On Wednesday, Summit Carbon Solutions announced a strategic investment from Continental Resources, Inc. to create the largest carbon capture and sequestration project of its kind in the world.
Continental Resources will commit $250 million over the next two years to help fund the development and construction of the project's associated capture, transportation, and sequestration infrastructure, while also leveraging its operational and geologic expertise to help ensure the safe and secure storage of CO2.
Summit Carbon Solutions will primarily capture CO2 from ethanol plants and other industrial sources in Iowa, Nebraska, Minnesota, North Dakota and South Dakota. The CO2 will be aggregated and transported to North Dakota via pipeline, where it will be safely and permanently sequestered in extensively researched subsurface geologic formations.
The project has commitments from 31 partner ethanol facilities to deliver more than 8.0 million metric tons per annum (MMtpa) of CO2, with initial pipeline capacity of 12.0 MMtpa, and expansion capabilities to handle up to 20.0 MMtpa.
Recognizing the significant growth in demand for low carbon fuels, Summit began developing plans for the project and its partnerships with ethanol producers in 2019. By leveraging decades of experience and relationships across the biofuels and agriculture industries, Summit Carbon Solutions was launched in early 2021, and is on track to achieve its target of being operational in the first half of 2024.
"Summit and Continental have a shared vision to produce clean and cost-effective energy for all Americans. This project will be transformational for the ethanol and agriculture industries and will have a substantial economic impact across the Midwest," said Bruce Rastetter, CEO of Summit Agricultural Group.
"We have engaged with governors and leaders in all five states involved in the project and are grateful for the exceptional leadership and commitment from each to this initiative."
Justin Kirchhoff, president of Summit Ag Investors, said the goal since launching Summit Carbon Solutions has been to accelerate ethanol's path to becoming a net zero carbon fuel, which can be done in the near term and with proven technology.
"To accomplish that, we first partnered with forward-thinking ethanol producers, and we now look forward to working with Continental Resources, which has unmatched experience and knowledge of the Williston Basin in North Dakota, where we will permanently sequester our partner plants' CO2," he said.
Continental has been actively engaged in limiting our carbon footprint for decades with our pioneering work in horizontal drilling, our invention of ECO-Pad technology and industry-leading gas capture initiatives.
"We believe this project will become a model for the rest of the world," says Continental Resources CEO Bill Berry.
"Carbon capture will play an integral role in helping reduce global emissions, and we believe Summit Carbon Solutions has the most capital efficient project to further this goal."
Definitive documentation related to the investment is being finalized and is subject to customary closing conditions.
Midwest Carbon Express
Summit Carbon Solutions is developing the largest carbon capture and storage project in the world, which will have the capacity to capture and permanently store 12 million tons of carbon dioxide every year.
Northern Plains Nitrogen (NPN) signed a partnership with Summit Carbon Solutions in January. NPN will capture 500,000 tons/year of carbon dioxide emissions, which Summit Carbon Solutions will transport and store permanently in central North Dakota.
