Notices for CO2 Geologic Storage

(UIC Class VI)

Project List
Background on the Carbon Dioxide (CO₂) Geologic Storage - UIC Class VI Program
How RRC Makes a UIC Class VI Permit Decision
What Happens After Notice of a Permit?
Auxiliary Aids or Services for Persons with a Disability

Project List

Brown Pelican Project, Ector County - Oxy Low Carbon Ventures

Brown Pelican CO₂ Sequestration Project, Ector County - Oxy Low Carbon Ventures - Permit No. 55294

Status: Notice of Draft Permit

Intent to Issue Class VI Underground Injection Control Permits for Oxy Low Carbon Ventures, LLC of Houston, TX - Brown Pelican CO₂ Sequestration Project, Ector County, Texas

The RRC has prepared the following draft permit and other documents for this notice:

Documents

Project Summary

Oxy Low Carbon Ventures, LLC has applied to the Railroad Commission of Texas (RRC) for Class VI Underground Injection Control (UIC) permits to construct and operate injection wells for geologic storage of carbon dioxide. The proposed injection wells will be located on the Shoebar Ranch in Ector County approximately 20 miles southwest of Odessa Texas. The
locations of the wells are:

Well Name - Location (NAD 87)
BRP CCS1 - Latitude: 31.76479314 / Longitude: -102.7289311
BRP CCS2 - Latitude: 31.76993805 / Longitude: -102.7332448
BRP CCS3 - Latitude: 31.76031163 / Longitude: -102.7101566

The applicant plans to inject 0.385 Million Metric Tons per Annum (MMTPA) for approximately two years followed by CO2 injection at a rate of 0.77 MMTPA for an additional 10 years. A total of 8.5 Million Metric Tons (MMT) is estimated to be injected into the proposed wells over a 12-year injection period.

The source of the carbon dioxide the applicant plans to inject is the Oxy Low Carbon Ventures / 1PointFive Stratos Direct Air Capture facility at or near the surface location of the Oxy Low Carbon Ventures Brown Pelican CO2 Sequestration Facility. The captured carbon dioxide from this facility will then be compressed on location into a liquid, supercritical fluid which will then be injected deep into the ground through the three injection wells.

The applicant selected the locations of the proposed wells based on its research and used site-specific data to ensure that the carbon dioxide would be safely stored in the proposed injection formation. The proposed injection formation is the Permian Lower Sand Andres Formation, at depths between approximately 4,500 – 5,100 feet below ground surface. Above the injection formation are three impermeable sealing layers consisting of an Upper Confining Zone (Upper San Andres and Grayburg Formations), and an overlying Regional Seal / Upper Confining System (Queen through Rustler Formations), which together comprise an approximately 2700-foot-thick rock layer that will ensure the injection fluid does not migrate outside of the injection formation. The Lower San Andres injection formation / sequestration reservoir is also underlain by a Lower Confining Zone (Upper Glorieta Formation).

The applicant also proposes to monitor the wells and the geologic storage facility during the 12-year injection period, and at least 10 years after injection ceases, or until a demonstration of non-endangerment to underground sources of drinking water has been approved by the RRC.

Background on the Carbon Dioxide (CO₂) Geologic Storage - UIC Class VI Program

Protecting underground sources of drinking water and public health

Storage or disposal of fluids (including gases, like carbon dioxide [CO₂]) may be managed by injecting them underground using injection wells. Injection wells are regulated by the Underground Injection Control (UIC) program. The purpose of the UIC program is to protect underground sources of drinking water.

The U.S. Environmental Protection Agency (EPA) established the UIC program under the federal Safe Drinking Water Act.

Types of Injection Wells

More than 740,000 injection wells were regulated by the UIC program in 2018. Injection wells are found in all fifty states, territories, and tribal lands.

The UIC program classifies injection wells based on the type of fluids the well receives, the purpose of the injection, and where the fluid is injected relative to underground sources of drinking water.

Class I wells are used to inject hazardous and nonhazardous waste into deep, confined rock formations below all underground sources of drinking water.
Class II wells are used to inject fluids related to oil and gas production.
Class III wells are used to inject fluids to aid in the extraction of minerals such as uranium, salt, copper, and sulfur.
Class IV wells are allowed in limited circumstances for injection of groundwater treated as part of environmental cleanup.
Class V wells are used to inject fluids that are not classified as Class I, II, III, IV, and VI. Fluids injected into Class V wells include stormwater and a wide variety of other fluids.
Class VI wells are used to inject carbon dioxide deep underground for long-term storage.

On December 10, 2010, the Environmental Protection Agency (EPA) finalized federal requirements for the geologic storage of carbon dioxide under the authority of the UIC Program, creating a new class of injection well, Class VI. These requirements are designed to protect underground sources of drinking water based on the UIC Program regulatory framework with modifications to address the unique nature of carbon dioxide injection for the primary purpose of long-term storage.

The UIC program may be implemented by EPA or by states, territories, or tribes with EPA-approved primary permitting and enforcement authority. EPA is the acting regulatory authority in all States except those granted primary enforcement authority or Primacy. Under the federal UIC program, each State may apply for primacy by demonstrating, through application, to EPA that its Class VI UIC Program is at least as stringent as the federal standards. Texas has applied for but not yet been granted primacy by EPA for Class VI wells in Texas.

