Weyerhaeuser Company and Lapis Energy has announced today the execution of an exclusive exploration agreement for subsurface carbon dioxide sequestration in Arkansas, Louisiana and Mississippi.
The agreement covers 187,500 acres of subsurface rights owned by Weyerhaeuser and spans five potential sequestration sites, including two locations that were previously identified by Weyerhaeuser as prospective opportunities for carbon capture and sequestration (CCS) development.
Under the exclusive two-year agreement, Lapis will determine the sequestration potential of each site. Upon successful completion of the technical and commercial assessments, Lapis will have the option to move sites into full-scale development agreements and complete the work required to permit, build and operate permanent CO2 sequestration sites serving large-scale industrial sources.
Russell Hagen, senior vice president and chief development officer for Weyerhaeuser says: ‘This exploration agreement represents a unique opportunity to scale our CCS offerings and build our climate solutions portfolio more broadly. We look forward to working with Lapis to unlock the value of CCS development across our ownership in the U.S. South and help other companies reduce their carbon footprint.’
‘The announcement today, together with our existing assets, further establishes Lapis Energy as an industry-leading independent carbon sequestration storage provider with a rapidly developing portfolio of business opportunities. Lapis believes these sites provide a competitive and advantaged option for our growing customer base north of the Gulf Coast,’ adds Reg Manhas, CEO of Lapis Energy.
