ExxonMobil: Firm backs out of CO2 pipeline project

Plans to build a carbon dioxide pipeline on the Isle of Wight have been scrapped.

ExxonMobil had been seeking approval for the Solent CO2 Pipeline Project, which would have run from its Fawley oil refinery near Southampton to a CO2 storage site under the English Channel.

Islanders had been campaigning against the plans and now ExxonMobil has decided not to move forward with them.

A spokesperson for the company said the decision was a result of the “continued lack of government policy certainty”.

In its original proposal, ExxonMobil said the carbon dioxide would be taken to a deep rock formation in the English Channel for safe storage – a process known as carbon capture and storage (CCS).

They said: “Our major investment decisions are informed by several factors including the policy, fiscal and market environment.

“Over the past three years, we have made sustained efforts with UK government to secure this certainty and enable the large-scale investment required and will maintain collaboration to address the necessary factors.

‘’We are committed to reducing emissions from our operated assets and continue to evaluate a range of emission reductions solutions that can deliver meaningful CO2 emissions reductions.’’

A spokesperson from the Department for Energy Security & Net Zero (DESNZ) said it was reversing a “legacy of indecision” on Carbon Capture, Utilization, and Storage.

They explained that instead, it would be funding commitment towards groundbreaking technology.

“While this is ultimately a commercial decision, industry should feel confident in the progress we’re making today at Hynet and the ECC as a sign of how far the UK is committed to this and the future for carbon capture in this country,” the spokesperson added.

Richard Quigley, MP for Isle of Wight West, told the BBC it was “good news” and a “testament” to the communities the pipeline plans had been scrapped.

He added: “The island may seem insignificant to ExxonMobil, but we don’t roll over easily. The proposal was only ever for the benefit of Exxon. The island will be very pleased it isn’t going ahead.”

New Forest East MP, Julian Lewis said: “I commend ExxonMobil both for its willingness to think again and its assurances that its valued and vital contribution to the local economy will continue, despite this reluctant but welcome change of course.”

Isle of Wight councillor, Claire Critchison from the Alliance Group, said it was “brilliant news for the New Forest and the island”.

She said: “I’ve been in touch with lots of councillors from different areas and we’re all delighted that this project is not proceeding at this point.

“All of the reactions that we’ve had since the project was announced and the destruction it would have caused to our nature, to our tourist industry, it was just so many issues, safety aspects, that this news is great.”