Exclusive: Summit Carbon LLCs seek well permits in Iowa
September 4, 2023

Nancy Dugan lives in Altoona, Iowa and has worked as an online editor for the past 12 years. 

When examining the intricate web of businesses that have sprung up around Summit Carbon Solutions, one cannot help but wonder how many private, largely unregulated LLCs are associated with the proposed CO2 pipeline.

Lawler SCS Capture, LLC is among the more recently unearthed businesses formed by Summit. On May 29, 2023, the Iowa Department of Natural Resources issued a water use permit to Lawler SCS, which shares an address with Summit Carbon Solutions in Ames. The permit expires on May 28, 2033. Lawler SCS submitted its application to the department on April 17.

The permit authorizes Lawler SCS to:

Withdraw water from one new Devonian Limestone well, about 380 feet deep, located on land generally described as the NW ¼ of the SE ¼ of Section 01, T95N, R12W, Chickasaw County, Iowa, in the maximum quantity of 55.9 million gallons per year at a maximum rate of 100 gallons per minute throughout each year for carbon capture-related purposes on said land.

According to Michael K. Anderson, a senior environmental engineer with the Iowa DNR’s Water Quality Bureau, the New Hampton Tribune published a public notice of recommendation to issue a permit to Lawler SCS in early May. Iowa Administrative Code 567—50.7(3) requires such public notices. Anderson indicated to Bleeding Heartland that public comments were due by May 24, and the DNR received none.

The well is to be located on land owned by Homeland Energy Services in Lawler, Iowa. Homeland is an ethanol plant and a Summit Carbon partner, having signed on to the proposed pipeline. It is not known how the well will be used, other than for “carbon capture-related purposes” identified in the permit the DNR issued.

South Dakota’s Redfield SCS well

Joshua Haiar reported for the South Dakota Searchlight on August 20 on the efforts of another Summit Carbon business, Redfield SCS Capture, LLC, to secure a water-rights permit from the South Dakota Department of Agriculture and Natural Resources. The proposed well “could take up to 21 million gallons of water per year from the Dakota Aquifer, which is an amount equivalent to about 32 Olympic-sized pools.” The land on which this well will sit is either adjacent to or on property owned by Redfield Energy, LLC, an ethanol plant in Redfield, South Dakota that is also a Summit Carbon pipeline partner.

The Searchlight article explained, “Because some nearby residents sent opposition comments to the state during a public comment period, the proposed permit will be the subject of a contested case hearing this fall.” Residents who spoke with Searchlight expressed concerns about reductions in water pressure stemming from the proposed Redfield well.

Two residents said state employees they spoke with (but declined to identify) indicated the well would likely result in “a drastic decline in pressure,” but that bureaucracy would prevent them from stopping Summit. One resident, Debra Curtis, received a call from Governor Krisi Noem’s communications director Ian Fury, assuring her that her rights would take priority over Summit. Fury called after Curtis tried without success to reach her previous contact with the state.

Goldfield SCS Capture, LLC

Another Summit Carbon business, Goldfield SCS Capture, LLC, recently submitted a water use permit application for a well to be located on or near land owned by Corn, LP in Goldfield, Iowa (Wright County). This application seeks to withdraw water from the proposed Goldfield well at an annual rate of 27.60 million gallons per year, with a maximum requested pumping rate of 55 gallons per minute. The aquifer type is identified in the permit application as “Mississippian.” The Goldfield application to the Iowa DNR also provided a map and additional documentation.

To date, Lawler SCS and Goldfield SCS do not appear to be registered with the Iowa Secretary of State. Similarly, Redfield SCS does not appear to be registered with the South Dakota Secretary of State. However, three LLCs with identical names were registered with the Delaware Department of State on February 4, 2022. Another Summit business, Saint Ansgar SCS Capture, LLC, was registered with the Delaware Department of State on June 12, 2023, and also submitted an application for certificate of authority with the Iowa Secretary of State on July 3, 2023.

The Iowa application identified SCS Carbon Removal, LLC as one of the member managers of Saint Ansgar SCS. Asked whether Summit Carbon Solutions or any of its affiliates or subsidiaries have sought a well permit from Mitchell County, where Saint Ansgar is located, Mitchell County Environmental Health Specialist and Zoning Administrator Macie Adams told Bleeding Heartland, “Summit Carbon Solutions has not submitted any well permit applications to Mitchell County, and neither has any affiliated LLCs, subsidiaries, or companies that I am aware of.”

According to Anderson, Goldfield submitted an application to the Iowa DNR on August 26. The department tentatively plans to publish a public notice in the Eagle Grove Eagle on September 13, after which the public will have 20 days to respond.

It’s not clear whether Summit Carbon Solutions has entered into an agreement with Homeland Energy Solutions or Corn, LP related to the wells, potentially addressing ownership and operational issues.

When asked if he knew whether Summit Carbon Solutions plans to submit applications for wells on or near each of the ethanol plants that have signed on to the proposed Summit Carbon pipeline in Iowa, Anderson responded, “I do not know what Summit’s plans are.”

Top image of water flushing out of an agriculture industrial tube well is by Magsi and available via Shutterstock.