Firm behind Scottish carbon capture and hydrogen projects gets £51 million boost

Storegga, the decarbonisation developer involved in a key Scottish whisky project, has raised more than £51 million in its third funding round.

The firm has received further investment from existing shareholders, GIC, Mitsui & Co, M&G Investments and Macquarie Group, in addition to new investment from Snam, a Milan-based international energy infrastructure operator that ranks as Europe’s largest gas transport and storage company.

Storegga currently has four projects located in the UK, the US, and Norway, and is in discussions for further projects across the world. The firm recently announced the launch of a green hydrogen project in Scotland with ScottishPower and three major distillers - Glenmorangie, Whyte & Mackay and Diageo.

Storegga is also the lead developer of the Acorn carbon capture, storage and hydrogen project in Aberdeen, and is developing Europe’s first direct air capture plant alongside Acorn.

The funds raised will be used to support ongoing projects and business development activities by the company.

Chief executive Nick Cooper said: “In the past two years, Storegga has grown from a developer of a cluster of Scotland-based decarbonisation projects into an international player.

“We are now active in projects in the UK, the US and Norway and are evaluating further decarbonisation opportunities in other locations. The UK’s advanced decarbonisation blueprint and its emerging carbon management chains are adaptable to other areas of the planet that are seeking high integrity, large scale decarbonisation.

“International investment capital is searching for viable energy transition projects. Storegga’s ability to identify high quality decarbonisation projects; engage with important influencers such as local governments and communities; and connect with development partners will be accelerated by this further investor support.”

Storegga is a UK-based decarbonisation development business. It develops early stage carbon capture and storage, hydrogen, and other subsurface renewable projects in the UK and internationally.

He added: “It’s terrific to add Snam to this shareholder group. They are a leader in the energy transition with specialist experience in crucial areas such as gas transportation and hydrogen that support our mission.”

Earlier this month the firm revealed plans for a ground-breaking hydrogen plant that is set to be built in the Highlands to produce green fuel that will power whisky distilleries, bin lorries and buses.

The project, a partnership between ScottishPower and Storegga, will see hydrogen replacing existing fossil fuel sources for the heating processes of distilleries.