CO₂ Pipelines Pick Up Speed as ExxonMobil Scales Up

A landmark acquisition, looming safety rules, and shifting projects are reshaping how CO₂ moves across the US

21 Jan 2026

The US market for carbon dioxide pipelines is entering a more decisive phase, shaped by consolidation among operators, closer federal oversight and the gradual refinement of large projects.

A key moment came in 2023, when ExxonMobil completed its acquisition of Denbury, gaining control of what Denbury had described as the largest CO₂ pipeline network in the country. The deal signalled that transporting captured carbon is moving from a niche activity to a core part of the emerging carbon capture and storage industry. Ownership of an established network can reduce the time and risk involved in linking industrial emitters with underground storage sites.

Regulation is tightening alongside this expansion. In January 2025, the Department of Transportation’s Pipeline and Hazardous Materials Safety Administration proposed new safety rules for carbon dioxide pipelines. While the measures have yet to be finalised, they point to tougher requirements on route planning, emergency response and operational oversight, reflecting heightened public scrutiny after past pipeline incidents.

Project development remains uneven. Summit Carbon Solutions, one of the largest proposed developers, has been revisiting aspects of its multi-state pipeline system, including routing and storage plans. Such revisions are common in complex infrastructure projects that cross multiple jurisdictions, but they can affect costs, timelines and permitting strategies.

These pressures are encouraging changes in how projects are designed. Developers are making greater use of digital planning and risk analysis tools to compare routes, limit environmental and community impacts and improve the likelihood of regulatory approval.

The broader opportunity remains substantial. Expanded CO₂ transport capacity could support wider deployment of carbon capture across power generation, ethanol and heavy industry. Whether the sector can deliver on that promise will depend on its ability to scale networks while meeting higher safety standards and maintaining public confidence.