Freeport LNG Development, the owner of the Freeport liquefaction plant in Texas, has revealed plans to develop a carbon capture and sequestration (CCS) project.
In that regard, Freeport LNG and US-based Talos Energy have signed a letter of intent to build the project.
According to a joint statement, Talos would take the role of project manager and operator and would be joined by its partner, Storegga Geotechnologies, the lead developer of the Acorn CCS project in the UK.
The Freeport LNG CCS project (FLNG CCS) would be located immediately adjacent to Freeport LNG’s natural gas pretreatment facilities located near Freeport, Texas, on the Gulf Coast, southwest of Houston.
It would utilize a Freeport LNG-owned geological sequestration site located less than half a mile from point of capture with up to a 30-year injection term and would permanently sequester CO2, the statement said.
The CCS project benefits from a dedicated source of CO2 and a secured injection site in close physical proximity and, therefore, has limited commercial barriers and a rapid execution timeline assuming efficient regulatory approval processes, they said.
Additionally, the site is located within 25 miles of up to an additional 15 million metric tonnes per annum of incremental CO2 emissions from major industrial sources, which offers the potential for expansion in the future.
However, the FLNG CCS project remains subject to execution of definitive agreements.
Further slashing emissions
Freeport LNG, led by billionaire Michael Smith, has last year launched commercial operations for the third liquefaction train at its facility in Texas.
The start of third train operations also marked the full commercial operation of Freeport LNG’s $13.5 billion, three-train facility. It has a capacity of more than 15 mtpa.
Freeport LNG is also planning to add the fourth production unit with a capacity of five mtpa but it has not yet taken a final investment decision.
This new announcement follows a deal by Japan’s Jera under which it would buy a 25.7 percent stake in Freeport LNG Development from US-based Global Infrastructure Partners.
Smith welcomed the new collaboration with Talos on “this important project”.
“As the only all-electric drive facility of its kind in the US, our liquefaction facility produces 90 percent less emissions than other gas turbine-driven facilities. Embarking on carbon capture and sequestration will only further reduce the carbon intensity of our facilities,” he said.