Aramco, a leading energy and chemicals company, has signed an agreement with Linde and SLB, for the development of a Carbon Capture and Storage (CCS) hub.
Aramco will take a 60 percent equity in the CCS hub, with Linde and SLB each owning a 20 percent stake. Financial details were not disclosed.
The Carbon Capture and Storage project and is a key component in Aramco’s emission mitigation strategy.
Phase one of the CCS hub in Jubail, in the Kingdom of Saudi Arabia’s Eastern Province, is expected to capture and store up to 9 million metric tons of CO2 annually. Construction is expected to be completed by the end of 2027. Later phases are expected to further expand its capacity.
The project will support the company’s aim to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions across its wholly-owned operated assets by 2050.
Ashraf Al Ghazzawi, Aramco EVP of Strategy & Corporate Development, said: “CCS plays a critical role in furthering our sustainability ambitions and our new energies business. This announcement represents a step forward in delivering on our strategy to contribute to global carbon management solutions and achieve our emission mitigation goals.”
The announcement, made during the Saudi Green Initiative Forum, in Riyadh, reflects a circular carbon economy approach to reducing emissions that will contribute to the Kingdom’s 2060 net-zero target.
Phase one of the CCS hub will have the capacity to capture 9 million tonnes of CO2 from three Aramco gas plants and other industrial sources. The captured CO2 will be transported through a pipeline network and stored below ground in a saline aquifer sink, leveraging the Kingdom’s significant geological potential for CO2 storage.