So, that’s where we need the pipes. And where do you store it, and as we can develop more pore space quickly, I think we are going to be well positioned to be able to receive the CO2 and ultimately, bring cash flows forward. We are developing more pore space, and a lot of the new pore spaces is in the Northern part of California. But anything that we can bolt on to Kern County and bring other projects that we will have future potential, whether it’s through our own production and reducing – increasing the pore space as we deplete our reservoirs or by acquiring some of Aera’s fields that have a potential, it’s an exciting proposition that just again brings more certainty into the brownfield market. Now, in the greenfield, as I discussed, there is a generation of emissions that Aera brings to the table that are going to be easy to capture or within – fully within our control, right.
So, if you think about confidence in bringing those emissions forward, the best case scenario is to have those emissions on top of the reservoir, so co-location, and you want to have full control of those emissions. As we showed with our gas processing pre-combustion project, that gives us much more certainty to get to the finish line and the highest percent of the incentives. So, Aera allows us to do that through some of the emissions through steam floating and co-gens that they have in the portfolio. So, we like the Aera deal for multiple reasons. And a lot on the traditional oil and gas business and the synergies, but one thing to look for is how our team is going to tackle and is going to think through the Aera properties and try to bring those – accelerate those and bring those to life sooner than probably the current owner was expecting.
Noel Parks: Great. And thinking about the Class VI permits and of course, that upon final approval, that will be such a milestone and then the same for subsequent permanent approvals. Once that happens, sort of post-EPA approval, what is the handover like to either further regulatory involvement, or I wonder, does it change in terms of like district office steps and other Federal entity, DOE or somebody takes the lead? Sort of what comes next after the permit?
Francisco Leon: So, the EPA is the primary agency that approves Class VI permit. It’s a Federal permit. But they are working closely with Kern County, where we are going to have the first project out of the gate. And Kern County is running a parallel path to also get all of the local permits in place. So, maybe I will turn it to Chris to describe that in more detail.
Chris Gould: Yes. Well, so first one on EPA, right. The final permit comes out, but then the process ultimately continues with us, with the county, the conditional use permit to construct that Francisco was referencing, if you will. Receipt of that, and then we go FID, and then we begin the process to first injection in 2025 as planned. But obviously, as we go with those permits in hand, we will continue to do things like pre-injection testing and complying with the conditions in the permit that EPA is set forth as we lead up the first injection. And then ultimately, that’s like immediately what’s next, right, after the permits are in hand. And then ultimately, there is an ongoing process in the Class VI for monitoring, reporting, verification, being able to claim the 45Q credits.
Obviously, we will be doing that in accordance with the permits and at both the EPA level and then county as well in terms of what we are committing to do to continue to advance carbon management more broadly there, but specifically any requirements at the field level, we will continue to do throughout the life of the project. So, it’s a near-term steps to complete and move on to construction for first injection and ongoing monitoring and verification and things of that nature.
Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Francisco Leon for any closing remarks.
Francisco Leon: Thanks for joining us today. We will be presenting at several investor conferences in March and we look forward to seeing you. Thanks a lot.
Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.
