Several developments are happening for Talos Energy this month. The company is making progress with key carbon capture projects that ensure its growing portfolio of low carbon initiatives. Talos Energy announced on March 16th that it executed definitive lease documentation with the Texas General Land Office for its carbon capture and storage (CCS) site called Bayou Bend CCS project.
Back in August 2021, Talos Energy together with its partner Carbonvert were the sole winning bidder for the Texas carbon storage site located near Beaumont and Port Arthur in Texas. The award placed Talos with a physical project site dedicated to carbon capture and sequestration.
Now the two partners formally executed the lease for the offshore carbon sequestration site to move forward with this key opportunity. The next step is to identify industrial partners for the Bayou Bend CCS project as well as a midstream transportation solution in the region.
Talos Energy is rapidly building one of the premier carbon capture and storage project portfolios in the US. They are now also organized under Talos Low Carbon Solutions LLC that aims to become an industry-leading CCS platform and a meaningful business for the company in the future, according to the Energy chief executive Timothy Duncan.
The Bayou Bend CCS project will cover more than 40,000 acres right next to the Beaumont and Port Arthur Texas industrial corridor. It has an estimated storage capacity of 225 – 275 million metric tons of CO2. Talos Energy’s equity interest in the partnership is 50% and will act as its operator.
A separate announcement regarding the company’s CO2 management initiatives also made the headlines. On March 5, 2022, Talos established a technical alliance with Core Lab to perform advanced carbon capture and storage site characterization for the company. That includes stratigraphic evaluation of wells, reservoir core sampling, geological assessment and rock and fluid sample analysis.
These assessments are a critical part of the EPA Class VI permit applications. The two companies also established a framework for future collaboration around CO2 stream monitoring and verification. Core Lab currently partners with Talos on numerous upstream subsurface activities.
“We are pleased to announce this strategic alliance with Core Lab… Capitalizing on our respective subsurface expertise, this alliance strengthens our technical capabilities leading up to the filing of CO2 injection well permits this year and advances TLCS’s ability to deliver high-quality, end-to-end CCS solutions to customers across the Gulf Coast,” said Robin Fielder, Talos Executive Vice President Low Carbon Strategy and Chief Sustainability Officer.
Talos is a company focused on efficiently maximizing long-term value through its operations. The advancement of numerous carbon capture projects in recent years is showing a strategic shift towards decarbonization of operations and lowering emissions.