Banpu Power Public Company Limited (SET: BPP) has announced that Banpu Power US Corporation (BPPUS), a subsidiary of BPP, entered into a joint venture with BKV dCarbon Ventures, LLC (BKV dCarbon), on 25th August 2023, in order to operate a carbon capture, utilization and storage (CCUS) project under the project name Cotton Cove at the Barnett Shale natural gas field in Texas, United States (the Barnett).
The joint venture company is named BKV-BPP Cotton Cove LLC (Cotton Cove LLC), with BPPUS holding a 49% interest and BKV dCarbon holding a 51% interest. BPP is a subsidiary of Banpu Public Company Limited (SET: BANPU).
The Cotton Cove project, initiated in late 2022 by BKV dCarbon, will utilize a Banpu subsidiary’s midstream infrastructure to separate, dispose of, and geologically sequester carbon dioxide generated as a byproduct of the subsidiary’s natural gas production at the Barnett field. BKV dCarbon estimates that the Cotton Cove project will geologically sequester up to approximately 45,000 metric tons of carbon dioxide per year initially. The total estimated investment value of the project is expected to be between approximately 14 and 24 million US dollars, and BPP’s estimated investment value, according to BPP’s ownership proportion, is up to 10 million US dollars. It is expected that sequestration activities will commence within 4Q2024.
BPP’s participation in the Cotton Cove project marks a significant milestone in its CCUS business in the United States, with the potential for applying this experience to advance the company’s power generation business in the future. This endeavor aligns with BPP’s ESG principles and the company’s Greener & Smarter strategy, contributing to driving a robust business transition and reaffirming the position as a leading power-generating company for a sustainable world.
