Maersk Drilling has entered a framework agreement with the Nini Joint Venture, operated by Ineos Oil & Gas Denmark and Wintershall Dea, covering the supply of drilling rigs for the second phase of the Greensand carbon storage project offshore Denmark.
The agreement confirms Maersk Drilling as the preferred contractor with a right to all drilling rig work involved in project Greensand on market-rate terms until the end of 2027. The agreement is subject to the project obtaining the necessary funding and final investment decision.
Project Greensand is the most mature carbon capture and storage project inside the Danish jurisdiction and targets the development of the capacity to permanently store up to 8m tonnes CO2 per year from 2030. The CO2 will be captured onshore and transported to the sea to be injected into discontinued oil and gas reservoirs beneath the Danish North Sea.
The second phase of the project will enter the pilot phase where the first on-site injection test is expected to commence offshore in the end of 2022, if the necessary aid for the execution of the pilot is granted via Denmark’s Energy Technology Development and Demonstration Program. The goal is to have the first fully operational injection wells ready in 2025.