Oxy's $1.3B Texas carbon capture facility on track to​ launch this year

gearing up

Vicki Hollub, president and CEO of Occidental, said the company's Stratos DAC project is on track to begin capturing CO2 later this year. Photo via 1pointfive.com

Houston-based Occidental Petroleum is gearing up to start removing CO2 from the atmosphere at its $1.3 billion direct air capture (DAC) project in the Midland-Odessa area.

Vicki Hollub, president and CEO of Occidental, said during the company’s recent second-quarter earnings call that the Stratos project — being developed by carbon capture and sequestration subsidiary 1PointFive — is on track to begin capturing CO2 later this year.

“We are immensely proud of the achievements to date and the exceptional record of safety performance as we advance towards commercial startup,” Hollub said of Stratos.

Carbon dioxide captured by Stratos will be stored underground or be used for enhanced oil recovery.

Oxy says Stratos is the world’s largest DAC facility. It’s designed to pull 500,000 metric tons of carbon dioxide from the air and either store it underground or use it for enhanced oil recovery. Enhanced oil recovery extracts oil from unproductive reservoirs.

Most of the carbon credits that’ll be generated by Stratos through 2030 have already been sold to organizations such as Airbus, AT&T, All Nippon Airways, Amazon, the Houston Astros, the Houston Texans, JPMorgan, Microsoft, Palo Alto Networks and TD Bank.

The infrastructure business of investment manager BlackRock has pumped $550 million into Stratos through a joint venture with 1PointFive.

As it gears up to kick off operations at Stratos, Occidental is also in talks with XRG, the energy investment arm of the United Arab Emirates-owned Abu Dhabi National Oil Co., to form a joint venture for the development of a DAC facility in South Texas. Occidental has been awarded up to $650 million from the U.S. Department of Energy to build the South Texas DAC hub.

The South Texas project, to be located on the storied King Ranch, will be close to industrial facilities and energy infrastructure along the Gulf Coast. Initially, the roughly 165-square-mile site is expected to capture 500,000 metric tons of carbon dioxide per year, with the potential to store up to 3 billion metric tons of CO2 per year.

“We believe that carbon capture and DAC, in particular, will be instrumental in shaping the future energy landscape,” Hollub said.

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This article originally appeared on our sister site, EnergyCapitalHTX.com.

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Eight Houston-area energy employers ranked on StartupBlink's new Corporate Startup Activity Index 2025. Photo via Getty Images

Houston energy giants rank high on new corporate startup activity report

startup support

Eight major players in Houston’s energy industry rank among the world’s top 20 energy companies for corporate startup activity.

The inaugural Corporate Startup Activity Index 2025, published by StartupBlink, ranks global corporations by industry. The eight Houston-area employers fall into the index’s energy and environment category.

Researchers from StartupBlink, an innovation research platform, scored more than 370 companies based on three factors: corporate involvement in startup activity, startup success and ecosystem integration.

The eight Houston-area energy employers that landed in the energy and environment category’s top 20 are:

  • No. 3 BP. Score: 13.547. U.S. headquarters in Houston.
  • No. 5 Saudi Aramco. Score: 7.405. Americas headquarters in Houston.
  • No. 7 Eni. Score: 6.255. Headquarters of Eni U.S. Operating Co. in Houston.
  • No. 8 Shell. Score: 6.217. U.S. headquarters in Houston.
  • No. 11 Occidental Petroleum. Score: 5.347. Global headquarters in Houston.
  • No. 15 Engie. Score: 3.352. North American headquarters in Houston.
  • No. 17 Repsol. Score: 2.980. U.S. headquarters for oil and gas operations in The Woodlands.
  • No. 19 Chevron. Score: 2.017. Global headquarters in Houston.

“Building a startup is hard, and navigating corporate innovation can be just as complex. This ranking is a step toward making the connection between startups and corporations more transparent, enabling startups and corporations to collaborate more effectively for mutual success,” said Eli David Rokah, CEO of StartupBlink.

Salesforce topped the global index with a score of 380.090, followed by Intel, Google, Qualcomm, and Comcast.

