Carbon TerraVault Holdings, LLC (CTV), a carbon management subsidiary of California Resources Corporation (NYSE: CRC), reported its second quarter 2026 results, announcing the start of CO2 injection and initial revenue generation at Carbon TerraVault I (CTV I), described in a press release as California's first carbon capture and storage (CCS) project.

CTV I sources emissions from CRC's Elk Hills Cryogenic Gas Plant, storing CO2 in a depleted reservoir underground. The company also said it is engaged in discussions with potential customers to supply power from the Elk Hills power plant, including options to integrate CTV's CO2 storage reservoirs with CRC's power partner ecosystem.

For the second quarter of 2026, CTV's carbon management business reported $1 million in operating revenues, compared with zero in the prior quarter. General and administrative expenses fell to $2 million from $3 million in the first quarter. Other operating expenses, net, rose to $7 million from $5 million. Capital investments declined to $3 million from $12 million. Adjusted EBITDAX was negative $8 million in both quarters.

For the third quarter of 2026, CTV guided capital investments of $0 to $2 million, general and administrative expenses of $0 to $2 million, and other operating expenses of $4 to $12 million. Full-year 2026 guidance calls for capital investments of $10 to $18 million, general and administrative expenses of $4 to $10 million, and other operating expenses of $20 to $30 million.