Continental Resources Inc. is investing in a pipeline to capture and then transport carbon from ethanol plants across the Midwest to a sequestration project in North Dakota.
The Oklahoma City-based independent will invest $250 million in Summit Carbon Solutions’ project to capture carbon dioxide (CO2) from ethanol plants and other industrial sources in Iowa, Nebraska, Minnesota, North Dakota and South Dakota. The CO2 will be aggregated and transported to North Dakota via pipeline, where it will be sequestered in geologic formations.
Continental Resources CEO Bill Berry said, “Carbon capture will play an integral role in helping reduce global emissions, and we believe Summit Carbon Solutions has the most capital efficient project to further this goal.”
Iowa’s Summit Carbon Solutions is an affiliate of agribusiness operator Summit Agricultural Group. The company calls the project “the largest of its kind.”
The project has commitments from 31 partner ethanol facilities to deliver more than 8 million metric tons/year (mmty) of CO2, with initial pipeline capacity of 12 mmty, and expansion capabilities to handle up to 20 mmty.
“This project will be transformational for the ethanol and agriculture industries and will have a substantial economic impact across the Midwest,” said Bruce Rastetter, CEO of Summit Agricultural Group. “We have engaged with governors and leaders in all five states involved in the project and are grateful for the exceptional leadership and commitment from each to this initiative.”
Summit began developing plans for the project and its partnerships with ethanol producers in 2019. It expects to be operational in the first half of 2024.
Numerous U.S. oil and gas producers have announced major carbon capture, storage and utilization (CCUS) projects in recent years. This includes the proposed $100 billion CCUS project in Houston under development by a group of companies led by ExxonMobil.
Oil and gas lobbying groups such as the American Petroleum Institute (API) also have advocated for expanding CCUS.
Continental’s acreage spans the Bakken Shale in North Dakota and Montana, the South Central Oklahoma Oil Province, aka the SCOOP, and the STACK, or the Sooner Trend of the Anadarko Basin, mostly in Canadian and Kingfisher counties in Oklahoma, and the Powder River Basin in Wyoming.
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