Port Of Corpus Christi Pursues Carbon Capture Opportunities
The Port of Corpus Christi Authority has entered into an option agreement with Talos Energy Inc. and Howard Energy Partners in order to pursue commercial carbon capture and sequestration (CCS) opportunities at the port. The project will be called the Coastal Bend Carbon Management Partnership.
During a nine-month evaluation period, the three parties plan to identify and grow potential CCS projects on port-owned property.
The lease option agreement for the CCS evaluation covers about 13,000 acres of port property, with an initial goal of sequestering 1 million to 1.5 million metric tons of carbon dioxide (CO2) per year, storing it in saline aquifers. Based on concept success and market demand, the three parties may expand the scope of the project to sequestering 6 million to 10 million metric tons of CO2 per year. The group estimates the Corpus Christi region generates about 20 million metric tons of CO2 per year.
Proactive Environmental Protections
“The Port of Corpus Christi is committed to proactive environmental protections,” said Sean Strawbridge, CEO of the Port of Corpus Christi Authority. “Our current environmental policy is robust, but there’s always more work to be done, particularly considering the urgency needed to limit the impact emissions have on the climate. Engaging best-in-class companies such as Talos Energy and Howard Energy Partners in this innovative endeavor to create a centralized CCS solution is a natural milestone in our evolution of adding additional clean energy sources to our portfolio. As the third-largest industrial waterway in the nation, we take our role as stewards of this gateway extremely seriously, and our actions will be deliberate and demonstrable of this commitment.”
Talos brings subsurface and sequestration abilities to the partnership, while Howard Energy Partners offers the transportation infrastructure needed in the effort.
“We are honored to be working on this project with the Port of Corpus Christi Authority and Howard Energy Partners,” Talos President and CEO Timothy Duncan said. “We have already commenced our technical and commercial evaluation and are confident in the potential success and positive impact this project can have on the Coastal Bend region. The Port of Corpus Christi is an incredibly important export hub for the United States, and our goal is to offer their large customer base an on-site decarbonization solution to help reduce the carbon intensity of those products shipped all around the world from right here in Texas.
“Our collaboration with HEP adds midstream expertise and simplifies commercial terms while enhancing our operational capabilities, making this offering a logical choice for the many blue-chip companies operating in the Port of Corpus Christi today,” Duncan added.
Javelina Midstream System
Howard Energy Partners’ Javelina midstream system directly connects to more than half of the region’s emission production, making it an ideal partner for gathering CO2 within the port complex.
“We are proud to partner with Talos and the Port of Corpus Christi to provide CO2 capture, transportation and sequestration solutions for customers in the Coastal Bend area,” said Mike Howard, chairman and CEO of Howard Energy Partners. “As a south Texas-based company with significant infrastructure in Corpus Christi, we are uniquely positioned to leverage our midstream expertise and our strategically located Javelina off-gas recycling facility to provide cost-effective CO2 capture to our existing customers while reducing the local industry’s carbon footprint. This partnership is a natural evolution of the HEP growth story and a testament to our continued commitment to providing energy solutions that the world requires to flourish.”