The Oxy Innovation Center has opened at the Ion and Industrious' coworking space launches soon. Photo courtesy of The Ion

New energy innovation and coworking spaces open at the Ion

moving in

Houston-based Occidental officially opened its new Oxy Innovation Center with a ribbon cutting at the Ion last week.

The opening reflects Oxy and the Ion's "shared commitment to advancing technology and accelerating a lower-carbon future," according to an announcement from the Ion.

Oxy, which was named a corporate partner of the Ion in 2023, now has nearly 6,500 square feet on the fourth floor of the Ion. Rice University and the Rice Real Estate Company announced the lease of the additional space last year, along with agreements with Fathom Fund and Activate.

At the time, the leases brought the Ion's occupancy up to 90 percent.

Additionally, New York-based Industrious plans to launch its coworking space at the Ion on May 8. The company was tapped as the new operator of the Ion’s 86,000-square-foot coworking space in Midtown in January.

Dallas-based Common Desk previously operated the space, which was expanded by 50 percent in 2023 to 86,000 square feet.

CBRE agreed to acquire Industrious in a deal valued at $400 million earlier this year. Industrious also operates another local coworking space is at 1301 McKinney St.

Industrious will host a launch party celebrating the new location Thursday, May 8. Find more information here.


Oxy Innovation Center. Photo via LinkedIn.

Oxy, Fathom Fund, and Activate have new offices inside the Ion. Photo courtesy of the Ion

Energy, investment groups take up leases in Houston innovation hub

moving in

The Ion in Midtown has some new tenants taking up residence in its 90 percent-leased building.

Occidental Petroleum Corporation, Fathom Fund, and Activate are the latest additions to the Ion, according to a news release from Rice University and the Rice Real Estate Company, which own and operate the 16-acre Ion District where the Ion is located. With the additions, the building has just 10 percent left up for grabs.

“As the Ion continues to attract leading companies and organizations across industries, it’s clear that our vision of creating a dynamic and collaborative environment for innovation is resonating,” Ken Jett, president of the Rice Real Estate Company and vice president of facilities and capital planning at Rice, says in the release. “We are proud to set the standard for how the workplace can evolve to foster the commercialization and growth of transformative technologies that enhance quality of life in our community and beyond.”

Oxy, which was named a corporate partner of the Ion last year, now has nearly 6,500 square feet on the fourth floor. The build out process is slated to be completed by early 2025.

While Oxy represents the corporate side of innovation, the other two additions have their own roles in the innovation arena. Houston-based Fathom Fund, which launched its $100 million fund earlier this year, is targeting deep-tech venture opportunities and is led by Managing Partners Paul Sheng and Eric Bielke.

Founded in Berkeley, California, Activate, which announced its expansion into Houston in 2023, has officially named its local office in the Ion. The hardtech-focused incubator program recently named its inaugural cohort and opened applications for the 2025 program.

Other recent joiners to the Ion includes Kongsberg Digital, Artemis Energy Partners, CES Renewables, and Eleox.

“The partnerships we’ve forged are vital to shaping the Ion into a vibrant ecosystem for startups, where collaborative innovation is not only driving local economic growth but also positioning Houston as a global leader in the energy transition,” Paul Cherukuri, chief innovation officer at Rice University, says. “With our team leading the programming and activation across the Ion district, we are creating companies that harness cutting-edge technology for the benefit of society—advancing solutions that contribute to social good while addressing the most pressing challenges of our time. This powerful network is redefining Houston’s role in the future of energy, technology, and social impact.”

The Ion named three corporate partners ahead of its annual innovation-focused festival. Photo courtesy of the Ion

Houston innovation hub adds Oxy, United, and Woodside as partners

onboarding

Houston’s Ion innovation hub has recruited three heavyweight corporate partners, the hub announced earlier this week.

The new partners are:

  • Houston-based energy company Occidental (known as Oxy).
  • United Airlines Ventures, the sustainability-focused VC arm of Chicago-based United Airlines. United operates a major hub in Houston.
  • Australia-based Woodside Energy, which maintains an office in Houston.

