Essar Oil UK announced on Friday the selection of Denmark-based Topsoe as a second key licensor technology supplier for the establishment of an industrial carbon capture plant as part of its planned energy transition project in Stanlow, UK.
Topsoe will deliver its SNOXTM sustainable flue-gas treatment technology, according to a release.
“This is a pivotal step towards Essar Oil UK’s USD 1.2 billion investment in decarbonizing the refinery by reducing about 2 million tons of CO2 emissions, making it the world’s first low carbon refinery and a producer of low carbon fuels,” the company stated.
Essar established a new organization early this year to pursue low-carbon projects in the UK and India over the next five years. The new entity, Essar Energy Transition (EET), would invest in low-carbon energy transition projects at its Stanlow facility, between Liverpool and Manchester, as well as in India.
“We are ready to move into the next phase of Essar Oil UK’s decarbonization strategy,” stated Deepak Maheshwari, CEO of Essar Oil UK. “Essar Oil UK, with a USD 1.2 billion investment, is positioned to be the world’s first low-carbon refinery. The industrial carbon capture system, together with our future hydrogen fuel switching project, will cut CO2 emissions at the refinery by 95%.”
Topsoe, he claims, is a valued collaborator in this endeavor. “With Topsoe SNOX technology, we are getting a well-proven and highly sustainable flue-gas treatment.” The company’s overall decarbonization strategy includes two projects: industrial carbon capture (ICC) at Stanlow, which is expected to be operational by 2028, and hydrogen fuel switching from natural gas to hydrogen as a fuel source.
Each project will reduce yearly CO2 emissions by about 1 million tons.
“This puts Essar Oil UK at the forefront of the UK’s energy transition by producing the UK’s first low carbon fuels, securing the refinery’s vital ongoing role in UK energy security and resilience,” the company said in a statement.
With the selection of Topsoe and Mitsubishi Heavy Industries, Essar Oil UK has selected the majority of its technology partners and is ready to go forward with the project’s front-end engineering design (FEED). The basic engineering design packages (BEDP) for the licensed technologies are already being developed.
“We are thrilled to have been chosen as Essar Oil UK’s technology licensor and support them in meeting their decarbonization targets,” said Elena Scaltritti, CCO of Topsoe. “The deal marks a watershed moment in Topsoe’s expansion in the United Kingdom, and we look forward to collaborating with Essar on this critical project, which exemplifies how the fossil industry can decarbonize itself.”