M&A Moves

Houston energy services company acquires carbon capture, storage biz

In M&A news, Buckeye Partners has acquired a carbon capture and storage company from Oklahoma. Photo via Getty Images

Another Houston energy company has announced an acquisition in the carbon capture space.

Buckeye Partners, a Houston-headquartered energy infrastructure and logistics provider, announced this week that it has acquired Oklahoma City-based Elysian Carbon Management from EnCap Flatrock Midstream. The terms of the deal were not disclosed.

Elysian, founded in 2018, secured an initial capital commitment of $350 million from EnCap Flatrock Midstream in 2021. The company's technology includes end-to-end carbon capture and storage solutions.

“This acquisition reflects Buckeye’s commitment to continue to provide essential infrastructure and logistics solutions to meet our customers’ evolving needs in the energy transition,” say Buckeye CEO Todd Russo in a news release. “Rapidly developing CCS-related technologies and solutions offer abundant synergies across Buckeye’s project development capabilities and existing pipeline network and are essential to enabling the energy transition’s success."

With the acquisition, Russo continues, the Elysian team will join the Buckeye platform to integrate the two companies' expertise. Per the release, Buckeye hopes to become a net-zero energy business by 2040, across scope 1 and 2 GHG emissions.

“Buckeye continues to demonstrate resiliency and emissions-reduction results across its increasingly diversified energy solutions portfolio,” says Elysian CEO Bret Logue in the release. “We’re fully aligned with their decarbonization mission and look forward to adding immediate value to Buckeye’s customer base and their momentum in the energy transition by integrating CCS technologies across the energy value chain.”

Less than a week before Buckey's M&A news, ExxonMobil announced its acquisition of a carbon capture company in a $4.9 billion deal.

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A View From HETI

Hobby Airport's new solar canopy is operating at 100% capacity. Photo courtesy Houston Airports.

Houston's William P. Hobby Airport is generating its own clean energy.

Houston Aiports announced that Hobby's red garage is now home to a "solar canopy" that is producing energy at 100 percent capacity to power daily operations. The photovoltaic (PV) solar system generated more than 1.1 gigawatt-hours of electricity in testing, and is expected to produce up to 1 megawatt-hour now that it's operating at full power.

“This project is proof that sustainability can be practical, visible and directly tied to the passenger experience,” Jim Szczesniak, director of aviation for Houston Airports, said in a news release. “Passengers now park under a structure that shields their cars from the Texas sun while generating clean energy that keeps airport operations running efficiently, lowering overall peak demand electrical costs during the day and our carbon footprint. It’s a win for travelers, the city and the planet.”

The project was completed by Texas A&M Engineering Experiment Station (TEES) and CenterPoint Energy. It's part of Houston Airport's efforts to reduce carbon emissions by 40 percent over its 2019 baseline.

In a separate announcement, the airport system also shared that it recently reached Level 3 in the Airports Council International (ACI) Airport Carbon Accreditation program after reducing emissions by 19 percent in three years. This includes reductions at George Bush Intercontinental Airport (IAH), Hobby and Ellington Airport/Houston Spaceport.

The reductions have come from initiatives such as adding electric vehicles to airport fleets, upgrading airfield lighting with LED bulbs, adding smarter power systems to terminals, and improving IAH's central utility plant with more efficient equipment. Additionally, the expansion to Hobby's West Concourse and renovations at IAH Terminal B incorporate cleaner equipment and technology.

According to Houston Airports, from 2019 to 2023:

  • IAH reduced emissions by 17 percent
  • Hobby reduced emissions by 32 percent
  • Ellington Airport reduced emissions by 4 percent

"I see firsthand how vital it is to link infrastructure with sustainability,” Houston City Council Member Twila Carter, chair of the council’s Resilience Committee, said in the release. “Reducing carbon emissions at our airports isn’t just about cleaner travel — it’s about smarter planning, safer communities and building a Houston that can thrive for generations to come.”

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