Shell to build CCS installation in Kędzierzyn, Poland?

KEDZIERZYN, Poland – A source close to a transaction a concerning carbon capture and storage (CCS) installation in Kędzierzyn in Southern Poland revealed that Shell was the most serious candidate to build the equipment. However Krzysztof Jałosiński, president of Zakłady Azotowe Kędzierzyn (ZAK’) one the country’s largest chemical producers, told the newspaper "Rzeczpospolita" that there are several candidates, Shell and GE (General Electric) among them. Bellona, 28/06-2009

CCS is to be used at a power plant to be built by ZAK in a consortium with PKE (Południowy Koncern Energetyczny) of the Tauron group. It is estimated that the project will cost 5 billion PLN (about €1.1 billion) and is to be 50 percent financed by the EU's Flagship Programme for CCS. The project includes building a power plant with an installation producing 500 kilotons of methanol per annum with a substantial reduction of CO2 emissions.

According to experts, a recognized business partner would increase Kędzierzyn's chances for the EU financing. The feasibility study, which will contain the partner’s name, is to be prepared by the end of October 2009.

More than 90 percent of Poland's electricity is generated by coal and lignite fired power plants. Member of European Parliaent (MEP)Jerzy Buzek says this is why Poland should obtain EU funding for two installations. The second project submitted by the Polish government to the EU Flagship Programme for CCS is the installation of PGE (Polska Grupa Energetyczna) Bełchatów Power Plant which would team up with Alstom. Bełchatów has already been granted EU funding (€180 million) within the European Economic Recovery Plan (EERP).

For more information in Polish, click here and here.

Paweł Śliwiński is a CCS consultant for Bellona in Poland.

 

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