Supply chain companies in the UK offshore oil and gas sector are in prime position to win work in carbon capture and storage (CCS) a new report finds today.

The report, commissioned by the Department for Business, Energy and Industrial Strategy (BEIS) and produced by industry body OEUK through the North Sea Transition Deal, finds that offshore oil and gas supply chain companies already have some capabilities in areas including plant design and engineering, plant fabrication, and construction.

The UK has most of the components necessary for a successful CCS sector; a big potential market for exports of technology and expertise; large industrial clusters; extensive gas transport infrastructure; and a good scientific understanding of the geological requirements needed for long-term CO2 storage.

The report goes on to identify 13 actions for government and industry, including the need for support from government through early-stage funding and additional licensing rounds.

The report also estimates that CCS could be worth £20bn to the offshore oil and gas supply chain in the next ten years, and £100bn by 2050

Securing this work in the UK will particularly benefit communities in Aberdeen, Inverness, Liverpool, North Wales, East Anglia, Lincolnshire, Yorkshire and Teesside, where the existing offshore energy industry is well-placed to expand into new sectors, including CCS.

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