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Carbon capture station “could provide 500 jobs”

30.10.2020 - 16:12
epa04736228 (FILE) A file photo dated 02 March 2012 shows steam and fumes emerging from the brown coal-fired power plant Niederaussem operated by RWE near Bergheim, Germany. Global carbon dioxide concentrations surpassed 400 parts per million in March
Niederaussem-kolaorkuverið við Bergheim í Þýskalandi. Mynd: EPA - EPA File
Carbon Iceland is a company proposing to open an air purification station at Bakki near Húsavík that would take carbon dioxide directly out of the air. The plant would use the captured carbon to manufacture fuel and fertiliser. The proposed plant comes with a 140 billion króna price tag, and would create 300-500 new jobs in northeast Iceland.

Carbon Iceland ehf. has contracted with a Canadian tech firm that has developed a process to remove CO2 directly from the atmosphere. 

The company wants to start an air cleaning plant in the Bakki industrial zone of Húsavík that would capture a million tonnes of atmospheric carbon dioxide a year. “And then we plan to use that to manufacture fertiliser and the idea is to have CO2 for food production and later to produce green fuels,” says Eyjólfur Lárusson, the CEO of Carbon Iceland. 

A declaration of intent has been signed with the Norðurþing municipality and Eyjólfur says his company has long had Bakki in mind for this venture. “We anticipate that when this gets going there will be maybe 300 to 500 jobs, direct and indirect.” 

The company plans to start work on the Bakki site in 2023 and to start operations in 2025. The planned cost of the project is 140 billion krónur. “We are in collaboration with Carbon Engineering, which is a tech firm in Canada, and we are negotiating with parties through them. Nothing is being ruled out when it comes to finance, and overseas investors have shown interest regarding finance and we have begun that conversation.” 

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