Occidental to buy DAC specialist Carbon Engineering for $1.1b

US oil company agrees to acquire Canadian developer in move to accelerate cost reductions and deployment of direct air capture technology

Occidental has agreed to acquire Canada-based climate technology firm Carbon Engineering for c.$1.1b in a deal that demonstrates the US oil company’s ambitions to be a key player in the emerging direct air capture (DAC) sector. Occidental subsidiary 1PointFive is already working closely with Carbon Engineering on the commercialisation of DAC at scale. The acquisition is expected to accelerate progress in reducing costs, which remain well above those of more established carbon-capture technologies. This deal is expected to close before the end of 2023, subject to Canadian court reviews, Canadian and US regulatory approvals and other conditions. “We expect the acquisition of Carbon Engin