Project Overview
- Location: Permian Basin, Texas
- Operator: 1PointFive (OXY low-carbon subsidiary)
- Capacity (Design): Up to 500,000 metric tons of CO₂ per year
- Startup Timeline: Targeting Q2 2026 initial operations
- Ramp-Up: Through the remainder of 2026
🚧 Current Status
- Phase 1: In final startup stage
- Phase 2: Commissioning begins in Q2
- Incorporates lessons learned from R&D and Phase 1 construction
⚙️ Final Activities Before Full Startup
- Ramp-up of remaining pellet reactors
- Final commissioning of the calciner
- Initiation of CO₂ injection
What This Means Strategically
For OXY, STRATOS is not just a pilot — it’s a scaled commercial DAC platform. At 500,000 tonnes/year, it is positioned to be one of the largest direct air capture facilities globally.
From a Permian perspective (which you track closely), this reinforces three themes:
- Carbon as Infrastructure: CO₂ becomes an asset stream — either for permanent sequestration or enhanced oil recovery (EOR).
- Industrial Integration: Ties into OXY’s existing Permian CO₂ pipeline and injection network.
- Low-Carbon Capital Allocation: Aligns with OXY’s broader strategy to differentiate via carbon management alongside upstream production.
Bigger Picture
STRATOS supports OXY’s long-term positioning as a:
- Hydrocarbon producer
- Carbon management provider
- Industrial-scale sequestration operator
If Phase 1 ramps successfully in Q2, it materially advances DAC from demonstration to repeatable infrastructure deployment — something very few operators globally have executed at this scale.
