ExxonMobil and Calpine Collaborate on Major CCS Deal to Store 2M Tons of CO₂ Annually

By using ExxonMobil to store CO₂ from its Baytown facility, Calpine is able to provide low-carbon energy to 500,000 homes and steam for industry.

The largest natural gas-based power generator in the country, Calpine Corporation, has entered into an agreement with Exxon Mobil to transport and permanently store up to 2 million metric tons of CO₂ annually (MTA) from Calpine's Baytown Energy Center, a cogeneration facility close to Houston.

The strategy is part of Calpine's Baytown carbon capture and storage (CCS) project, which will absorb the facility's CO₂ emissions to provide Texas consumers with a consistent supply of low-carbon steam and energy to adjacent industrial operations.

With this transaction, ExxonMobil becomes its sixth CCS client, raising the total quantity of CO₂ it has contracted for to approximately 16 MTA.

The world's biggest CO2 pipeline system, owned by ExxonMobil, runs along the Gulf Coast of the United States and enables better oil recovery in addition to permanent CO2 sequestration. The facilities at Calpine will be linked to this system.

More than 500,000 homes might be powered by the approximately 500 megawatts of low-carbon energy that Calpine's Baytown CCS project is predicted to provide, in addition to steam for industrial use. Engineering, permitting, and other development-related tasks are in progress.