Provaris Energy Ltd (ASX:PV1, OTC:GBBLF) has taken significant steps forward in its collaboration with Yinson Production AS, issuing 10 million shares to its partner, progressing the formation of a Norwegian joint venture company, and commencing Front-End Engineering Design (FEED) for large-scale liquid CO₂ (LCO₂) tanks.
The initiatives come as demand forecasts point to a substantial build-out of LCO₂ carriers by 2030, and as strong industry interest was confirmed during Gastech 2025 in Milan.
Industry analysis from DNV highlights the urgent requirement for LCO₂ shipping capacity, with more than 50 million tonnes per annum of captured CO₂ expected to require transport across Europe by 2030. Meeting this demand will require a fleet of at least eight to 10 low-pressure carriers with 30,000–50,000 cubic metre capacity, alongside 25–30 medium-pressure carriers of 5,000–20,000 cubic metres.
This forecast highlights the commercial opportunity for Provaris and Yinson’s joint venture, as their proprietary tank designs directly address these emerging fleet requirements.
Strategic share issue to Yinson
Provaris finalised the issue of 10 million ordinary shares to Yinson Production AS, completing the commitment announced in June 2025 and endorsed by shareholders in August. The share issue establishes closer strategic alignment between the partners, ensuring Yinson holds a direct stake in Provaris’ LCO₂ tank commercialisation pathway.
By consolidating equity and development interests, both parties are positioned to accelerate their joint ambition of delivering scalable carbon capture and storage (CCS) infrastructure.
The move is aimed at strengthening investor confidence in Provaris’ growth trajectory and underscores Yinson’s long-term commitment to the collaboration.
Norwegian joint venture structure
The two companies are moving ahead with the creation of a Norway-based joint venture company (JV Co), which will control exclusive rights to LCO₂ tank designs, fabrication processes and licensing revenues.
Registration in Norway is expected to unlock access to European and Norwegian state aid funding schemes, supporting early commercialisation and deployment. JV Co will act as the principal platform for European CCS projects, enhancing the partnership’s capacity to attract financing and align with regional decarbonisation priorities.
This development builds a strong foundation for long-term expansion in one of the most advanced CCS markets globally.
FEED design milestones
FEED work has begun on Yinson’s planned Floating Storage Injection Unit (FSIU), with Provaris designing a 25,000-cubic-metre low-pressure LCO₂ tank as part of the unit’s total 100,000-cubic-metre capacity.
The tank will be integrated into Yinson’s Havstjerne CCS project offshore Norway, where recent drilling confirmed reservoir suitability for long-term CO₂ storage and injection. With capacity to handle 10 million tonnes per annum, the project represents a key test case for scaling LCO₂ infrastructure in Europe.
Milestones for the FEED process are due in the December 2025 quarter, keeping the project on track for further development approvals.
Industry validation at Gastech 2025
Provaris presented its LCO₂ tank concepts at Gastech 2025 in Milan, where market feedback reinforced demand for newbuild carriers.
Shipowners exploring specialised LCO₂ vessels for both low- and medium-pressure applications expressed strong interest in the company’s designs.
The level of engagement confirmed expectations that investment in carrier fleets will accelerate in line with CCS project developments, with Provaris positioned as a frontrunner in delivering commercially viable solutions.