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Released November 23, 2022 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Louisiana Governor John Bel Edwards said direct-air capture (DAC) technology in the Gulf of Mexico could establish the state as a leader in the energy transition.
Louisiana-based Gulf Coast Sequestration signed a memorandum of understanding with direct-air capture (DAC) company Climeworks (Zürich, Switzerland) to explore the potential for an offshore facility that could pull as much as 1 million tons of carbon dioxide (CO2) out of the air each year.
"Louisiana is rapidly emerging as a leader in the global energy transition, and carbon capture and sequestration is a crucial part of our plan to get to net-zero carbon emissions by 2050," the governor said. "This significant agreement between a pioneering Louisiana company and a global leader in direct air capture technology is another step forward in diversifying and growing our economy."
DAC utilizes chemicals in either the solid or liquid phase to absorb CO2 from ambient air. That CO2 can then be stored in deep underground geological formations or utilized for a variety of purposes, from beverage processing to hydrogen production.
As of now, there are 18 DAC plants operating worldwide, though all of those are considered small scale. Only two are storing CO2 in geological formations and the rest send it off for other uses, such as drink carbonation. Most of the rest are in either the testing or demonstration phase.
The first large-scale DAC plant should be up and running in the United States by the mid-2020s, boasting a capacity of 1 million tons of CO2 per year. The Louisiana facility, if approved, would add to that with a possible launch date of 2030.
Whether from political or shareholder pressure, companies are exploring carbon sequestration technology along the oil- and gas-rich Gulf Coast. Eleven companies, from Chevron (NYSE:CVX) (San Ramon, California) to Valero (NYSE:VLO) (San Antonio, Texas), last year expressed interest in the large-scale deployment of carbon capture and storage (CCS) in Houston.
If built, the companies said the facility could capture and store as much as 50 million metric tons of CO2 per year by 2030.
Exxon Mobil Corporation (NYSE:XOM) (Irving, Texas) is performing equipment studies for a Blue Hydrogen and Carbon Capture Storage Addition at its Baytown, Texas, olefins complex. Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing project and plant databases can click here for the project report.
Estimates for CCS along the Gulf Coast are far higher than for DAC. The U.S. Department of Energy estimates the Gulf Coast could store as much as 500 billion metric tons of CO2 using CCS, the equivalent of 130 years of industrial- and power-based emissions.
Elsewhere, 1PointFive, part of Occidental Petroleum Corporation's (NYSE:OXY) (Houston) Oxy Low Carbon Ventures business, is working to develop CCS technology further inland in the Permian Basin, which could advance further toward DAC. Subscribers to the GMI Oil & Gas Project Database can click here for related project reports and here for the plant profile.
The International Energy Agency (IEA) finds there are plans for 11 more DAC projects in various stages of advanced development. If built, that could abate another 5.5 million metric tons of CO2 by 2030.
While Louisiana's governor is right to recognize the shifting energy landscape along the U.S. Gulf Coast, the IEA finds that what's coming down the pipeline in terms of DAC developments are less than 10% of what's necessary to usher in a net-zero economy.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Louisiana-based Gulf Coast Sequestration signed a memorandum of understanding with direct-air capture (DAC) company Climeworks (Zürich, Switzerland) to explore the potential for an offshore facility that could pull as much as 1 million tons of carbon dioxide (CO2) out of the air each year.
"Louisiana is rapidly emerging as a leader in the global energy transition, and carbon capture and sequestration is a crucial part of our plan to get to net-zero carbon emissions by 2050," the governor said. "This significant agreement between a pioneering Louisiana company and a global leader in direct air capture technology is another step forward in diversifying and growing our economy."
DAC utilizes chemicals in either the solid or liquid phase to absorb CO2 from ambient air. That CO2 can then be stored in deep underground geological formations or utilized for a variety of purposes, from beverage processing to hydrogen production.
As of now, there are 18 DAC plants operating worldwide, though all of those are considered small scale. Only two are storing CO2 in geological formations and the rest send it off for other uses, such as drink carbonation. Most of the rest are in either the testing or demonstration phase.
The first large-scale DAC plant should be up and running in the United States by the mid-2020s, boasting a capacity of 1 million tons of CO2 per year. The Louisiana facility, if approved, would add to that with a possible launch date of 2030.
Whether from political or shareholder pressure, companies are exploring carbon sequestration technology along the oil- and gas-rich Gulf Coast. Eleven companies, from Chevron (NYSE:CVX) (San Ramon, California) to Valero (NYSE:VLO) (San Antonio, Texas), last year expressed interest in the large-scale deployment of carbon capture and storage (CCS) in Houston.
If built, the companies said the facility could capture and store as much as 50 million metric tons of CO2 per year by 2030.
Exxon Mobil Corporation (NYSE:XOM) (Irving, Texas) is performing equipment studies for a Blue Hydrogen and Carbon Capture Storage Addition at its Baytown, Texas, olefins complex. Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing project and plant databases can click here for the project report.
Estimates for CCS along the Gulf Coast are far higher than for DAC. The U.S. Department of Energy estimates the Gulf Coast could store as much as 500 billion metric tons of CO2 using CCS, the equivalent of 130 years of industrial- and power-based emissions.
Elsewhere, 1PointFive, part of Occidental Petroleum Corporation's (NYSE:OXY) (Houston) Oxy Low Carbon Ventures business, is working to develop CCS technology further inland in the Permian Basin, which could advance further toward DAC. Subscribers to the GMI Oil & Gas Project Database can click here for related project reports and here for the plant profile.
The International Energy Agency (IEA) finds there are plans for 11 more DAC projects in various stages of advanced development. If built, that could abate another 5.5 million metric tons of CO2 by 2030.
While Louisiana's governor is right to recognize the shifting energy landscape along the U.S. Gulf Coast, the IEA finds that what's coming down the pipeline in terms of DAC developments are less than 10% of what's necessary to usher in a net-zero economy.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
