Scotland approves BP’s CHP project

Oil giant BP has been given the go-ahead to build a new gas-fired combined heat and power (CHP) plant in Grangemouth. It will be located at its Kinneil oil terminal […]

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By Priyanka Shrestha

Oil giant BP has been given the go-ahead to build a new gas-fired combined heat and power (CHP) plant in Grangemouth.

It will be located at its Kinneil oil terminal which processes around 40% of North Sea crude oil production brought via the Forties Pipeline System (FPS).

It requires steam for heat energy to drive the necessary oil separation processes and the proposed 159MW CHP plant is expected to meet the requirements.

The Scottish Government expects the project to provide long term security of service to the developers of new oil and gas fields that rely on the FPS.

Up to 400 temporary jobs could also be created during construction.

Scottish Energy Minister Fergus Ewing said: “This proposed development will provide welcome long term security of service to developers of new oil and gas fields at an otherwise challenging time for the wider oil and gas industry.

“There is a long term sustainable future for the North Sea – which will be supported by investments such as these at BP Kinneil Terminal – and we are committed to using every lever at our disposal to support the industry through this challenging time.”