Diamondback signs LOI to collaborate on emission-free power for Permian operations
Diamondback Energy Inc., Midland, has signed a non-binding letter of intent (LOI) with Oklo Inc. to collaborate on a 20-year agreement to power its Permian basin operations in Texas through emission-free electricity from fission reactors.
According to the LOI terms, Oklo intends to license, build, and operate powerhouses capable of generating 50 Mw of electric power to Diamondback E&P LLC, a wholly owned subsidiary of Diamondback near Midland, Tex.
The LOI outlines options to renew and extend the potential agreement for an additional 20-year term. Oklo's powerhouse designs are intended to be able to operate for 40 years.
Diamondback is one of a number of US energy and chemical companies contemplating plans to utilize small nuclear reactors to meet electricity requirements, reported OGJ sister publication Chemical Processing.
Oklo received a site use permit from the US Department of Energy, was awarded fuel material from Idaho National Laboratory, submitted the first advanced fission custom combined license application to the Nuclear Regulatory Commission, and is developing advanced fuel recycling technologies in collaboration with the US Department of Energy and US National Laboratories.
Mikaila Adams | Managing Editor - News
Mikaila Adams has 20 years of experience as an editor, most of which has been centered on the oil and gas industry. She enjoyed 12 years focused on the business/finance side of the industry as an editor for Oil & Gas Journal's sister publication, Oil & Gas Financial Journal (OGFJ). After OGFJ ceased publication in 2017, she joined Oil & Gas Journal and was named Managing Editor - News in 2019. She holds a degree from Texas Tech University.
