Carbon Capture Utilization and Storage (CCUS) and the carbon value chain

Linklaters makes CCUS viable for net zero, advising governments and businesses globally on policy and regulation, financing and project development, with a view to the full carbon value chain – including, where appropriate, the potential for valuation of the carbon, enhanced oil recovery and carbon or carbon credit trading.

Leading the way

At Linklaters, our expertise helps clients navigate the complex pathways to achieving net-zero goals. CCUS is critical for decarbonising industries like energy, heavy manufacturing, and transport—sectors where emissions are hardest to reduce.

We work closely with businesses, innovators, and governments to unlock the potential of CCUS technologies, ensuring projects are both sustainable and commercially viable. Whether you're tackling new regulatory challenges, scaling up infrastructure, maximizing the value of current assets, or considering the future potential worth of carbon, we provide the strategic guidance you need to lead in this growing sector, all while contributing to a more sustainable future.

Our CCUS experience includes:

Our CCUS team has played a key role in shaping government policy and supporting the development of landmark projects such as the Peterhead CCUS Project, Don Valley CCUS Project, and White Rose CCUS Project. More recently, we've advised on the Net Zero Teesside Power (NZT Power) and Northern Endurance Partnership (NEP) projects, as well as the HyNet CCUS transportation and storage network.

• NZT: advising lenders on the Net Zero Teesside CCS power project forming part of the East Coast Cluster.
• NEP: advising lenders on the Northern Endurance Partnership project providing CO2 transport and storage services to the East Coast Cluster.
• HyNet: advising the Liverpool Bay CCS as carbon dioxide transport and storage system operator in connection with the development and financing of the HyNet low carbon capture and storage network project in the UK.
• France CCS: advising a CO2 emitter in the chemicals sector on all aspects of its decarbonization (CCS) project in the north of France, involving the capture, transport, offtake, liquefaction and overseas long-term storage of the CO2 produced by its largest site in France as well as, through shared transport facilities, another neighbouring industrial plant.
• France CCS: advising a CO2 emitter in the construction materials sector on its decarbonization (CCS) project for its facilities in the south of France, involving the capture, liquefaction, transport, offtake and offshore long-term storage of CO2.
• EfW CCS projects: advising on the development and financing of two energy from waste CCS projects, using the Waste ICC business model.
• BECCS: advising a developer on a bioenergy CCS project and the development of a BECCS business model.
• CCUS Taskforce and CCUS Advisory Group: leading industry on the development of the UK CCUS business models and advising on the legislative changes needed to implement the business models in the UK.
• CCSA: advising the CCSA and industry on options for non-pipeline carbon dioxide transportation models.
• Freepoint Commodities Europe LLP: on its entry into a voluntary emissions removals purchase agreement.
• Peak Cluster CCS: advising a consortium member on the proposed Peak Cluster industrial carbon capture and transportation project in the UK.
• White Rose CCS: advised the project company regarding the proposed bespoke CfD and government support package, construction contracts, including in respect of the FEED Contract, the knowledge transfer arrangements with the government, the proposed EPC arrangements for the proposed project financing solution, and the EPCM contracts on the wider transportation and storage side of CCS in the UK.
• BP Decarbonised Fuels 1 (Peterhead CCS): advising BP on onshore and offshore regulatory aspects of its proposed carbon capture and storage project in respect of the Peterhead power plant and depleted offshore Miller gas field (and related pipeline infrastructure).
• A leading global PE firm: advising on two separate funds for structured investment into the voluntary market. The contractual arrangements involve all aspects across the value chain from carbon offset purchase agreements with primary rights holders to offtakes and marketing agreements.
• A Global Investment Bank: advising on the utilisation of CERs from an upstream oil and gas CDM project for compliance with obligations under the Renewable Transport Fuel Obligation.
• BioCarbon Group: advising on a structured financing transaction for a CDM project for conversion to KOCs under the Korean Emissions trading Scheme.
• The World Bank Group: acting as Trustee to the UN Framework Convention on Climate Change (UNFCCC) Clean Development Mechanism (CDM) Adaptation Fund which levies and monetizes a percentage of all Certified Emission Reductions (CERs) generated through the CDM, on financial, tax and regulatory issues impacting the operation of the Adaptation Fund across five jurisdictions (UK, US, France, Germany and Switzerland).
• ISDA and IETA: appointed to advise both ISDA and IETA on the development of standardised market documentation for trading of voluntary carbon credits, covering both the primary and the secondary markets. We were also appointed by ISDA to draft the Whitepaper on Voluntary Carbon Credits which was released in February 2022.
• A Tech giant: advising our client on entry into a carbon removal offtake agreement with Stockholm Exergi AB for a planned bio-energy with carbon capture and storage (BECCS) facility in Sweden.
• A confidential energy major in respect of a novel and material asset Middle Eastern CCUS opportunity, including developing and implementing the legal and wider project strategy, and engaging and integrating industry to help influence and develop fit for purpose carbon regulatory frameworks.