Sumitomo Corporation, through its UK subsidiary Summit Energy Evolution Limited (SEEL), is investing $76.3 million (GBP 59.6 million) in a project to build a CO₂ pipeline that will significantly reduce emissions from the cement and lime industry in the UK. The initiative, known as Peak Cluster, aims to capture and transport 3 million tons of CO₂ per year from four plants that together account for 40% of the UK’s cement and lime production.
These industries are particularly hard to decarbonize because much of their emissions come directly from the manufacturing process itself, not just from the fuel used. That is why carbon capture and storage (CCS) is not optional but essential, as explained by representatives from Progressive Energy, the British company leading the project since 2022.
The underground pipeline will carry the captured CO₂ from central UK to the coast, where it will be injected for permanent storage under the Irish Sea via the Morecambe Net Zero facility operated by Spirit Energy. This makes it one of the first large-scale carbon transport and storage systems in the UK. The project is also expected to help protect or create around 13,000 jobs across the value chain.
In addition to Sumitomo, the UK’s National Wealth Fund is also supporting the project financially. The investment will cover key work leading up to the Final Investment Decision (FID), expected in 2028. This includes completing front-end engineering design (FEED), securing regulatory approvals, and obtaining environmental permits.
Companies in the sector like Tarmac, Breedon, SigmaRoc, and Holcim are actively collaborating, as the new infrastructure will allow them to significantly reduce emissions while maintaining production and competitiveness. According to a joint statement from these manufacturers, the project will not only enable deep decarbonization of their plants but also ensure industrial resilience in the region.
Sumitomo brings decades of energy sector experience to the table, including upstream oil and gas operations since the 1970s. In 2023, the company acquired two carbon storage licenses in the UK. This project is a key milestone in expanding CO₂ transport and storage solutions to other global markets, especially in the Americas and Asia-Pacific.
For Sumitomo, CO₂ transport presents both technical and commercial challenges. However, thanks to its global expertise in CCS and steel pipeline infrastructure, the company is well-positioned to lead in this growing area. The project marks a strategic step in Sumitomo’s Medium-Term Management Plan, with carbon storage positioned as a central pillar in its broader energy transformation goals.
Sumitomo and Progressive Energy bring together international expertise and local innovation. While Sumitomo expands its global carbon solutions, Progressive Energy contributes deep knowledge of the UK’s industrial landscape and carbon infrastructure. The partner cement companies are major players in the UK market, each with a strong focus on sustainability and long-term environmental responsibility.
Source: esgnews.com