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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

TVA Board Approves Plan to Complete Second Reactor at Watts Bar

LCG, August 2, 2007--The Tennessee Valley Authority (TVA) Board yesterday approved plans to complete the second unit at Watts Bar Nuclear Plant in Spring City, Tennessee. TVA stated that the additional capacity, which is scheduled for completion by 2013, will help serve the growing demand for electricity without increasing carbon emissions.

Watts Bar Unit 2 will add approximately 1,180 MW of electric generating capacity to TVA's supply portfolio at an estimated cost of $2.49 billion.

Watts Bar Unit 1 began operating in 1996, and Unit 2 will use the same pressurized water reactor design as Unit 1.

TVA stated that the Board approval is founded upon a detailed scoping, estimating and planning study; an environmental review; a power supply assessment; and a financial and risk analysis.

In concert with adding capacity to meet long-term power demands, TVA also stated that it has set a goal to reduce electric demand by about 1,200 MW by 2012 through energy efficiency and demand-reduction initiatives.

Prior to pursing the completion of Watts Bar Unit 2, TVA completed the refurbishment of Browns Ferry Unit 1 in May 2007. The reactivation of Unit 1, mothballed over 20 years, added 1,200 MW of carbon-free electric generating capacity to TVA's fleet.

Browns Ferry Unit 1 originally commenced commercial operation on August 1, 1974, but safety concerns following a fire led to its closure in 1985. Units 2 and 3 were also closed for a period but returned to operations in the late 1990s. All three reactors are now generating power, and the total plant capacity is approximately 3,600 MW.

The TVA Board voted to return Browns Ferry Unit 1 to service in May 2002. The plant upgrades cost an estimated $1.8 billion, and the plant returned to service on schedule.
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