DURHAM, North Carolina and
HOUSTON, Nov. 8, 2018 /PRNewswire/ -- NET Power, LLC,
and Oxy Low Carbon Ventures, LLC (OLCV), a subsidiary of Occidental
Petroleum Corporation (NYSE: OXY), today announced they have
reached an investment agreement, subject to regulatory
approval. The investment will advance the development of NET
Power's low-cost, natural gas electric power system that generates
no atmospheric emissions and inherently captures all carbon dioxide
(CO2). Upon receiving regulatory approval, OLCV
will join current investors Exelon Generation (NYSE: EXC),
McDermott (NYSE: MDR), and 8 Rivers Capital.
"OLCV is dedicated to advancing innovative low-carbon technology
solutions that will grow Occidental's business while reducing
emissions," said Occidental Petroleum's Senior Vice President,
Operations Support, Richard Jackson.
"NET Power's power generation technology with inherent carbon
capture complements Occidental's leadership in CO2
utilization and sequestration, making us ideal partners to tackle
carbon emissions worldwide."
"NET Power has developed a critical tool for affordably
generating electricity and addressing global carbon emissions, and
Occidental's expertise and dedication to advancing low-carbon
solutions will help to advance this technology rapidly around the
world," said NET Power's CEO, Bill
Brown.
NET Power has developed a novel power system that produces
low-cost, reliable, and flexible electricity from natural gas,
while generating no atmospheric emissions, including full CO₂
capture and no NOx production. In May of this year, NET Power
achieved first-fire at its 50MWth La
Porte, Texas, demonstration facility, which is the world's
first and only industrial-scale supercritical CO2-based
power plant. The first phase of testing successfully
demonstrated the novel combustor at full scale and the operability
of the NET Power process. The last phase of testing will
commence shortly and is expected to be completed by early
2019. At that time, NET Power expects to have the data
necessary to commence detailed engineering of 300MWe commercial
scale plants with major power, oil and gas, and industrial
customers around the world.
"Occidental's experience and capabilities are an excellent
complement to the NET Power team, and Exelon Generation looks
forward to working with NET Power and the other investors to help
advance this innovative, clean air technology," said Ken Cornew, president and CEO of Exelon
Generation.
"McDermott and Occidental have a longstanding relationship, one
that we are excited to grow with Exelon and 8 Rivers Capital," said
David Dickson, McDermott's President
and Chief Executive Officer. "As a major oil and gas company,
Occidental's investment further solidifies the commercial viability
of NET Power and its potential to be at the forefront of a new era
of energy."
In addition to electricity, NET Power plants will generate all
CO2 as a low-cost, pipeline-ready byproduct. Occidental
Petroleum is the industry leader in using CO2 to enable
low-cost enhanced oil recovery (EOR), which can increase oil
recovery by 10 to 25 percent in the fields where it is employed,
while at the same time permanently sequestering the CO2
in the reservoir. NET Power's CO2 can be used in a
variety of other industrial processes that sequester the
CO2, including cleaning up large quantities of low-cost
sour gas. Finally, NET Power plants also co-generate nitrogen,
argon and process heat, driving lower-cost, lower-carbon industrial
processes, such as cheap, zero-carbon hydrogen production.
NET Power sees a large, global demand for its technology, made
even greater by the passage of 45Q carbon capture tax credit reform
in the U.S., the growing demand for low-cost CO₂ for industrial
processes that use and sequester CO₂, and the global shift toward
lower-carbon energy production. NET Power's reliable, dispatchable,
zero-carbon energy provides a necessary and enabling complement to
growing renewable generation, while helping the world to reach even
deeper decarbonization targets at the lowest cost.
NET Power, LLC, is a Durham,
NC-based company developing the natural gas-fueled Allam
Cycle power system. For more information, please visit
www.NETPower.com.
Oxy Low Carbon Ventures, LLC (OLCV) is a subsidiary of
Occidental Petroleum Corporation, an international oil and gas
exploration and production company with operations in the United States, Middle East and Latin America. Occidental's global strategy
includes active investment in carbon dioxide enhanced oil recovery
(CO2-EOR) and carbon capture, utilization and storage
(CCUS), as well as other emissions-reducing technologies.
OLCV capitalizes on Occidental's EOR leadership by developing CCUS
projects that source anthropogenic CO2 and promotes
innovative technologies that drive cost efficiencies and
economically grows Occidental's business while reducing
emissions.
Exelon Generation, a subsidiary of Exelon Corporation
(NYSE: EXC), is one of the largest, most efficient clean energy
producers in the U.S., with a generating capacity of around 35,000
megawatts. Exelon Generation operates the largest U.S. fleet
of carbon-free nuclear plants with 20,300 megawatts of capacity
from 23 reactors at 14 facilities in Illinois, Maryland, New
Jersey, New York and
Pennsylvania. Exelon Generation
also operates a diverse mix of wind, solar, landfill gas,
hydroelectric, natural gas and oil facilities in 18 states with
around 15,000 megawatts. Exelon Generation has an industry-leading
safety record and is an active partner and economic engine in the
communities it serves by providing jobs, charitable contributions
and tax payments that help towns and regions grow. Follow Exelon
Generation on Twitter @ExelonGen, view the Exelon Generation
channel on YouTube, and visit:
http://www.exeloncorp.com/companies/exelon-generation.
McDermott is a premier, fully integrated provider of
technology, engineering and construction solutions to the energy
industry. For more than a century, customers have trusted McDermott
to design and build end-to-end infrastructure and technology
solutions—from the wellhead to the storage tank—to transport and
transform oil and gas into the products the world needs today. Our
proprietary technologies, integrated expertise and comprehensive
solutions deliver certainty, innovation and added value to energy
projects around the world. Customers rely on McDermott to deliver
certainty to the most complex projects, from concept to
commissioning. It is called the "One McDermott Way." Operating in
over 54 countries, McDermott's locally focused and
globally-integrated resources include approximately 40,000
employees, a diversified fleet of specialty marine construction
vessels and fabrication facilities around the world. To learn more,
visit www.mcdermott.com.
8 Rivers Capital, LLC is a Durham, NC-based firm
leading the innovation of sustainable, infrastructure-scale
technologies. As the inventor of the Allam Cycle, 8 Rivers is
also focusing on developing economic and sustainable production of
hydrogen, as well as uses for the CO₂ captured by the cycle,
including the production of ethylene and other valuable products
and the removal of sulfur impurities from gas streams. 8 Rivers is
also developing technologies to deliver space launch and backbone
communications at a fraction of the cost of existing
technologies. For more information, visit
www.8Rivers.com.