Summary

Texas moves closer to primacy for carbon capture and sequestration projects as legal frameworks evolve and landmen navigate an increasingly complex regulatory landscape. Our expert guests break down the latest developments in CCS permitting, pore space ownership, and the practical challenges of putting these massive projects together in today's market.

What You’ll Learn

• Current status of Texas primacy for CCS well permitting and expected timeline
• How pore space ownership varies between Texas and Louisiana
• Why large contiguous properties remain essential for CCS project success
• The role of unitization and integration in future CCS development
• Pipeline challenges that could make or break project economics
• Legal considerations around plume migration and potential tort issues

Time Stamps

• 01:00 - Episode & Guest Introductions
• 03:00 - Primacy in Texas
• 06:00 - Primacy in Other States
• 13:00 - Challenges and Considerations in Louisiana
• 17:00 - CCS in West Virginia and Other States
• 21:00 - Ownership & Legal Issues in Texas
• 31:00 - Understanding Carbon Capture Injection Projects
• 33:00 - Challenges in Securing Agreements for Carbon Capture
• 34:00 - Cost and Timeline of Carbon Capture Projects
• 35:00 - Legal Considerations in Carbon Capture
• 39:00 - Unitization and Integration in Carbon Capture
• 47:00 - Pipeline Challenges in Carbon Capture

Snippets from the Episode

• "The state agency that's been responsible for administering the rules for oil and gas development and has this huge store of knowledge is now going to administer the rules for carbon capture, which is something of an inverse process to oil and gas development."— Jerry Walrath
• "One of the biggest things that I find day to day that is consuming my time is you have a lack of regulation, and you have a lot of first-of-kind commercial arrangements because you're joining groups together that have not been joined before into what looks kind of like a traditional oil and gas transaction."— KC McAdam
• "In Louisiana, you're gonna flip that on its head - the surface owner owns the pore space, but there may be oil and gas activity, you're gonna want to make sure that you're covering yourself from the other angle."— KC McAdam

Key Takeaways

• Texas Primacy Progress - MOA Signed, But Timeline Uncertain
• Pore Space Ownership Varies Significantly by State
• Large Contiguous Properties Remain Essential for Early Projects
• Unitization Rules Needed for Future CCS Development
• Pipeline Economics Can Make or Break Project Viability
• Legal Frameworks Still Evolving Around Plume Migration
• First-of-Kind Commercial Arrangements Create New Challenges

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More from Our Guest

Jerry Walrath - Partner, KMW Energy Law

• Website: kmwenergylaw.com
• Connect with Jerry Walrath on LinkedIn

KC McAdam - CCS Legal and Commercial Specialist

• Specializes in hard-to-abate industries and CCS project development
• Connect with KC McAdam on LinkedIn

More from Our Hosts

• Connect with ⁠⁠⁠⁠Brent⁠⁠⁠⁠ on LinkedIn

• Connect with ⁠⁠⁠⁠Khalil ⁠⁠⁠⁠on LinkedIn

Ready to navigate the evolving CCS landscape? Whether you're working on carbon capture projects or need expertise across traditional and renewable energy development, Dudley Land Company brings 45+ years of energy expertise to every project. From pore space agreements to pipeline corridors, we're your complete energy partner with integrated solutions that keep projects on time and on budget.

Visit us at dudleylandcompany.com or connect with our team to discuss how our experience in both oil and gas and emerging energy sectors can support your next project.