Rayonier Announces Pore Space Agreement with Reliant Carbon Capture & Storage Covering Approximately 104,000 Acres
Rayonier (NYSE:RYN) has signed an underground pore space easement agreement with Reliant Carbon Capture & Storage covering approximately 104,000 acres in Alabama. The agreement aims to support carbon capture and storage initiatives, with Reliant specializing in capturing CO2 emissions from power plants and industrial facilities for safe sequestration in subsurface geologic formations.
Reliant is currently completing a front-end engineering design report for a power generating station in the area. This agreement aligns with Rayonier's land-based solutions strategy, positioning the company to benefit from the transition to a low-carbon economy. The partnership aims to develop a large-scale sequestration hub to help decarbonize heavy industry in the region.
Rayonier (NYSE:RYN) ha firmato un accordo di servitù per spazio sotterraneo con Reliant Carbon Capture & Storage che copre circa 104.000 acri in Alabama. L'accordo mira a supportare le iniziative di cattura e stoccaggio del carbonio, con Reliant specializzata nella cattura delle emissioni di CO2 da impianti di energia e strutture industriali per una sicura sequestrazione in formazioni geologiche sotterranee.
Reliant sta attualmente completando un rapporto di progettazione ingegneristica preliminare per una centrale elettrica nella zona. Questo accordo è in linea con la strategia di soluzioni basate sulla terra di Rayonier, posizionando l'azienda per beneficiare della transizione verso un'economia a basse emissioni di carbonio. La partnership mira a sviluppare un hub di sequestrazione su grande scala per aiutare a decarbonizzare l'industria pesante nella regione.
Rayonier (NYSE:RYN) ha firmado un acuerdo de servidumbre de espacio subterráneo con Reliant Carbon Capture & Storage que abarca aproximadamente 104,000 acres en Alabama. El acuerdo tiene como objetivo apoyar las iniciativas de captura y almacenamiento de carbono, siendo Reliant especialista en capturar emisiones de CO2 de centrales eléctricas e instalaciones industriales para un almacenamiento seguro en formaciones geológicas subterráneas.
Reliant está actualmente completando un informe de diseño de ingeniería inicial para una estación generadora de energía en la zona. Este acuerdo está alineado con la estrategia de soluciones basadas en tierra de Rayonier, posicionando a la empresa para beneficiarse de la transición hacia una economía baja en carbono. La asociación busca desarrollar un hub de sequestración a gran escala para ayudar a descarbonizar la industria pesada en la región.
레이오니어 (NYSE:RYN)가 릴라이언트 탄소 포집 및 저장과 함께 앨라배마주에서 약 104,000 에이커에 대한 지하 공간의 지배권 계약을 체결했습니다. 이 계약은 탄소 포집 및 저장 이니셔티브를 지원하는 것을 목표로 하며, 릴라이언트는 발전소와 산업 시설에서 CO2 배출을 안전하게 지하 지질 구조에 격리하기 위해 포집하는 전문 기업입니다.
릴라이언트는 현재 해당 지역의 발전소에 대한 초기 엔지니어링 설계 보고서를 완료하고 있습니다. 이 계약은 레이오니어의 육상 기반 솔루션 전략과 일치하며, 저탄소 경제로의 전환에서 혜택을 볼 수 있도록 회사를 위치 짓고 있습니다. 이 파트너십은 해당 지역의 중공업을 탈탄소화하기 위한 대규모 격리 허브 개발을 목표로 하고 있습니다.
Rayonier (NYSE:RYN) a signé un accord de servitude pour un espace souterrain avec Reliant Carbon Capture & Storage couvrant environ 104 000 acres en Alabama. Cet accord vise à soutenir les initiatives de capture et de stockage du carbone, avec Reliant spécialisée dans la capture des émissions de CO2 provenant des centrales électriques et des installations industrielles pour un stockage sécurisé dans des formations géologiques souterraines.
Reliant est actuellement en train de finaliser un rapport de conception d'ingénierie préliminaire pour une centrale de production d'électricité dans la région. Cet accord est en phase avec la stratégie de solutions basées sur la terre de Rayonier, positionnant l'entreprise pour bénéficier de la transition vers une économie à faible émission de carbone. Le partenariat vise à développer un hub de séquestration à grande échelle pour aider à décarboniser l'industrie lourde dans la région.
