Office: Carbon Management
FOA number: DE-FOA-0002711
Download the full FOA: FedConnect
FOA Amount: $2.25 billion

Background Information

On May 17, 2023, the U.S. Department of Energy (DOE) announced the re-opening of the $2.25 billion in funding toward the development of new and expanded large-scale, commercial carbon storage projects with capacities to store 50 or more million metric tons of CO₂, along with associated CO₂ transport infrastructure. The funding opportunity has been modified to accept applications under a broader scope, including storage complex feasibility in addition to the site characterization, permitting, and construction stages of project development. It also expands the definition of large-scale storage to allow for additional storage options.

Projects selected for funding under these opportunities must carefully address the societal considerations and impacts of their proposed projects, emphasizing active engagement with communities. Applicants must explain how projects are expected to deliver economic and environmental benefits and mitigate impacts; conduct community and stakeholder engagement; incorporate diversity, equity, inclusion, and accessibility; and promote workforce development and quality jobs. The selected projects are required to develop and implement strategies to ensure strong community and worker benefits, and report on such activities and outcomes. 

This funding is provided from the Bipartisan Infrastructure Law Section 40305.

Awardees

Nine projects were selected for a total of $242 million in funding to support the development of new and expanded large-scale, commercial carbon storage projects with capacities to securely store 50 or more million metric tons of carbon dioxide.

Projects will focus on the detailed site characterization, planning, and permitting stages of project development under Phase III of FECM’s Carbon Storage Assurance Facility Enterprise (CarbonSAFE) Initiative. To ensure these projects center on communities, all applicants were required to submit Community Benefits Plans detailing how the project will advance quality jobs, environmental justice, and community partnership throughout project development. Awardees include:

• Bluebonnet Sequestration Hub, LLC
• BP Corporation North America Inc.
• Colorado School of Mines
• Magnolia Sequestration Hub, LLC
• Southern States Energy Board
• Timberlands Sequestration, LLC
• University of Illinois
• University of North Dakota Energy & Environmental Research Center
• University of Wyoming

A detailed list of the selected projects from round 1 can be found here.

Eligibility

Eligible applicants include individuals, institutions of higher education, for-profit and non-profit organizations, state and local governments, and tribal nations.

Download the full funding opportunity for more information on eligibility.

Areas of Interest

This funding opportunity announcement has four areas of interest:

1. CarbonSAFE Phase III: Site Characterization and Permitting
   The overall purpose of area of interest 1 is to conduct detailed site characterization and permitting for a commercial-scale secure geological CO2 storage complex.

2. CarbonSAFE Phase III.5: NEPA, FEED Studies, and Storage Field Development Plan Only
   The overall purpose of area of interest 2 is to provide an opportunity for projects that were not previously funded by the Federal government through the CarbonSAFE Initiative but are mostly prepared to enter CarbonSAFE Initiative Phase IV.

3. CarbonSAFE Phase IV: Construction
   The overall purpose of area of interest 3 is to construct the commercial-scale secure geologic storage facility and prepare it for CO2 injection.

4. CarbonSAFE Phase II: Storage Complex Feasibility
   Area of interest 4 will provide funding for the second stage of development of commercial-scale geological storage facilities for CO2

Funding

DOE expects to make 20-70 awards with a minimum of a 20-50% cost-sharing from the awardees.

Key Dates

Additional Information

• Download the full funding opportunity on FedConnect.
• All applicants must register and apply on Grants.gov and submit questions through FedConnect.

Last Updated: July 7, 2023