(Representatives from Summit Carbon Solutions present during a Department of Mineral Resources hearing related to a carbon dioxide storage permit on June 11, 2024, in Bismarck. A judge’s order could have implications for the storage permit, which was later approved by state regulators. Photo by Kyle Martin/For the North Dakota Monitor)
Harold Hamm-Backed Summit Carbon Faces Rougher Road in North Dakota
The massive Summit Carbon Solutions pipeline project — supported early on by Oklahoma oilman Harold Hamm — now faces an even rougher road after a North Dakota district court judge ruled a key CO₂ storage law unconstitutional. The decision injects serious uncertainty into Summit’s effort to build a multistate carbon capture and sequestration network tied to ethanol plants across the Midwest, reported the North Dakota Monitor.
Judge Strikes Down CO₂ Storage Law
Judge Anthony Swain Benson ruled that a North Dakota law giving utilities and pipeline developers automatic rights to underground pore space violated the state constitution. The judge found that the law amounted to a government-authorized taking of private property without “just” compensation or a jury’s determination — a major win for the Northwest Landowners Association, which brought the suit.
The ruling overturned approval granted by the North Dakota Industrial Commission, which had issued a storage permit to Summit. Industry officials concede the decision now casts doubt over the project’s ability to move forward as designed.
Harold Hamm’s Support and Skyrocketing Costs
Summit Carbon Solutions previously received a significant financial commitment from Harold Hamm, founder of Continental Resources in Oklahoma City. Hamm viewed carbon capture as both an economic opportunity and a strategic fit with North Dakota’s dominant Bakken shale play, where Continental is a major operator.
In March 2022, The Des Moines Register reported that Continental committed $250 million to Summit. At that time, Summit estimated its project cost at $4.5 billion.
Today, that estimate has doubled to roughly $9 billion, making the legal setback even more consequential.
The project proposes to transport CO₂ from ethanol plants in five states to a North Dakota sequestration site, injecting the gas deep underground for long-term storage.
Summit Says It Will Press Forward
Summit responded by saying the North Dakota sequestration site “remains an important long-term asset for the project and our partners, including the State of North Dakota, our ethanol plant customers, and the communities we serve.”
Despite its statement, legal experts believe Summit may now face a combination of appeals, renegotiations with landowners, or significant redesign of the project’s storage components.
Implications for Carbon Capture Across the Midwest
The ruling highlights a growing national clash over property rights, underground storage, and the fast-expanding carbon capture pipeline industry. States across the Midwest are watching closely as similar legal challenges emerge.
For Summit Carbon Solutions — and for Harold Hamm, whose support gave the project early momentum — the road ahead is now significantly rougher.
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SOURCE: North Dakota Monitor
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