Rayonier (NYSE:RYN) hat eine Vereinbarung über das Untergrundräume-Recht mit Reliant Carbon Capture & Storage unterzeichnet, die ungefähr 104.000 Acres in Alabama abdeckt. Das Ziel der Vereinbarung ist es, die Initiativen zur Kohlenstoffabscheidung und -lagerung zu unterstützen, wobei Reliant sich auf die Erfassung von CO2-Emissionen aus Kraftwerken und Industrieanlagen spezialisiert hat, um diese sicher in unterirdischen geologischen Formationen zu lagern.
Reliant erstellt derzeit einen Bericht über das planungsbezogene Ingenieurdokument für ein Kraftwerk in der Region. Diese Vereinbarung entspricht der Strategie von Rayonier für landgestützte Lösungen und positioniert das Unternehmen, um von der Transformation zu einer kohlenstoffarmen Wirtschaft zu profitieren. Die Partnerschaft zielt darauf ab, ein großangelegtes Speicherzentrum zu entwickeln, um die Dekarbonisierung der Schwerindustrie in der Region zu unterstützen.
- Secured pore space agreement covering 104,000 acres for carbon capture revenue potential
- Strategic positioning in the growing carbon capture and storage market
- Partnership with established carbon capture specialist Reliant
- None.
Insights
The strategic pore space agreement covering 104,000 acres in Alabama positions Rayonier to capitalize on the growing carbon capture and storage (CCS) market. The partnership with Reliant CCS demonstrates a calculated move into the carbon sequestration infrastructure space, which is gaining momentum due to federal incentives like the 45Q tax credit and increasing corporate demand for decarbonization solutions.
The concurrent development of a power station engineering design suggests a clear pathway to monetization. Subsurface storage rights in geologically suitable areas are becoming increasingly valuable assets as CCS projects scale up. This agreement could generate significant long-term revenue streams through storage fees, while requiring minimal capital investment from Rayonier, effectively monetizing otherwise unused underground assets.
For investors, this represents a strategic diversification of Rayonier's revenue streams beyond traditional timber operations into the emerging carbon management market. The deal aligns with both ESG investing trends and the growing regulatory push for industrial decarbonization, potentially providing stable, long-term cash flows once operational.
The geological aspects of this agreement are particularly noteworthy. Alabama's subsurface formations, particularly in areas with suitable pore space for CO2 sequestration, offer ideal characteristics for carbon storage: appropriate depth, porosity and impermeable cap rock essential for secure long-term containment. The 104,000-acre scale suggests significant storage capacity potential, likely sufficient for multiple industrial clients.
Reliant's focus on power plant emissions indicates they're targeting large-volume, point-source CO2 capture opportunities - a practical approach that typically offers better economics than distributed or ambient air capture systems. The front-end engineering design (FEED) study for a local power station demonstrates a concrete pathway to implementation, reducing project execution risk.
WILDLIGHT, Fla.--(BUSINESS WIRE)--
Rayonier Inc. (NYSE:RYN) today announced that it has entered into an underground pore space easement agreement with an affiliate of Reliant Carbon Capture & Storage covering approximately 104,000 acres in
“Carbon capture and storage opportunities represent a key pillar of our land-based solutions strategy, and we are encouraged by our progress in securing additional pore space lease agreements,” said Mark McHugh, President & CEO of Rayonier. “As we continue to grow our land-based solutions business, our team is focused on executing agreements with high-quality counterparties, such as Reliant, that position Rayonier to benefit from the transition to a low-carbon economy.”
Tom McCarthy, CEO of Reliant, added, “We are pleased to work with Rayonier as Reliant develops this critical infrastructure project. By building this large-scale sequestration hub, coupled with post-combustion carbon capture projects at large-volume emitters, Reliant will provide the key components required to decarbonize heavy industry in this region.”
About Rayonier
Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in
View source version on businesswire.com: https://www.businesswire.com/news/home/20241223387805/en/
Investors: Collin Mings, investorrelations@rayonier.com, 904-357-9100
Media: Alejandro Barbero, alejandro.barbero@rayonier.com
Source: Rayonier Inc.
FAQ
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