Exxon Mobil Corp. announced on Thursday that it has acquired state leases for over 271,000 acres in Texas state waters or an offshore carbon dioxide capture operation.
The oil and gas multinational has been increasingly investing in the activity where CO2 generated from industrial activity is stored at depths greater than 800 meters below the earth’s surface.
According to a statement, the acquisition complements ExxonMobil’s onshore CO2 storage portfolio, solidifying the US Gulf Coast as a carbon capture and storage leader.
“With our growing roster of customers ready to deploy CCS, we’ll be driving substantial emissions reductions along the Gulf Coast,” said Dan Ammann, president of ExxonMobil Low Carbon Solutions, in the statement.
The terms of the agreement will directly benefit the Texas Permanent School Fund, improving children’s education and reducing emissions in nearby areas.
The statement said that offshore acreage provides crucial storage space for CO2 emissions, and the Gulf of Mexico’s vast potential plays a critical role in meeting society’s net-zero goals.
These sites are selected based on their geological suitability to contain CO2 underground, ensuring long-term sequestration.
In 2023, ExxonMobil acquired Denbury Inc., significantly enhancing its CCS capabilities, providing 2,029 km of CO2 pipeline infrastructure across the US and 15 onshore carbon storage sites.
The company boasts the largest CO2 pipeline network in the US, which allows for efficient transportation of captured carbon to storage sites.
