Licenses for exploration and storage of CO2, including environmental consultation rounds
The Danish Energy Agency is responsible for tendering procedures for the award of permits for exploration and storage of CO2 in the Danish subsoil. The Danish Energy Agency also regularly consults citizens, industry, local government and other authorities as new potential CO2 storage sites undergo environmental assessment.
With various political agreements on CCS, licenses for exploration in Denmark, provided the exploration and storage is appropriate from a safety and environmental perspective.
The Danish Energy Agency is responsible for licensing procedures for the award of licenses for exploration and storage of CO2 in the Danish subsoil. The Danish Energy Agency also regularly holds consultation meetings with citizens, industry, local government and other authorities as new potential CO2 storage sites undergo environmental assessment.
The Danish state is a co-owner of CO2 exploration and storage licenses in Denmark through the public fund: Nordsøfonden. The Danish subsoil is a shared resource, and, as a co-owner of exploration and CO2 storage licenses, the state is guaranteed insight and influence regarding subsoil activities. At the same time, state co-ownership ensures that society as a whole benefits from CO2 storage.
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Pursuant to section 23 of the Danish Subsoil Act, it is possible to apply for licences for exploration and use of the subsoil for geological CO2 storage in a defined area around Thorning. Prior to the licensing round, a strategic environmental assessment (SEA) was performed to ensure storage is environmentally sound.
Subsequent exploration activity and storage projects, including collection of new seismic data and drilling operations, will also be subject to an individual SEA, among other things. The planning area for CO2 storage is outlined on the map below. Note that the subsoil and surface designation of the area is different because of Natura 2000 sites, among other things.
Location of the planning area for CO2 storage in the subsoil around the Thorning area
Map with location of the Thorning area subject to tender.
The Thorning area is located south of Viborg and does not differ from the previously tendered Thorning area.
Tender materials
On 30 September 2024, the Danish Energy Agency initiated the third licensing round for exploration and use of the subsoil for geological CO2 storage at Thorning. The licensing round covers a defined area around Thorning in the subsoil onshore. The application deadline is 11 November 2024.
The award of a licence is conditional on the applicant having the necessary technical and financial capacity to explore and operate geological storage of CO2 in accordance with the Danish Subsoil Act.
The licences will stipulate that Nordsøfonden participates on behalf of the Danish State with a share of 20%. The detailed terms of the tendering procedure and the documentation requirements for applications are set out in the letter of invitation and appendices below. These documents also describe the underlying strategic environmental assessment.
- Invitation to apply for a licence for exploration and use of the subsoil for geological CO2 storage at Thorning (third licensing round)
- Appendix 1 - Executive Order regarding an area near Thorning that is open for the award of a licence for the exploration and storage of carbon dioxide
- Appendix 2 – Map of the tendered area
- Appendix 3 – Documentation requirements for the application
- Appendix 4 – Model parent-company guarantee
- Appendix 5.1 – Model Joint Operating Agreement for CO2 storage (pdf)
- Appendix 5.1 – Model Joint Operating Agreement for CO2 storage (Word)
- Appendix 5.2 – Model accounting procedure for the Joint Operating Agreement
- Appendix 6 – Model Licence for CO2 storage
- Appendix 7 – Report on the strategic environmental assessment of the plan for the tendering of licences for CO2 storage
- Appendix 7.1 - Summary report on how environmental considerations have been integrated into the plan and how public opinions and responses have been taken into account
- Appendix 7.2 Complaint instructions for the strategic environmental assessment
- Annex 8 - Information forms
- Zip folder with shape files for surface- and subsoil designation
- FAQ
Licenses for geological storage of CO2 can be applied for pursuant to Section 23 of the Danish Subsoil Act. The planning area for the onshore licensing round yields areas in Gassum, Havnsø, Rødby, Stenlille og Thorning. Prior to the licensing round, a strategic environmental assessment (SEA) was performed to ensure storage is environmentally sound. Subsequent storage projects, including exploration activities, such as collection of new seismic data and drilling operations, will also be subject to an individual Environmental Impact Assessment (EIA).
Map: Location of planned area for CO2 storage onshore
Web-accessible alternative to the map: Location of planning area for CO2 storage
The map shows the five areas open for applications for the onshore licensing round in the areas Havnsø, Stenlille, Rødby, Thorning og Gassum.
