The Danish government has presented a proposal for a new green tax reform, which will also apply to oil and gas recovery in the North Sea. However, such a reform could also entail that Ineos will need to shorten the lifecycle of North Sea oil fields, says head of the Danish division Mads Gade, reports Danish business media Børsen.

Ineos stands to pay a CO₂ levy of around DKK 21m (EUR 2.8m) in 2025 and DKK 106m in 2030.

”These are some steep sums, and there is no possibility of using other energy forms than gas in the North Sea, as it is now. Therefore it will naturally affect the lifecycle of the fields if the taxes become a reality. I cannot say exactly when to shut down, given that we also experience very large fluctuations in market prices at the moment as a result of the war in Ukraine,” says Gade to Børsen.

Danish government’s climate policy flunked again despite ”considerable progress”

Danish refinery enters CCS race

CCS project Greensand secures CO2 storage vessel