More specifically, the agreement was signed between Catahoula and Chief Ethanol, which is a division of Chief Industries – a Nebraskan construction company providing multifaceted services around the world.
Catahoula Resources is a Texas-based company that develops alternatives in the natural gas liquids and derivatives sectors. The company is also part of The Energy and Minerals Group (EMG) investment portfolio, which is among the most prominent investors in midstream infrastructure on the continent.
Currently, the two companies are assessing investments in carbon capture and sequestration infrastructure that will lower the costs of ethanol production via carbon storage in the state of Nebraska.
And according to the Adopt the Nebraska Geologic Storage of Carbon Dioxide Act that was passed in May 2021, geologic CO2 storage is allowed, which was what Catahoula and Chief are now looking into to determine the optimal storage geology.
The Act specifies, however, that geologic storage is allowed only for storage operators who have been granted a permit by the commission and the Environmental Protection Agency’s Underground Injection Control program.
The proposed storage facility must be deemed safe for both underground drinking water sources and surface waters by the commission. And the operators must, in turn, provide a testing and monitoring plan to observe the migration of the injected CO2.