LSB Takes Full Control of El Dorado CCS to Streamline 45Q Claims

Carbon Herald just published LSB Moves Toward Full Ownership Of El Dorado Carbon Capture Project.

Carbon Herald reports that LSB Industries has signed an agreement with Lapis Carbon Solutions that sets a pathway for LSB to assume full ownership of the planned carbon capture project at its El Dorado, Arkansas ammonia facility. The arrangement restructures the partnership originally formed to develop the capture and sequestration infrastructure at the site. The El Dorado project is intended to capture CO2 from ammonia production and store it underground, with the captured volumes potentially qualifying for 45Q tax credits. The outlet frames the move as LSB consolidating control over project economics and timing as it advances toward a final investment decision.

Our take (Heads-up): Consolidating ownership can simplify financing and 45Q claims, but it also concentrates execution risk on LSB alone rather than splitting it with a dedicated CCS developer. Worth watching for disclosed capture capacity, capex, and a firm timeline, none of which are clear yet from the announcement.

-> Read the full piece at Carbon Herald

Captain Drawdown is flagging this. The reporting is Carbon Herald’s. Go read them directly, not a rewrite from us.

Source: Carbon Herald