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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

Duke Expects Higher Costs for New Coal-fired Units at Cliffside

LCG, October 27, 2006--Duke Energy announced yesterday that it anticipates the cost to add two, 800-MW coal units at Cliffside Steam Station to exceed the $2 billion previously estimated. The first unit is scheduled to commence operations in 2011.

The estimated degree of cost increases was sufficient enough such that Duke decided to file the increases with the North Carolina Utilities Commission on a confidential basis. The cost increases are based on bids that represent about 20 percent of the construction costs.

Duke filed its application in May 2005 for a ?Certificate of Public Convenience and Necessity? (CPCN) application with the North Carolina Utilities Commission to expand and upgrade the Cliffside Steam Station, located in Rutherford and Cleveland counties, North Carolina.
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