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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

Tucson Electric in 760 Megawatt Plant Expansion

LCG, Feb. 2, 2001Tucson Electric Power Co. will double the capacity of its Springerville Generating Station in northeastern Arizona by adding two 380 megawatt coal-fired units to the two already in operation, the utility's parent holding company said yesterday.

Bechtel Power Corp. will handle the construction, Unisource Energy Corp. said. Bechtel had originally designed the facility as a four-unit plant, and had completed construction of units one and two in 1985 and 1990. The new units will bring the plant up to its 1,520 megawatt design capacity.

The two new units, which will be placed in service in 2004 and 2005, are expected to be fully utilized between the energy needs of Tucson Electric's own customers and power purchase agreements with other Arizona energy companies.

James S. Pignatelli, Unisource chief executive, said "This project provides an excellent opportunity for the expansion of our existing resources to support the energy and reliability requirements of Arizona's residential, commercial and industrial customers."

Bechtel is no stranger to power plant development according to Eric Grenfell, a vice president and manager of fossil power for the Americas. "We have designed and constructed more than 100 baseload coal-fired facilities and 350 fossil-fired units since entering the power market in 1946," he said.

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