Peterhead carbon capture: Shell and SSE proceed without European funding

Shell and SSE want to develop carbon capture at Peterhead Shell and SSE hope to develop carbon capture at Peterhead

The backers of a proposed carbon capture and storage project in Peterhead have admitted defeat in their efforts to secure European funding.

Shell and Scottish and Southern Energy (SSE) hoped the NER300 scheme would help part-finance plans to transform the Buchan town's power station.

Developers are now relying on securing money from the UK government.

Peterhead and Drax were earlier named as the preferred bidders in the £1bn project.

Under the planned scheme, greenhouse gas emissions from the power plant would be captured and transported to the Shell-operated Goldeneye gas field in the North Sea for storage, using, as far as possible, existing pipeline infrastructure.

Grangemouth and the Teesside Low Carbon Project had submitted unsuccessful bids.

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