SANDNES, NORWAY – December 10, 2021 – Horisont Energi AS (EURONEXT: HRGI), Equinor ASA and Vår Energi AS have entered into an agreement to collaborate on the development of the carbon transportation and storage project Polaris, off the coast of Northern Norway. As part of the agreement, Equinor will be the operator of the project.
Horisont Energi, Equinor and Vår Energi are collaborating on developing the Polaris carbon storage, which is expected to have a total carbon storage capacity in excess of 100 million tons. This is the equivalent to twice Norway’s annual greenhouse gas emissions. The offshore carbon storage reservoir is a key part of the planned Barents Blue project in Finnmark, which will be Europe’s first world-scale carbon neutral ammonia production plant. Vår Energi, Equinor and Horisont Energi entered a cooperation agreement for the Barents Blue plant in September 2021.
Barents Blue is planned to have a production capacity of 3000 tons of ammonia per day, making it one of the largest ammonia plants in the world. In its first phase, the facility will convert natural gas from the Barents South region to carbon-neutral blue ammonia (99 percent CO2 capture rate), an easily transportable hydrogen carrier, which is planned to be used directly as ammonia, but that also can be converted back to hydrogen at destination. Currently in the concept phase, an investment decision for Polaris and the Barents Blue project is expected around year-end 2022.
“As one of the largest offshore operators in the Barents Sea region, I am extremely pleased that Vår Energi has chosen to partner with us and Equinor on the Polaris project. Polaris has the potential to advance Norway’s position as a leading nation on cost-effective CCS technology, which will be essential to meet the targets of the Paris Agreement. By capturing CO₂ during the production of ammonia and sequestering it safely under the seabed, we open a new and climate-friendly market for the large amounts of natural gas coming from the existing fields in the Barents Sea.”
Bjørgulf Haukelidsæter Eidesen, CEO of Horisont Energi.
CCS involves the capturing of emissions from power stations and other industrial sources, or directly from industrial processes like in the Barents Blue ammonia plant. The carbon dioxide is then liquified and transported offshore, where it is pumped into the underground storage. Both the Intergovernmental Panel on Climate Change (IPCC) and the International Energy Agency (IEA) state that it will be more difficult and more costly to reach the Paris Agreement’s goal of limiting global warming to 1.5°C above preindustrial levels without CCS. Technology for CCS will also be critical to achieve carbon negative solutions.
About Horisont Energi
Horisont Energi (EURONEXT: HRGI) is a Norwegian clean energy company that provides clean energy and carbon transport and storage services. The company transforms gas, water and renewable energy into cost-leading clean ammonia and hydrogen, and offers CO2 transportation and storage solutions using proprietary technology, paving the way for a low-carbon economy. The company was founded in 2019 and is headquartered in Sandnes, Norway. https://www.horisontenergi.no/
Equinor is an international energy company with activity in around 30 countries. Based on more than 45 years of experience from oil and gas production on the Norwegian Continental Shelf and a growing portfolio of renewable power production and low carbon projects, Equinor creates value through safe and efficient operations, innovative solutions and technology. Equinor has its headquarter in Stavanger with around 20.000 employees worldwide and the company is listed in New York and Oslo.
About Vår Energi
Vår Energi is the largest independent operator on the Norwegian Shelf. Based on more than 50 years of active participation in Norway, the company was established in 2018 through the merger between several legacy companies. Vår Energi targets value creation through growth in core areas, whilst ambitiously reducing its climate emissions and ensuring safe operations. Vår Energi is jointly owned by Eni S.p.A and HitecVision, is headquartered in Sandnes with office locations in Hammerfest and Oslo.
Dan Jarle Flølo, CFO
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