Cooperative Agreement DECD0000006

THE OVERALL OBJECTIVE OF THE PROJECT IS TO PERFORM THE PRELIMINARY DEVELOPMENT WORK FOR AN INTEGRATED CARBON DIOXIDE (CO2) CAPTURE PROJECT AT THE LAKE CHARLES POWER STATION (LCPS). DURING THE PROPOSED PROJECT, THE TEAM WILL APPLY ITS KNOWLEDGE BASE BUILT FROM PREVIOUS FRONT END ENGINEERING DESIGN (FEED) STUDIES TO COMPLETE THE CONCEPTUAL DESIGN OF A CARBON CAPTURE SYSTEM INTENDED TO BE CAPABLE OF CAPTURING A MINIMUM OF 95% OF THE CO2 EMISSIONS. THE PROJECT TEAM CONSISTS OF ENTERGY SERVICES, LLC (ENTERGY), MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. (MHIA), TALOS ENERGY, INC. (TALOS), AND SARGENT & LUNDY (S & L). THE FEED STUDY FOR THE CO2 CAPTURE SYSTEM WILL BE COMPLETED BY MHIA AND S & L INCLUDING DESIGN DELIVERABLES CONSISTENT WITH THE LEVEL NEEDED TO DEVELOP AN ASSOCIATION FOR THE ADVANCEMENT OF COST ENGINEERING (AACE) CLASS 3 ESTIMATE WITH AN ACCURACY OF ±15% FOR THE ENTIRE SCOPE OF THE CAPTURE FACILITY AND BALANCE OF PLANT. TALOS INTENDS TO DEVELOP A FEED STUDY FOR THE CO2 TRANSPORTATION INFRASTRUCTURE NEEDED TO ACCESS THE SEQUESTRATION OFF-TAKE, EVALUATE THE STORAGE LOCATION, AND DEVELOP THE CLASS VI PERMIT APPLICATION. THE PROPOSED PROJECT ALSO INCLUDES EXECUTION OF THE COMMUNITY BENEFITS PLAN (CBP). THE COMPLETED FEED STUDY IS INTENDED TO ADVANCE THE LAKE CHARLES POWER STATION CO2 CAPTURE PROJECT TO BE READY TO MOVE INTO THE NEXT PHASE OF PROJECT DEVELOPMENT, PERMITTING, AND FINANCING AND ULTIMATELY CONSTRUCTION AND OPERATION. IN ADDITION, THE LEARNINGS FROM THIS PROJECT WILL BENEFIT THE FIVE ENTERGY UTILITY OPERATING COMPANIES AS THEY EXPLORE IMPLEMENTATION OF CO2 CAPTURE ACROSS THEIR FLEET AS PART OF THEIR STRATEGY TO MEET THEIR CUSTOMERS' INCREASING NEED FOR SUSTAINABLE ENERGY AND TO ACHIEVE ENTERGY'S ENVIRONMENTAL, SOCIAL, AND GOVERNANCE (ESG) INITIATIVES. FURTHERMORE, THE RESULTS OF THE STUDY WILL HAVE APPLICABILITY FOR THE US POWER GENERATING FLEET AS THIS PROJECT IS INTENDED TO DEMONSTRATE THE ABILITY TO USE THIS TECHNOLOGY TO REDUCE CO2 EMISSIONS FROM EXISTING NATURAL GAS COMBINED CYCLE GENERATING FACILITIES. THE KM CDR PROCESS UTILIZING KS-21 SOLVENT IS CURRENTLY AT A TECHNOLOGY READINESS LEVEL (TRL) OF 7, 6 WHEN UTILIZED WITH NATURAL GAS FIRED EXHAUST.