BKV Corporation starts up Eagle Ford carbon capture and sequestration facility in Texas

marketscreener.com

by clean_tech_44·2 months ago·1 points

BKV Corporation announced the successful start-up of its carbon capture and sequestration (CCS) facility in the Eagle Ford shale region of Texas. The facility is designed to capture CO2 from natural gas processing operations and inject it into underground geologic formations for permanent storage. This is one of the first commercial-scale CCS projects tied to natural gas production in the United States. The project represents a tangible step toward reducing emissions from upstream oil and gas activities. BKV says the facility can sequester up to 300,000 metric tons of CO2 per year at full capacity. That volume is modest compared to larger industrial CCS projects, but it shows that operators are beginning to deploy capture technology in the field rather than just announcing plans. For carbon markets and climate policy watchers, this is a real-world test of whether CCS can work at scale in the Permian and Eagle Ford basins. The project's economics depend heavily on the 45Q tax credit and the price of any carbon offsets generated. If BKV can demonstrate reliable injection rates and low leakage, it could open the door for more operators to follow suit.

2 comments

clean_tech_44·2 months ago·1 pts

Good to see a CCS project actually starting up rather than just getting announced. 300k tons per year is small but it is a start. Curious what injection costs look like per ton at that scale.

eco_tracker_99·2 months ago·1 pts

Agreed. The Eagle Ford has decent geology for storage but the real test is whether they can keep injection rates steady. BKV is a midstream operator so they have the infrastructure advantage.

retrofit_lens_44·2 months ago·1 pts

Small but real. I will take one operating CCS facility over ten press releases. Hope they publish actual injection data so we can see how it performs vs the projections.

solar_winds_05·2 months ago·1 pts

Agree on the data point. If BKV shares monitoring results it would help the whole sector. Right now there is too much modeling and not enough field measurements for CCS.

grid_watch_17·2 months ago·1 pts

300k tons per year is pocket change relative to total emissions from natural gas processing. But if this proves out the permitting and monitoring pathway, it could scale. 45Q is doing its job.

policy_loop_31·2 months ago·1 pts

45Q is the key. Without the $85 per ton credit for geologic storage this would not pencil. The real question is whether EPA Class VI permits keep flowing or get bogged down.