Enterprise Products to Develop CO2 Pipeline Network for Occidental 1PointFive

Enterprise Products Partners agreed to develop a CO2 transportation network to support carbon capture firm 1PointFive's hub in southeast Texas.

(Reuters) - Enterprise Products Partners agreed to develop a CO2 transportation network to support carbon capture firm 1PointFive's hub in southeast Texas to carry emissions captured by third parties for sequestration, the companies said.

The network, as a part of Occidental's 1PointFive initiative, will transport emissions from facilities near the Houston Ship Channel to Bluebonnet Sequestration Hub.

Last month, the U.S. Department of Energy's Office of Clean Energy Demonstrations committed up to $500 million to support the hub's development.

Earlier this year, 1PointFive entered into agreements with tech giant Microsoft and telecom company AT&T to sell carbon dioxide removal (CDR) credits.

Carbon credits are tradable permits that allow the owner to emit certain amounts of greenhouse gases. Each credit permits the emission of one metric ton of carbon dioxide or the equivalent of other greenhouse gases.