Denmark awards Aalborg Portland €2.2 billion carbon capture contract
2026-06-18 15:17
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en.Wedoany.com Reported - The Danish Energy Agency has signed a €2.2 billion ($2.5 billion) contract with Aalborg Portland, the country's leading cement producer, for carbon capture, transport, and storage. This 15-year agreement is Denmark's largest CCS tender, requiring the manufacturer to capture and store 1.25 million tonnes of CO2 annually by 2030 at its Rørdal plant, which has an annual production capacity of 3.6 million tonnes. Aalborg Portland will receive a subsidy of €117 ($135) per tonne of CO2 stored, and the project's capture volume will cover more than half of Denmark's national annual capture target of 2.3 million tonnes.

The tender process began in late 2024 with 16 initial applicants, narrowing to two final candidates in February this year. Peter Christian Baggesgaard Hansen, Deputy Director of the Danish Energy Agency, stated that the contract secures a key initiative for the national climate strategy and strengthens the domestic carbon management value chain. As a subsidiary of the multinational building materials group Cementir, Aalborg Portland aims to achieve carbon neutrality by 2050 through this project and significantly reduce carbon emissions from its gray and white cement by 2030.

The project, named ACCSION, will utilize Air Liquide's Cryocap technology, targeting a total annual capture of 1.4 million tonnes of CO2. The facility will operate entirely on renewable electricity, and the production kilns will use biofuel. Additionally, the system will capture 80 megawatts of residual process heat through intelligent thermal integration, providing district heating to over 19,000 local households. The project has also received €220 million ($254 million) in funding from the EU Innovation Fund. According to data from Industrial Info Resources, Denmark is currently tracking 17 carbon capture projects with total investments approaching $3.5 billion.

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