AUSTIN Texas Land Commissioner Dr. Dawn Buckingham announced Thursday a signed agreement between the Texas General Land Office (GLO) and ExxonMobil to lease approximately 271,068 acres of submerged state land located offshore in Jefferson, Chambers, and Galveston Counties.
A news release said this agreement is not only the most extensive Carbon Capture and Sequestration (CCS) transportation and storage lease in state history; it’s also the largest lease in the United States. This agreement will benefit the Texas Permanent School Fund (PSF) and provide millions in funding to Texas public school children by generating exceptional investment returns.
“As the steward of 13 million acres of energy-rich state land, I am proud to partner with ExxonMobil in utilizing state land for innovative solutions that can help ensure future energy production. Energy independence is vital to ensuring our state and country remain economic leaders around the globe,” Buckingham said in the release. “As a mom, I have long said that educating our children is the most important thing we do, and I am thrilled that the revenue from this lease will go toward benefiting our great state along with our Texas school children.”
Under the terms of the agreement, ExxonMobil will have the right to inject carbon dioxide into geologically secure strata located approximately one to two miles below the surface of the Gulf of Mexico.
“This is yet another sign of our commitment to CCS and the strides we’ve been able to make,” said Dan Ammann, president of ExxonMobil Low Carbon Solutions. “With our growing roster of customers ready to deploy CCS, we’ll be driving substantial emissions reductions along the Gulf Coast through a comprehensive solution that includes capture, transportation, and storage — capabilities that make us a clear leader.”
The GLO serves as the largest land and mineral owner in the State of Texas.
