A proposed $8.9 billion carbon-capture pipeline project has faced another major setback after South Dakota voters repealed a law intended to streamline its approval.

Preliminary results from Tuesday’s election indicate that at least 60% of voters supported the repeal, dealing a significant blow to Summit Carbon Solutions, the Iowa-based company behind the project.

“This is a mandate from the voters that South Dakota is not for sale,” said Republican state lawmaker Karla Lems, a vocal opponent of the law. “They understand that our property rights are sacred.”

Despite the setback, Summit Carbon remains undeterred. The company plans to reapply for a state permit on Nov. 19, emphasizing its commitment to supporting the state’s ethanol and agriculture industries.

Backed by energy billionaire Harold Hamm, the South Dakota project aims to capture carbon dioxide emissions from ethanol plants in several Midwestern states and store them underground in North Dakota.

According to the project’s plan, a significant portion of the proposed 2,500-mile pipeline would run through South Dakota.

Since its announcement in 2021, the pipeline has encountered numerous obstacles, including delays and escalating costs. 

Last year, South Dakota rejected Summit Carbon’s initial permit application due to concerns about property rights and local ordinances.

The repealed law, backed by the ethanol industry, was designed to expedite the approval process, with opponents arguing that it would undermine landowner rights and prioritize corporate interests.

However, both the law and the project have constantly been facing a series of setbacks, with several lawmakers who supported the pipeline and the law losing their primary elections earlier this year.