Co2 Capture and Methanation Feasibility Study

The project focuses on exploring practical and innovative pathways for CO₂ utilisation, with the goal of supporting scalable and cost-effective carbon management solutions. It examines a range of technologies, market mechanisms, and regional integration opportunities to better understand how captured CO₂ can be effectively reused. A key emphasis is placed on evaluating the economic feasibility of utilisation, particularly through methanation, including the potential commercial value of CO₂ and e-methane. The study combines technical and economic analysis with a case study of a methanation plant, while also assessing local CO₂ markets and potential sales opportunities. The project also addresses key risks such as technology uncertainty, hydrogen pricing, and market volatility. Overall, it aims to de-risk investment and stimulate the development of the CO₂ utilisation market from the AD sector.

This study assesses the available pathways to recover and monetise the biogenic CO₂ stream produced during biogas upgrading at UK anaerobic digestion (AD) plants, with a particular focus on using it to produce synthetic natural gas (SNG). The study begins with extensive stakeholder and technology vendor engagement to identify suitable CO₂ sources, potential utilisation pathways, market opportunities and technology options.

A central element of the study is the development of a detailed methanation case study based on the capture of approximately 500 Nm³/h of biogenic CO₂ and the conversion of this CO₂ into e-methane using low-carbon hydrogen. Feasibility-level engineering will be completed for both the carbon capture and methanation facilities, including process modelling, mass and energy balances, block flow diagrams, preliminary process flow diagrams, equipment sizing, site layouts and Class 5 capital cost estimates supported by vendor data. These engineering outputs will underpin a detailed economic assessment examining the impact of key variables such as hydrogen cost, electricity prices, CO₂ value, carbon credits and certificate revenues on the levelized cost of e-methane production. The study also includes a local CO₂ market assessment, a review of by-product utilisation opportunities such as reaction water and waste heat recovery, and the development of a roadmap outlining the steps.