Oxy, NRP to evaluate Texas CO2 sequestration hub development
Occidental Petroleum Corp.’s Low Carbon Ventures (OLCV) subsidiary and Natural Resource Partners LP (NRP) agreed to evaluate potential development of a permanent CO2 sequestration hub in southeast Texas.
The agreement provides OLCV with exclusive rights to develop a hub on about 65,000 acres of pore space controlled by NRP. The site offers proximity to industrial CO2 emissions and holds CO2 storage potential of at least 500 million metric tons, Oxy said in a release Oct. 28.
Development would be completed by OLCV’s 1PointFive unit, in line with plans to develop carbon capture and sequestration (CCS) hubs, some of which are expected to be anchored by Direct Air Capture (DAC) infrastructure (OGJ Online, Aug. 25, 2022).
NRP currently has about 140,000 acres of pore space under lease for carbon sequestration with a total estimated storage capacity of 800 million tonnes of CO2. The company will continue to evaluate carbon sequestration opportunities on the nearly 3.3 million acres of additional carbon sequestration rights it owns across the Gulf Coast.
Alex Procyk | Upstream Editor
Alex Procyk is Upstream Editor at Oil & Gas Journal. He has also served as a principal technical professional at Halliburton and as a completion engineer at ConocoPhillips. He holds a BS in chemistry (1987) from Kent State University and a PhD in chemistry (1992) from Carnegie Mellon University. He is a member of the Society of Petroleum Engineers (SPE).