Application material
The Danish Energy Agency launched the onshore round for applications of licenses for exploration and storage of CO2 on 13th of December 2023. The application deadline is 24th of January 2024.
Award of licenses is conditional upon the applicant having the required technical and financial capacity to operate exploration and geological storage of CO2 in accordance with the Danish Subsoil Act.
The licenses will include a condition that Nordsøfonden participate in the license with a 20% share on behalf of the state. The specific terms and conditions for the licensing round and the documentation requirements for applications are in the invitation and associated annexes, see below.
- Invitation to apply for a license for exploration and geological CO2 storage onshore in Denmark
- Appendix 1 – Executive Order regarding certain onshore areas that are open for granting of licenses for the exploration and storage of CO2
- Appendix 2.1 – Map of the tendered areas
- Appendix 2.2.1 – Map of the tendered area at Gassum, including surface designation
- Appendix 2.2.2 – Map of the tendered area at Thorning, including surface designation
- Appendix 2.2.3 – Map of the tendered area at Havnsø, including surface designation
- Appendix 2.2.4 – Map of the tendered area at Stenlille, including surface designation
- Appendix 2.2.5 – Map of the tendered area at Rødby, including surface designation
- Appendix 3 – Documentation requirements for the application
- Appendix 4 – Model parent-company guarantee
- Appendix 5.1 – Model Joint Operating Agreement for CO2 storage (pdf)
- Appendix 5.1 – Model Joint Operating Agreement for CO2 storage (Word)
- Appendix 5.2 – Model accounting procedure for the Joint Operating Agreement
- Appendix 6 – Model License for CO2 storage
- Appendix 7 Report for the strategic environmental assessment of the plan for the tendering of licenses for CO2 storage
- Appendix 8 Summary form on how environmental considerations has been integrated in the plan as well as how public consultations has been taken under consideration
- Appendix 9 - Guide to appeal the strategic environmental assessment
- Zip-folder with shape files for subsurface designation
- Zip-folder with shape files for surface designation
- FAQ - 2nd exploration and CO2 storage licensing round
Information meeting on onshore CO2 storage 13th December 2023
On the 13th of December 2023, the Danish Energy Agency (DEA) hosted an information meeting for interested parties on the exploration and CO2 storage licensing round onshore in Denmark, which was started on the same date. The DEA, Nordsøfonden and the Geological Survey of Denmark and Greenland (GEUS) presented on the information meeting.
The presentations from the information meeting
Licensess for geological storage of CO2 can be applied for pursuant to Section 23 of the Danish Subsoil Act. The planning area for the first licensing round in the Danish North Sea was adopted in 2022, and the first licensing round opened on 15th August 2022. Prior to the licensing round, a strategic environmental assessment (SEA) was performed to ensure storage is environmentally sound. Subsequent storage projects, including exploration activities, such as collection of new seismic data and drilling operations, will also be subject to an individual Environmental Impact Assessment (EIA). The planned area for the first licensing round is situated in the north-western part of the North Sea on the Danish continental shelf 6° 15' E and 56° 00' N.
Strategic environmental assessment
Map: Location of planned area for CO2 storage
Web-accessible alternative to the map: Location of planned area for CO2 storage
The map shows the Danish sector of the North Sea and the CO2 storage planning area initially being tendered in the north-eastern part. The planning area is situated at 6 degrees 15 minutes east longitude and 56 degrees 00 minutes north latitude. The site is bordered to the west and to the northeast, respectively, by two marine protected areas (nature and environmental protection). The map also shows oil/gas licence areas, some of which overlap with the planning area.
Application material
The Danish Energy Agency launched the first licensing round for applications of licenses for exploration and storage of CO2 in the Danish subsoil in the North Sea on 15th of August 2022. The application deadline was 1st of October 2022.
Award of licenses is conditional upon the applicant having the required technical and financial capacity to operate exploration and geological storage of CO2 in accordance with the Danish Subsoil Act.
The licenses will include a condition that Nordsøfonden participate in the license with a 20% share on behalf of the state. The specific terms and conditions for the licensing round and the documentation requirements for applications are in the invitation and associated annexes, see below.