Class VI Injection Wells

Class VI wells are used to inject CO₂ into deep rock formations for the purpose of long-term underground storage, also known as geologic sequestration or geologic storage. When used as a part of carbon capture and storage and carbon dioxide removal projects, geologic storage is a promising tool for reducing the amount of CO₂ in the atmosphere. States and EPA ensure that these activities are permitted to protect underground drinking water and consider potential impacts to nearby communities.

Requirements for Class VI Wells

The UIC Class VI program provides safeguards to protect underground sources of drinking water. Persons who wish to inject CO₂ for the purpose of geologic storage must demonstrate that their injection well will meet stringent regulatory requirements and receive a Class VI permit for each well. The Class VI UIC program requires applicants to meet requirements to obtain a Class VI permit, including:

Site characterization to ensure the geological formations in the project area will effectively contain the CO₂ within the zone where it will be injected.
Modeling to define the area where the CO₂ will be stored over the lifetime of operation.
Evaluation to ensure all potential pathways for fluid movement have been identified and addressed through corrective action.
Well construction requirements to ensure the Class VI injection well will not leak CO₂.
Testing and monitoring throughout the life of the project, including after CO₂ injection has ended. Requirements include testing to ensure physical integrity of the well, monitoring for seismic activity near the injection site, monitoring of injection pressure and flow, chemical analysis of the CO₂ stream that is being injected, and monitoring the extent of the injected CO₂ plume and the surrounding area (e.g., ground water) to ensure the CO₂ is contained.
Operating requirements to ensure the injection activity will not endanger underground sources of drinking water or human health.
Financial assurance mechanisms sufficient to cover the cost for all phases of the geologic storage project including the post injection site care period and until the Director approves site closure.
Emergency and remedial response plans.
Reporting of all testing and monitoring results to the permitting authority to ensure the well is operating in compliance with all permit and regulatory requirements.

The permitting authority ensures that these protective requirements are included in each Class VI permit.

Compliance

The UIC program works with injection well operators throughout the life of the well to confirm their practices do not contaminate underground sources of drinking water. The program conducts inspections to verify compliance with the UIC permit or other applicable requirements. The program verifies the following during an inspection:

Proper well construction,
No leaks from the well into the environment,
Monitoring, recordkeeping, and reporting are conducted by the operator,
Any required operating conditions are followed, and
Proper well closure when operations end.

Inspections are only one way that the UIC program ensures compliance. The UIC program also evaluates periodic monitoring reports submitted by operators and discusses potential issues with operators. If a well is found to be out of compliance with applicable requirements in its permit or UIC regulations, the program will identify specific actions that an operator must take to address the issues. The UIC program may assist the operator in returning the well to compliance. Assistance may include discussing options or providing information to the operator. In some cases, enforcement may be necessary to return a well to compliance. Enforcement may include administrative or judicial processes.

How RRC Makes a UIC Class VI Permit Decision

After reviewing the permit application, RRC evaluates technical information and project-specific data, such as:

Advanced computational modeling to determine the maximum extent of the carbon dioxide plume and pressure front defining the proposed project area;
A detailed study of the geology and the rock layers through which the proposed injection wells would be drilled to confirm that the carbon dioxide will stay where it is injected;
The location of drinking water resources near the project and how they will be protected.
The proposed construction design for the injection wells;
The characteristics of the carbon dioxide to be injected;
The proposed approach and technologies the Applicant would use to operate and monitor the project during and after injection;
The financial resources the Applicant will have available to responsibly operate, monitor, and close the project; and
The Applicant’s approach to ensure that the project will protect underground sources of drinking water, public health, and the environment.

What Happens After Notice of A Draft Permit?

After the close of the public comment period, the RRC will review all comments before making a final decision on whether to grant the permits. The RRC will respond to all significant comments on the draft permits when the RRC makes a final permit decision.

Issuance and Effective Date of Permit

If the RRC receives no protest regarding an application for a new permit or for the amendment of an existing permit for a geologic storage facility from a person notified pursuant to subsection (a) of this section or from any other affected person, the director may administratively approve the application.

The permit would become effective immediately upon issuance if no public comments are received that request a change in the draft permits. However, if the RRC receives public comments and decides to issue final permits, then the permits would become effective 45 days after the date of issuance.

In accordance with 16 TAC 5.206(o), the permits would be in effect for the duration of the project unless they are otherwise modified, revoked and reissued, or terminated as provided at 16 TAC §5.202(d). The permits would expire in one year if the permittee does not commence construction unless the RRC approves a written request for an extension of this one-year period. Authorization to inject under the permits may be granted following well construction and compliance with additional requirements as outlined in the permits and regulations at 16 TAC §5.203.

If the director administratively denies the applications for a geologic storage facility, upon the written request of the applicant, the director will schedule a hearing. After hearing, the Hearings Examiners will recommend a final action by the Commission.

Information Repository

A notice of a draft permit, fact sheet, draft permit, permit application, and other supporting documents are made available on this webpage under each project when the draft notice is issued. Hard copies of the notice, fact sheet, draft permit and permit application will also publicly available at the RRC Austin office and the RRC Oil and Gas District Office where the project is located. If you have any questions regarding information on this page or difficulty accessing the supporting materials, please contact SIP@rrc.texas.gov or 512-463-7098 for assistance.

Auxiliary Aids or Services for Persons with a Disability

Auxiliary Aids or Services for Persons with a Disability. Any individual with a disability who plans to attend this public meeting and requires auxiliary aids or services should notify the RRC at least five business days prior to the meeting so that appropriate arrangements can be made. Requests may be made to the RRC’s Special Injection Permits Unit by email at SIP@rrc.texas.gov.