Stanlow Terminals (STL) has been awarded a £250,000 (€286,450) grant from the Liverpool City (LCR) Region Freeport Innovation Challenge Fund towards the development of a pre-FEED (front-end engineering design) study for a pioneering CO₂ import terminal at Tranmere and Stanlow, within the Port of Liverpool, UK.
The LCR Freeport Innovation Challenge Fund, delivered in partnership with Mersey Maritime, is intended to enable the LCR Freeport to reach strategic aims in relation to innovation with a focus on maritime decarbonisation including accelerating the development of sustainable port infrastructure.
This strategic investment marks a significant step forward in the region’s commitment to industrial decarbonisation and supports the UK’s broader net zero ambitions. The proposed terminal will play a critical role in enabling carbon capture, utilisation and storage (CCUS) infrastructure by facilitating the import and handling of captured CO₂ from domestic and international sources via Non-Pipeline Transfer (NPT) modes including water, road and rail. The UK Government, through the Department for Energy Security and Net Zero (DESNZ) CCUS Vision, has acknowledged the importance of NPT in expanding CCUS across the UK beyond pipeline clusters and creating opportunities for cross-border CO₂ storage, with a public consultation expected to be launched in early 2026.
NPT also delivers value for money by building resilience in the CCUS sector. Its modular nature enhances cost-effectiveness by providing flexibility to redirect CO₂ flows, reduce the cost of cross-chain protection, support merchant CO₂ stores, facilitate CO₂ storage export, and catalyse private investment for regional emitters not connected to pipelines.
STL’s existing terminal infrastructure combined with direct access to the North West’s vast CO2 sequestration stores will make STL’s CO2 NPT Import Terminal one of the UK’s and Europe’s leading CO2 receiving facilities. The pre-FEED study will be complete by Q2 2026 and build upon the previous concept development work to further validate the technical and commercial feasibility, laying the groundwork to move into FEED for a full-scale terminal capable of supporting future carbon transport networks across the North West and beyond.
The initiative aligns with Stanlow Terminals’ broader strategy to transform its infrastructure in support of Essar Energy Transition and the region’s decarbonisation programme.
Michael Gaynon, CEO at Stanlow Terminals, comments: ‘We are pleased to receive this strategic support from the Liverpool City Region Combined Authority Freeport. The funding will enable us to accelerate the development of a CO₂ import terminal at Tranmere and Stanlow, which is a critical enabler for regional decarbonisation and the UK’s broader net zero ambitions. Stanlow Terminal’s location and infrastructure make it ideally suited to become a central hub for carbon handling and storage, and this grant represents a key milestone in advancing that vision.’
