ExxonMobil awards EPC contract for Louisiana CCUS project - Greater Baton Rouge Business Report
ExxonMobil awards EPC contract for Louisiana CCUS project
ExxonMobil Low Carbon Solutions has awarded an engineering, procurement and construction contract to Technip Energies and Turner Industries for a massive carbon capture, sequestration and storage project in Louisiana.
The contract facilitates the development of a CCUS system that would condition, compress and transport for eventual storage up to 800,000 metric tons per year of CO2 from Nucor’s manufacturing plant in Convent. Nucor is the largest steel producer and recycler in North America.
The Nucor plant produces direct reduced iron, a raw material used in the manufacture of high-grade steel products like auto parts, household appliances, machinery and tools. The CCUS system would enable the plant to produce DRI with up to 80% less greenhouse gas emissions than traditional production methods.
Technip Energies has been selected by ExxonMobil to oversee engineering and procurement, and Turner Industries—a Baton Rouge company—has been selected to oversee construction. A project timeline has yet to be announced.
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”