WASHINGTON, D.C. — The U.S. Department of Energy’s (DOE) Office of Fossil Energy and Carbon Management (FECM) today announced $6 million for one selected project to explore the transport of carbon dioxide (CO₂) from onshore industrial and power generation facilities to offshore secure geologic storage in Texas state waters. In addition, DOE announced it will make up to $48M available under the fourth opening of the Bipartisan Infrastructure Law funding opportunity to support regional CO₂ transport networks that connect sources of CO₂ to locations for geologic storage or conversion to value-added products. Expanding commercial CO₂ transport and storage supports the development of a large-scale carbon management industry to reduce emissions, provide new job opportunities, and enhance our energy security.

“As we continue to build out the infrastructure needed to safely transport and permanently store carbon dioxide emissions across the Nation, we are exploring a range of carbon dioxide transport options based on regional requirements,” said Brad Crabtree, Assistant Secretary of Fossil Energy and Carbon Management. “By investing in engineering and design studies that advance this critical planning, we are helping to ensure a safe, reliable CO₂ transport system to support a clean and secure energy and industrial economy.”

The United States will likely need to capture and permanently store approximately 400–1,800 million metric tons of CO₂ annually to achieve a net-zero emissions economy by mid-century. To accommodate the expected rapid growth of the carbon capture and storage industry, we will need to significantly expand our CO₂ transport network over the next decade to connect CO₂ sources, such as industrial facilities and power plants, to geologic formations where captured CO₂ emissions can be securely and permanently stored deep underground or to locations where it can be used as a feedstock to manufacture fuels, chemicals, building materials, and other products.

Carbon Dioxide Transport, Front-End Engineering and Design Project Selection

The selected project will develop a front-end engineering and design (FEED) study to assess the feasibility of developing a modular, open-hub transportation network that connects severalCO₂ sources from industrial and power facilities around the Port of Corpus of Christi to nearby large-capacity offshore permanent storage sites. The project builds upon a pre-FEED study and detailed site characterization activities in the proposed offshore permanent storage sites of the Mustang Island and Port Aransas North tracts in Texas state waters.

DOE’s National Energy Technology Laboratory (NETL), under the purview of FECM, will manage the selected project. Additional details about this project can be found here.

Re-opening the Carbon Dioxide Transport, Front-End Engineering and Design Funding Opportunity

DOE also announced it will make up to $48M available under the fourth opening of the $100 million, five-year Carbon Dioxide Transport, Front-End Engineering and Design funding opportunity. This efforts funds FEED studies of regional-scale CO₂ transport projects that can improve system scale and efficiency and strengthen connectivity between key CO₂ sources to centralized locations for storage or conversion. CO₂ captured from industrial and power generation facilities, as well as CO₂ emissions captured directly from the atmosphere, may be transported by any mode of transport such as pipelines, rail, trucks, barges, or ships, including any combination of transport modes. The FEED studies will include community engagement to solicit input in identifying alternative routes and applicable safety mitigation measures, where appropriate.

Read more details of this funding opportunity here. All questions must be submitted through FedConnect; register here for an account. The application deadline is February 12, 2025 at 5:00 p.m. ET.

DOE’s Broader Advancements in Carbon Dioxide Transport and Storage

FECM has committed an estimated $1.4 billion since January 2021 for projects that advance the research, development, and deployment of carbon transport and storage technologies and infrastructure. This total includes $17 million in Bipartisan Infrastructure Law funding for six previously announced projects that will perform FEED studies for regional CO₂ transport networks. This progress is essential to help drive economic development, technological innovation, high-wage jobs, and national security as we build a clean energy and industrial economy.

FECM reduces emissions from fossil energy production and use and key industrial processes, while strengthening U.S. energy and critical minerals security. To learn more, visit the FECM website, sign up for FECM news announcements, and visit the NETL website.