CO₂ Sequestration Wells

High-pressure injection displaces native hypersaline formation water (brine) from deep target reservoirs. Over-pressurization can force this displaced brine upward into overlying drinking water aquifers or surface soils, degrading land and freshwater supplies. Such events can trigger third-party claims for crop loss, land devaluation, and damage to surface property, as well as regulatory enforcement liabilities to restore contaminated water resources.

Catastrophic failures at wellheads, injection lines, or compressor stations, as well as gradual micro-seeping through topsoil, can release large volumes of CO₂ at the surface. Because CO₂ is an asphyxiant denser than air, it can accumulate on the surface in low-lying areas, posing severe risks to human health and local ecosystems. Operators face liabilities associated with third-party toxic tort or bodily injury claims, emergency response and evacuation costs, and local business interruption damages.

Continuous, large-volume injection increases subsurface pore pressure, which can reactivate dormant geological faults and induce seismic activity. Earthquakes triggered by injection operations can lead to third-party claims for structural property damage to nearby surface buildings and infrastructure. Additionally, secondary faulting can compromise primary reservoir seals, leading to long-term containment failure claims and increased monitoring expenses.

CO₂ streams co-captured from industrial facilities often contain trace chemical impurities, such as hydrogen sulfide, sulfur oxides, nitrogen oxides, and heavy metals. Leaks or blowouts involving these streams significantly increase the hazard profile of a release compared to pure CO₂. This elevates an operator’s exposure to acute toxic tort litigation, costly hazardous material cleanup operations, and severe natural resource damage penalties.