REG - Balfour Beatty PLC - BALFOUR BEATTY SECURES £833 MILLION NZT CONTRACT

Balfour BeattyAnnouncement

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RNS Number : 4602O  Balfour Beatty PLC  26 June 2025

News Release

 

BALFOUR BEATTY SECURES £833 MILLION NET ZERO TEESSIDE CONTRACT

 

26 June 2025

 

Balfour Beatty, the international infrastructure group, today announces that
it has been awarded an £833 million contract by Technip Energies to act as
the construction partner for Net Zero Teesside Power - an Onshore Power,
Capture and Compression project and poised to be the world's first gas-fired
power station with carbon capture and storage.

 

Balfour Beatty will work alongside Technip Energies and GE Vernova - with the
support of technology partner Shell Catalysts & Technologies - to
construct the large-scale combined cycle gas-powered generation plant for Net
Zero Teesside Power, a joint venture between bp and Equinor.

 

In addition, the company will build the post combustion carbon capture system,
which is expected to capture up to two million tonnes of CO(2)  per year,
before it is compressed and fed directly into the offshore pipeline to be
stored under the North Sea by the Northern Endurance Partnership - a joint
venture between bp, Equinor and Total Energies.

 

Balfour Beatty will bring its deep domain knowledge and unique, end-to-end
multidisciplinary capabilities to deliver this landmark project, including the
company's major civil engineering, ground engineering and power transmission
and distribution expertise together with its industrial mechanical and
electrical heritage.

 

On completion, it is expected that the new power station will produce up to
742 megawatts of flexible, dispatchable low-carbon power, equivalent to the
average annual electricity requirements of more than one million UK homes,
further supporting the UK's transition to a cleaner energy future.

 

Leo Quinn, Balfour Beatty Group Chief Executive, said: "Net Zero Teesside
Power is an ambitious scheme, forging the path towards the sustainable
infrastructure of the future and positioning the UK as a leader in cleaner,
greener energy consumption.

 

"The scheme will not only be a critical driver in achieving net zero but will
also play a key role in boosting regional economic growth in the North-East of
England; generating thousands of employment opportunities both in the
immediate term and in the future."

 

The contract award follows the UK Government's announcement in October 2024 of
a £21.7 billion pledge for projects to capture and store carbon emissions
from energy, industry and hydrogen production, and Net Zero Teesside Power and
the Northern Endurance Partnership subsequently receiving Final Investment
Decision in December 2024.

 

The full value of the contract will go into Balfour Beatty's order book by the
end of Q2 2025, with main construction expected to commence later this year
and completion in 2028. At peak, Balfour Beatty will employ c.1,500 people
with at least 5% of its workforce being made up of apprentices and graduates
as part of the company's commitment to The 5% Club.

 

ENDS

 

 

Analyst/investor enquiries:

Jim Ryan
Tel. +44 (0)7858 368527

jim.ryan@balfourbeatty.com (mailto:jim.ryan@balfourbeatty.com)

 

Media enquiries:

Antonia Walton

+44 (0)203 810 2345
antonia.walton@balfourbeatty.com (mailto:antonia.walton@balfourbeatty.com)

 

Notes to editors:

·    Balfour Beatty (https://www.balfourbeatty.com/) is a leading
international infrastructure group with over 27,000 employees driving the
delivery of powerful new solutions, shaping thinking, creating skylines and
inspiring a new generation of talent to be the change-makers of tomorrow.

·    We finance, develop, build, maintain and operate the increasingly
complex and critical infrastructure that supports national economies and
deliver projects at the heart of local communities.

·    Over the last 116 years we have created iconic buildings and
infrastructure all over the world. Currently, we are working to deliver
Hinkley Point C, the first UK nuclear power station in a generation;
constructing the world-class arts and cultural facility, the Lyric Theatre, in
Hong Kong; and designing, building, financing, operating and maintaining the
Automated People Mover superstructure at one of the busiest airports in the
world, Los Angeles International Airport.

·    The 5% Club is a dynamic movement of employers committed to earn
& learn as part of building and developing the workforce they need as part
of a socially mobile, prosperous and cohesive nation. The Club exists to help
its members and all employers increase further the number, quality and range
of earn & learn opportunities across the UK.

·    By joining The 5% Club, members aspire to reach 5% of their workforce
in 'earn and learn' positions, including apprenticeships, sponsored student
schemes and graduate training, within five years of joining.

·    The 5% Club is a charity and is free for businesses of all sizes and
sectors to join. Find out more at https://www.5percentclub.org.uk/
(https://www.5percentclub.org.uk/)

 

 

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