Weyerhaeuser’s carbon capture storage agreement
Occidental’s Oxy Low Carbon Ventures (OLCV) subsidiary 1PointFive and Weyerhaeuser Company announced an agreement for the evaluation and potential development of a carbon capture and sequestration project in Livingston Parish, Louisiana.
The lease agreement provides OLCV with exclusive rights to develop and operate a carbon sequestration hub on more than 30,000 acres of subsurface pore space controlled by Weyerhaeuser.
“We are excited to work with OLCV on this project, which combines a portion of our uniquely positioned southern U.S. acreage and subsurface ownership with OLCV’s proven technical expertise in the management and sequestration of CO2,” said Russell Hagen, chief development officer for Weyerhaeuser.
OLCV will use the land to permanently sequester industrial CO2 in underground geologic formations not associated with oil and gas production, while Weyerhaeuser continues to manage the aboveground acreage as a working forest.
“This agreement represents important progress in advancing Weyerhaeuser’s strategic growth in carbon capture and storage, and it supports our broader commitment to sustainability and providing natural climate solutions across our land base,” said Hagen.
1PointFive plans to build, acquire and operate multiple sequestration hubs on the Gulf Coast and across the U.S., said Weyerhaeuser, some of which are expected to be anchored by Direct Air Capture (DAC) facilities, to offer storage capacity to point-source emitters, such as manufacturing sites and power plants, with a capacity to sequester up to hundreds of millions of metric tons of anthropogenic CO2.
“1PointFive is a comprehensive carbon capture, utilization and storage (CCUS) platform that is working to deliver solutions to reduce global emissions backed by Oxy’s expertise and experience in carbon management for more than 50 years,” said Richard Jackson, chairman of 1PointFive.
“We’re excited to work with Weyerhaeuser to grow this side of our business and help reduce carbon emissions. 1PointFive and its planned sequestration hubs are expected to be an expanding side of our business that will work with industrial emitters to capture, transport and permanently store CO2,” said Jackson.
1PointFive aims to play a transformational role in combatting climate change through industrial decarbonization of the hard-to-abate industrial sector in the U.S.
OLCV is a subsidiary of Houston-based Occidental (Oxy), an international energy company founded in 1920 with assets primarily in the U.S., the Middle East and North Africa.
Weyerhaeuser Company, headquartered in Seattle, is one of the world’s largest private owners of timberlands, and began operations in 1900. The firm owns or controls approximately 11 million acres of timberlands in the U.S. and manages additional timberlands under long-term licenses in Canada. In 2021, the company generated $10.2 billion in net sales and employed approximately 9,200 people.