Denbury, Lapis Energy partner on carbon capture project
27/06/2023 13:46
June 27 (Reuters) - Energy firm Denbury Inc DEN.N said
on Tuesday it has formed a joint venture with Lapis Energy to
develop a carbon capture project in Louisiana, amid growing push
to reduce planet-warming emissions.
Each firm will have a 50% stake in the newly formed Libra
CO2 Storage Solutions.
Carbon sequestration, the process of capturing and storing
atmospheric carbon dioxide deep underground, has gathered steam
globally over the past few years as industries and governments
rush to meet their climate goals.
Lapis said it would take the lead through the project's
permitting process, pre-investment phase and initial
construction, while Denbury would assume operatorship and later
construction management.
The companies estimate that the project site has the
potential to hold at least 200 million metric tons of CO2 and,
because of its close proximity to industrial hubs, can become a
regional hub decarbonization site.
Separately on Tuesday, Denbury announced a deal with
Soterra, a unit of industrial packaging products maker Greif Inc
GEF.N for the right to develop a dedicated CO2 sequestration
site in Louisiana.
(Reporting by Tanay Dhumal in Bengaluru; Editing by Shilpi
Majumdar)
((Tanay.Dhumal@thomsonreuters.com;))