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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

AES Says Justice Probe Arose from Thermo Ecotek Deal

LCG, June 7, 2001An investigation by the U.S. Justice Department focused on dealings between AES Southland LLC and Williams Energy Services Co. may have had its origins in a Justice Department review of the planned acquisition by AES Corp. of Thermo Ecotek Corp., an AES spokesman said yesterday.

On Tuesday, AES Corp. revealed in a Securities and Exchange Commission filing that it was under investigation by the antitrust division of Justice. The department alleges that an agreement between AES Southland, which operates three large power plants in Southern California, and Williams, which markets all of the power from those plants, "limits the expansion of electric generating capacity at or near certain plants owned by AES Southland LLC."

Yesterday, AES spokesman Kenneth Woodcock said the investigation grew out of a routine Justice Department review of AES Corp.'s plans to buy Thermo Ecotek from Thermo Electron Corp. of Massachusetts. That $195 million deal was announced in February.

Both AES and Williams said they are cooperating with the investigation.

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