By Hannah Adler, Senior Biomass Reporter at Argus
This story first appeared in Argus
Despite uncertainties in a shifting political landscape, high demand for renewable energy and carbon dioxide removals (CDR) in the US will ensure the viability of Elimini's future bioenergy with carbon capture and storage (BECCS) projects, Elimini's president, Laurie Fitzmaurice told Argus. Elimini expects to announce 1-2 BECCS development sites in the US within the next couple of years, and Fitzmaurice expands on the primary sources of revenue for the prospective facilities and the potential offtakers for the power.
What is the latest on your US BECCS projects? You have previously said Elimini is vetting 20 potential plants in the US — how many of these have progressed?
Elimini's prospecting efforts are ongoing as we narrow down our initial prospecting work to identify the most advantageous sites, with the intent of announcing 1-2 BECCS development projects in the US within the next 12-18 months.
For the potential sites that have advanced the furthest, this includes initial engineering work and engagement with communities and local authorities to ensure we've done our homework before moving forward.
President Trump's administration has paused Inflation Reduction Act (IRA) funding and narrowed its scope. How have these alterations affected Elimini's business?
Although it is well known that some of the incentives included in the IRA are under review by Congress, we believe that the tax credits supporting our technology are on safer ground because of the demand for reliable secure energy and carbon removals as a way to foster economic development.
The credits have bipartisan support, strengthen the US economy and are vital to maintaining the US energy industry's competitive advantage.
Are you seeking alternative financing for your projects and will these be sufficient for projects to stand independently? Will Elimini's BECCS projects move forward, despite the US administration pushing back against earlier legislation that supports renewables?
Because BECCS generates 24/7 renewable power while removing carbon from the atmosphere, it combines more than one path to profitability. Once completed, our planned BECCS facilities in the US will rely on three primary sources of revenue:
Power sales: The reliable, renewable power that BECCS generates around the clock can be sold to the power grid, to individual organisations through power purchase agreements, or a combination of the two. Given the exponential rise in projected demand for power in the US — particularly from the data centres underpinning AI and other modern technologies — we anticipate that there will be ample demand for our BECCS plants over the long term.
CDR sales: At the same time, Elimini's BECCS facilities will permanently remove CO2 from the atmosphere, generating high-quality CDRs that organisations can purchase to reduce their own carbon footprint.
Tax credits: Section 45Q of the IRA currently offers $85 for every ton of CO2 that is permanently sequestered via BECCS. We believe policymakers will continue to find value in retaining Section 45Q, and it is possible they could even choose to uplift it — for example, to adjust for inflation — to help the US maintain its edge vis a vis international competitors.
Is Elimini in talks with data centre providers or developers to sell BECCS power to them?
We are engaged in ongoing discussions with these types of parties. The great thing about tech companies in particular is that many of them have robust sustainability commitments and they understand BECCS technology, which makes us a strong match. BECCS is a unique offering, in that it can also provide behind-the-meter reliable renewable energy that is available 24/7.
Our primary focus at the moment is to advance our projects so we are increasingly attractive to those types of parties.
How many CDRs per year do you aim to have contracted by 2030 and how much of this is already sold through your current deals?
This depends on the final project configuration and the mix of the three revenue variables outlined above.
Generally, we are encouraged by the progress of carbon removal support schemes around the world and the creation of CDR compliance markets, such as the integration of removals into the EU Emission Trading System. We've also been excited to see the voluntary carbon market's gravitation toward BECCS-derived CDRs, which dominated the 2024 market with a 66pc increase in volume and a 155pc increase in deal size year over year. We strongly believe Elimini is well positioned to be a leader in this growing market.
What is the realistic combined capacity of BECCS projects (MW) you will develop in the US by 2030?
This is dependent on a number of project variables. We take a tailored approach for each project to make sure we are able to sustainably source the right fuel, provide real value to the communities we operate in and secure a customer base to ensure each site's commercial viability. We look forward to revealing more details at a future date, once we are ready to announce our first US site.
Which other countries are you currently looking at to develop additional projects? Have any of these advanced, and if so, can you share more details?
Our prospecting team has identified a number of exciting opportunities outside of the US. Europe in particular has seen some fantastic developments through the Clean Industrial Deal and the Carbon Removal Certification Framework, which will create the world's first government-certified CDR credits. This helps to create a competitive environment for carbon removal projects and we are working through the due diligence process to identify the strongest options.
Asia is seeing more government support in the field of carbon removals. Is Elimini looking to invest or partner in any such projects in Asia-Pacific, and if so, can you provide us with some details?
While we are excited to see a growing appetite and support for carbon removals in Asia-Pacific (APAC), we do not currently have any projects planned in that region. That said, our prospecting team continues to explore opportunities across the globe — including APAC — and vet them against a strict set of criteria for consideration.
Any other comments?
Our technology is well positioned to strengthen any country's energy portfolio by bringing more baseload power to the grid, while promoting innovation and creating jobs in rural areas.
Because BECCS relies on a unique, locally produced form of sustainable fuel, it diversifies the power grid and can boost energy resilience and independence. Given its ability to dispatch stable power and generate high-integrity carbon removals, BECCS can be a cornerstone to enable energy security — and it has a clear role to play in any energy approach.
6/10/25