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VOL. 126 | NO. 25 | Monday, February 07, 2011

Miss. Considering Bills on Carbon Storage

AP

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JACKSON, Miss. (AP) – Mississippi lawmakers are considering bills to allow and regulate the underground storage of carbon dioxide.

Proponents say the practice will help increase the state's oil production while reducing greenhouse gas emissions.

The Senate has passed a bill setting up a regulatory structure. The House version awaits a vote by the full chamber next week. Both bills give the Mississippi Department of Environmental Quality primary authority over the process.

Two oil producers – Denbury Resources, Inc., of Plano, Texas, and Tellus Operating Group, LLC, based in Ridgeland – are supporting the bills. The companies inject carbon dioxide into old oil wells to retrieve more oil.

Currently, the state Oil and Gas Board oversees the use of carbon dioxide for enhanced oil recovery.

Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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