SLB, Aker Carbon Capture to join forces to pursue decarbonization

Must Read

OilNOW
OilNOW
OilNOW is an online-based Information and Resource Centre

SLB announced its intention to merge its carbon capture division with Aker Carbon Capture (ACC) to bolster industrial decarbonization efforts on a large scale.

This strategic move is expected to leverage ACC’s existing commercial carbon capture solutions and SLB’s advancements in technology and capacity for industrialization. SLB emphasized, “It will create a vehicle for accelerating the introduction of disruptive early-stage technology into the global market on a commercial, proven platform.”

Schlumberger reports record year for Middle East operations with US$33 billion in revenue  | OilNOW

Upon completion of the merger, SLB will hold an 80% stake in the joint venture, while ACC will retain 20%. The financial terms include SLB’s commitment to pay NOK 4.12 billion for a majority stake in Aker Carbon Capture Holding AS (ACCH), which encompasses ACC’s operations. Additionally, SLB could extend up to NOK 1.36 billion in performance-based payments over the following three years. The merger, pending regulatory approval, is slated for closure by the end of the second quarter of 2024.

Highlighting the critical role of carbon capture, utilization, and sequestration (CCUS) in achieving net-zero emissions, the International Energy Agency (IEA) projects that capturing over one gigaton of CO2 annually by 2030 is necessary, escalating to more than six gigatons by 2050.

SBM Offshore on track to deliver ‘near zero emission’ FPSO to market in 2025 | OilNOW

Olivier Le Peuch, CEO of SLB, stressed the importance of scaling CCUS technologies by 100-200 times within the next three decades to meet global net-zero targets. He noted that “Crucial to this scale-up is the ability to lower capture costs, which often represent as much as 50-70% of the total spend of a CCUS project.” 

- ADVERTISEMENT -
spot_img

Partnered Events

Latest News

‘Guyana Brand’ now more powerful than ever – Ali

In his address at the opening of the April 16 Local Content Summit in Georgetown, President of Guyana, Dr....

More Articles Like This