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DECD0000020

Cooperative Agreement

Overview

Grant Description
The Bipartisan Infrastructure Law appropriates $3.5 billion to the Department of Energy (DOE) to develop domestic regional DAC hubs to accelerate commercialization of, and demonstrate the processing, transport, geologic storage, and conversion of, CO2 captured from the atmosphere.

Consistent with this goal and the DOE funding opportunity announcement that followed, 1PointFive P2, LLC (“1PointFive”), intends to construct the South Texas DAC hub on King Ranch in Kleberg County, Texas capable of removing up to 1,000,000 metric tons per annum of CO2 from the atmosphere along with associated CO2 geologic storage.

The South Texas DAC hub will utilize liquid sorbent DAC technology that was developed by Carbon Engineering (CE), an affiliate of 1PointFive, and safely and securely store the carbon dioxide in a saline geologic reservoir.

This project will further demonstrate CE DAC technology at commercial scale, help lower DAC CDR costs, and enable future expansion of DAC facilities on King Ranch and at other sites in the U.S.

The South Texas DAC hub will further demonstrate how DAC can benefit local communities by providing quality local jobs and educational opportunities and supporting underrepresented business enterprises, while mitigating potential negative impacts, such as environmental and health impacts.
Awardee
Funding Goals
SOUTH TEXAS DIRECT AIR CAPTURE HUB
Awarding / Funding Agency
Place of Performance
Kingsville, Texas 78363-0000 United States
Geographic Scope
Single Zip Code
1pointfive P2 was awarded South Texas DAC Hub: Leading Carbon Capture & Storage Innovation Cooperative Agreement DECD0000020 worth $50,000,000 from the Department of Energy in October 2024 with work to be completed primarily in Kingsville Texas United States. The grant has a duration of 1 year 2 months and was awarded through assistance program 81.255 Clean Energy Demonstrations. The Cooperative Agreement was awarded through grant opportunity BIL Regional Direct Air Capture Hubs.

Status
(Ongoing)

Last Modified 7/22/25

Period of Performance
10/1/24
Start Date
12/31/25
End Date
74.0% Complete

Funding Split
$50.0M
Federal Obligation
$0.0
Non-Federal Obligation
$50.0M
Total Obligated
100.0% Federal Funding
0.0% Non-Federal Funding

Activity Timeline

Interactive chart of timeline of amendments to DECD0000020

Transaction History

Modifications to DECD0000020

Additional Detail

Award ID FAIN
DECD0000020
SAI Number
None
Award ID URI
SAI EXEMPT
Awardee Classifications
For-Profit Organization (Other Than Small Business)
Awarding Office
892436 OFFICE OF CLEAN ENERGY DEMONSTRATIONS (OCED)
Funding Office
892410 OFFICE OF CLEAN ENERGY DEMONSTRATION
Awardee UEI
XNUNE3Y9QNA5
Awardee CAGE
9ZPB5
Performance District
TX-34
Senators
John Cornyn
Ted Cruz
Modified: 7/22/25