Summit Carbon Solutions achieves new milestone in South Dakota
November 15, 2022
BY Summit Carbon Solutions
Summit Carbon Solutions reached another major project milestone as the company has now secured easement agreements for more than 50 percent of the proposed pipeline route in South Dakota. Partnering with 400 landowners across South Dakota to sign 650 easement agreements, the company continues to make significant progress in advancing its carbon capture, transportation, and storage project and the $4.5 billion investment remains on track to begin construction next year and move into operations in 2024.
“Summit Carbon Solutions and our seven ethanol plant partners in South Dakota are incredibly pleased that landowners continue to embrace our project and support our efforts to maintain a strong, competitive ethanol industry,” said Summit Carbon Solutions CEO Lee Blank. “Securing easement agreements for a majority of the proposed pipeline route in South Dakota represents a significant step in advancing our project and driving growth in our ag economy long-term.”
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Summit Carbon Solutions is partnering with 32 ethanol plants across the Midwest, including Dakota Ethanol in Wentworth, Redfield Energy in Redfield, Ringneck Energy in Onida, and the Glacial Lakes Energy plants in Aberdeen, Huron, Mina, and Watertown. The company’s $800 million investment in South Dakota will enable partner ethanol producers to sell their product at a premium in the growing number of markets (both states and countries) that have adopted low carbon fuel standards. Access to these markets is critical to the long-term viability of the ethanol industry that today purchases more than 60 percent of the corn grown in South Dakota and remains a key driver of commodity prices and land values.
While Summit Carbon Solutions has crossed the 50 precent mark statewide in South Dakota, there are several counties that have surpassed that pace, including Beadle County (78 percent), Clark County (86 percent), Edmunds County (68 percent), Hamlin County (60 percent), Kingsbury County (88 percent), Lake County (75 percent), and McCook County (100 percent). In each county where the project is proposed to be located in South Dakota, Summit Carbon Solutions will invest an average of $44 million during construction and pay an average of $650,000 in new property taxes every year once the system is operational.
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