HOUSTON: Exxon Mobil Corp. estimates a $4 trillion market for capturing carbon dioxide and storing it underground by 2050, according to a presentation given on Tuesday.
That equates to roughly 60% of the $6.5 trillion market for oil and gas estimated by the United States’ largest crude producer by then.
According to the International Energy Agency (IEA), carbon capture is an important technology for reducing emissions.
It entails capturing CO2 from fuel combustion or industrial processes, transporting it via ship or pipeline, and storing it underground in geological formations or using it as a resource to create products.
Large oil companies have been investing in carbon capture and storage (CCS) to make it a viable business, as international bodies such as the Intergovernmental Panel on Climate Change (IPCC) see the technology as critical to mitigating the effects of global warming.
Exxon is under public pressure to reduce its total emissions because its energy transition strategy excludes renewable energy sources such as solar and wind.
It recently hired Dan Ammann, who previously led General Motors Co’s Cruise self-driving unit until December, to lead its Low Carbon business beginning May 1.
CCS has previously been estimated to be a $3-5 trillion worldwide industry by Occidental Petroleum, which is creating the world’s largest project to harvest CO2 from the air.
Occidental’s Chief Executive Vicki Hollub stated at a conference in March that the technology may create as much revenue and cash flow as oil and gas does today.
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