Harbour Energy has welcomed the UK government’s approval of development funding for the Viking Carbon Capture and Storage (CCS) project, describing it as an important milestone in advancing the project toward a final investment decision (FID) during the current Parliament, subject to project readiness and affordability.
The funding will support additional technical and commercial work required to progress the project as Harbour Energy continues collaborating with the government, regulators and other stakeholders.
Graeme Davies, executive vice president of Global CCS at Harbour Energy, said the funding approval demonstrates confidence in the Viking CCS project and its potential to drive industrial investment and economic activity across the Humber region. He added that the company would continue working with the government on the remaining steps required to reach FID following the completion of front-end engineering design (FEED) and the approval of the onshore pipeline Development Consent Order earlier in 2025.
UK Energy Minister Michael Shanks said carbon capture, utilisation and storage (CCUS) will play a key role in supporting the country’s clean energy transition while strengthening industrial and manufacturing regions. He described the funding approval as positive progress for both the Viking CCS project and the Yorkshire and Humber region, with the potential to attract investment, stimulate economic growth and support thousands of skilled jobs.
Olivia Powis, chief executive of the Carbon Capture and Storage Association (CCSA), said the funding announcement represents an important step in advancing CCUS deployment in the UK. She noted that Viking CCS is expected to help maintain the competitiveness of industries in the Humber while creating skilled employment opportunities and supporting regional economic growth.
Viking CCS is Harbour Energy’s operated carbon dioxide transport and storage project in the Humber region, designed to support the decarbonisation of one of the UK’s largest industrial clusters. The project completed its FEED phase in the first quarter of 2025 and secured Development Consent for its onshore pipeline in April 2025.
The project remains subject to regulatory approvals, commercial agreements and a final investment decision before development can proceed.
For more information visit www.vikingccs.co.uk
