Denbury Inc. recently signed a lease agreement with Weyerhaeuser that would allow it to build below-ground infrastructure to capture and store hundreds of millions of metric tons of carbon dioxide that forms beneath the earth’s surface in Mississippi.
The agreement announced last month would allow Denbury access to 16,000 acres of subsurface that Weyerhaeuser owns in Simpson and Copiah counties next to existing Denbury pipelines and about 35 miles south of Denbury’s Jackson Dome field.
Denbury hopes to store up to 275 million metric tons of CO2 in underground geologic formations, while Weyerhaeuser will continue its timber operations above ground.
“Our agreement with Weyerhaeuser is a significant step in building out the Gulf Coast’s leading CO2 transportation and sequestration network,” Denbury senior vice president Nik Wood said. “The location of this Mississippi site, directly adjacent to our existing pipeline network, provides for a very efficient development and increases the overall flexibility and capacity of our operations.”
Plano, Texas-based Denbury is an oil producer with local operations that uses carbon dioxide to repressurize once-dormant oil fields.