Oxy, United Airlines Ventures, and Woodside will share their expertise in support of Ion’s mission to transform Houston into a global innovation ecosystem, according to an Ion news release. In addition, they will participate in Ion programming and network with Ion affiliates. Executives from all three of the new partners will serve on the Ion Leadership Advisory Roundtable.

“Welcoming our newest partners into Ion’s ecosystem is a further testament to our momentum in the aerospace and energy transition,” says Jan Odegard, who became executive director of the Ion in 2021 after a year of holding the interim position. “Each organization brings their own culture of innovation that aligns with what we are doing at the Ion.”

Michael Leskinen, president of United Airlines Ventures, says the VC firm believes “the Ion will be the epicenter for Houston’s rapidly growing innovation community — a one-stop shop to share ideas, foster startups, and to develop relationships with Houston’s brightest companies and academia.”

Oxy, United Airlines Ventures, and Woodside join Ion corporate partners such as:

  • Aramco Americas
  • Baker Botts
  • BP
  • Chevron
  • ExxonMobil
  • Global Custom Commerce
  • Intel
  • Microsoft
  • Transocean

The Ion announced the new corporate partners in advance of the second annual Ion Activation Festival, set for May 17-19. The Ion and Rice Management Co. host the festival, which shines a spotlight on entrepreneurship and innovation in Houston.

Activities will take place primarily at the Ion’s 16-acre campus. To register for the festival, visit the Ion’s website.

The inaugural festival, held in 2022, drew more than 2,500 attendees.

Oxy's Permian Basin carbon capture project has a news partner and the Astros are thinking about their climate goals. Rendering via 1pointfive.com

Houston energy giant makes moves on emissions with Astros deal, new tech in the Permian Basin

oxy updates

Houston-based energy company Occidental is capturing a ton of attention with its carbon capture initiative.

Occidental’s carbon capture subsidiary, 1PointFive, recently said it’s developing a carbon capture and sequestration hub on a 55,000-acre site along the Gulf Coast in Southeast Texas. The hub will be able to hold about 1.2 billion metric tons of carbon dioxide.

The Bluebonnet Hub, expected to be operating in 2026, will be located in Chambers, Liberty, and Jefferson counties near coastal refineries, chemical plants, and manufacturing facilities. Chambers County is the Houston metro area.

“This hub is located between two of the largest industrial corridors in Texas so captured CO2 can be efficiently transported and safely sequestered,” says Jeff Alvarez, president of sequestration at 1PointFive. “Rather than starting from scratch with individual capture and sequestration projects, companies can plug into this hub for access to shared carbon infrastructure.”

Home run on emissions

Another development at 1PointFive involves the Houston Astros baseball team.

The Astros recently agreed to buy CO2 removal credits from 1PointFive’s carbon capture plant being built in Ector County, whose county seat is Odessa. Under this deal, CO2 captured by the company’s equipment will be sequestered in underground saline reservoirs that aren’t affiliated with oil and gas production.

Over the next three years, the Astros will use the removal credits to help the team achieve a carbon-neutral footprint at Minute Maid Park.

“We remain committed to continuous improvement of our stadium for our fans, and purchasing carbon removal credits is an important investment for us,” Marcel Braithwaite, senior vice president of business operations for the Astros, says in a news release.

Progress in the Permian Basin

Furthermore, 1PointFive is making progress on its carbon capture plant being developed in West Texas’ Permian Basin. The company recently tapped Orlando, Florida-based Siemens Energy to supply two compressors for the plant, which is set to capture more than 500,000 metric tons of CO2 per year.

Vicki Hollub, president and CEO of Occidental, says in a news release that the Permian Basin plant will help meet the Paris Agreement’s Paris climate change goals and reduce global emissions.

The Permian Basin facility, with an estimated price tag of $800 million to $1 billion, is on track to open by late 2024.

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4 Houston innovators who made headlines in September 2025

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Editor's note: Houston innovators made headlines this month with carbon capture breakthroughs, a cost-effective Parkinson's treatment, and workspace wellness products. Read more about these recent breakthroughs, developments, and launches — and the innovators behind them — below.

