Nebraska Aims to Store CO2 Below Ground
Nebraska is set to develop an entirely new industry that aims to store carbon dioxide from ethanol plants below ground. This industry could provide financial benefits for ethanol producers while simultaneously combating climate change. The industry will be explored by numerous companies who plan to partner with ethanol producers across the state. Some intend to develop methods to store the produced CO2 within the state, while others will lay below-ground pipes to transport it elsewhere.
Based on state Senator Mike Flood’s LB650 bill, other production facilities, such as power and fertilizer plants, are also eligible to participate. The general ideology will be the same across facilities. Rather than allowing CO2 to emit from a producer’s stacks, those stacks would be capped and route the carbon dioxide to a series of compressors. The CO2 is then converted into a transportable form such as liquid and stored well below the surface – at least 2,600 feet below.
One storage plan, outlined by Battelle, wants to put CO2 below the ethanol plants or within a couple miles of the plant. They intend to test their design in a region in the state with porous rocks below the surface to maximize carbon storage.
Another company, Navigator CO2 Ventures, will experiment with a pipeline network that will transport liquefied CO2 from Nebraska (and four other states) and store it below the Mount Simon Sandstone Formation.
Once successfully implemented, a producer will receive a $50 tax credit for every metric ton of CO2 stored. In addition, as a producer stores more carbon dioxide, they reduce their CO2 intensity score and make their ethanol more widely sellable. For instance, California has strict regulations in place and can only purchase ethanol from producers with sufficiently low intensity scores.
The climate incentives are also significant. Navigator believes their pipeline plan could store carbon dioxide in volumes equivalent to the emissions of 2.6 million cars annually.
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