1Q23 Earnings and Operations Update slide image

1Q23 Earnings and Operations Update

Increasing CCUS Scale With IRA and Technology • New technologies and enhanced §45Q levels ($35 $50 to $60 / $85 per tonne) bring post-combustion emissions into economic capture window • Emerging technologies driving down the cost of CO2 capture by up to 40% - - Membrane-based technologies offer lower cost of capture for lower volume levels Industry Capture Cost per Metric Ton $ per tonne 90 Current §45Q 80 70 60 Previous §45Q - Liquid technologies (solvent-based) offer lower cost of capture at higher volumes; benefit from economies of scale 50 40 • DEN equity investments / partnerships with two CO2 capture technology companies Insights into capture technology innovation - Increases potential transportation and storage opportunities Denbury Inc. 30 20 20 10 0 Original §45Q Compression / dehydration Membrane-based solutions Amine / solvent solutions Source: Great Plains Institute, Transport Infrastructure for Carbon Capture and Storage 17
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