Liverpool Bay CCS Project Moves to Construction as Eni and UK Government Seal Deal

Liverpool Bay CCS Project Moves to Construction as Eni and UK Government Seal Deal

(IN BRIEF) Eni has reached financial close with the UK Government for the Liverpool Bay CCS project, unlocking the construction phase of the key infrastructure that supports the HyNet Cluster. This marks a significant milestone in the UK’s clean energy transition, with plans to store up to 4.5 million tonnes of CO₂ per year initially, scaling to 10 million tonnes by the 2030s. The project will create around 2,000 jobs during construction and is expected to begin operations in 2028. During the UK-IEA Energy Security Summit, Eni CEO Claudio Descalzi and UK Secretary of State Ed Miliband highlighted the project’s role in strengthening energy security and decarbonising hard-to-abate sectors.

(PRESS RELEASE) LONDON, 25-Apr-2025 — /EuropaWire/ — Eni has officially reached financial close with the UK Department for Energy Security and Net Zero (DESNZ) for the Liverpool Bay Carbon Capture and Storage (CCS) project, enabling the move into its much-anticipated construction phase. The announcement was made during the “Summit on the Future of Energy Security” at Lancaster House in London, co-organised by the UK Government and the International Energy Agency (IEA).

As the operator of the CO₂ transport and storage (T&S) system for the HyNet Cluster, Eni’s milestone marks a pivotal development in the UK’s clean energy journey, reinforcing both its CCS ambitions and industrial decarbonisation strategy. The Liverpool Bay CCS initiative serves as the core infrastructure of HyNet, one of the most advanced carbon capture clusters globally.

The construction phase will unlock significant investment into local supply chains, creating approximately 2,000 jobs, and providing long-term benefits to regional industries. This financial close follows the UK Government’s commitment of £21.7 billion in funding to be distributed across the country’s first two CCS clusters over a 25-year horizon.

UK Secretary of State for Energy Security and Net Zero Ed Miliband praised the project, saying:
“Today we keep our promise to launch a whole new clean energy industry… This investment from our partnership with Eni is government working together with industry to kickstart growth and back engineers, welders and electricians through our mission to become a clean energy superpower.”

Eni CEO Claudio Descalzi commented:
“The strategic agreement with the UK Government allows CCS to scale industrially. Eni is proud to lead CO₂ transport and storage in the HyNet Consortium, which is set to become one of the world’s first low-carbon clusters. CCS is vital for industries with limited decarbonisation options, and this project positions us at the forefront of this sustainable transformation.”

The Liverpool Bay CCS project will repurpose existing offshore infrastructure and build 35 km of new pipelines to link industrial emitters in North West England and North Wales to Eni’s depleted gas reservoirs beneath the Liverpool Bay seabed, ensuring safe and permanent CO₂ storage.

Initially set to store up to 4.5 million tonnes of CO₂ annually, the project has the potential to scale up to 10 million tonnes per year in the 2030s. Construction is scheduled to begin this year, with operations targeted for 2028, aligning with the commissioning of major emitters across the HyNet Cluster.

With a global CCS portfolio boasting approximately 3 billion tonnes of gross storage capacity, Eni reinforces its strategic role in the energy transition and continues to advance its commitment to a low-carbon future.

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SOURCE: Eni