The Danish Energy Agency has launched its fourth tender inviting applications for exploration and CO2 storage, in three areas off the northwest coast of Denmark.
The blocks, in the Danish North Sea, are geologically "particularly suitable for storing CO2", Denmark's geological survey found. The application deadline is 6 March.
The Danish government issues permits with two phases — an exploration and a storage phase. If granted an exploration permit, developers have up to six years to investigate and assess the suitability and CO2 storage capacity of the area. They are then able to apply for a storage permit, which will be valid for up to 30 years. The Danish state holds a 20pc stake in all exploration and storage permits.
Denmark awarded three CO2 exploration permits in February 2023, and three more in June last year. UK company Ineos took a final investment decision for the first phase of the Greensand CO2 storage project in December. The site's developers successfully demonstrated a pilot CO2 injection in March 2023.
The carbon capture and storage (CCS) industry is gradually developing, led by northern Europe. The region has a geological advantage, in its declining oil and gas fields, as well as government funding from countries including Denmark and Norway.
