Archer-Daniels-Midland captures and sequesters CO₂ to lower the production cost of its ethanol fuel

May 24, 2018 | Case Study

Starting in 2018, the U.S. government is offering a national carbon tax credit of $50 to the industrial sector for every metric ton (MT) of CO₂ that is captured and sequestered underground. The previous tax credit was $20/MT of CO₂ and completely ineffective in spurring carbon capture and sequestration (CCS) projects in the U.S.; there are currently only nine carbon capture facilities in the country, and only one project, Archer-Daniels-Midland's Illinois Industrial CCS, stores its captured CO₂ underground. The other projects utilize the captured CO₂ in enhanced oil recovery (EOR) applications.