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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

British Energy Might Extend Nuclear Operating Lives

LCG, Sept. 23, 2003--Nuclear plants operated by British Energy could remain operational for an additional five years, if the utility can reach agreements with creditors, and a government bailout proceeds.

Intense negotiations are underway with creditors, with the looming threat that the trade and industry secretary could force the company into receivership by the end of the month if the talks are not successful. If the plants were not to keep running, and be replaced by new nuclear reactors, government ministers could feel intense political pressure over opposition to new facilities.

The UK relies on nuclear plants for about one-fifth of its power needs. If nuclear power declined, a shortage of power could result as carbon limits forced coal plants to shut down. Currently, the old nuclear reactors are scheduled to be shut down beginning in 2008. Before the announcement by British Energy, one nuclear plant was to remain by 2023.
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