Balfour and Costain win vast power and carbon capture job

Balfour Beatty and Costain and among a clutch of contractors to have secured work on Teesside to build the world’s first gas-fired power station with carbon capture.

Clients Net Zero Teesside Power and the Northern Endurance Partnership have selected contractors for engineering, procurement, and construction contracts with a combined value of around £4bn.

Nine leading specialist contractors will share eight contract packages subject to a final investment decision due to be taken before September.

Balfour Beatty is main construction partner deliver the combined-cycle power station, integrated with carbon capture plant.

It will utilise modular construction techniques to build the M&E equipment and plant rooms off-site, in a controlled factory setting.

Costain will oversee and manage the engineering procurement and construction of the onshore CO2 gathering system serving the East Coast Cluster of industrial companies.  

Remediated site for the world’s first commercial scale gas-fired power and carbon capture project

Teesside power and carbon capture packages

Onshore Power, Capture and Compression – Technip Energies and GE Vernova consortium including Balfour Beatty as the construction partner
Onshore CO2 gathering system and gas connection – Costain
Linepipe – Onshore and Offshore – Marubeni-Itochu Tubulars Europe with Liberty Steel Hartlepool, Corinth Pipeworks and Eisenbau Kramer as the nominated pipe-mills
Offshore Pipeline, Landfalls, Onshore Outlet Facilities and Water Outfall – Saipem
Offshore Subsea Injection System – TechnipFMC
Power and Communications Cable – Alcatel Submarine Networks
Offshore Systems Engineering – Genesis
Integrated Project Management Team – Wood

The projects present a big opportunity for the UK supply chain. Selected contractors will continue working with the local and regional supply chain, with further engagement taking place over the coming weeks and months.

Carbon capture scheme comprises:

A CO2 gathering network of pipeline connections from industrial facilities on Teesside to transport the captured CO2
An 850MW combined cycle gas turbine electricity generating station, cooling water, gas and electricity grid connections and CO2 capture;
A CO2 gathering/booster station to receive the captured CO2 from the gathering network and CCGT generating station
An onshore section of a CO2 transport pipeline for the onward transport of the captured CO2 to a suitable offshore geological storage site in the North Sea.

Ian Hunter, Managing Director, Net Zero Teesside Power, said: “The selection of contractors is a major step forward for Net Zero Teesside Power. We have selected world-class partners who have the experience and capability needed to deliver. We aim to take final investment decision in September 2024 or before, after which we’d look forward to working with our EPC partners through the construction phase”.

Chris Daykin, General Manager, Northern Endurance Partnership, said: “The selection of contractors is a clear signal of momentum within the East Coast Cluster. The Northern Endurance Partnership’s CO2 pipelines are essential to connect carbon intensive projects to offshore storage and would play an important role in helping the region pursue its net zero plan”.

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