The Acorn CCUS project in Aberdeenshire, long promoted as a vital tool for cutting Scotland’s industrial emissions, is now facing renewed uncertainty. A combination of geological complications, the closure of major emitters, and delayed government funding has cast doubt over the project’s timeline and investor confidence.
Acorn was designed to repurpose redundant gas pipelines to transport captured carbon dioxide to depleted offshore fields beneath the North Sea. But while supporters say CCUS remains essential to the UK’s decarbonisation strategy, several obstacles are now slowing momentum.
Loss of Key Industrial Partners and Geological Setbacks
For years, Acorn focused on two major Scottish sites Grangemouth and Mossmorran as primary carbon capture sources. Both, however, are shutting down: Grangemouth’s refinery has already closed, and Mossmorran’s chemical plant is due to follow early next year.
Prof John Underhill, director of Aberdeen University’s Energy Transition Institute, said the closures significantly reduce the volume of carbon dioxide available to the Acorn network. “Investor confidence… is not what it was,” he added, citing geological and engineering difficulties that have complicated the project’s storage plans.
Acorn initially explored multiple storage sites linked to the Goldeneye gas field, 60 miles northeast of Aberdeen. One site has been ruled out entirely, while another has been downsized by a third because previous wells were not sealed in a way that allows for carbon injection.
Despite this, Acorn’s general manager Nic Braley insists the project remains viable, saying the remaining storage areas still offer “a huge amount of space,” and emphasising Acorn’s potential role in enabling new low-carbon industries such as sustainable aviation fuels.
Stakeholder Uncertainty Deepens as Storegga Seeks to Sell
The project’s ownership structure has added to concerns. Acorn is jointly owned by Storegga, Shell, Harbour Energy and North Sea Midstream Partners. Storegga recently put its 30% stake up for sale, a move some interpreted as a loss of faith.
Storegga denies this and says the sale has “nothing to do with the project’s viability.” Shell has confirmed it intends to retain its share.
The UK’s Department for Energy Security and Net Zero (DESNZ) also maintains confidence, saying the sale “has no bearing” on Acorn’s commercial future and promising to work with the Scottish government to secure a buyer.
Meanwhile, the North Sea Transition Authority has opened a new round of carbon storage licences, offering 14 sites across Scottish and English waters with a combined capacity of two gigatonnes of CO2 a move intended to strengthen the UK’s long-term storage infrastructure.
Supply Chain Voices Warn of the Cost of Failure
Across Aberdeen’s energy sector, CCUS is seen as essential to avoiding an economic vacuum as oil and gas production declines.
At Apollo Engineering, carbon capture work already makes up half of the business. Co-founder Ryan Menzies said it would be “extremely disappointing” if Acorn faltered, warning that the region has the skills and supply chain capacity ready to support a transition into low-carbon industries.
Supporters argue that abandoning the project would jeopardise thousands of potential jobs and hinder Scotland’s ability to attract investment in emerging climate technologies.
Funding Delays Leave Developers Waiting
Despite repeated political backing, Acorn is still waiting for access to pledged government funding. During a visit to St Fergus, Energy Security Minister Ed Miliband confirmed that £200 million would be allocated. But DESNZ later clarified that the money would not be available until the 2026/27 financial year, stating this timing was “entirely normal” because it aligns with the formal spending period.
Prof Stuart Haszeldine, a leading CCUS researcher, said Acorn is one of the world’s “best evaluated” carbon storage projects but has been slowed by delays extending back to 2016. “What needs to happen is some of that £200m needs to be unlocked,” he said.
The government’s own climate advisers, the Climate Change Committee view CCUS as essential to achieving UK net zero by 2050. However, environmental groups argue the technology is unproven and risks prolonging fossil fuel dependence.
A Project Still in the Nursery
For communities in Scotland’s north-east, CCUS represents not just an industrial upgrade but a necessary bridge to a cleaner economic future. Yet after nearly a decade of development, Acorn remains stuck between promise and delivery.
The project’s name was chosen to evoke the idea of a small seed growing into something transformative. But after years of setbacks, supporters worry the acorn has yet to break through the soil while critics question whether it ever will.
References:
https://www.bbc.co.uk/news/articles/cr5zqnyde27o
