Partnerships Drive Project Success

In the past six months, the Department of Energy (DOE) has issued several announcements regarding funding and support of projects including direct air capture (DAC), carbon transportation and converted CO₂ emissions. This federal level of support highlights the increasing need to deploy carbon capture, utilization and storage systems (CCUS).  It also emphasizes the need for collaboration we will need across sectors to make climate goals a reality. Collaboration between researchers, policymakers, corporations and the general public is necessary to ensure the responsible development of projects and the distribution of accurate project information. We’ve recently obtained the policy framework to meet climate targets via the Bipartisan Infrastructure Law (BIL) and Inflation Reduction Act (IRA). Now, the challenge is engaging all parties who are involved and/or affected by a project and guaranteeing that projects remain safe and compliant with regulatory standards and any community concerns are addressed.

We start this issue by examining some of the most recent, groundbreaking news within the industry.   From Milestone Carbon’s acquisition of acreage for CO2 storage to Carbonvert and Castex’s offshore CCS Hub joint venture, these examples underscore the industry’s reliance on collective efforts. There are also spotlights on pages 12 – 14 covering industry pioneers who each play a unique role in moving CCUS adoption forward.

Perhaps the most notable of recent DOE news was the announcement of up to $1.2 billion to advance the development of two commercial-scale DAC facilities. This announcement was the world’s largest investment in engineered carbon removal and will advance Project Cypress and the South Texas DAC Hub. Additional funding was announced for 19 other projects specifically focusing on the feasibility and design of DAC technology. One of these 19 projects was the California DAC Hub which consists of more than 40 organizations and was formed by Carbon TerraVault Holdings. Learn more about how this project leverages partnerships and aims to revolutionize DAC, plus storage, on page 17.

On page 21, David LaGreca examines the critical nexus between government incentives and the voluntary carbon markets (VCM) in advancing CCUS solutions. As mentioned above, the IRA has set the stage for CCUS investments, but we often see projects fall short when it comes to the comprehensive cost of deployment, a situation that resonates with companies striving to reduce emissions. In this context, the VCM emerges as a powerful and complementary force, designed to render CCUS projects financially viable.

Lastly, on page 24, we look into the best practices when applying for a Class VI well permit application. A permitting application is a pivotal aspect of any sequestration project, so it is important to minimize risk at any and every step of the process. From identifying project-slowing factors at the outset to managing the extensive permit application requirements and engaging stakeholders effectively, this insight offers a roadmap to navigate the intricate CCUS permitting journey.

Enjoy the read!

Printed in Issue 2, 2023 of Carbon Capture Magazine