTA and sites with saline aquifers identified following a call for nominations in early 2025.

The new licensing round will run until March 24, 2026, with licenses likely to be awarded in early 2027.

Carbon capture and storage (CCS) involves the geological storage of captured CO2 emissions from industrial processes and will play a crucial role in decarbonizing the UK’s major industrial centers. This carbon is then transported from its place of production and stored offshore, deep underground in geological formations.

In 2023, the UK issued 21 carbon capture licenses. In terms of obtaining actual permits for CO2 injection, only two projects – Endurance and HyNet, which were launched prior to this licensing round – have reached this stage.

In September this year, the UK signed contracts for two innovative commercial projects for carbon dioxide capture and storage. This involves world-leading technology that will be used at the Padeswood cement plant (Heidelberg Materials) in North Wales and the Protos waste-to-energy plant (Encyclis) in Ellesmere Port in north-west England.