San Antonio-based Ozona CCS said last week it reached agreement with a private landowner to lease 5,723 contiguous acres of pore space in Loving County in Permian Basin for drilling multiple commercial carbon dioxide sequestration wells. The deal increases Ozona CCS’ lease position to more than 10,000 contiguous acres with estimated pore space capacity of 120 million metric tons. Ozona CCS said now it will start the federal and state permitting process to drill and operate multiple CO2 disposal wells.
Rich Adams, COO and co-CEO at the privately held company, said Oct. 4, “This acquisition is another key component in our goal to provide comprehensive, long-term solutions to capture, transport and sequester CO2 in the Permian Basin. Initial anchor customers will include existing natural gas processing plants and oil and gas operators in the region in addition to industrial and power generation under development.”