Invitation to apply for licenses for geological storage of CO2 on the Danish continental shelf
Annex 1.1 Tendered area with block-numbers
Annex 2 Indicative documentation requirements for application
Annex 3 Model License for CO2 storage
Annex 4.1 Model Joint Operating Agreement for CO2 Storage
Annex 4.2 Model Accounting Procedure for Joint Operating Agreement
Annex 7 Executive Order on tender of licenses for CO2 investigation and storage
Second licensing round 2023-2024 (onshore)
The DEA received nine applications in the second licensing round for exploration licenses for geological storage of CO2, which opened on December 13 2023 and closed on January 24 2024. Applications were received for exploration within five predefined areas, and on June 20 2024, licenses were granted to a consortium consisting of Wintershall Dea International and INEOS E&P, to CarbonCuts A/S, and to a consortium consisting of Equinor Low Carbon Solutions Denmark and Ørsted Carbon Solutions.
Nordsøfonden represents the Danish state with a share of 20 % of all licenses.
The timing and ultimate design of CO2 storage facilities will depend on the exploration work carried out under the licenses.
First licenses in Danish history to explore onshore CO2 storage potentials awarded.
Map of permits for planning areas for CO2 storage on land
Web accessible alternative to maps of licenses C2024/01, C2024/02 and C2024/03
The map shows the onshore areas covered by the three granted licenses. The areas are located near Gassum in Eastern Jutland, Rødby in Lolland, and Havnsø in Western Zealand. All three licenses are given in areas containing roughly circular underground structures, where CO2 can be stored in saline aquifers in sandstone, capped by thick layers of clay stone.
First licensing round 2022-2023 (offshore in the Danish North Sea)
The Danish Energy Agency received two applications in the first licensing round for licenses for exploration and storage of CO2 in the Danish subsoil in the North Sea. The applications came from TotalEnergies EP Denmark A/S and a consortium consisting of INEOS E&P and Wintershall Dea International, respectively. Both applications met the requirements and TotalEnergies was awarded two licenses, while the INEOS & Wintershall consortium was awarded one license, February 2023.
Nordsøfonden will represent the state with a share of 20% in all three permits.
Map of planned area for CO2 storage, marine protected areas as well as the licenses C2023/01, C2023/02 and C2023/03
Web-accessible alternative map of planned area for CO2 storage, marine protected areas as well as the licenses C2023/01, C2023/02 and C2023/03
The map shows the areas in the Danish part of the North Sea covered by the three licenses awarded in the licensing round. The sites are located within the planning area for CO2 storage and outside the marine protected areas. The INEOS-Wintershall consortium's license covers depleted oil and gas fields in the Siri Canyon area and is located to the north inside the planning area. The two licenses awarded to TotalEnergies cover the depleted oil and gas fields in the Harald area, which is located south of INEOS-Wintershall's permit, as well as a new, unexplored area with saline formations (porous sandy layers with brine) located in a south-westerly area of the planning area.
The time horizon and the ultimate design of CO2 storage facilities depend on the upcoming exploration and surveying.
Work programmes
- Work programme for exploration and CO2 storage license C2023/01
- Work programme for exploration and CO2 storage license C2023/02
- Work programme for exploration and CO2 storage license C2023/03
- Work programme for exploration and CO2 storage license C2024/01
- Work programme for exploration and CO2 storage license C2024/02
- Work programme for exploration and CO2 storage license C2024/03
The specific exploration activities, such as collection of new seismic data and drillingmust be approved by the Danish Energy Agency before they are commenced. If the licensee concludes suitable areas for CO2 storage after an exploration phase, they have the preferential right to apply for a CO2 storage permit in the area.
Work to prepare for exploration for geological storage of CO2 in the Danish subsoil in onshore and nearshore areas has commenced. The preparatory work includes strategic environmental assessments (SEAs). The Danish Energy Agency has also held a series of public meetings, and GEUS holds public meetings in connection with their surveys of the subsoil.
