SK Earthon (SKEO) and Azuli International announced they have signed a Memorandum of Understanding, dated 27th December 2022, which sets in place the framework for the two companies to work together to identify and develop Carbon capture and storage (CCS) enabled solutions globally. CCS is a core strand of the energy transition, potentially enabling industrial decarbonisation at scale and assisting the international community in achieving its Net Zero targets.
SKEO is a leading exploration and production company, a corporation organised and existing under the laws of Republic of Korea (Korea). SKEO is moving forward with endless innovation to achieve energy independence and a sustainable future. SKEO aims to achieve carbon-neutrality through its CCS business by utilising their expertise and unique exploration opportunities, and potentially provide a solution to Korean emissions in the Asia Pacific region.
Azuli is an independent CCS specialist company based in the UK, with a portfolio of global CCS opportunities including Australia, UK, Continental Europe as well as the US. Azuli was recently launched by the management team that successfully set up Lapis Energy LP in the US, which had already secured leading positions in at least two opportunities in the Lower 48. It has offices in London, Houston and Perth, West Australia.
The MOU is the first step in establishing a global strategic partnership for the two companies. The Parties intend to work together to identify and progress opportunities that could be developed jointly, whereby industrial scale emissions of CO2 could be transported (by pipeline or ship) for permanent sequestration in geological formations, in projects that are technically robust and commercially viable. The Parties will first seek CCS business opportunities in Australia and the United States, where CCS-related legal systems are established, and then the parties will expand to explore similar opportunities worldwide, including Korea.
CEO of Azuli, Hamish Wilson says: “This move allows us to put real impetus into a new phase of growth, looking to leverage the wealth of opportunities on offer in the US following the changes to 45Q, whilst securing improved alignment between growth opportunities and the capital better suited to such new ventures in terms of global reach and development risk. We welcome the opportunity to work with SK Earthon and to leveraging our combined expertise to develop first-class CCS projects in a range of locations around the world”.
“SK Earthon has a new vision to become a private company known for leading eco-friendly business linked with carbon capture and storage (CCS), particularly where it contributes to achieving Korea’s CO2 reduction target” says VP of SKEO, Jayden Roh. “It is inspiring for us to cooperate with Azuli and we look forward to working with them on various CCS endeavours around the world”.