The last few years have seen carbon capture gaining momentum with more investment and expertise pouring into the sector. One of the companies that has been underpinning this growth is Fluor and we sat down with Sunil Vyas, Technical Director for Business Incubation and carbon capture, utilization and storage (CCUS) Subject Matter Expert at the company.
We talked about the company’s evolving role in the carbon capture sector, its work with emerging climate technologies, and how shifting global policies are shaping the pace of decarbonization.
Could you start by telling us about your background and current role at Fluor?
I’ve been with Fluor for about 26 years, based in Southern California. I started as a process engineer working on syn-gas generation projects for hydrogen, methanol, ammonia. Later, I joined our carbon capture technology team, which was developing post-combustion capture solutions even back in the late 2000s.
People were already interested, but they were still trying to understand the true costs and implications. One of the major early projects was the Boundary Dam competition in Canada where Fluor was one of the bidders. I led the process engineering side. Had we won, my career might have gone in a different direction.
A few years later, I moved into corporate strategy and now split my time between two roles. One is leading business incubation—working with startup technology companies focused on the energy transition. We don’t invest or take equity; we act as engineering partners to help them scale and commercialize. The idea is, when they reach demonstration or commercial scale, we already have a trusted relationship.
The other role is as Fluor’s CCUS subject-matter expert. That means working on strategy, client engagements, and helping to change the perception that Fluor is only an EPC (Engineering, Procurement, Construction). We are that, but we also license our own carbon capture technologies.
Where does Fluor stand today in the CCUS space?
We play three roles. First, as a technology licenser. Our Econamine FG Plus post-combustion capture technology has been around for over three decades. We’ve licensed about 30 plants—mostly smaller, older facilities. The technology has evolved significantly since then, especially in reducing energy use and improving solvent management.
Right now, we have four projects in or near completion of the FEED phase across the U.S., Canada, and Europe, covering power generation, waste-to-energy, and refinery reformers. On the pre-combustion side, we also license Fluor Solvent technology for removing CO2 from natural gas or syngas streams.
Second, we are an EPC provider, historically technology-neutral. We’ve built capture projects using other technologies. One example is Shell’s Quest project in Alberta, where we handled pre-FEED through EPC. We’re also working on Heidelberg’s oxy-combustion project in Germany.
Third, we’re active in emerging technologies. This is where we differ from most EPCs, we engage with startups early. We’ve worked with CarbonFree, which produces calcium carbonate and HCl from CO2; with several e-fuels developers; and we’ve signed an MOU with Carbfix for mineralization storage, where CO2 is injected into basalt to form rock.
“When startups work with experienced engineering partners, it boosts bankability. For us, the partnership also helps us stay “smart.”” – Sunil Vyas, Fluor
We’ve also worked with direct air capture (DAC) players like CarbonCapture Inc. Unfortunately, DAC has faced headwinds lately after the DOE cancelled the DAC Hub awards in the U.S., and we were part of four of those proposals. But we expect smaller projects to continue in Europe and Canada.
Lastly, we’re part of the Carbon to Value Initiative, a carbontech accelerator now entering its fifth year. It’s been invaluable in connecting us with startups and keeping us close to where innovation is happening.
That accelerator connection ties to the “bankability” issue startups often face. Is Fluor’s engagement partly about improving project credibility?
Exactly. When startups work with experienced engineering partners, it boosts bankability. For us, the partnership also helps us stay “smart.” By engaging with early-stage technologies, our subject-matter experts stay current on where the market is heading—whether in carbon capture, energy storage, or advanced nuclear.
So while we’re helping startups scale, we’re also helping ourselves evolve and stay aligned with the next generation of technologies.
You mentioned that your post-combustion technology has improved. How so compared to a decade ago?
The biggest advances have been in energy efficiency, environmental performance, and especially solvent maintenance.
Every flue gas has contaminants like oxygen, SOx, NOx, that degrade amines over time. Most systems use a reclaimer intermittently, which causes performance swings. We operate solvent maintenance continuously, like a pool filter, keeping degradation products low at all times.
That allows what we call “day one operation” indefinitely—consistent performance without fluctuations. This was successfully tested at TCM in Mongstad, Norway.
What capture rates can your systems achieve today?
Historically, clients asked for 90%. Now, almost all designs target 95% CO2 capture, and we can achieve that. Above 95%, costs start to rise steeply, so it’s about finding the right balance. There’s no real regulatory mandate for 95%, but many projects set it as a target, especially in Europe where some funding models or offtake agreements tie incentives to reaching that threshold.
“The key is that 45Q remains intact” – Sunil, Vyas, Fluor
Do your current projects involve enhanced oil recovery (EOR)?
None of our recent projects have included EOR, though we’d be open to it. The updated 45Q tax credit, which increased utilization value to $85 per ton, could revive interest if oil prices support it.
On the topic of 45Q—what happens if greenhouse gas reporting requirements are rolled back in the U.S.?
For Fluor, probably minimal impact. But for the broader CCUS industry, inconsistent federal rules could create a patchwork of state regulations, potentially chaotic.
That said, most companies are under investor pressure to report emissions anyway. Transparency has become tied to credibility and access to capital. If reporting were relaxed, it might slow progress but not stop it.
Relevant: EPA Rollback Set To Erase Carbon Emissions Reporting And Limits
The key is that 45Q remains intact, and that’s huge. While other clean-energy incentives faced changes this year, 45Q was strengthened, particularly for utilization. So despite headwinds like DOE cancellations, CCUS in the U.S. still has momentum.
How do you see regional trends like the U.S. versus Europe and beyond?
Europe’s arrow is pointing up. You’ve got Northern Lights operating, Heidelberg’s Brevik cement project capturing CO2, and new UK government funding for capture projects. Even when it’s a competitor’s technology, every successful project lifts the entire industry.
In the U.S., things are slower at the moment, but globally, we’re seeing strong government support in Europe. We’re focused mainly on North America and Europe, with offices in Asia-Pacific and the Middle East, though activity there is still limited.
Data centers and AI are creating massive new power demands. How do you see carbon capture fitting into that?
Data centers are a hot topic. Their power demand is huge and they want it fast. Options range from natural gas to nuclear, geothermal, and renewables plus storage.
If developers go with gas-fired generation, it’s unlikely they’ll include capture immediately, it takes longer to build. But they can design carbon-capture-ready plants, making it easier to retrofit later.
Hyperscalers are new players that have never built power plants before. They’re learning fast, and if they’re willing to pay a premium for clean power, it could accelerate innovation across several technologies.
Finally, what’s next for Fluor in this space?
We’re focused on helping both established companies and startups move from concept to commercial scale. We want to be there when these technologies scale up, because that’s when decarbonization really happens.
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