Talos signs Texas carbon capture site lease

March 16, 2022
Bayou Bend CCS LLC, a joint venture of Talos Energy Inc. and Carbonvert Inc., executed definitive lease documentation with the Texas General Land Office, formalizing the carbon capture and sequestration site offshore Jefferson County, Tex.

Bayou Bend CCS LLC, a joint venture of Talos Energy Inc. and Carbonvert Inc. executed definitive lease documentation with the Texas General Land Office (GLO), formalizing the carbon capture and sequestration (CCS) site offshore Jefferson County, Tex., near the Beaumont and Port Arthur industrial corridor (OGJ Online, Aug. 25, 2021). 

The document, executed Mar. 11, establishes the first ever major offshore carbon sequestration site in the US, Talos said in a release Mar. 16. The lease comprises over 40,000 acres and maintains an estimated sequestration capacity of 225-275 million metric tons of CO2. Talos will be operator with 50% interest.

The company is seeking anchor industrial partners for the project as well as a midstream transportation solution in the region. The company’s CCS projects are organized under Talos Low Carbon Solutions LLC (TLCS), the company's CCS subsidiary.

In a separate deal, Talos has established a CCS alliance with Core Laboratories NV (Core Lab) to provide technical evaluation and assurance services for CCS subsurface analysis, including the company's upcoming 2022 stratigraphic evaluation wells.

The alliance will aid to deliver technical assurance for Talos’ growing portfolio of sequestration sites and strengthens technical capabilities leading up to the filing of CO2 injection well permits this year, the company said.

About the Author

Mikaila Adams | Managing Editor - News

Mikaila Adams has 20 years of experience as an editor, most of which has been centered on the oil and gas industry. She enjoyed 12 years focused on the business/finance side of the industry as an editor for Oil & Gas Journal's sister publication, Oil & Gas Financial Journal (OGFJ). After OGFJ ceased publication in 2017, she joined Oil & Gas Journal and was named Managing Editor - News in 2019. She holds a degree from Texas Tech University.