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Tokyo, December 8, 2025 – Mitsubishi Heavy Industries, Ltd. (MHI), together with Worley and Heidelberg Materials, has entered the execution phase of the Padeswood Carbon Capture and Storage (CCS) project in Flintshire, North Wales in the United Kingdom. The project will be the first in Europe to deploy MHI’s proprietary Advanced KM CDR Process™ to capture around 800,000 tonnes of carbon dioxide (CO₂) annually from cement production operations at Heidelberg Materials’ Padeswood plant. The CO₂ will be transported via pipeline for permanent storage in depleted gas fields under Liverpool Bay, as part of the HyNet North West cluster.

The news follows Heidelberg Materials’ final investment decision (FID) in September 2025, made in collaboration with the UK Government under Track-1 of its CCUS cluster sequencing program. The new CCS facility is set to be operational in 2029.

MHI and Worley had been awarded a front-end engineering design (FEED) study in 2024. In the execution phase, MHI and its regional representative MHI-EMEA via its London headquarters will provide the engineering and procurement under the Advanced KM CDR Process™ for the CO₂ capture technology, together with other associated plant including compressors. Worley will deliver engineering, procurement, and construction management for the balance of plant.

Cement production is responsible for around 7-8% of CO₂ emissions globally. Since most of these emissions come from the chemical process (calcination), they cannot be avoided by switching to clean energy sources. This leaves CCS as the only viable option for fully decarbonized production.

Tatsuto Nagayasu, Senior Vice President (CCUS) of GX (Green Transformation) Solutions at MHI, said: “We are proud to support Heidelberg Materials in realizing the UK’s first full-scale carbon capture facility in the cement sector. Using our Advanced KM CDR Process™, this project will play a leading role in decarbonizing one of the most challenging industrial sectors. Together with Worley, we look forward to delivering this landmark CCS facility that will contribute to the long-term resilience of UK industry and help fulfill the country’s net zero ambitions.”

Simon Willis, CEO at Heidelberg Materials UK, said: “This is the next major milestone in our plans to build the UK’s first carbon capture facility at a cement works. We have established an excellent working relationship with Worley and MHI during the completion of the front-end engineering design (FEED) for our Padeswood project. This, along with their proven track record in delivering this type of complex facility, makes them the perfect partner to take our groundbreaking project to the next stage.”

Chris Ashton, Chief Executive Officer of Worley, said: “This project is a landmark for industrial decarbonisation in the UK and Europe and part of the HyNet carbon capture cluster. We’re proud to be working alongside Heidelberg Materials and MHI to deliver a facility that will help transform cement production and support the UK’s net zero ambitions. Our role in this project reflects our ability to enable sustainable industrial solutions and leverage our global expertise in delivery for complex energy and infrastructure projects.”

The Padeswood CCS project is expected to create approximately 50 new permanent jobs and secure over 200 existing roles, in addition to supporting up to 500 jobs during construction. As part of the HyNet North West cluster, the project will also contribute to building a long-term carbon management infrastructure in the UK, while enabling Heidelberg Materials to supply low-carbon cement to the construction industry.

About Heidelberg Materials
Heidelberg Materials is one of the world’s largest integrated manufacturers of building materials and solutions with leading market positions in cement, aggregates, and ready-mixed concrete. We are represented in more than 50 countries with around 51,000 employees at almost 3,000 locations. At the centre of our actions lies the responsibility for the environment. As the front runner on the path to carbon neutrality and circular economy in the building materials industry, we are working on sustainable building materials and solutions for the future. We enable new opportunities for our customers through digitalisation.
heidelbergmaterials.com

In the UK, Heidelberg Materials (formerly Hanson UK) is split into five business lines – aggregates (crushed rock, sand and gravel), concrete, asphalt and contracting, cement and recycling – which together operate over 300 manufacturing sites and employ more than 4,000 people. The company is leading the decarbonisation of the cement sector through carbon capture and storage and has reached a final investment decision with the UK Government to build the world’s first carbon capture facility to enable fully decarbonised cement production at its Padeswood works in north Wales. Construction is underway and the new facility will enable the production of evoZero carbon captured near-zero cement in 2029.
heidelbergmaterials.co.uk

About Worley
Worley is a leading global professional services company of energy, chemicals, and resources experts. We partner with customers to deliver projects and create value over the life of their assets. We’re bridging two worlds, moving towards more sustainable energy sources, while helping to provide the energy, chemicals and resources needed now. Worley Limited is headquartered in Australia and listed on the Australian Securities Exchange (ASX: WOR).
www.worley.com

About MHI Group’s CO₂ capture technologies
MHI Group has been developing the “KM CDR Process™” (Kansai Mitsubishi Carbon Dioxide Recovery Process) and the “Advanced KM CDR Process™” in collaboration with The Kansai Electric Power Co., Inc. since 1990. As of December 2025, the Company has delivered 18 plants adopting these processes, and two more is currently under execution. The Advanced KM CDR Process™ adopts the “KS-21™” solvent, which offers superior regeneration efficiency and lower deterioration than the “KS-1™”, and has been verified to provide excellent energy saving performance and reduced operating costs.

Further information on MHI Group’s CO₂ capture plants:
https://www.mhi.com/products/engineering/co2plants.html