K Line signs charter deal with Northern Lights for third LCO2 vessel

The Northern Lights joint venture, composed of Shell, Equinor, and TotalEnergies, has entered into a time charter agreement with the Japanese shipping company K Line for the third LNG-powered CO2 carrier, K Line said on February 6.

The agreement follows the previously signed contracts first two liquefied carbon dioxide (CO2) ships in the four-ship fleet of Northern Lights, set to be delivered in 2024. The London-based subsidiary, K Line LNG Shipping, will be responsible for managing these three ships.

In December 2022, K Line secured the ship management contracts for the first two Northern Lights ships, which are currently 75% completed and expected to be delivered later in the year.

The Northern Lights joint venture aims to develop the world's first open-source CO2 transport and storage infrastructure in Norway. The project is designed to contribute to the decarbonisation of industrial emissions and support the removal of CO2 from the atmosphere.

The process involves transporting CO2 from capture sites by ship to a terminal in western Norway for intermediate storage. Subsequently, the CO2 will be transported via pipeline for permanent storage in a reservoir located 2,600 meters under the seabed.