Read more about environmental and safety aspects of CCS
Map of the eight areas covered by the SEA for potential planned area for CO2-storage: Stenlille, Havnsø, Rødby, Gassum, Thorning, Jammerbugt, Lisa and Inez
Web-accessible alternative to map of the eight areas covered by the SEA for potential planned area for CO2-storage: Stenlille, Havnsø, Rødby, Gassum, Thorning, Jammerbugt, Lisa and Inez
of the eight areas covered by the SEA for potential planned area for CO2-storage: Stenlille, Havnsø, Rødby, Gassum, Thorning, Jammerbugt, Lisa and IneMap of the eight areas designated for environmental assessment of the planned tendering of onshore and nearshore CO2 storage. Of the eight sites, the Inez, Lisa and Jammerbugt formations are located in the offshore area east of Northern Jutland; the Havnsø formation is located near the town of Havnsø in western Zealand; and the Stenlille and Rødby formations are located onshore near the towns of Stenlille and Rødby, respectively. The Thorning and Gassum formations in Jutland are located south of the city of Viborg and south of Mariager Fjord, respectively.
Strategic environmental assessment (SEA) of the planned tendering of onshore and nearshore CO2 storage
In Autumn 2023, the Danish Energy Agency together with an advisory firm initiated the work on the strategic environmental assessments related to onshore and nearshore CO2 storage and have conducted a public consultation round and a series of public meetings in relation to this.
The Danish Energy Agency has now examined and strategically assessed eight onshore and nearshore areas where the conditions are suitable for CO2 storage in the subsoil. The study has resulted in two SEA reports, which have undergone public consultation from May 31, 2023, to August 9, 2023.
Consultation documents
Umweltbericht Zur Umweltverträglichkeitsprüfung Des Plans Für Gebiete Zur CO2-Speicherung (Deutch)
Umweltbericht zur umweltprüfung der verordnung über pilot- und demonstrationsprojekte (Deutsch)
A strategic environmental assessment (SEA) refers to environmental assessments of overarching plans and programmes, while an environmental impact assessment (EIA) refers to a detailed environmental assessment of specific construction projects.
The process for onshore storage projects
The Danish Energy Agency and GEUS are cooperating with relevant municipalities on preliminary surveying of the designated areas. Although the areas have been designated for surveys assuming they have the right geological conditions for storage, there is no guarantee they turn out to be suitable for storage or that they will be included in an upcoming tendering procedure. The strategic environmental assessment may also identify potential significant negative environmental impacts in certain areas.
If it is deemed suitable from a geological, safety and environmental perspective to invite tenders for exploration and storage of CO2, a storage operator will initially be able to apply for an exploration permit within a limited area.
If a storage operator applying for a permit can demonstrate that it has the required technical and financial capacity and has put together a realistic and thorough work programme, it can be awarded a permit to investigate the suitability of the subsoil for storing CO2. If the storage operator is certain about the storage potential of the subsoil, and has a concrete project in place, it can apply for a permit to store CO2 within the site.
If an operator is awarded a CO2 storage permit, it will also have to obtain approval of a storage facility in the local development plan, as well as go through environmental assessment at project level. This will require additional case processing by the Danish Energy Agency, the relevant municipality and the Environmental Protection Agency.
Public meetings in Holeby, Havnsø, Viborg and Hanstholm - 3rd week of November 2022
In the 3rd week of November 2022, the Danish Energy Agency toured Denmark to present plans to designate sites for onshore and nearshore underground storage of CO2.
The plans must undergo environmental assessment, and the Danish Energy Agency therefore asked the public for ideas and topic proposals for the environmental assessment.
Four public meetings in Holeby, Havnsø, Viborg and Hanstholm, respectively, were joined by a total of 210 participants, either in person or online.
The Danish Energy Agency received many valuable inputs, ideas and questions, all of which will be considered.
CO2 storage is currently only permitted within a planning area in the North Sea. The planned tendering procedure and the Executive Order on pilot and demonstration projects within this area underwent environmental assessment pursuant to Section 8 of the Environmental Assessment Act and current requirements for environmental assessment of plans and programmes.
The strategic environmental assessments (SEAs) of the plan and the Executive Order were put out for public consultation in spring 2022.
Environmental report, summarised statement and consultation memorandum for both SEAs
Consultation memorandum and summarised statement for the environmental report on the Executive Order on pilot and demonstration projects for geological storage of less than 100 kilotonnes CO2 in the western-most part of the North Sea
A plan for onshore and nearshore geological CO2 storage is under preparation. The plan and the associated Executive Order on pilot and demonstration projects will also have to undergo strategic environmental assessment (SEA)
