Essar Oil UK Limited has announced its plan to construct a £360m new carbon capture plant at its Stanlow refinery.

This plan is in line with its strategy to become a leading low carbon refinery by the end of this decade.

Essar plans to invest more than £1bn into a range of energy efficiency, fuel-switching, and carbon capture initiatives, intended to significantly decarbonise its production processes by 2030.

The company’s energy transition strategy is based on five principles – operating the core Stanlow refining processes efficiently; decarbonising Stanlow’s operations; developing a hydrogen future with the launch of Vertex Hydrogen and as an important part of the HyNet consortium; developing green fuels; and setting up the country’s largest biofuels storage facility through Stanlow Terminals Limited.

Kent has been awarded a pre-FEED engineering contract to build the facility.

The facility will take the CO2 emitted from a full-Residue Fluidised Catalytic Cracking units at the Stanlow refinery.

This gas will be sequestered into depleted gas fields under the sea in Liverpool Ba, as part of the HyNet cluster infrastructure in England.

Following completion in 2027, the facility will remove an estimated 0.81 million tonnes of CO2 annually, which is the equivalent of taking 400,000 cars off the road, removing almost 40% of all Stanlow emissions.

Earlier this summer, the project was selected by BEIS as a Phase-2 winner in the CCUS cluster sequencing process, and is presently advancing through the due diligence stage.

Essar Oil UK CEO Deepak Maheshwari said: “This new carbon capture plant is the single biggest initiative to decarbonise our processes and a core element to our hugely ambitious decarbonisation strategy. Our ambition is to become a leading low carbon refinery.

“This is a massive undertaking, but it is a journey we are fully committed to. Not only is it the right environmental thing to do, it will future proof the critical Stanlow refinery for the long term, protecting jobs and industry, while also placing Stanlow at the very centre of the UK’s energy transition.”


Image: Following completion in 2027, the facility will remove an estimated 0.81 million tonnes of CO2 annually. Credit: マクフライ 腰from Pixabay.