The developer planning a 1,300-mile network of carbon dioxide pipelines through the farm belt said Friday it was scrapping the project, citing the “unpredictable nature of regulatory and governmental processes” in two of the five states it would cross.
The decision by Omaha, Neb.-based Navigator CO2 Ventures. it comes after South Dakota regulators decided to deny a permit for the 112-mile Heartland Greenway project in the state's western tip.
“As good stewards of capital and responsible stewards of people, we have made the difficult decision to cancel the Heartland Greenway project,” said Navigator CEO Matt Vining. “We are disappointed that we will not be able to provide service to our customers and thank them for their continued support.”
The Navigator project was one of three major CO2 pipelines being developed in the Midwest. The others are a nearly 2,000-mile project proposed by Summit Carbon Solutions and a 280-mile project by Wolf Carbon Solutions.
Pipeline manufacturers have sought to take advantage of federal tax credits for carbon sequestration and sequestration, which were boosted by last year's Inflation Reduction Act.
Such projects are key to the Biden administration's efforts to reduce greenhouse gas emissions in the energy sector.
The work of the Summit has also run into problems.
In August, North Dakota regulators denied a facility permit needed to build about 320 miles of CO2 pipeline in the state. The company this week said it would delay the planned opening of the pipeline until 2026. The project was originally supposed to be operational next year.
