Energy companies Equinor, Horisont Energy, and Vår Energy are to collaborate on Europe’s first large-scale blue ammonia production facility, Barents Blue, located in Northern Norway.

Used widely in the global fertiliser industry as well as being an efficient hydrogen carrier, ammonia is an ideal fuel for decarbonising the maritime sector.

Over 99% of the carbon dioxide (CO2) produced from the facility will be captured and stored in the offshore Polaris reserve below the seabed offshore Finnmark.

Calling the agreement a ‘major step forward’ for Barents Blue, Bjørgulf Haukelidsæter Eidesen, CEO, Horisont Energy, said that the plant is planned to consist of three process trains.

“Each train calls for a facility producing approximately one million tonnes of pure ammonia per year, potentially permanently storing two million tonnes of CO2 annually, making Barents Blue of Norway’s largest environmental projects,” he added.

The Polaris reservoir is considered to have a storage capacity in excess of 100 million tonnes, twice Norway’s annual greenhouse gas emissions.

Last month (September 2021) Horisont Energy applied for a carbon storage license in the Barents Sea before entering into discussions with investors regarding financing of the Barents Blue ammonia plant.