Whites Bayou

In August 2022, BKV Corporation (through its CCUS arm, BKV dCarbon Ventures) entered into a strategic development agreement with Verde CO₂ CCS, LLC to jointly identify and advance carbon storage opportunities. One outcome of this initiative was the Whites Bayou Sequestration Project, led by BKVerde, located in Liberty County, Texas, near the town of Devers. The project is designed to permanently sequester anthropogenic CO₂ from regional industrial emitters using one injection well, Luz Solar No. 1, which will target stacked sand packages within the Frio and Miocene formations. According to BKV’s SEC Form S-1 filing (January 12, 2024), the development agreement with Verde was terminated in November 2023, and under its terms Verde assigned to BKVerde the pore space leaseholds and other assets tied to two potential near-term industrial CCUS projects. Verde retains the option to invest up to a 5% minority interest in these projects. Since 2022, BKV paid approximately $26 million to Verde under the agreement, which is part of the $138.9 million BKV expects to invest in BKVerde by the end of 2025.