Carbon Capture and Storage Opportunities for Turbomachinery OEMs Growing Fast

Baker Hughes' compressor technology. Credit: Baker Hughes

The World Economic Forum’s latest analysis argues that carbon-capture and storage (CCS) has moved from “pilot” to “pivotal.” According to DNV modelling cited in the report, installed capture capacity is now expected to quadruple by 2030, then rise to 6% of global CO₂ abatement by 2050—up from just 0.5% in 2030. To achieve that trajectory, about US $80 billion in cumulative spending is forecast for the next five years, two-thirds of it in North America and Europe. Policy-driven incentives should also trim capture, transport, and storage costs by roughly 14% before 2030, further improving project economics, according to the report.

OEMs in the spotlight

Early CCS installations still gravitate toward natural-gas processing and “blue” hydrogen or ammonia plants, where high CO₂ concentrations and existing mid-stream infrastructure keep costs low. However, after 2030, hard-to-decarbonize industries such as cement, steel, and chemicals are set to dominate demand, accounting for approximately 41% of annual captured volumes by 2050. That shift will require larger, higher-pressure CO₂ compression trains, robust process-gas turbines, and plenty of power and steam—placing turbomachinery manufacturers squarely at the center of the value chain.

What it means for turbomachinery stakeholders

For equipment makers, near-term priorities cluster around four strategic arenas. First, CO₂ compression and re-injection hardware is moving from concept to purchase order. Projects such as the Net-Zero Teesside Power project and Northern Endurance Partnership’s six-well program demand modular, multi-stage centrifugal compressor packages sized for 1 to 5 million ton-per-year duty. OEMs that can fast-track these skids stand to dominate the early build-out.

Second, “capture-ready” gas turbine orders are taking shape. UK combined-cycle retrofits like Connah’s Quay, together with blue-hydrogen and ammonia reformers in North America, need turbine cores that can live with higher back-pressure, supply extra steam for solvent regeneration, and—critically—burn up to 50% hydrogen without derating. Suppliers that package retrofit kits or new-build machines with these attributes will future-proof customer assets against tightening CO₂ constraints.

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Third, demand for hydrogen- and ammonia-service compressors is set to eclipse other process-gas applications after 2030. DNV forecasts make low-carbon H₂ and NH₃ the single largest CCS-enabled market in the Middle East and North America, so integrally geared compressors should be adapted now. Aligning early with EPC contractors will embed those machines at the front end of multi-billion-dollar projects.

Finally, service models must evolve alongside the hardware. As carbon prices rise, operators want cradle-to-grave risk sharing, pushing OEMs and service firms to bundle continuous monitoring, corrosion inspection, and seal-health analytics into agreements that cover new CO₂/H₂ duty cycles. Those who tie performance guarantees to decarbonization targets will secure the longest and most lucrative contracts in this rapidly scaling sector.

Outlook

With CCS capacity poised to quadruple in just 5 years and heavy-industry applications following close behind, the addressable market for turbomachinery looks set to expand for at least a decade. Flexible, capture-ready power and process equipment is no longer a niche requirement—it is the new baseline for staying competitive in a decarbonizing global economy.