Microsoft has struck a long-term agreement with Chestnut Carbon, a US-based developer of nature-based carbon projects, to restore 60,000 acres of forest over the next quarter century. The deal is part of Chestnut Carbon’s larger project to remove 100 million tons of CO2 from the atmosphere over the next 50 years.
The offtake agreement is the second-largest carbon removal contract Microsoft has ever signed, and its largest in the US.
“It’s just a really different business model construct,” says Chestnut Carbon COO Shannon Smith of what attracted the tech giant. “We’re very fortunate to be able to have the capital to buy the land, plant the forest, and say this is a minimum of 100 years that we’re committing to restore this forest.”
‘If we can’t find it, we’ll build it’
Alternative asset manager Kimmeridge, a firm best known for investing in energy management, founded Chestnut Carbon in 2022.
According to Smith, Kimmeridge was looking for carbon credits to offset its emissions and couldn’t find anything it wanted to buy. “They decided, ‘if we can’t find it, we’ll build it.’”
Chestnut Carbon was born to create these high-quality, nature-based carbon offsets through afforestation projects (e.g., planting trees or restoring native forests) that remove carbon dioxide from the environment.
To date, the company has planted more than 10 million trees across 15,000 acres, mostly in the Southeastern US, Smith tells AgFunderNews. It aims to have 500,000 acres (roughly 781 square miles) planted by 2030.
“We own land in six states. It’s all still roughly the southeast [US], but we’ve significantly expanded our footprint,” she notes, adding that Chestnut Carbon primarily works with forestry supplier ArborGen to procure the millions of trees required for the reforestation efforts.
50 years of carbon credits
Chestnut Carbon signed its first agreement with Microsoft in 2023, after an invitation to participate in an RFP for the tech giant, who Smith says is actively pursuing ways of offsetting their carbon emissions.
The new agreement with Microsoft will span 25 years in a 100-year-long carbon removal project.
Chestnut Carbon will issue carbon credits for the first 50 years of the project; Microsoft has effectively secured half (25 years) of that time period, says Smith, who adds that her company expects to deliver more than 7 million tons’ worth of carbon removal credits during those 25 years.
“We’re committed to them [Microsoft] for the majority of the carbon credits we expect to have during 25 years out of the 50 that we expect to issue credits.”
Chestnut Carbon will cease issuing carbon credits in the second 50 years of the project, and focus on monitoring and maintaining the trees. Monitoring will involve “very light oversight of the project area and satellite imagery,” says Smith. “It’s mostly just about protecting the trees that are there.”
Part of Chestnut Carbon’s underlying ability to make such long-term agreements is that the company actually buys the land for its projects.
“We benefited by the fact that we have a private equity founder, and they took a big chunk of their raised capital and and put it towards Chestnut so we could go buy land,” says Smith. “We’ve already spent well over $100 million on land, and therefore we have outright ownership, and we can commit to that time period.”
“Most developers [of carbon removal projects] are either leasing land, so the landowners are less likely to want to enter into a commitment that long, or they’re acquiring a timber forest from some harvesting-oriented entity that will go back to harvesting after 20 years.”
A premium product
Smith says the credits issued by Chestnut Carbon are a premium product because they are “at the high end of the price range for nature-based products.”
These projects vary in value based on the actions being executed. Carbon avoidance projects are just as they sound: they prevent emissions from happening by, for example, avoiding deforestation. Carbon removal credits come from projects that both avoid making emissions and remove existing carbon via things like reforestation.
“All of our products are carbon removal,” says Smith, adding that this commands a higher premium. Whereas other projects might sell for $5 per credit in the developing world and $15 to $20 in the US, Chestnut Carbon has sold its credits for $34 each.
“We feel that it’s warranted, given our location exclusively in the US, the quality of our team, and the quality of our product,” she adds.
Benefits beyond carbon removal
A 100-year-long project is rare, which Smith suggests is a positive differentiator for Chestnut Carbon.
