Can Exxon build the world’s biggest carbon capture business?

May 25, 2026 - 08:53

ExxonMobil is pushing forward with an ambitious plan to build what could become the world's largest carbon capture and storage business. The oil giant has committed billions of dollars to the technology, which aims to trap carbon dioxide emissions from industrial sources and bury them deep underground. The company sees this as a critical part of its future, especially as pressure mounts on the fossil fuel industry to address its role in climate change.

But on the US Gulf Coast, where much of this infrastructure would be built, the plan is running into serious opposition. Local communities and environmental groups are pushing back against the proposed network of pipelines and storage wells. They worry about safety risks, potential leaks, and the long-term consequences of injecting massive amounts of CO2 into underground formations. Some residents near proposed sites in Louisiana and Texas have raised concerns about property values and the possibility of contamination.

The conflict highlights a central tension in the push for carbon capture. Supporters argue it is essential for meeting climate goals, especially in hard-to-decarbonize sectors like refining and chemical manufacturing. Critics counter that the technology is unproven at scale, expensive, and could prolong the life of the fossil fuel industry rather than accelerating a transition to cleaner energy.

Exxon has defended its approach, pointing to its experience with carbon capture at its own facilities and arguing that the technology is safe when properly managed. The company has also sought to win over skeptics by emphasizing the jobs and economic activity the projects would bring to the Gulf Coast region.

Yet the backlash has already led to delays and regulatory hurdles. Some proposed pipeline routes have been altered in response to opposition, and permitting processes have become more contentious. Whether Exxon can overcome this resistance and turn its carbon capture vision into reality remains an open question. The outcome will likely depend on how the company navigates local concerns, regulatory requirements, and the broader debate over the role of carbon capture in the energy transition.