Equinor secures exploration permit for CO2 storage in Denmark
Operator Equinor holds a 60% share in the awarded exploration license
Equinor has been awarded its first CCS exploration permit in Denmark as operator, together with partners Ørsted and Nordsøfonden. The partnership will start surveys to assess if the onshore license in the North West Zealand can be developed into a safe CO2 storage facility.
The partners were awarded permit holders for the project named CO2 Storage Kalundborg, with a reservoir approximately 1400 meters below ground, and with a potential capacity to store up to 12 million tons of CO2 per year.
If the partnership over the next years successfully develops the permit into a CO2 storage facility approved by the Danish authorities, it could start storage of CO2 at the end of this decade.
Operator Equinor holds a 60 per cent share in the awarded exploration license, with partner Ørsted having a 20 percent stake, and the Danish state participating through Nordsøfonden with a 20 percent equity.
Equinor expect 4-8 per cent real base project returns for its early phase CO2 storage business, and further value uplift potential when commercial markets are developed.
The awarded license is in the vicinity of Ørsted’s established shipping and storage terminal Ørsted Kalundborg CO2 hub. Here the Danish energy company is constructing a CO2 capture facility at the Asnæs Power Plant, which is set to become operational from the beginning of 2026, with CO2 ship export to the Northern Lights storage facility in Norway. Ørsted’s terminal with its strategic position and scale will be a key component for reception and transport of CO2 to the potential CO2 storage facility the partnership will explore.
