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Bill

SB 36

MINERALS: Provides for carbon sequestration. (8/1/25) (EN NO IMPACT See Note)

2025 Regular Session Introduced by Bob Hensgens

Louisiana law now treats stored carbon dioxide as a mineral resource, enabling state-regulated subsurface carbon sequestration leasing and operations for climate mitigation.

Signed by the Governor. Becomes Act No. 407.
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Bill Summary · SB 36

Legislative bill overview

Louisiana SB 36 establishes legal and regulatory framework for carbon sequestration activities in the state, treating captured carbon as a mineral resource subject to state ownership and mineral leasing laws. The bill became effective June 20, 2025, and allows the state to authorize, lease, and regulate subsurface storage of carbon dioxide.

Why is this important

Carbon sequestration is considered a key climate mitigation strategy, and this legislation positions Louisiana to develop a commercial market for carbon storage while potentially generating state revenue through leasing and royalties. Louisiana's geological formations—particularly depleted oil and gas fields—make it geographically suited for large-scale carbon storage operations.

Potential points of contention

  • Definition ambiguity: The bill classifies stored carbon as a "mineral," which may create jurisdictional conflicts with existing oil and gas regulations and environmental statutes not clearly addressed in brief summaries
  • Liability and accountability: Long-term responsibility for stored carbon's integrity and any leakage is not detailed in available information, raising questions about state or operator liability
  • Environmental oversight: The extent of environmental impact assessments and monitoring requirements for sequestration projects remains unclear from available legislative information

Compiled from official sources — confirm details with the bill’s official record.

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