HOUSTON (Reuters) - Oil major BP (LON:BP) Plc and industrial gas supplier Linde Plc on Tuesday launched a new venture to reduce greenhouse gas releases, the third major effort seeking to bury emissions from Texas petrochemical manufacturers.
Oil, gas and chemical firms have embraced carbon-capture and sequestration, or collecting and sinking greenhouse gas deep underground, to address investor demands to clean up operations and to offset pollution that contributes to global warming.
Their project, which targets a 2026 startup, would be the third carbon-capture and sequestration (CCS) venture proposed for the Texas Gulf Coast. It aims to stem atmospheric releases of greenhouse gases from the region's industrial sector.
Exxon Mobil (NYSE:XOM) has proposed an offshore facility to annually collect up to 100 million metric tons of carbon dioxide (CO2). Talos Energy and Chevron (NYSE:CVX) also are joined in a venture that could buy about 250 million tonnes of CO2 per year offshore.
The BP-Linde venture aims to start storing CO2 from Linde's hydrogen gas plants and seek additional customers for an up to 15 million tonne sequestration facility. BP will develop and permit the venture's subterranean sites and Linde will provide gas compression technology to the venture.
The project "can help decarbonize hard-to-abate industries for the greatest potential impact on emissions while protecting jobs," said BP America President Dave Lawler.
BP is evaluating other U.S. CCS projects and has an effort underway in Britain.
Graphic: Proposed Gulf Coast carbon capture projects-https://graphics.reuters.com/USA-OIL/MAP/zgpomaqjopd/chart.png