Lapis Carbon Solutions and its partner Big River Resources have submitted a Class VI permit application for a new carbon capture and storage (CCS) project adjacent to Big River Resources’ ethanol facility in Galva, Illinois.
The project is designed to permanently sequester more than 725,000 tons of CO2 per year over a 12-year operating period, materially lowering the carbon intensity of ethanol produced at the site.
The proposed development follows the successful completion of a stratigraphic test well, which confirmed favorable subsurface conditions for the safe, long-term geological storage of CO2.
With permitting now underway, the project represents a key step toward deploying commercial-scale CCS in the US Midwest, where ethanol producers face mounting pressure to decarbonize supply chains and improve lifecycle emissions performance to remain competitive in emerging low-carbon fuel markets.
Enabling low-carbon ethanol in the Midwest
By integrating CCS, Big River Resources aims to strengthen its position in next-generation low-carbon fuels, including ethanol pathways that qualify for premium markets such as sustainable aviation fuel and low-carbon gasoline blending components.
The captured CO2 is expected to qualify for federal tax credits under Section 45Q of the US Internal Revenue Code, improving the project’s commercial viability and helping de-risk early investment in CCS infrastructure in the region.
“Our partnership with Big River marks an expansion into the Midwest—a market where bespoke carbon solutions are needed now more than ever,” said Lapis Carbon CEO Reg Manhas. “This shows the expertise of our world-class team to find creative solutions that are customized to the needs of the emitter and of the local community.”
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Unlike large shared CO2 transport and storage hubs concentrated along the US Gulf Coast, Midwest CCS projects often require dedicated storage developments co-located with emitters to minimize transport costs and permitting complexity.
If approved, the Galva project would add to a growing pipeline of CCS developments targeting bioenergy and ethanol facilities, a segment viewed by many policymakers as a near-term opportunity to deliver cost-effective emissions reductions.
As low-carbon fuel standards tighten and demand for lower-carbon biofuels rises, CCS deployment at ethanol plants is increasingly emerging as a strategic lever to preserve market access while cutting industrial emissions.
Read more: IRS Creates Temporary Safe Harbor To Shield 45Q Carbon Capture Credits
