Standard Chartered backs HyNet’s landmark UK carbon capture and storage project

London, 29 April 2025 – Standard Chartered announces its support for the UK’s HyNet industrial cluster, working alongside Eni and wider stakeholders to advance the UK’s decarbonation ambitions. As Mandated Lead Arranger and Hedging Bank, Standard Chartered played a key role in the GBP2.5 billion financing of Eni’s carbon transportation and storage infrastructure in Liverpool Bay to serve HyNet – a major milestone in the UK’s carbon capture and storage (CCS) strategy.

The project, developed by Eni as CO₂ transport and storage operator, will transport and permanently store 4.5 million tonnes of CO₂ per year in the first phase, scaling up to 10 million tonnes in the 2030s. Eni will repurpose existing gas infrastructure and construct a new 35 km pipeline to deliver CO₂ from industrial sites across North West England and North Wales to its offshore depleted gas reservoirs in Liverpool Bay. This initiative is one of the UK Government’s Track-1 CCS projects and is a critical part of the country’s ambition to capture and store 20–30 million tonnes of CO₂ annually by 2030.

Developing this infrastructure will have a strong impact across the region, creating up to 2,000 skilled jobs for the construction phase alone and stimulating economic value across local supply chains in North West England and North Wales. Once operational, it will provide a cost-effective route to decarbonisation for a wide range of emitters, including manufacturing, energy from waste and low carbon hydrogen production facilities.

Standard Chartered’s role in HyNet builds on the bank’s growing expertise in the CCS sector. The Bank previously supported financing for both the Net Zero Teesside (NZT) Power and the Northern Endurance Partnership (NEP) projects, part of the UK’s East Coast Cluster. These landmark developments collectively demonstrate the Bank’s commitment to helping deliver the UK’s first full-scale CCS infrastructure networks, helping to enable the decarbonisation of hard-to-abate sectors.

The Bank aims to mobilise USD300 billion in sustainable finance by 2030, to support the needs of businesses by enabling the develop of and transition to low-carbon technologies. The HyNet transaction demonstrates how Standard Chartered is doing this, providing the capital and risk management expertise necessary to accelerate delivery of critical transition infrastructure.

Ben Daly, Global Head of Transition Finance, Standard Chartered, said: “HyNet represents the next milestone for the UK’s industrial decarbonisation, and we’re proud to support this pioneering project. As momentum builds across the carbon capture value chain, our intention is to leverage the experience gained in the UK projects to support the development of carbon capture across the Middle East and ASEAN. Our involvement reflects our conviction that finance can drive transformative sustainability solutions, build enduring business models of the future and facilitate the transition to a low-carbon economy.”

Quentin Savinaud, Global Head, Energy Sector, Standard Chartered. “HyNet reinforces our long-standing commitment to our clients across the energy value chain as they navigate decarbonisation. Our work with Eni and the wider HyNet consortium demonstrates how trusted partnerships and tailored financial solutions can unlock sustainable growth opportunities. This project is a major step forward for the UK and a powerful example of the energy industry’s potential to lead in the transition.”

James Richards, Executive Director, Infrastructure and Development Finance, Standard Chartered, said: “The HyNet transaction exemplifies the increasingly pivotal role that structured finance plays in enabling the energy transition. Supporting the development of critical infrastructure like CCS requires deep sector knowledge, risk mitigation strategies, and collaboration across public and private stakeholders — all of which were key to bringing this complex deal to financial close. We’re proud to have contributed to a project that sets a benchmark for low-carbon infrastructure in the UK.”

— ENDS–

For further information please contact:

Julien Moity
Senior Communications Manager
Standard Chartered
Tel: +44 7918 601617
Email: Julien.moity@sc.com

About Standard Chartered
We are a leading international banking group, with a presence in 53 of the world’s most dynamic markets. Our purpose is to drive commerce and prosperity through our unique diversity, and our heritage and values are expressed in our brand promise, here for good.

Standard Chartered PLC is listed on the London and Hong Kong stock exchanges.

For more stories and expert opinions please visit Insights at sc.com. Follow Standard Chartered on X, LinkedIn, Instagram and Facebook.