“A huge part of our operating model, and really just our strategic approach, is to think of our project as not just planting trees and we’re sequestering carbon. That’s what we sell, but we really look at it as a more holistic environmental improvement to the area,” says Smith.
“We’re taking what’s largely cattle pasture, sometimes farmland like soybean crops, and we’re restoring native forests in as close an approximation as we can create to what a native forest would have looked like 100 years ago, with a mix of some soft woods, a wide variety of hardwoods, etc.”
These native forests can also improve air and water quality in addition to bringing back wildlife and benefiting surrounding communities, she adds.
“So we’re really wanting this to become a broader benefit to the surrounding region.”
ADVERTISEMENT:
Hello, sobat pengemar slot! pernahkah denger semboyan “slot demo”? Kalau tidak, bersiaplah jatuh hati sama program ini. slot demo merupakan mesin slot yang selalu memberi kemenangan. Ya, mesin-mesin ini bisa dibilang adalah andalannya buat bawa pulang cuan. but, gimana sih
tekniknya nemuin raja lot yang tepat? Tenang Bro and Sis, kita beri santai aja di tempat ini
Games terpercaya waktu sekarang satu-satunya berada Indonesia hanya di akan memberikan return on Investment terbesar
SEGERA hanya di :
Informasi mengenai KING SLOT, Segera Daftar Bersama king selot terbaik dan terpercaya no satu di Indonesia. Boleh mendaftar melalui sini king slot serta memberikan hasil kembali yang paling tinggi saat sekarang ini hanyalah KING SLOT atau Raja slot paling gacor, gilak dan gaco saat sekarang di Indonesia melalui program return tinggi di kingselot serta pg king slot
slot demo gacor
slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun demo slot gacor
akun demo slot gacor permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun slot demo gacor
akun slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun demo slot pragmatic
akun demo slot pragmatic permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun slot demo pragmatic
akun slot demo pragmatic permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun slot demo
akun slot demo permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
akun demo slot
akun demo slot permainan paling top dan garansi imbal balik hasil besar bersama kdwapp.com
slot demo gacor
slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun demo slot gacor
akun demo slot gacor permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun slot demo gacor
akun slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun demo slot pragmatic
akun demo slot pragmatic permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun slot demo pragmatic
akun slot demo pragmatic permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun slot demo
akun slot demo permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
akun demo slot
akun demo slot permainan paling top dan garansi imbal balik hasil besar bersama jebswagstore.com
slot demo gacor
slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun demo slot gacor
akun demo slot gacor permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun slot demo gacor
akun slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun demo slot pragmatic
akun demo slot pragmatic permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun slot demo pragmatic
akun slot demo pragmatic permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun slot demo
akun slot demo permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
akun demo slot
akun demo slot permainan paling top dan garansi imbal balik hasil besar bersama demoslotgacor.pro
slot demo gacor
slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun demo slot gacor
akun demo slot gacor permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun slot demo gacor
akun slot demo gacor permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun demo slot pragmatic
akun demo slot pragmatic permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun slot demo pragmatic
akun slot demo pragmatic permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun slot demo
akun slot demo permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
akun demo slot
akun demo slot permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
situs slot terbaru
situs slot terbaru permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
slot terbaru
