Chevron Corp. and Enterprise Products Partners LP are evaluating possible projects to store carbon emissions from their U.S. business operations in the Midcontinent and on the Gulf Coast.
Chevron U.S.A. Inc., through its Chevron New Energies division, has a framework in place with a subsidiary of Houston-based Enterprise to evaluate opportunities to store carbon dioxide (CO2) via carbon carbon capture, utilization and storage (CCUS).
The initial phase to evaluate specific business opportunities is set to be completed in around six months.
“This joint effort has the potential to advance our ongoing work to grow our lower carbon businesses with commercial scale using the industry expertise both companies bring to the project,” said Chevron New Energies President Jeff Gustavson.
“International climate change scientists working with the United Nations have identified carbon capture as a critical technology needed to help the global energy system transition to a lower carbon future.”
Chevron has announced numerous partnerships in the past few weeks to expand its New Energies opportunities. Among other things Chevron and various partners are working to expand its reach into the U.S. compressed natural gas market and are working on renewable fuels deals that would advance hydrogen and sustainable transportation for rail and jets.
Chevron and Enterprise have previously worked together “and believe they bring complementary capabilities to successfully pursue CCUS.”
Projects resulting from the evaluation could combine Enterprise’s extensive midstream pipeline and storage network with Chevron’s sub-surface expertise. Management said the companies are looking to create opportunities to capture, aggregate, transport and sequester CO2.
“The joint study with Chevron is part of our growing focus on developing and utilizing new technologies and leveraging our transportation and storage network in order to better manage our own carbon footprint and provide customers with new midstream services to support a lower carbon economy,” said Enterprise’s Jim Teague, co-CEO of the general partner. “Our success in upgrading and repurposing existing assets will be important to the success of any initiative we move forward with.”
Enterprise has about 50,000 miles of pipelines; 260 million bbl of storage capacity for natural gas liquids, crude oil, refined products and petrochemicals; and 14 Bcf of natural gas storage capacity.
Chevron and Enterprise are not the only companies eyeing various CCUS opportunities on the Gulf Coast and in the Midcontinent.
ExxonMobil in April said it was looking for Texas and federal support to build a $100 billion project to capture emissions from petrochemical companies on the Houston Ship Channel (HSC). As envisioned, the emissions also would be buried in the Gulf of Mexico (GOM).
GOM-focused independent Talos Energy Inc. is working on various carbon capture projects too. Its partnership with Carbonvert Inc. was the sole winning bidder in a Texas General land Office sale in August for a carbon capture site east of Houston. The proposed plan could serve to capture emissions from the massive petrochemical complex on the Houston Ship Channel near Beaumont and Port Arthur.
Talos in June also announced a carbon capture partnership with UK-based Storegga Geotechnologies Ltd. to “source, evaluate and develop” opportunities on the Gulf Coast, and offshore Alabama, Louisiana, Mississippi and Texas.
Meanwhile, several companies are collaborating with Navigator CO2 Ventures LLC to advance a unique carbon sequestration system across five Midwest states. Valero Energy Corp. and a unit of BlackRock Inc. in March teamed up with Navigator Energy Services to develop the industrial-scale pipeline to gather, transport and store CO2 emissions from sites in five Midwest states.
Navigator in July said it had contracts in hand with Tenaska, Advanced Resources International and Chabina Energy Partners LLC to progress the CO2 storage pipeline, aka the Heartland Greenway System.
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