CRC teams with Net Power, scores CO2 injection well permits

California Resources Corp. received the Environmental Protection Agency’s first injection well permits to sequester CO2 in depleted oil and gas fields. The announcement comes on the heels of the signing of an MOU with Net Power to develop low-emission gas-fired power plants in California.

CRC’s carbon management business, Carbon TerraVault, was granted Class VI permits in late December for CO2 injection into the 26R reservoir at the E&P company’s Elk Hills field in Kern County, California. The 26R reservoir—part of CTV’s 51:49 JV with Brookfield Renewable Partners—is one of two depleted oil and gas reservoirs comprising the CTV I storage site, with an expected CO2 injection rate of 1.46 mtpa. Total estimated capacity is up to 38 million tonnes, CRC said.

Net Power and CRC are conducting feasibility studies to locate power plants near CTV’s underground vaults, aiming to reduce CO2 transportation costs for CTV’s operations. They plan to deploy up to 1 GW of power capacity from modular plants in Northern California, resulting in up to 3.6 mtpa of CO2 emissions in nearby reservoirs. Each utility-scale modular plant is expected to require less than 20 acres, generate up to 250 MW and be deployable in multi-plant configurations, the companies said.

Unlike conventional power plants burning natural gas with air, NET Power says its oxy-fuel combustion process uses pure oxygen to produce a flue gas that is mostly CO2 and water vapor, making it easier to capture CO2 and eliminating substantially all carbon emissions and gaseous pollutants, including nitrogen oxides and sulfur oxides. The plants use supercritical CO2 as a working fluid to drive the turbines instead of steam, allowing higher efficiency and easier CO2 capture. Conventional post-combustion capture facilities using chemical solvents like amines typically capture a maximum of 90% of CO2 emissions, the company said.

Net Power said it has a backlog of utility-scale power plant projects with initial commercialization expected in 2026. It announced the completion of its merger with special-purpose acquisition company Rice Acquisition Corp. II in June 2023.

“CTV possesses the resource potential to support the deployment of many Net Power facilities in California,” Net Power CEO Danny Rice said. “This partnership can strengthen California’s pathway to achieve its environmental and energy goals while attracting new businesses that value 24/7 low-carbon power—all made possible by our innovative ultra-low emissions technology in collaboration with CTV.”