BKV Corp. announces FID on carbon capture project with Texas midstream operator

BKV Corporation announced a strategic partnership with a diversified midstream energy company to develop a new carbon capture and sequestration, or CCS, facility at a currently operating natural gas plant in South Texas. The natural gas processing plant, located near the city of Freer in south Texas, processes natural gas produced in the Eagle Ford Shale. Under the announced partnership, BKV will purchase the CO2 waste stream from the plant, which will then be compressed, transported and permanently sequestered via BKV’s injection well at an adjacent site. BKV will retain the environmental attributes associated with the CCS project. The Texas Railroad Commission has approved the project’s Class II injection well and a monitoring, reporting and verification plan has been submitted to the United States Environmental Protection Agency for approval. When the project is fully operational, which is expected in Q1 2026, the facility is forecasted to achieve an average sequestration rate of approximately 90,000 metric tons per year of CO2 equivalent. The new CCS facility adds to BKV’s carbon capture, utilization and sequestration portfolio, which includes the CCS facility at the company’s Barnett Zero site in north Texas and the Cotton Cove CCS project, which has reached FID and is expected to begin initial sequestration operations in the first half of 2026.