Chevron Abandons Direct Air Capture Hub Project Amid Regulatory Uncertainty

Chevron has officially withdrawn from the Western Regional Direct Air Capture Hub project in Kern County, California. The company had been selected for federal funding under the US Department of Energy to design infrastructure capable of pulling CO2 directly from the atmosphere for permanent geological storage.

The $3 million DOE allocation was initially awarded to Chevron, but they only drew down roughly $1 million prior to their departure in July 2025. According to a company spokeswoman, Chanel Jolly, Chevron agreed to a 'consensus termination' of the award.

Jolly emphasized that this decision should not be seen as a reflection on the viability or feasibility of direct air capture initiatives more broadly.