Emmie Casey and Tomi Kuye, Rice University

Rice University students Emmie Casey and Tomi Kuye used smartphone motors to develop a vibrotactile glove. Photo by Gustavo Raskosky/ Courtesy Rice University.

Two Rice University undergraduate engineering students have developed a non-invasive vibrotactile glove that aims to alleviate the symptoms of Parkinson’s disease through therapeutic vibrations. Emmie Casey and Tomi Kuye developed the project with support from the Oshman Engineering Design Kitchen (OEDK).

Based on research from the Peter Tass Lab at Stanford University, the Rice team set out to replicate the breakthrough technology at a lower cost. They are working to develop a commercial version of the glove priced at $250 and are taking preorders now, with hopes to deliver 500 gloves this fall. Read more.

Jules Lairson, Work&

Houston-based Work& has introduced its new Lactation Pod and Hybrid Pod. Photo courtesy Work&.

Houston-based femtech company Work&, led by co-founder and COO Jules Lairson, has introduced new products aimed at supporting working mothers and the overall health of all employees.

The company's new Lactation Pod and Hybrid Pod serve as dual-use lactation and wellness spaces that feature a fully compliant lactation station while also offering wellness functionalities that can support meditation, mental health, telehealth, and prayer.

“This isn’t about perks,” Lairson said. “It’s about meeting people where they are—with dignity and intentional design. That includes the mother returning to work, the employee managing anxiety, and everyone in between.” Read more.

Mim Rahimi, University of Houston

Mim Rahimi UH

Professor Mim Rahimi, UH. Courtesy photo

A team of researchers at the University of Houston led by professor Mim Rahimi has made two breakthroughs in addressing climate change and potentially reducing the cost of capturing harmful emissions from power plants.

The first introduces a membraneless electrochemical process that cuts energy requirements and costs for amine-based carbon dioxide capture during the acid gas sweetening process. The second demonstrates a vanadium redox flow system capable of both capturing carbon and storing renewable energy.

“From membraneless systems to scalable flow systems, we’re charting pathways to decarbonize hard-to-abate sectors and support the transition to a low-carbon economy,” Rahimi said. Read more.

Houston scientists create platform for long-lasting, precise drug delivery

drug breakthrough

A team of Rice University scientists has developed a new drug delivery platform that researchers say can slow the rate of drug release, which has major implications for drug efficacy and potentially cancer immunotherapy.

The research was published in Nature Nanotechnology, and supported by the National Science Foundation, the National Institutes of Health, the Cancer Prevention and Research Institute of Texas and the Welch Foundation.

In the study, the team demonstrated how a peptide hydrogel functions as a three-dimensional network that controls the rate of release across a range of medication types, including small-molecule drugs and biologics such as insulin and antibodies. The system, called self-assembling boronate ester release (SABER), uses reversible chemical bonds between the peptide and the drug molecule to extend the duration of drug release. Instead of passing quickly through the net, the drug gets temporarily “stuck” each time it binds to the peptide, which slows its passage out of the hydrogel, according to Rice.

The researchers formulated a tuberculosis-treating drug into a hydrogel. They used it to treat infected mice with a single injection of the drug-laden hydrogel. In the test, the hydrogel outperformed almost daily oral administration of the medication over two weeks. Insulin packaged in SABER hydrogels successfully controlled blood sugar levels in diabetic mice for six days in another set of experiments.

Brett Pogostin, a Rice doctoral alum who led the development of SABER and served as first author of the study, began working on self-assembling peptides as an undergraduate student at Rice. Jeffrey Hartgerink, a professor of chemistry and bioengineering at Rice, and Kevin McHugh, associate professor of bioengineering and chemistry and a Cancer Prevention and Research Institute of Texas scholar, advised Pogostin and served as corresponding authors on the study.

Pogostin’s work aimed to bridge foundational materials research and biomedical applications. SABER was inspired by a drug delivery course taught by McHugh, where Pogostin learned about dynamic covalent bonds used in glucose sensing, where the bonds reversibly form and break apart. That quality inspired Pogostin to adapt the concept for drug delivery.

