Together with Shell, StatoilHydro started the feasibility study, the Halten carbon dioxide project, in 2006.
The project aimed to evaluate the possibility for a carbon dioxide value chain in Central Norway.
The value chain was to consist of a gas-fired power plant with a carbon capture facility that was to be built at Tjeldbergodden in Central Norway, and the use of carbon dioxide to increase oil recovery on the Draugen and Heidrun fields. The electrification of the platforms was also part of the study.
Thorough studies on Draugen showed that the use of carbon dioxide for increased oil recovery would produce disappointingly low extra volumes of oil. In addition, high alteration costs would mean that it would not be profitable to use carbon dioxide for increased oil recovery. The project's mandate was changed in summer 2007.
The project then evaluated the possibility of building a gas-fired power plant with carbon capture and storage (CCS), but it concluded by terminating the project towards the end of 2007.
The reason for this decision was the poor profitability of the power plant even without carbon capture, and the need for substantial support from the authorities to finance carbon capture and storage.