UK grants up to £100m to reopen Teesside CO2 plant
Ensus operators must restart CO2 production under a UK-funded three-month programme
Change
UK has committed up to £100 million to restart the mothballed Ensus CO2 plant on Teesside, with government funding limited to an initial three-month operating period.
Why it matters
Supply of industrial CO2 has been disrupted by soaring energy costs at alternative sources and by tensions arising from the Iran conflict. Access to CO2 for beverage manufacturers and nuclear facilities is now tied to the Ensus plant's resumed by‑product output during the government's initial three-month funding window.
Implications
- — Ensus plant operators must restart CO2 production immediately to qualify for the up-to-£100m grant and operate within the initial three-month funded period — failure to restart forfeits the funding.
- — Procurement teams at UK beverage manufacturers and nuclear facilities must secure alternative CO2 supply contracts or front-load inventories before the end of the three-month funding window — failure to act risks operational disruption when government funding lapses.
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Source
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