The scope of the agreement between Exxon Mobil and FuelCell Energy will focus on reduce costs associated with carbon capture for natural gas-fired power generation.
Exxon Mobil Corporation (NYSE:XOM) and FuelCell Energy, Inc. (Nasdaq:FCEL) today announced an agreement to pursue novel technology in power plant carbon dioxide capture through a new application of carbonate fuel cells, which could substantially reduce costs and lead to a more economical pathway toward large-scale application globally.
The resulting net benefit has the potential to substantially reduce costs and savings of up to one-third.
The scope of the agreement between ExxonMobil and FuelCell Energy will initially focus for about one to two years on how to further increase efficiency in separating and concentrating carbon dioxide from the exhaust of natural gas-fueled power turbines. Depending on reaching several milestones, the second phase will more comprehensively test the technology for another one to two years in a small-scale pilot project prior to integration at a larger-scale pilot facility.
ExxonMobil is a leader in this field. In 2015, the company captured 6.9 million metric tons of carbon dioxide for sequestration – the equivalent of eliminating the annual greenhouse gas emissions of more than 1 million passenger vehicles. Using fuel cells to capture carbon dioxide from power plants results in reduced emissions and increased power generation.