Klaipeda, Lithuania – Aker Solutions has secured a front-end engineering and design (FEED) contract from KN Energies to advance the development of a carbon dioxide (CO2) transshipment terminal in Klaipeda, Lithuania. This project represents a significant step toward establishing the first cross-border carbon capture, transport, and storage (CCS) network in the Baltic Sea region, a crucial component of Europe’s broader decarbonization efforts. The planned terminal aims to handle approximately 2.8 million tonnes of CO2 annually, receiving emissions from industrial sources in Lithuania, Latvia, and potentially other Baltic nations before shipping them for permanent storage in geological formations under the North Sea. Aker Solutions announced the contract earlier this week.
The initiative is backed by the CCS Baltic Consortium and has been recognized as a Project of Common Interest by the European Commission, receiving co-funding through the Connecting Europe Facility (CEF) for Energy program. This designation underscores the project’s importance to the EU’s energy infrastructure goals and its commitment to reducing carbon emissions. The development of a robust CCS infrastructure is increasingly seen as vital for industries in the Baltic region to meet stringent climate targets and maintain competitiveness. The terminal will act as a central hub, facilitating the collection and consolidation of CO2 for efficient transport and storage, a process that is currently lacking in the region.
Building a Baltic CCS Network
The Klaipeda terminal isn’t envisioned as a standalone facility. It’s a key piece of a larger network being developed by the CCS Baltic Consortium, which includes partners from Lithuania, Latvia, and other stakeholders. The consortium aims to create a fully integrated value chain for carbon capture, transport, and storage, enabling industries to reduce their carbon footprint and contribute to a circular carbon economy. According to KN Energies, the project will provide “reliable, safe, and customer-centric CO2 logistics services” for industrial emitters in Lithuania and Latvia. The ultimate destination for the captured CO2 will be long-term geological storage sites in the North Sea, a practice already underway in projects like Northern Lights in Norway. Northern Lights is a joint venture between Equinor, Shell, and TotalEnergies, focused on developing open-access infrastructure for CO2 transport and storage.
Aker Solutions’ role in the FEED phase is critical. The company will refine the technical design specifications of the planned infrastructure, building upon previous technical evaluations. This includes assessing potential expansion routes for the terminal to accommodate future increases in CO2 capture and transport volumes. The FEED study will similarly address logistical challenges related to receiving CO2 from multiple sources and ensuring its safe and efficient transfer to ships for transport to storage sites. The company brings decades of experience to the project, having been involved in CO2 infrastructure projects since the 1990s.
Aker Solutions’ CCS Expertise
Aker Solutions’ experience spans the entire CCS value chain, from carbon capture integration to CO2 transport, terminal infrastructure, and permanent storage. The company has been involved in pioneering CCS projects, including Northern Lights, Brevik CCS, and Oslo CCS, providing valuable insights and lessons learned that will be applied to the Klaipeda terminal. “Building on more than 30 years of CCS experience, as well as learnings from first-of-a-kind projects such as Northern Lights, Brevik and Oslo CCS, we are proud to support KN Energies in realizing this flagship project, which is of great importance to the Baltic region, as well as wider Europe,” said Henrik Inadomi, executive vice president of New Energies at Aker Solutions.
KN Energies, an international energy terminal operator specializing in liquid energy and liquefied natural gas, is well-positioned to manage the complexities of the CO2 transshipment terminal. Linas Kilda, chief business development officer at KN Energies, emphasized the company’s operational experience in handling cryogenic and liquid terminals, combined with Aker Solutions’ engineering expertise, as key strengths for the project. “I am confident that by combining KN Energies’ proven global operational experience…with Aker Solutions’ deep engineering expertise…places KN Energies in a strong position to provide efficient and scalable solutions for the Baltic region,” Kilda stated.
Project Timeline and Workforce
The FEED phase is scheduled for completion in the third quarter of 2026, and will involve a team of over 100 Aker Solutions employees based in Norway, India, and the United Kingdom. This demonstrates the international collaboration required to deliver such a complex project. A final investment decision is planned for 2027, paving the way for construction to begin. The targeted commercial operational date for the Klaipeda CO2 terminal is 2030, marking a significant milestone in the development of CCS infrastructure in the Baltic region. The project’s success will depend on continued collaboration between governments, industry partners, and technology providers.
The development of the Klaipeda terminal is part of a broader trend toward increased investment in CCS technologies globally. As governments and businesses strive to meet climate goals, CCS is increasingly recognized as a critical tool for decarbonizing hard-to-abate sectors, such as cement, steel, and chemicals. The Baltic region, with its concentration of industrial activity, is well-suited to benefit from the development of a regional CCS network. The project also aligns with the European Union’s Green Deal, which aims to make Europe climate-neutral by 2050.
The next key milestone for the project will be the completion of the FEED study in the third quarter of 2026. This will provide a detailed technical and economic assessment of the terminal, informing the final investment decision in 2027. Stakeholders will be closely watching the progress of the project as it moves closer to realization.
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