This High-Yield Dividend Stock Is Tapping Into a More Than $3 Trillion Opportunity
Oil giants ExxonMobil (NYSE: XOM) and Occidental Petroleum (NYSE: OXY) believe carbon capture and storage (CCS) could be a massive global market opportunity in the coming decades. Exxon estimates it will be a $4 trillion market by 2050, while Occidental foresees a $3 trillion to $5 trillion global industry. Because of that, these energy giants believe they could one day earn as much money capturing and storing carbon dioxide as they make from producing oil and gas. That's leading them to work toward capitalizing on that enormous potential market opportunity.
Major oil and gas producers aren't the only ones taking steps to capture the potentially lucrative CCS market. Midstream company EnLink Midstream (NYSE: ENLC) also sees a bright future for CCS. That's leading it to sign deals toward developing CCS infrastructure, which could pay big dividends down the road, potentially providing the fuel to grow the company's 4%-yielding dividend.
EnLink recently announced that it had reached a final investment decision on phase one of a CCS project with its partner BKV Corporation in the Barnett Shale region of North Texas. Under the agreement, BKV will continue producing natural gas containing carbon dioxide from the Barnett. EnLink will transport the gas through its modified pipeline to a natural gas processing plant. The plant will process the gas and capture and compress the carbon dioxide, which the partners will permanently store in a nearby injection well owned by BKV.
Source Fool.com
