Exxon Starts Commercial CCS in Louisiana with CF Industries

Exxon’s first commercial CCS operation is now running on the Gulf Coast—linking a major industrial emitter to large-scale CO₂ transport and underground storage, with more Louisiana projects queued.

(Reuters) — Exxon Mobil has begun its commercial operation of carbon capture and storage, or CCS, with ammonia producer CF Industries in Louisiana, starting in 2025, the company announced last week.

The project will transport and store up to 2 million tonnes a year (MMtpy) of carbon dioxide from CF Industries' Donaldsonville complex, the company said.

Carbon capture is a process through which carbon dioxide (CO2) generated from industrial activity is stored underground. The process has been embraced by oil companies including Chevron, Occidental Petroleum and Talos Energy.

The energy major has also signed agreements with AtmosClear and Lake Charles Methanol II to handle up to a combined 2 MMtpy of CO2 from their planned projects in Louisiana. Additionally, it expects to start CCS operations with Linde and Nucor later this year.

Exxon plans to advance multiple CCS developments across Texas and Louisiana and is targeting a final investment decision on its first low-carbon data center by the end of 2026.

The company expects three CCS projects to come online in 2026.