DOE issues final approval for Lake Charles CCS project funding
The U.S. Department of Energy (DOE) on Dec. 30 released its record of decision under which it would provide cost-shared funding to Leucadia Energy LLC for its Lake Charles Carbon Capture and Sequestration (CCS) project in Louisiana. This funding for the Lake Charlesproject is under DOE's Industrial Carbon Capture Sequestration (ICCS) Program. DOE in November 2013 issued a final (EIS) that evaluates the potential environmental impacts associated with DOE's proposed action to provide this funding. DOE would provide $261.4m in financial assistance through a cooperative agreement with Leucadia to capture CO2 from the Plant and transport the CO2 via pipelines to the West Hastings oil field, for use in existing, commercial (EOR). The West Hastings research monitoring, verification, and accounting (MVA) program will provide an accurate accounting of approximately 1 million tons of stored CO2. DOE has already provided $13.9m to Leucadia for preliminary design and related activities. The estimated total cost of the Lake Charles CCS project is $435.6m.