Greece Advances Landmark Carbon Dioxide Underground Storage Project

Greece is moving ahead with the development of Prinos CO₂, the country’s flagship underground carbon dioxide storage project. Operated by EnEarth, a subsidiary of Energean, the project recently secured its environmental permit expansion for Phase A. This approval allows for an initial storage capacity of up to 1 million tons of CO₂ per year for a duration of 20 years.

According to project plans, capacity will later scale up to 3 million tons annually during Phase B. Given the increasing needs of CO₂-emitting industries in Greece, the company is already initiating the environmental permitting process for this second phase.

What is Underground CO₂ Storage?

Underground CO₂ storage, or carbon capture and storage (CCS), involves capturing carbon dioxide from industrial sources and injecting it deep underground into rock formations or reservoirs. This method prevents CO₂ from entering the atmosphere, helping reduce greenhouse gas emissions and mitigate climate change.

Key pending steps and regulatory timelines for Greece’s carbon dioxide strategy

Although the issuance of the Phase A permit marks a major milestone, several regulatory steps remain. One of the most critical is the adoption of the national CCS (Carbon Capture and Storage) legislative framework, currently open for public consultation until November 19. This law will define the operating rules for the entire CCS value chain and enable the first market test to gauge industry participation.

Another pending item is the storage license from the Hellenic Hydrocarbon and Energy Resources Management Company (EDEYEP). The final decision is expected in the coming days, following ongoing coordination with the European Commission’s DG Clima.

The permitting timeline already demonstrates how long the process can take, as the first environmental approval procedure began in August 2024 and was completed only recently. Creating more efficient pathways for Phase B will be crucial to keeping the wider CCS schedule on track.

Funding, drilling plans, and infrastructure development

The Prinos CO₂ project carries a total budget of around €1.2 billion ($1,39 billion). It has already secured €150 million ($174 million) from the Recovery and Resilience Facility (RRF) and €120 million ($139 million) from the Connecting Europe Facility (CEF).

As part of meeting RRF milestones, the drilling schedule has been recalibrated: instead of four wells planned for the first half of 2026, only one may move forward initially, while the remaining wells will proceed outside the RRF framework.

Overall development includes 15 wells—six for CO₂ injection and nine for water production. A tender for selecting the drilling rig is already underway, with the aim of finalizing the selection by year’s end.

Greece’s growing CCS ecosystem

Prinos CO₂ is one of five major CCS projects forming Greece’s emerging carbon-management infrastructure, with a combined construction budget of roughly €4 billion ($4,644 billlion) and more than €1 billion ($1,16 billion) in secured RRF funding. The portfolio includes DESFA’s Apollo CO₂, AGET Heracles’ Olympus, Titan’s IFESTOS, Motor Oil’s IRIS, and Energean’s Prinos CO₂.

While Prinos’ maximum capacity could cover about 30% of emissions from Greece’s heavy industry, additional storage solutions will be necessary to achieve long-term decarbonization goals.

With the legislative framework expected by year-end, Prinos CO₂ is positioned to become the backbone of Greece’s CCS supply chain, offering long-awaited clarity to investors and enabling the next phase of carbon-management development in the region.

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