Offshore staff
HOUSTON — Chevron U.S.A. Inc., Talos Energy Inc. and Carbonvert Inc. have announced the execution of definitive documentation and closing of the expanded joint venture (JV) to develop the Bayou Bend CCS offshore carbon capture and sequestration (CCS) hub, effective May 1.
Under the terms of the transaction, Chevron has acquired a 50% stake in the expanded Bayou Bend CCS JV for gross consideration of $50 million to Talos and Carbonvert, consisting of $30 million of gross upfront cash and up to $20 million of gross capital cost reimbursement, expected to cover Talos and Carbonvert capex through the project’s final investment decision.
Equity interests in the JV are now 25% Talos, 25% Carbonvert and 50% Chevron, and Talos is the operator.
The three companies also have established an area of mutual interest over the full ~231,000-acre Jefferson County offshore region contemplated in the state of Texas’s original request for proposal, aligning the parties for future expansion opportunities.
05.24.2022
