Exxon Mobil has leased what it calls the largest offshore CO2 storage site in the U.S. from the Texas General Land Office (GLO). Terms of the contract weren’t disclosed in an Oct. 10 press release.

The site, covering more than 271,000 acres, complements the onshore CO2 storage portfolio Exxon Mobil is developing, and “further solidifies the U.S. Gulf Coast as a carbon capture and storage (CCS) leader,” the company said.

“This is yet another sign of our commitment to CCS and the strides we’ve been able to make,” said Dan Ammann, president of Exxon’s 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.”

Exxon said the terms of the agreement directly benefit the Texas Permanent School Fund.

“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,” said Land Dawn Buckingham. “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.”

Exxon, which added CO2 infrastructure with its acquisition of Denbury in 2023, operates the largest CO2 pipeline network in the U.S. The company said it is “well-positioned to leverage its extensive infrastructure and storage space to deliver an end-to-end solution.”

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