Drax power station build a 626 MW oxygen-fuelled combustion power station adjacent to the existing Drax site. National Grid would simultaneously construct a pipeline to transport to the Yorkshire coast for sequestration. In July 2014 the project was awarded €300 million funding from the European Commission. In September 2015 Drax announced it would not be making any further investments into the CCS scheme after completion of the feasibility study because negative changes to government support for renewable energy had made the project too financially risky, plus drops in the company's share price due to the same uncertainty had reduced Drax's ability to raise
Drax power station in the US. In 2013 the company signed an agreement with ABP to develop handling facilities at the Port of Hull, Immingham and Grimsby; construction of automated facilities began in 2013, creating capacities of 3 and 1 million tonnes per year at the ports of Immingham and Hull respectively, adding to the 1.4 million tonne per year Port of Tyne biomass facility built in 2009. In the same year a new design covered rail wagon with high volumetric capacity for transporting the low density biomass pellets was unveiled for use by Drax in the UK; 200 wagons of the type