Air Products said it has signed agreements with Valero Energy Corporation and Denbury Onshore to proceed with a planned carbon capture and sequestration project in Port Arthur, Texas. The CO₂ to be captured by Air Products will be delivered by Air Products via a pipeline owned by Denbury Green Pipeline-Texas to Denbury Onshore beginning in late 2012. The CO₂ will be used by Denbury Onshore in enhanced oil recovery operations.  

Air Products will design, construct and operate a state-of-the-art system to capture CO₂ from its two steam methane reformers (SMR) located within the Valero Refinery in Port Arthur. The CO₂ removal technology will be retrofitted to the SMRs, which produce hydrogen to assist in the making of cleaner burning transportation fuels by refinery customers on Air Products' Gulf Coast hydrogen pipeline network. Approximately one million tons of CO₂ annually will be recovered, purified by Air Products, and delivered by Air Products via a pipeline owned by Denbury Green Pipeline-Texas, for injection into Denbury Onshore's enhanced oil recovery projects in Texas.  

Air Products is currently working on several CCS projects around the world for the power market. These projects include:

• The world's first full demonstration of oxyfuel carbon capture and sequestration with Vattenfall , one of Europe's leading energy companies. Air Products has installed its proprietary CO₂ capture, purification, and compression system at Vattenfall's research and development facility in the industrial park Schwarze Pumpe in Germany, which is viewed globally as the preeminent CO₂ oxyfuel project.
• In collaboration with the Alberta Energy Research Institute, a study focusing on advanced CO₂ capture technology for use with gasification.
• In cooperation with U.S. Department of Energy, Air Products designed and constructed a CO₂ purification system in support of an oxyfuel technology development project at a boiler-simulation facility in Windsor, Connecticut.
• Air Products demonstrated oxyfuel sour compression technology in experimental work carried out by Imperial College London with flue gas from a 160 kilowatt coal-fired combustion installation at Doosan Babcock's facility in Renfrew, Scotland, as part of the Oxycoal-UK Project.