Richard Jackson: Yes. Great. Matt, I think things for many of us in CCUS and certainly in the U.S. are progressing well post IRA. I think lots of work going on with emitters to transport to sequestration. Our focus really has been sort of similar to oil & gas, really working to secure the best sequestration sites and develop those in a way to be both large scale, so we can get the economies of scale, but also be able to provide that certainty as these deals are putting together. So we have really 5 hubs that we’re working that we’ve talked about. We’ve got several Class VI wells in progress as well as characterization of these sites. The Midstream providers are very important. And so being able to secure those partnerships early, I think, aligns really the downstream from the capture site to be able to do that.
So as we think about sort of how this plays out over the next couple of years, we’re hopeful that as we go this year more projects will be able to combine that capture to transport the sequestration and really hit FID and then begin construction over the next couple of years. I think our work even going back to some of the work that we’ve done in the Permian over the last several years around some of the capture projects there really helped inform us. Hopefully, as a good partner about how do you manage that kind of across the value chain. And so our focus is, again, really on that sequestration. That really puts us in a good position to take together the synergies with DAC as we develop that. And so we’re playing that role and having good conversations towards those projects.
And again, expect this year to have more updates.
Matt Portillo : Great. And then as my follow-up, just around OxyChem, a strong start to the year with the Q1 guide. Just curious if you all are feeling about the outlook for caustic and PVC and maybe what’s baked into the guidance expectations as we progress through 2023?
Robert Peterson: Yes, sure, Matt. So what we end for the year was domestic PVC demand was actually down about 6.8% in ’22 relative to ’21. But what we did — was we saw as an industry that export demand ended up being about 46% higher the total PVC demand actually grew almost 7% year-over-year in ’22. And so we’re looking into what’s going on and what’s in our guidance is we saw that softness in PVC through the fourth quarter, but it appears that bottomed out late 2022, early 2023. So all PVC buyer adjustments we believe were largely completed as prices were falling. And we believe that, as we sit here today, that many buyers inventories are low as we enter construction season. We’ve also seen PVC export prices not only bottomed but are actually starting to trend upward most recently.
And in the domestic market, all the producers have significantly announced price increases in the domestic market for PVC. So thinking about the guidance in PVC, it reflects the uncertainty of the trajectory of the domestic and global economy that’s going to drive that business. And so while there’s still this huge pent-up demand we see in construction and the low inventories, there’s still headwinds from the impact of the higher interest rates, which now may not peak as early or begin to subside as quickly as anticipated. And of course, the pace of economic activity increases in China is just going to continue to be an impact to the DTC business globally impacting trade flows for PVC. So that’s what’s factored into this kind of murky outlook for PVC.
