Main backer of Scottish carbon capture site to sell stake in project

One of the main backers of a proposed carbon capture and storage site in Scotland is selling its stake in the project.

Storegga is one of the main partners in the Acorn project at St Fergus in Aberdeenshire.

In the summer, the UK Government announced it was giving the project £200m of development funding as part of the spending review.

The company says it has “completed a strategic review” of its business and will now look to sell its stake.

A Storegga spokesperson said: “Storegga recently completed a strategic review of its business, capital requirements and future structure.

“As part of this, we are progressing a structured sales process for our portfolio of assets, including the sale of our interest in the Acorn CCS project.

“With Acorn approaching a more capital-intensive phase, and with both the UK and Scottish Governments signalling the importance of its timely delivery, we have concluded that a new long-term owner would be better placed to take the project forward.”

The company says work will continue while the search gets under way for a possible buyer.

Acorn has said its project will safeguard around 18,000 jobs in the North Sea that would otherwise have been lost.

The project captures emissions from industrial sites before they reach the atmosphere, storing them under the North Sea.

Scotland

UK Government to create 40,000 clean energy jobs in Scotland by 2030

Westminster unveiled a national plan to train up the next generation of clean energy workers.

It is expected to take emissions from places like Grangemouth and Mossmorran.

Recently, job losses have been announced at both sites.

A UK Government spokesperson said: “This is a commercial decision for Storegga Ltd. UK Government remains committed to the Acorn project.”

Sir Ian Wood, Chair of ETZ Ltd, said: “This news is deeply concerning for Scotland and the UK’s energy transition, and I urge the UK and Scottish Government to leave no stone unturned in their efforts to secure the future of Scotland’s only Carbon Capture Cluster.

“The Acorn project is a cornerstone of Scotland’s energy transition. Its strategic value lies not just in the thousands of jobs it will safeguard and create, but in its enormous potential to unlock further investment, drive innovation, and build a viable path to decarbonisation. It must now be supported to proceed.

“The situation is particularly acute across the North East of Scotland where we are losing jobs at an alarming rate. It is now incumbent on the Prime Minister, visiting Scotland today, to act decisively and end the existing windfall tax now particularly given, by their own admission, there is no windfall.

“This would secure the world-class jobs and company base that will be so vital in delivering the vast opportunities in renewables when they are available commercially and at scale. Government must take urgent action now to end the existing serious damage from the windfall tax.”