HeadlinesBriefing favicon HeadlinesBriefing.com

ExxonMobil wins Texas approval for $5bn carbon capture project

Financial Times Companies •
×

Exxon Mobil has been granted permission to store carbon dioxide emissions in underground wells in Texas following a high-stakes battle with opponents over safety and economic objections. Regulators in Texas narrowly approved the company's application in a vote on Tuesday, which paves the way for it to advance a $5bn-plus plan to build the world's largest carbon capture pipeline network on the US Gulf Coast.

The permit for the Rose CCS project will enable Exxon to inject about 53mn tonnes of its clients' CO₂ emissions into three underground wells it has drilled at sites in Jefferson County, about 90 miles east of Houston. The company is seeking to connect industrial customers to a 900-mile network of pipelines that can transport CO₂ into porous rock formations deep underground.

Representatives on the Railroad Commission of Texas voted two to one in favour of granting Exxon the permit following a public hearing that reflected mounting public and political opposition to CCS in Louisiana and Texas. Dominic Genetti, Exxon's senior vice-president of CCS, said approval of the first permit was a "major milestone" and would enable the company to continue expanding its business across the Gulf Coast.

Wayne Christian, the commissioner who voted against approving the permit, failed in an attempt to delay the vote. He said permitting CCS technology was the most controversial decision to come before the committee over the past decade.