Occidental Petroleum’s subsidiary, 1PointFive, has secured the first-ever federal permits in Texas for dedicated carbon dioxide (CO₂) sequestration wells. Issued by the U.S. Environmental Protection Agency (EPA) under the Safe Drinking Water Act’s Class VI well program, these permits authorize the construction and operation of three CO₂ injection wells in Ector County, within the Permian Basin.
The wells are integral to 1PointFive’s Stratos project, a large-scale direct air capture (DAC) facility designed to extract up to 500,000 metric tons of CO₂ annually from the atmosphere. The captured CO₂ will be stored more than 4,000 feet underground, aiming to reduce atmospheric carbon levels and contribute to climate change mitigation efforts.
Stratos is a joint venture between Occidental and asset manager BlackRock. The project has already attracted corporate clients like Microsoft and AT&T, who have committed to purchasing carbon removal credits as part of their sustainability initiatives.
This development marks a significant milestone in carbon capture and storage (CCS) technology deployment in Texas. However, it also highlights ongoing discussions about regulatory oversight, as Texas officials seek state-level authority to expedite future CCS project approvals.