Xebec announces MoU for CCS equipment with Summit Carbon Solutions
Xebec Adsorption Inc. announced that it has signed a MoU with Iowa-based SCS Carbon Removal LLC, a subsidiary of Summit Carbon Solutions. The MoU supports the negotiation of an order in excess of $100 MM (CAD$126 MM) for 51 CO2 reciprocating compression packages to be completed by the end of 3Q 2023. This equipment will be used for Summit Carbon Solutions’ proposed CCS project, which will be the largest in the world if approved. The MoU is an expression of interest and there is no certainty that the negotiations will lead to a final binding order.
The equipment will be manufactured at Xebec Systems U.S. Colorado facility. Xebec is also working closely with the customer and major suppliers to manage cash flows and supply chain risks associated with the project.
“Summit Carbon Solutions is pleased to partner with Xebec as we continue to advance our carbon capture and storage project that will open new economic opportunities for ethanol producers and maintain a strong marketplace for corn growers,” said James Powell, COO of Summit Carbon Solutions. “Xebec shares our commitment both to safety and to utilizing innovation to decarbonize critical industries like ethanol production.”
“Xebec is delighted to be involved as a key supplier to Summit Carbon Solutions’ project, which aims to make a material impact in CO2 emissions reductions in the Midwest for agriculture and industry,” said Jim Vounassis, President and CEO of Xebec Adsorption Inc. “Our U.S. manufacturing capabilities and carbon capture activities are seeing increasing demand, and we are excited to be involved as a long-term partner with Summit Carbon Solutions. As the world aims to decarbonize, we expect the need for carbon capture and sequestration solutions to accelerate, and Xebec is well positioned to provide CO2 purification, capture, liquefaction and compression technologies.”
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