Highlights
Aberdeenshire, Scotland, 12 June 2025 – Storegga today welcomes the UK Government’s commitment of development funding for the Acorn Carbon Capture and Storage (CCS) project, marking a major step forward for one of the country’s most strategically important decarbonisation initiatives.
As part of the UK Government’s latest Spending Review, Acorn will receive around £200 million in development funding – the first time government support of this scale has been provided for the project. The investment will support detailed engineering, planning, and commercial work required to reach Final Investment Decision (FID).
Acorn is central to the UK’s strategy for industrial decarbonisation. Located at the St Fergus gas terminal in Aberdeenshire, the project is designed to scale, enabling the decarbonisation of industries across Scotland and beyond. Today’s announcement also includes support for the National Gas SCO₂T Connect project, which will repurpose 175 miles of existing pipeline infrastructure providing a transport route for industry in central Scotland to Acorn’s CO2 storage.
Tim Stedman, CEO of Storegga, the lead developer of the Acorn project, said:
“We warmly welcome the UK Government’s commitment to development funding for the Acorn project. This vital support will enable the critical work needed to reach Final Investment Decision (FID) and marks a major step forward — not only for Acorn, but for the development of Scotland’s CCS infrastructure and the growth of a UK-wide carbon capture and storage industry.
Acorn’s strategic value goes beyond emissions reductions; it lays the foundation to protect vital industries, safeguard skilled jobs, and unlock new economic growth. To fully realise the UK’s potential in CCS — as an enabler of industrial decarbonisation and a driver of export opportunity — both immediate and sustained, long-term commitment from Government is required to support FID and enable private investment.
The UK has a strong advantage in geography and capability — and nowhere is that more evident than in the North Sea. With some of the most extensive and well-characterised CO₂ storage capacity in Europe, Acorn has the potential to support domestic decarbonisation at scale and, over time, contribute to wider demand for storage solutions.
With the right policy and funding frameworks, Acorn can help position the UK to deliver greater energy security, industrial resilience and export-led growth.
We look forward to working with both the Scottish and UK Governments in the months ahead to understand the details of the development funding commitment, and to ensure the policy, regulatory and funding frameworks are in place to build and grow a world-leading UK CCS sector.”
Industry expects the Acorn project to support approximately 15,000 jobs during peak construction. In the longer term, the project will help deliver greater energy security, underpin clean growth and contribute to the UK’s net zero ambitions.
ENDS
About Storegga
Storegga is a leading independent developer of carbon capture and sequestration (CCS) and hydrogen projects, dedicated to reducing global greenhouse gas emissions and driving sustainable energy solutions. With a diverse portfolio of pioneering initiatives, Storegga is at the forefront of advancing large-scale decarbonisation efforts.
Projects include:
- Acorn CCS and Cromarty and Speyside hydrogen projects (UK)
- Trudvang CCS (Norway)
- Penyu Basin CCS (Malaysia)
- Harvest Bend CCS and Coastal Bend CCS (U.S.)
For more information visit https://storegga.earth
Media Inquiries: Press@Storegga.earth
