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Builders and building materials

Balfour Beatty wins £833m contract to build Teesside gas-fired power station

Balfour Beatty plc (LSE:BBY) has won a £833 million contract to build what it says will be the world's first gas-fired power station with carbon capture and storage, in Teesside.

The infrastructure group said it has been subcontracted as 'construction partner' by France's Technip Energies for this "landmark project", called Net Zero Teesside Power, which is a joint venture between BP PLC (LSE:BP.) and Norway's Equinor.

Other sub-contractors on to help build the 742 megawatt gas-powered generation plant include GE Vernova and Shell PLC's (LSE:SHEL, NYSE:SHEL) Catalysts & Technologies arm, together

Balfour Beatty is also building the post-combustion carbon capture system, which is expected to capture up to two million tonnes of CO2 per year, which will then be 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 France's TotalEnergies SE (NYSE:TOT, EPA:TTE).

The new power station is expected to produce enough power to serve more than a million homes.

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