seeing green

AT&T makes deal with Oxy for carbon credits

Here's 1PoinFive's newest customer on its Texas CCUS project. Photo via 1pointfive.com

Telecommunications giant AT&T has agreed to purchase carbon removal credits from 1PointFive, the carbon capture, utilization, and sequestration (CCUS) subsidiary of Houston-based Occidental Petroleum.

Financial details weren’t disclosed.

The carbon credits will be tied to STRATOS, 1PointFive’s first large-scale direct air capture (DAC) facility. The billion-dollar project is being built near Odessa.

“AT&T’s carbon removal credit purchase is another proof point of the vital role that [DAC] can play in providing a high-integrity and durable solution to help organizations address their emissions,” Michael Avery, president and general manager of 1PointFive, says in a news release.

The AT&T deal comes just one month after 1PointFive announced a similar agreement with Milwaukee-based Rockwell Automation, which specializes in industrial automation and digital transformation.

In November, Occidental announced that New York City-based investment manager BlackRock was chipping in $550 million as part of a joint venture to build STRATOS. The project, set to be completed in 2025, is designed to capture up to 500,000 metric tons of carbon emissions once it’s fully online.

Under 1PointFive’s deal with Dallas-based AT&T, CO2 underpinning the removal credits will be sucked out of the air and stored in underground salt-water formations.

In conjunction with the DAC deal, 1PointFive has joined AT&T’s Connected Climate Initiative, an effort aimed at reducing greenhouse gas emissions by one gigaton by 2035.

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A View From HETI

An AI-generated image of the nearly 2,800-acre Lucy Solar Project. Image courtesy Hyundai Engineering & Construction

Corporate partners—including Hyundai Engineering & Construction, which maintains a Houston office—kicked off a $524 million solar power project in the Texas Hill Country on Jan. 27.

The 350-megawatt, utility-scale Lucy Solar Project is scheduled to go online in mid-2027 and represents one of the largest South Korean-led investments in U.S. renewable energy.

The solar farm, located on nearly 2,900 acres of ranchland in Concho County, will generate 926 gigawatt-hours of solar power each year. That’s enough solar power to supply electricity to roughly 65,000 homes in Texas.

Power to be produced by the hundreds of thousands of the project’s solar panels has already been sold through long-term deals to buyers such as Starbucks, Workday and Plano-based Toyota Motor North America.

The project is Hyundai Engineering & Construction’s largest solar power initiative outside Asia.

“The project is significant because it’s the first time Hyundai E&C has moved beyond its traditional focus on overseas government contracts to solidify its position in the global project financing market,” the company, which is supplying solar modules for the project, says on its website.

Aside from Hyundai Engineering & Construction, a subsidiary of automaker Hyundai, Korean and U.S. partners in the solar project include Korea Midland Power, the Korea Overseas Infrastructure & Urban Development Corp., solar panel manufacturer Topsun, investment firm EIP Asset Management, Primoris Renewable Energy and High Road Energy Marketing.

Primoris Renewable Energy is an Aurora, Colorado-based subsidiary of Dallas-based Primoris Services Corp. Another subsidiary, Primoris Energy Services, is based in Houston.

High Road is based in the Austin suburb of West Lake Hills.

“The Lucy Solar Project shows how international collaboration can deliver local economic development and clean power for Texas communities and businesses,” says a press release from the project’s partners.

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