California Resources Corp. (CRC) kicked off 2023 with an agreement to sequester carbon dioxide (CO2) from Grannus LLC’s blue ammonia and hydrogen project.

The Carbon Dioxide Management Agreement (CDMA) by CRC subsidiary Carbon Terravault Holdings LLC (CTV) stipulates that it would provide infield transportation to offtake CO2 produced from the Grannus project. The project is expected to produce around 150,000 metric tons per year (mty) of blue ammonia and 10,000 mty of blue hydrogen using natural gas. 

CRC CEO Mac McFarland noted the partnership marks an “expansion of our decarbonization efforts in Northern California,” where CRC sees “an incredible amount of carbon capture and storage (CCS) opportunities. Our partnership with Grannus begins a new chapter of carbon...