Barents Blue: new CCS operator, partnership with Fertiberia

PGNiG Upstream Norway to replace Equinor, Vår

Project developer Horisont Energi has announced that it will partner with PGNiG Upstream Norway (PUN) on CCS for the Barents Blue ammonia project. CO₂ from hydrogen production will be captured and stored under the Barents Sea via the Polaris license, with PUN to act as operator. This follows the decision of Equinor and Vår to discontinue their participation in the project earlier this year.

PUN is part of the Orlen Group & closely linked to Polish Oil Mining and Gas Extraction (PGNiG), Poland’s state-owned oil & gas company. The announcement indicates that experience in “carbon management” is a key driving force behind PUN’s participation in the Barents Blue project. Experience in Norway will be translated to Polish industry as the EU continues to decarbonise:

Efficient and safe storage of carbon dioxide is key to maintaining the competitiveness of industries that are exposed to high emission costs. Cement, steel and fertilizers producers, if they want to continue operating in Poland, or more broadly in the European Union, must find a way to manage carbon dioxide emissions. In line with the ORLEN Group’s strategy, over the next few years we will build strong competence in the area of carbon management.

Daniel Obajtek, CEO and President of the ORLEN Management Board in Horisont Energi’s official press release, 5 Sept 2023

In February this year, Horisont and E.ON signed an agreement to jointly develop a CCS value chain, particularly for CO₂ handling. Horisont is currently exploring an additional sequestration project in southern Norway with Neptune Energy.

50:50 partnership with Fertiberia, power secured

After the departure of two project partners earlier this year, Horisont announced that Fertiberia would join as 50:50 development partner for Barents Blue. A significant ammonia & fertiliser producer in Europe, Fertiberia is committed to becoming carbon neutral within the next decade, with a series of renewable projects underway in Spain.

Our integration in this project is highly synergetic: we bring our experience as a European leader in sustainable crop nutrition to Barents Blue, with more than five decades of cumulated knowhow in the design, maintenance and operation of ammonia plants and with valuable expertise in the management of ammonia supply chains. Fertiberia was the first large company in the crop nutrition sector to manufacture CO2-free ammonia and crop nutrition solutions on an industrial scale in Europe. Being part of the Barents Blue project is a new opportunity for Fertiberia to accelerate our transformation and growth process in the production of clean ammonia, extend its uses to new areas such as transport and energy and become the first company in our sector to achieve carbon neutrality by 2035.

Javier Goñi, CEO of Grupo Fertiberia in Horisont Energi’s official press release, 1 Feb 2023

Also this year, Horisont announced it had secured dedicated power capacity from Norway’s fast-decarbonising grid to power the Barents Blue plant. 45 MW of capacity will be available for plant operations, thanks to an agreement with Norwegian grid operator Statnett.