Vaults

Carbon TerraVault I (CTV I) is a carbon capture and storage (CCS) site, or vault, composed of two depleted oil and natural gas reservoirs – “26R” and “A1-A2”. Together, these reservoirs make up CTV I, which is located within the proposed CTV Clean Energy Park (formerly the Net Zero Industrial Park) in Elk Hills, Kern County, California.

Industries are attracted not only by Elk Hills’ reservoirs, but also by a well-understood permitting path that adheres to California’s stringent environmental regulations. These are ideal conditions for CCS projects with companies that are leading the energy transition in California and beyond.

With a total estimated capacity of up to 46 million metric tons (MT) of storage, CTV I is expected to be capable of injecting over 1 million MT of CO₂ per year, equivalent to the annual emissions of approximately 200,000 passenger vehicles.

In December 2024, Carbon TerraVault received Class VI permits from the U.S. Environmental Protection Agency (EPA) for underground injection and storage of CO₂ into the 26R reservoir. In January 2025, CTV announced California’s first CCS project, a major milestone for CRC, and the energy industry as a whole – having received the nation’s first Class VI permits for use of depleted oil and natural gas reservoirs to sequester CO₂. The permits for the A1-A2 reservoir are pending approval.

Carbon Dioxide Management Agreements

A carbon dioxide management agreement (CDMA) is a preliminary, non-binding agreement that frames the contractual terms between parties by outlining the material economics and terms of the project and includes conditions precedent to close. A CDMA provides a path for the parties to reach final definitive documents and final investment decision.

In December 2022, Carbon TerraVault JV Holdco, LLC (CTV JV) entered into a CDMA with Lone Cypress Energy Services, LLC. Called the Elk Hills Hydrogen Project, the proposed project would sequester 205,000 MT of CO₂ per annum in the CTV I carbon storage vault from a newly constructed clean hydrogen plant at the proposed CTV Clean Energy Park at Elk Hills.

In May 2023, CTV entered into a CDMA with InEnTec, Inc., to build a new renewable dimethyl ether (rDME) production facility at the CTV Clean Energy Park at Elk Hills. Under the proposal, CTV would sequester initially a minimum 100,000 MT of CO₂ per annum from the InEnTec Facility in the CTV I carbon storage vault.

In July 2023, CTV JV entered into a CDMA with Verde Clean Fuels proposing to sequester a minimum of 100,000 metric tons of CO₂ per annum at the CTV I vault from a new renewable gasoline plant that would be constructed at the CTV Clean Energy Park at Elk Hills.

In November 2023, CTV JV entered into a CDMA with NLC Energy (NLCE) to build a new waste-to-energy production facility to produce renewable natural gas (RNG) from biomass and other agricultural waste feedstock. Under the proposal, CTV would sequester a minimum of 150,000 MT of CO₂ per annum from the NLCE Facility in the CTV I carbon storage vault.

CRC also announced plans to construct a capture-to-storage facility at the proposed CTV Clean Energy Park at Elk Hills that would remove approximately 100,000 MT per annum of associated CO₂ from inlet gas used for the Elk Hills Power Plant for permanent sequestration at the CTV I reservoir.

Future CCS projects located at the proposed CTV Clean Energy Park at Elk Hills would not require off-site transportation as the projects would be located close to the sequestration injection points.

CCS projects can have immediate and long-lasting environmental, economic, and employment benefits to nearby communities. The Elk Hills Field is of particular focus given the ample availability of multiple depleted reservoirs. The rural Elk Hills oil complex spans nearly 75 square miles, with no burden on local communities, and includes more than 25,000 acres of habitat conservation lands.