Enterprise, Oxy plan CO2 project along Texas Gulf Coast
Enterprise Product Partners and Occidental Petroleum plan to forge a carbon dioxide sequestration and transportation system that could sell carbon management services to emitters along the Texas Gulf Coast, they said in a statement, said the company.
They plan to combine the pipeline company’s transportation network with carbon sequestration hubs under development by Oxy, an oil producer expanding into the carbon management business. The idea is to focus initially on capturing emissions along the industrial corridor from Houston to Beaumont and Port Arthur.
“For many years, Enterprise and Oxy have successfully collaborated in developing traditional oil and gas projects," Enterprise co-CEO Jim Teague said, “We are excited to evolve that relationship." Oxy announced plans last month to spend up to USD1 billion on a facility that could remove 500,000 tons of carbon dioxide directly from the air. It would be the world’s largest direct air capture project.
The energy transition is driving interest in carbon capture projects, which are on track to increase tenfold by 2030, Norwegian energy consultancy Rystad Energy said Tuesday. Still, it said the planned influx is not aggressive enough — planned carbon capture capacity falls short of what is needed to meet the International Energy Agency’s net-zero scenario.