Enterprise Products Operating LLC, a subsidiary of Enterprise Products Partners LP, and Oxy Low Carbon Ventures LLC, a subsidiary of Occidental, executed a letter of intent to work toward a potential carbon dioxide (CO2) transportation and sequestration solution for the Texas Gulf Coast.
The joint project would initially be focused on providing services to emitters in the industrial corridors from the greater Houston to Beaumont-Port Arthur areas.
Enterprise would develop the CO2 aggregation and transportation network utilizing a combination of new and existing pipelines along its Gulf Coast footprint. OLCV, through its 1PointFive business unit, is developing sequestration hubs on the Gulf Coast and across the US, some of which are expected to be anchored by direct air capture facilities.
The companies have begun exploring the commercialization of the potential joint service offering with customers.
The deal marks another step toward Occidental’s long-term plans to build a group of sequestration hubs in the Gulf Coast region and elsewhere in the US. Most recently, the company signed a deal giving Oxy Low Carbon Ventures the right to build and operate a carbon sequestration hub under Louisiana land owned by Weyerhaeuser (OGJ Online, Mar. 28, 2022).
