Fox Rothschild Energy Team Drafts Oklahoma Carbon Capture Bill
Fox Rothschild attorneys John R. Reeves and Matthew J. Allen helped Oklahoma State Senator Dave Rader and Oklahoma State Representative Ken Luttrell author new guidelines for carbon capture and storage in the Sooner State.
The new guidelines outlined in Senate Bill 269, which take effect November 1, 2025, help the state obtain regulatory control over carbon sequestration efforts and give the Oklahoma Corporation Commission exclusive authority over Class VI CO2 injection wells and related storage units. These changes will streamline regulation, support carbon capture initiatives, and encourage landowner participation through certification and carbon credit programs. The bill also includes a new procedure to communitize pore space in a CO2 storage unit, which will be administered by the Commission, and creates the Class VI Carbon Sequestration Storage Facility Revolving Fund.
The bill was the result of collaboration between the Corporation Commission, the Petroleum Alliance of Oklahoma, the Oklahoma Farm Bureau, carbon capture companies and others.
