Exclusive two-year agreement covers 187,500 acres across
Arkansas, Louisiana and Mississippi
SEATTLE, Feb. 27,
2024 /PRNewswire/ -- Weyerhaeuser
Company (NYSE: WY) and Lapis Energy LP ("Lapis") announced
today the execution of an exclusive exploration agreement for
subsurface carbon dioxide sequestration in Arkansas, Louisiana and Mississippi. The agreement covers 187,500
acres of subsurface rights owned by Weyerhaeuser and spans five
potential sequestration sites, including two locations that were
previously identified by Weyerhaeuser as prospective opportunities
for carbon capture and sequestration (CCS) development.
Under the exclusive two-year agreement, Lapis will determine the
sequestration potential of each site. Upon successful completion of
the technical and commercial assessments, Lapis will have the
option to move sites into full-scale development agreements and
complete the work required to permit, build and operate permanent
CO2 sequestration sites serving large-scale industrial
sources.
"This exploration agreement represents a unique opportunity to
scale our CCS offerings and build our climate solutions portfolio
more broadly," said Russell Hagen,
senior vice president and chief development officer for
Weyerhaeuser. "We look forward to working with Lapis to unlock the
value of CCS development across our ownership in the U.S. South and
help other companies reduce their carbon footprint."
"We are delighted to form this relationship with Weyerhaeuser,
the largest timberland owner in North
America with a reputation as a responsible and sustainable
landowner," said Reg Manhas, CEO of
Lapis Energy. "Lapis looks forward to developing these carbon
sequestration sites with Weyerhaeuser to provide solutions for
regional industrial customers. The announcement today, together
with our existing assets, further establishes Lapis Energy as an
industry-leading independent carbon sequestration storage provider
with a rapidly developing portfolio of business opportunities.
Lapis believes these sites provide a competitive and advantaged
option for our growing customer base north of the Gulf
Coast."
ABOUT LAPIS ENERGY
Lapis is the Partner of Choice for energy-intensive industries
seeking to achieve their carbon goals through the delivery of
carbon capture and sequestration (CCS) projects. Located in
Dallas and founded in 2020 by a
team of industry-leading experts, Lapis is actively building a
world-class portfolio of CCS projects within North America. Lapis is backed by Cresta Fund
Management, a Dallas-based
investment manager with over $1.5
billion of assets under management specializing in
middle-market sustainable infrastructure solutions. For more
information about Lapis, please visit www.lapisenergy.com.
ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the
world's largest private owners of timberlands, began operations in
1900 and today owns or controls approximately 10.5 million acres of
timberlands in the U.S., as well as 14 million acres of timberlands
managed under long-term licenses in Canada. Weyerhaeuser has been a global leader
in sustainability for more than a century and manages 100 percent
of its timberlands on a fully sustainable basis in compliance with
internationally recognized sustainable forestry standards.
Weyerhaeuser is also one of the largest manufacturers of wood
products in North America and
operates additional business lines around real estate, climate
solutions, energy and natural resources, among others. In 2023, the
company generated $7.7 billion in net
sales and employed approximately 9,300 people who serve customers
worldwide. Operated as a real estate investment trust,
Weyerhaeuser's common stock trades on the New York Stock Exchange
under the symbol WY. Learn more at www.weyerhaeuser.com.
FORWARD-LOOKING STATEMENTS
This press release contains
forward-looking statements concerning Weyerhaeuser Company and its
subsidiaries ("Weyerhaeuser") including, but not limited to, with
respect to the potential for carbon sequestration projects on
Weyerhaeuser lands as well as Weyerhaeuser's efforts to build its
Natural Climate Solutions business. Forward-looking statements can
be identified by the fact that they do not relate strictly to
historical or current facts and use words such as "look forward"
and "will" or employ references to future dates, events or
expectations. These forward-looking statements are based on
Weyerhaeuser's current expectations and assumptions and are not
guarantees of future events or performance. The realization of
Weyerhaeuser's expectations and the accuracy of its assumptions are
subject to a number of risks and uncertainties that could cause
actual results to differ materially from those described in the
forward-looking statements. These risks and uncertainties include,
but are not limited to, those described in Weyerhaeuser Company's
2023 Annual Report and Form 10-K, as well as those set forth from
time to time in its other public statements, reports, registration
statements, prospectuses, information statements and other filings
with the SEC. It is not possible to predict or identify all risks
and uncertainties that might affect the accuracy of Weyerhaeuser's
forward-looking statements and, consequently, its descriptions of
such risks and uncertainties should not be considered exhaustive.
There is no guarantee that any of the events anticipated by these
forward-looking statements will occur, and if any of the events do
occur, there is no guarantee what effect they will have on
Weyerhaeuser's business, results of operations, cash flows,
financial condition and future prospects. Forward-looking
statements speak only as of the date they are made, and
Weyerhaeuser undertakes no obligation to publicly update or revise
any forward-looking statements, whether because of new information,
future events or otherwise.
For more information contact:
Weyerhaeuser
Analysts – Andy Taylor, 206-539-3907
Media – Nancy Thompson,
919-861-0342
Lapis Energy
Media & Analysts –
Lauren Berry, 214-729-6551
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SOURCE Weyerhaeuser Company