LOS ANGELES (dpa-AFX) - Occidental Petroleum Corp. (OXY) agreed to acquire carbon-capture technology provider Carbon Engineering Ltd. for total cash consideration of about $1.1 billion, to be made in three approximately equivalent annual payments, with the first at closing.
The transaction is expected to close before the end of 2023.
Upon closing, Carbon Engineering would become a wholly owned subsidiary of Oxy Low Carbon Ventures, Occidental said in a statement.
Occidental has been working with Carbon Engineering on direct air capture (DAC) deployment since 2019.
1PointFive is building Stratos, the world's largest DAC plant, which is expected to be commercially operational in mid-2025, in Ector County, Texas.
Copyright(c) 2023 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2023 AFX News