California Resources Corporation (NYSE: CRC) and its carbon management division, Carbon TerraVault (CTV), have signed a Memorandum of Understanding (MOU) with cement company National Cement Company of California Inc. The goal is the development of the ‘Lebec Net Zero’ project. This initiative seeks to produce carbon neutral cement at National Cement’s facilities in California, being the first plant of its kind in this state.
The agreement establishes that CTV will develop transportation and storage solutions to capture up to 1 million metric tons of carbon dioxide (CO2) per year from National Cement’s plant in Lebec, Kern County.
The captured CO2 will be safely transported and stored in CTV’s underground reserves, contributing to industrial decarbonization efforts in California. This project represents a significant step forward in reducing emissions from the cement sector as a key industry in the state’s economy and infrastructure.
The initiative seeks to establish the first carbon-neutral cement plant in California by integrating carbon capture technology, the use of local biomass from agricultural byproducts, and the production of calcined clay and limestone cement (LC3). This combination of strategies will significantly reduce greenhouse gas emissions and promote a more sustainable model of cement production. Pending necessary regulatory approvals, the plant is expected to be operational in 2031.
The project aligns with Kern County’s carbon management vision, driving economic growth, job creation, and increased tax revenue for local communities. In addition, it has been one of 33 initiatives selected by the U.S. Department of Energy (DOE) within its Industrial Demonstrations Program, with a funding commitment of up to $500 million to accelerate its development through a public-private partnership.
Francisco León, President and CEO of CRC, highlighted the importance of the agreement: “This MOU with National Cement reflects the growing demand for innovative solutions for decarbonization in the California industry. Achieving carbon neutrality in the cement sector requires bold actions, and this collaboration is a key step in developing the first carbon capture, transportation and storage project in this essential sector. We have proven experience in carbon management and strategically located assets for CO2 storage, allowing us to offer innovative, reliable and economically viable solutions for the energy transition.”
As for National Cement, Eric Holard, the company’s CEO, highlighted the impact of the initiative: “This is a transformative project for the cement industry. We are making a significant investment because we believe in a cleaner future and in innovation within national manufacturing. CTV’s leadership in safe and responsible carbon management, combined with our strategic and operational alignment, gives us a clear roadmap for the success of this project.”
With the signing of this agreement with National Cement, CTV is now studying carbon capture and storage (CCS) projects that in total cover almost 9 million metric tons of CO2 emissions annually. This reinforces its leadership in industrial decarbonization and in the development of carbon storage solutions at a national level, consolidating its role in the transition towards a more sustainable future.
Source: worldcement.com
