NYK, Knutsen Form Liquefied CO2 Transportation and Storage JV

Tuesday, January 18, 2022

Japan's NYK and Norway's Knutsen Group have formed a joint venture company for the commercial development of a liquefied CO2 marine transportation and storage business using the Knutsen developed technology PCO2 which allows transport of liquified CO2 at ambient temperatures. 

NYK and the Knutsen Group, will each hold a 50% stake in the new company, which has been named Knutsen NYK Carbon Carriers (KNCC). KNCC will also build and operate low/mid pressure vessels based on other technologies.

"Carbon capture, utilization, and storage (CCUS) is an effective and necessary concept for realizing a carbon-neutral society. In this value chain, liquefied CO2 carriers play an essential role in transporting liquefied CO2 to the sites where it is stored and/or utilized. The demand for liquefied CO2 carriers is expected to grow rapidly going forward," NYK said.

"The Knutsen Group and NYK have an innovative approach towards using and further developing new technology to meet a carbon neutral future. Being part of the same group as the world leading operator of Shuttle tankers through Knutsen NYK Offshore Tankers (KNOT), KNCC will provide customers with a unique competence for advanced transport including liquefied CO2 loading and offloading onshore and offshore," NYK added.

Credit: NYK

"Through KNCC we will combine our extensive knowledge of ship operation and management to achieve the early realization of not only small and medium-sized vessels but also large liquefied CO2 vessel operations. The establishment of this joint venture will be an important foothold for participation in the CCUS value chain," NYK said.

Svein Steimler, president and CEO of NYK Group Europe Ltd. and Trygve Seglem, owner and president of the Knutsen Group, will be the chair and vice-chair of the Board of Directors of KNCC. Anders Lepsøe has been appointed chief executive officer of the company. He has a broad international business background with extensive experience from the oil & gas-, financing-, and shipping industries.

Svein Steimler said: "Establishing KNCC enables NYK to offer marine transportation of liquefied CO2 which is an important milestone for reaching the targets set out in the Paris Agreement, and in line with NYK’s strategy and green business plan."

Trygve Seglem said; "We are pleased to have developed a solution that is key to reach the ambitious climate goals. Combining the PCO2 technology with our first-class competence and experience within offshore operations enables us to offer a safe and regular marine transportation of liquefied CO2 to existing and new customers”.

 

Categories: Energy Vessels Industry News Activity CO2 Decarbonization

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