US independent Talos Energy has announced plans to develop the River Bend CCS project in the Mississippi River industrial corridor, with a lease agreement for land and a memorandum of understanding for carbon transportation in place.
Talos will lease 26,000 acres in Louisiana for future carbon capture and storage projects and entered an MoU with EnLink Midstream to provide carbon dioxide transportation solutions in the region.
Through its MoU with EnLink, the companies will utilize portions of EnLink’s existing pipeline infrastructure in Louisiana, which is intended to reduce the cost and environmental impacts of the project.
“EnLink owns the last-mile pipe to most industrial emission sources in the region and will complement Talos’s expertise in conventional geology, subsurface characterization and track record of responsible operations,” Talos CEO Timothy Duncan said.
“We are excited to collaborate to provide a one-stop solution that will lead to a simpler pricing model and, ultimately, accelerated decarbonization in a key industrial emissions region,” he added.
Talos has also secured a right of first refusal on about 63,000 additional acres in the region for potential future expansion to meet market demand.
The announcements mark the first major CCS project in the Baton Rouge/New Orleans area, according to the Talos Energy, who will be the project manager and operator of the injection, storage, and monitoring. Talon will be joined by UK company Storegga.
Talos and Storegga entered their own MoU in June to scout CCS opportunities in the US, more recently partnering with Freeport LNG to develop a CCS project in the US Gulf Coast near Texas
“Today we announced another milestone on our journey to build out one of the largest portfolios of projects along the US Gulf Coast,” Duncan said.
“This project is unique because the Mississippi River corridor is such an important focus area for lowering industrial emissions, and by combining the right storage location and geology, real pipeline infrastructure and two credible and capable operators, the River Bend CCS project can be a model for optimizing those variables to achieve a successful integrated CCS project.”
The industrial region Talos is focusing on emits approximately 80 million tons per annum of carbon dioxide, about two-thirds of Louisiana’s total industrial emissions. Talos plans to build out carbon capture projects in three distinct sites with a cumulative storage capacity of more than 500 million tpa.
For more information visit www.talosenergy.com