HOUSTON, Oct 4 Reuters Private equity firm SK Capital Partners acquired U.S. oilfield waste services firm Milestone Environmental Services from Amberjack Capital Partners for an undisclosed amount, the companies said on Wednesday.

The purchase reflects the rise of greenhouse gas reduction schemes offered to oil, power and petrochemical industries and tax credits available for carbon capture and storage CCS projects.

Milestone sees permanent carbon storage as an extension of its oil waste disposal in top U.S. shale fields, said CEO Gabriel Rio. Carbon collection and disposal revenues could eventually match its oilfield waste revenues.

The company plans two carbon dioxide CO2 storage projects in the Permian Basin, the top U.S. shale oilfield, where it now collects and buries drilling waste and oilcontaminated water. The first could begin injecting CO2 as soon as 2025 and store 2.5 million tons of carbon per year, he said.

Milestone will complete against Exxon Mobil, Occidental Petroleum and Chevron developing storage projects in Texas and Louisiana. Its relationships with oil and gas producers and wastewater disposal well experience can overcome worries about its size, Rio said.

We really understand the geology and how to put waste streams back into the ground and keep them safely away from groundwater and permanently secure, Rio said.

The firm, which generates between 100 million and 300 million in revenue, accounts for a significant part of the money now spent on…