en.Wedoany.com Reported - The Louisiana Department of Conservation and Energy (LDCE) has issued the first permit of its kind in the state to Strategic Biofuels LLC, approving its subsidiary Louisiana Green Fuels LLC (LGF) for a new biorefinery and adjacent carbon capture and storage (CCS) bioenergy (BECCS) power plant project. The project is located on a 327-acre site in Columbia Port, Caldwell Parish, northeastern Louisiana, approximately 25 miles south of Monroe.

In an order effective June 25, the LDCE approved three applications from LGF to drill, construct, and operate three new Class VI injection wells for sequestering carbon dioxide (CO₂) as part of the biorefinery-BECCS project. The LDCE's approval of LGF's final Class VI CO₂ geologic storage permit marks the first time Louisiana has issued such a permit for a carbon storage project involving multiple injection wells.

With the permit secured, LGF has been authorized to proceed with the power generation project, utilizing the approved reservoir's permanent CO₂ storage capacity to produce up to 600 megawatts of carbon-negative electricity, making the project a scalable model for providing reliable carbon-negative power and permanent carbon storage. Dr. Paul Schubert, Chief Operating Officer of Strategic Biofuels, stated that this is a defining moment for the company and the carbon capture and storage sector in Louisiana, noting that the LDCE's issuance of the permit demonstrates that projects combining suitable geological conditions, proven technology, strong local support, and clear economic goals to meet real market demand can move forward successfully. Schubert said LGF could also serve as a replicable model for responsible carbon capture projects across the United States.

The issuance of the final Class VI permit for the LGF project followed the LDCE's release of a draft version in March. The Louisiana Department of Environmental Quality (LDEQ) previously approved LGF's synthetic minor air permit application in September 2023, determining that the project would not adversely affect local air resources.

The project is expected to start in 2029, with Phase 1 constructing a 100-megawatt wood-fired power plant equipped with a dedicated carbon capture and storage system, fueled by 1.3 million tons per year (tpy) of locally and sustainably sourced forestry residues, producing a net 75 megawatts of 24/7 carbon-neutral electricity for export to Louisiana's industrial grid. LGF will use the remaining self-generated power to operate the carbon capture and storage operations. Once the CCS-BECCS plant is operational, LGF will be able to capture over 1 million tons of CO₂ per year from the power generation process and permanently store it in a dedicated geological reservoir approximately one mile below the plant site. According to Strategic Biofuels, the reservoir's three injection wells will collectively have more than three times the CO₂ storage capacity required for Phase 1 of the project, providing ample room for future expansion.

Although Strategic Biofuels indicated in March that Phase 2 of the project would include a proposed sustainable aviation fuel (SAF) biorefinery, according to the operator's website, Phase 2 may now only involve additional low-carbon power generation. The company previously announced in February 2024 that it would shift LGF's primary renewable fuel product from the originally planned blend of renewable diesel and renewable naphtha to sustainable aviation fuel to help meet the decarbonization needs of the commercial aviation industry. At that time, Strategic Biofuels stated that the project's renewable fuel component, once completed, was expected to produce approximately 640 million gallons per year of renewable fuel.