Norway recommences efforts on the carbon capture project for waste in Oslo.

A project aimed at capturing carbon emissions from a waste facility in Oslo, Norway, resumed on Monday after a two-year break intended to manage development expenses, according to its operator.

Engineering company Aker Solutions announced separately that it had secured what it termed a significant contract worth up to 4.0 billion Norwegian crowns ($355.72 million) as part of the project's development.

This heavily funded initiative in the Klemetsrud area of Oslo was paused in April 2023 due to anticipated major cost overruns, but it has since undergone redesign, and the city council has approved the new budget plan.

The anticipated maximum cost is now 9.5 billion Norwegian crowns, about 1 billion less than when it was halted in 2023, according to a statement from the operator Hafslund Celsio.

Of this amount, 5.1 billion crowns have been allocated by the Norwegian government and the city through investments, startup grants, and support for operations, transportation, and permanent storage during the contract period, the company noted.

Hafslund Celsio, the largest district heating operator in Norway, is owned by the Hafslund utility along with investment funds Infranode and HitecVision.

The facility is projected to be operational by the third quarter of 2029 and is expected to eliminate 350,000 tonnes of CO2 each year, which accounts for nearly 20% of the city's remaining fossil fuel emissions.

The CO2 captured at Klemetsrud will be part of Norway's esteemed Longship carbon capture and storage (CCS) project, which also incorporates carbon capture at a cement facility and the Northern Lights transportation and storage initiative.

Northern Lights was officially launched in September but has not yet received any CO2 deposits.

Rich in oil and gas, Norway is making significant investments in emerging carbon capture and storage (CCS) technology as a strategy to lower CO2 emissions both domestically and internationally.