slot terbaru permainan paling top dan garansi imbal balik hasil besar bersama situsslotterbaru.net
soda96 permainan paling top dan garansi imbal balik hasil besar bersama soda96.com
sparta88 permainan paling top dan garansi imbal balik hasil besar bersama sparta88.biz
sugesbola88 permainan paling top dan garansi imbal balik hasil besar bersama sugesbola88.org
tektok7777 permainan paling top dan garansi imbal balik hasil besar bersama tektok7777.com
tektok88 permainan paling top dan garansi imbal balik hasil besar bersama tektok88.biz
toinktoto88 permainan paling top dan garansi imbal balik hasil besar bersama toinktoto88.com
tokek888slot permainan paling top dan garansi imbal balik hasil besar bersama tokek888slot.com
topslot888 permainan paling top dan garansi imbal balik hasil besar bersama topslot888.biz
tuanslot888 permainan paling top dan garansi imbal balik hasil besar bersama tuanslot888.club
uang88 permainan paling top dan garansi imbal balik hasil besar bersama uang88.biz
uang8888 permainan paling top dan garansi imbal balik hasil besar bersama uang8888.com
userslot88 permainan paling top dan garansi imbal balik hasil besar bersama userslot88.info
uus88 permainan paling top dan garansi imbal balik hasil besar bersama uus88.biz
waslot88 permainan paling top dan garansi imbal balik hasil besar bersama waslot88.asia
wayantogel88 permainan paling top dan garansi imbal balik hasil besar bersama wayantogel88.com
zona666 permainan paling top dan garansi imbal balik hasil besar bersama zona666.biz
zona88 permainan paling top dan garansi imbal balik hasil besar bersama zona88.biz
slot96 permainan paling top dan garansi imbal balik hasil besar bersama slot96.biz
arjuna69 permainan paling top dan garansi imbal balik hasil besar bersama arjuna69.com
hqtoto88 permainan paling top dan garansi imbal balik hasil besar bersama hqtoto88.com
bangshun88 permainan paling top dan garansi imbal balik hasil besar bersama bangshun88.com
btc999 permainan paling top dan garansi imbal balik hasil besar bersama btc999.org
supraslot888 permainan paling top dan garansi imbal balik hasil besar bersama supraslot888.net
sortoto88 permainan paling top dan garansi imbal balik hasil besar bersama sortoto88.net
logamtoto88 permainan paling top dan garansi imbal balik hasil besar bersama logamtoto88.net
goslot777 permainan paling top dan garansi imbal balik hasil besar bersama goslot777.info
gebyar88 permainan paling top dan garansi imbal balik hasil besar bersama gebyar88.biz
botak88 permainan paling top dan garansi imbal balik hasil besar bersama botak88.biz
ibis88 permainan paling top dan garansi imbal balik hasil besar bersama ibis88.asia
autobot777slot permainan paling top dan garansi imbal balik hasil besar bersama autobot777slot.com
jwmarriott88 permainan paling top dan garansi imbal balik hasil besar bersama jwmarriott88.com
reddoorz88 permainan paling top dan garansi imbal balik hasil besar bersama reddoorz88.com
hotelharris88 permainan paling top dan garansi imbal balik hasil besar bersama hotelharris88.com
novotel88 permainan paling top dan garansi imbal balik hasil besar bersama novotel88.com
orientalplay88 permainan paling top dan garansi imbal balik hasil besar bersama orientalplay88.com
oyo88 permainan paling top dan garansi imbal balik hasil besar bersama oyo88.live
agoda88 permainan paling top dan garansi imbal balik hasil besar bersama agoda88.asia
tiket88 permainan paling top dan garansi imbal balik hasil besar bersama tiket88.asia
santika88 permainan paling top dan garansi imbal balik hasil besar bersama santika88.org
grandaston88 permainan paling top dan garansi imbal balik hasil besar bersama grandaston88.com
booking88 permainan paling top dan garansi imbal balik hasil besar bersama booking88.org
grandmercure88 permainan paling top dan garansi imbal balik hasil besar bersama grandmercure88.com
tripadvisor88 permainan paling top dan garansi imbal balik hasil besar bersama tripadvisor88.com
hotelmulia88 permainan paling top dan garansi imbal balik hasil besar bersama hotelmulia88.com
aryaduta88 permainan paling top dan garansi imbal balik hasil besar bersama aryaduta88.com
shangrila88 permainan paling top dan garansi imbal balik hasil besar bersama shangrila88.com
holidayinn88 permainan paling top dan garansi imbal balik hasil besar bersama holidayinn88.com
antam88 permainan paling top dan garansi imbal balik hasil besar bersama antam88.info