The Danish Energy Agency Opens For Applications For CO2 Storage Studies

• Published date: 21 December 2023
• Subject Matter: Environment, Energy and Natural Resources, Energy Law, Environmental Law
• Law Firm: Plesner
• Author: Niklas Korsgaard Christensen and Esben Kj'r

The Danish Energy Agency has opened for applications for permits to investigate the possibility of CO2 storage in the subsurface in five selected onshore areas. Initially, the exploration permit is granted for a period of six years, with the possibility of extension. If the area meets environmental requirements and demonstrates suitable potential for CO2 storage, the permit holder has priority to apply for a storage permit. The deadline for application is 24 January 2024.

Opening of tender for exploration permits and geological storage of CO2

On 13 December 2023, the Danish Energy Agency opened for applications for permits to investigate the subsoil for the possibility of CO2 storage in defined areas around Gassum, Havns', R'dby, Stenlille and Thorning. At the same time, the Danish Energy Agency has published the terms and conditions for the applications.

It is possible to apply for a permit to conduct studies within the permit area. Permits are initially issued for 6 years with the possibility of extension to 10 years.

If the study is carried out satisfactorily and suitable geological structures are identified, the permit holder has priority to apply for an extended permit for storage activities for up to 30 years with the possibility of further extension. The permit therefore grants exclusivity for storage from the outset, but the actual storage activities can only begin once specific permit conditions have been met.

To obtain a permit, the applicant must, among other things, have the necessary technical and financial capacity in accordance...