- We are very pleased that the Government proposes to continue supporting TCM, which will give us the opportunity to continue the important work of bringing CCS costs down. This is essential to enable full-scale carbon capture and storage (CCS) to be deployed worldwide, and contribute to fight climate change, says TCM's Managing Director Roy Vardheim.
The State Budget proposal also reveals that Statoil and Shell intend to continue its ownership in TCM:
"The Norwegian State, Statoil and Shell have negotiated a framework for further negotiations of the continuation of the Technology center, initially for three more years. The aim is to agree on a deal by the end of 2016."
Read the press release frorm the Norwegian Ministry of Petroleum and Energy
In the chapter on CO2 management, it says: "TCM is an arena for development, testing and qualification of technologies for CO2 capture and contributes to global dissemination of this knowledge, so that the costs and risks of full-scale CO2 capture can be reduced.
The main objective of the Technology Center is to contribute to technolog development for increased deployment of CO2 capture globally. The current agreement between the State, Statoil, Shell and Sasol which regulate the ownership and operation of the plant expires in August 2017. The State, Statoil and Shell have negotiated a framework for further negotiations on the continuation of the technology center, initially for three years. The aim is to agree on a deal by the end of 2016. "
The Government proposes to spend about NOK1 314 million on CO2 management in 2017, including:
NOK642 million to Technology Centre Mongstad (TCM). The grant covers the State's share of operating costs and investments at the plant and expenses for amortization and interest on loans to the company.
NOK360 million to further studies of full-scale demonstration plants for CO2 capture in Norway. The conceptual studies will optimize the technical solutions as well as reduce risk and establish more precise cost estimates for the projects. The aim of this work is to establish a basis for an investment decision in autumn 2018.
NOK200 million to CLIMIT. The program provides support for research and demonstration of technologies for CO2 capture.
NOK107 million in administration grants to Gassnova which manages the State's interests related to CO2 management, including follow-up of Technology center for CO2 capture at Mongstad.