Aberdeen-based John Wood Group plc said it has completed the front-end engineering and design (FEED) scope for the first phase of Aramco’s Accelerated Carbon Capture and Sequestration (ACCS) project in Saudi Arabia, expected to be the world’s largest carbon capture and sequestration (CCS) hub, upon completion.
“With an ambition to further reduce carbon emissions from its upstream operations, the first phase of the ACCS project intends to capture carbon emissions from Aramco gas plant facilities near Jubail, on the east coast of Saudi Arabia, as well as from third-party emitters,” said Wood.
“Wood designed the greenfield dehydration and compression facilities and the large pipeline network, including a 200+ kilometre dense-phase CO2 pipeline for the ACCS project, which aims to transport 9 million tonnes per annum (MTPA) of emissions and sequester it within onshore geological storage by 2027.
“Aramco plans to store up to 14 million tonnes per annum (MTPA) of CO2 equivalent by 2035 – contributing towards the Kingdom reaching its CCUS goal of 44 MTPA by 2035.”
Craig Shanaghey, Wood’s Executive President of Projects, said: “We are proud to be at the forefront of designing the future of energy by leveraging our 20 years of experience in carbon capture engineering to bring the ACCS project to life, supporting Aramco as our long-term client on its energy security and transition ambitions.
“The United Nations Framework Convention on Climate Change (UNFCCC) has underlined the significant role CCS can potentially play in helping to reach the 2-degree goal set out in the Paris Agreement, and it is investments like this world-leading project that can support that progress and make a tangible difference to reduce the carbon emissions of heavy industries.”
The FEED has been delivered by around 200 engineers from across Wood’s global Projects and Consulting business units.
Wood Group said on June 5 that after feedback from shareholders it “decided to engage” with Dubai-based firm Sidara, which on May 29 made “a fourth and final” cash takeover proposal for Wood.
The proposal of £2.30 per share would value Wood Group at about £1.59bn, representing a premium of 52% to its closing share price before the first bid was made.
Wood, one of Scotland’s biggest listed firms, employs more than 35,000 people in 60 countries.