The global push for decarbonisation necessitates the development of clean energy carriers, especially for sectors like maritime transport, heavy industry, and long-haul logistics, which are challenging to electrify. Norway aims to leverage its natural gas resources and carbon capture infrastructure to produce low-carbon hydrogen and ammonia. However, establishing large-scale, cost-effective production facilities that integrate carbon capture and storage (CCS) remains a significant challenge.

In February 2024, Copenhagen Infrastructure Partners (CIP), CCB Energy, and Øygarden Municipality, through their joint venture Naturgassparken Vest AS, entered into an option agreement to develop large-scale production of hydrogen-based energy carriers in the Energy Park at Øygarden. The project plans to utilise natural gas with integrated CCS to produce blue hydrogen and ammonia. The proximity to the Northern Lights CO2 storage facility allows for efficient sequestration of captured carbon, enhancing the project’s sustainability.

While the project is in the planning phase, it is expected to attract substantial investments and create numerous jobs, boosting local industry competencies. The establishment aims to produce affordable, clean fuels at scale, contributing significantly to Norway’s and Europe’s energy transition goals. The integration of CCS ensures that the hydrogen and ammonia produced will have a low carbon footprint, aligning with global climate targets.