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EPA and Texas Railroad Commission Sign Memorandum of Agreement for Permitting Geologic Storage of Carbon Dioxide

LCG, April 29, 2025--Officials from the U.S. Environmental Protection Agency (EPA) and Texas Railroad Commission (RRC) signed a memorandum of agreement (MOA) today outlining the state’s plans to administer programs related to carbon storage wells, known as Class VI wells. The MOA signing is a required step in the RRC’s application to be granted authority to permit Class VI wells in the state of Texas. EPA is currently preparing a proposed approval of RRC’s primacy application.

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Calpine and ExxonMobil Sign CO2 Transportation and Storage Agreement for CCS Project in Texas

LCG, April 24, 2025--Exxon Mobil Corporation (ExxonMobil) announced yesterday an agreement with Calpine Corporation (Calpine) to transport and permanently store up to 2 million metric tons per annum (MTA) of CO2 from Calpine’s Baytown Energy Center, a natural gas-fired facility located near Houston, Texas. This is part of Calpine’s Baytown Carbon Capture and Storage (CCS) Project that is designed to add CCS for the facility’s CO2 emissions. The Calpine facility could then provide a 24/7 supply of low-carbon electricity to the Texas grid plus steam to nearby industrial facilities.

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Industry News

Calpine to Acquire Canadian Gas Producer

LCG, Oct. 17, 2000Calpine Corp. said yesterday it would pay $3.20 (Canadian) per share for all of the outstanding stock of Calgary-based oil and gas company TriGas Exploration Inc. in a deal already approved by officers and directors of the two companies.

The $103 million (U.S.) cash transaction will give Calpine assets that currently produce about 30 million cubic feet of natural gas equivalent per day with additional gas volumes waiting to be tied in. Calpine said the reserves, which are substantially all natural gas and associated gas liquids, represent a significant strategic asset.

Almost all of TriGas' operations are located an area of Alberta 30 miles north of Calgary and close to Calpine's planned 250 megawatt Calgary Energy Center, a combined-cycle, natural gas power generation facility expected to be operational by December 2002.

Calpine said the acquisition will give it natural gas reserves to fuel its Calgary facility and a 26percent interest in the East Crossfield Gas Plant.

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