Valero Energy Corp. and a unit of BlackRock Inc. are teaming up with Navigator Energy Services to develop an industrial-scale pipeline to gather, transport and store carbon dioxide (CO2) emissions from sites in five Midwest states.


San Antonio-based Valero agreed to anchor the carbon capture and storage (CCS) system with  a unit of the giant investment firm BlackRock Global Energy & Power Infrastructure Fund III. Navigator CO2 Ventures would construct and operate the newbuild system, which initially would run more than 1,200 miles across Illinois, Iowa, Minnesota, Nebraska and South Dakota.

“This project demonstrates our leadership in energy transition through innovation in renewables,” said Valero CEO Joe Gorder. “We continue to expand our long-term competitive advantage...