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Denbury Onshore Inks CO<sub>2</sub> Purchase Deal with Medicine Bow Fuel and Power

Denbury Resources’ wholly-owned subsidiary, Denbury Onshore has inked a CO2 procurement deal with Medicine Bow Fuel and Power (MBFP), a subsidiary of Houston-based DKRW Advanced Fuels.

As per the contract, Denbury will buy 100% CO2 captured from the industrial gasification and liquefaction plant of MBFP situated at Medicine Bow, Wyoming. The captured CO2 will be purified and compressed before supplying it to Denbury.

Denbury will utilize the CO2 for sequestration in the carbon dioxide enhanced oil recovery (CO2-EOR) reservoirs and for its oil fields for CO2-EOR in the Mountain Region. CO2-EOR process has been utilized for a number of years in Canada, Rocky Mountains, Gulf Coast and West Texas to enhance oil production from exhausted gas and oil fields. Oil manufacturers can recover more oil from the available oil fields using the CO2-EOR process, which in turn decreases the volumes of imported oil.

The Chief Executive Officer of DKRW Advanced Fuels, Jon Doyle stated that the capturing of CO2 before combustion from the company’s processing method enables eco-friendly generation of gas from domestic resources.

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