“Brett really drove this project in a way that is, in my experience, unusual for a graduate student,” Hartgerink said in the news release. “It’s a very versatile approach. You can make both small-molecule drugs and very large biologics sticky with the type of chemistry that Brett developed.”

The team demonstrated the platform in two different use cases with Tuberculosis and Type 1 diabetes, with SABER simplifying dosing and enhancing the efficacy of the drugs. Hartgerink described the current SABER system as “generation one,” and plans to work to make it widely applicable. He is looking into how SABER could be applied to cancer immunotherapy.

“What I’m really passionate about right now is cancer prevention — trying to think about how we can use materials to prime the immune system to prevent cancer from ever happening as opposed to just treating it,” Pogostin added.

10 Houston companies clock in with best corporate cultures, says Forbes

Where to Work

Two of Houston's biggest medical institutions – Houston Methodist and MD Anderson Cancer Center – have just landed top-50 spots on Forbes' new ranking of "America's Best Employers for Company Culture." The report highlighted eight more Houston-area companies for their inspiring company culture.

Forbes partnered with market research firm Statista to survey over 218,000 workers at companies with at least 1,000 employees throughout the U.S, and relied on data from the past three years of employee surveys (with an emphasis on the most recent data and recommendations from current employees). Companies don't pay to be included, Forbes additionally noted.

Among the final list of 600 U.S. companies, 30 Texas employers were praised for providing "a unifying company culture that inspires a sense of purpose and loyalty among employees."

Houston Methodist climbed into the No. 15 spot nationally and outranked all other Texas companies on the list, while MD Anderson ranked 47th nationwide. Both institutions have dominated U.S. News' annual rankings of the best Texas hospitals for over a decade, proving exactly how having a great company culture can also improve the service provided to patients.

MD Anderson Cancer Center MD Anderson Cancer Center has been the No. 1 best cancer hospital in the U.S. for over a decade. Photo courtesy of KVUE

According to the report's research, employers with a successful company culture don't rely on "surface-level perks" such as free lunches, wellness apps, and flex days to inspire employee engagement. Instead, employers that focused on conflict resolution and coaching their managers saw a reduction in employee burnout and an increase in "perceptions of fairness and leadership care."

"In fact, the researchers noted that when 'senior leaders changed how they led — how they ran meetings, gave feedback, made decisions and responded to challenge — trust scores rose by an average of 26 percent,'" the report said.

The eight other Houston-area companies that earned national acclaim for their company culture are:

  • No. 220 – Stewart Info Services
  • No. 325 – BP
  • No. 332 – Baylor College of Medicine
  • No. 492 – Chevron Phillips Chemical, The Woodlands
  • No. 525 – Insperity
  • No. 558 – NRG Energy
  • No. 586 – Waste Management
  • No. 593 – LyondellBassell

Other Texas employers with great company culture:

Elsewhere in Texas, 15 North Texas companies and five Central Texas companies were included on Forbes' list of employers with the best company culture.

The three Austin-area companies that earned spots on the list include Austin Community College District (No. 56), Round Rock-based Dell Technologies (No. 207), and Keller Williams Realty (No. 352).

The two San Antonio-based companies that made the cut are beloved Texas grocery chain H-E-B (No. 445), and municipal electric utility company CPS Energy (No. 551).

The 15 Dallas-Fort Worth-based companies that made the list include:

  • No. 58 – The Container Store, Coppell
  • No. 73 – Lewisville Independent School District, Lewisville
  • No. 117 – Southwest Airlines, Dallas
  • No. 123 –Topgolf, Dallas
  • No. 170 – McKesson, Irving
  • No. 190 – Kimberly-Clark, Irving
  • No. 245 – Jacobs Solutions,Dallas
  • No. 312 – Brinker International, Coppell
  • No. 350 – Texas Health Resources, Arlington
  • No. 482 – Toyota North America, Plano
  • No. 562 – Dallas Area Rapid Transit (DART), Dallas
  • No. 567 – AT&T, Dallas
  • No. 569 – Energy Transfer, Dallas
  • No. 591 – American Airlines Group, Fort Worth
  • No. 597 – Aimbridge Hospitality, Plano
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This article originally appeared on CultureMap.com.

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