Equinor has acquired a stake in one of the United States’ largest carbon capture and storage projects.
The Norwegian oil and gas giant procured a 25% ownership share in the Bayou Bend Carbon Capture and Storage (CCS) project located in Texas. The acquisition from Carbonvert was announced on Aug. 28.
Grete Tveit, Equinor’s Senior Vice President for Low Carbon Solutions, said that participation in the Bayou Bend initiative strengthens the company’s portfolio of low carbon solutions. It also aligns with Equinor’s goal to advance and develop between 15 million to 30 million metric tons per year of carbon dioxide transport and storage capacity by 2035. “Our experience from developing carbon storage projects can help advance decarbonization efforts in one of the largest industrial corridors in the US,” Tveit said.
The Bayou Bend CCS project is situated along the Gulf Coast in Southeast Texas. It encompasses over 100,000 gross acres onshore in Chambers and Jefferson Counties, along with more than 40,000 gross acres offshore Beaumont and Port Arthur. The project’s total gross potential storage resources exceed 1 billion tons.
Bayou Bend represents a joint venture involving Chevron, Talos Energy, and Equinor. Chevron holds a majority stake of 50%, while Talos maintains a 25% ownership share.
Chris Powers, Vice President of Carbon Capture, Utilization, and Storage (CCUS) at Chevron New Energies, emphasized the project’s significance in delivering low carbon solutions to industries that are challenging to decarbonize. Powers, a native of Southeast Texas, acknowledged the importance of these industries to local communities and economies.
The Bayou Bend project’s location near major industrial corridors, specifically in the Houston-Port Arthur area, provides potential decarbonization options across sectors such as refining, cement, steel, chemicals, and manufacturing. The industrial emissions in the Texas Gulf Coast region are estimated at approximately 100 million tons of CO2 annually.
The Northern Lights project, which is Equinor’s flagship CSS investment, is seen as a standard bearer for the advancement of the industry in the North of Europe.
An initiative in collaboration with Shell and TotalEnergies, Northern Lights is now working toward a final investment decision.