- NextGen CDR, one of the world’s largest diversified portfolios of permanent carbon dioxide removals (CDR) signs a multi-year offtake agreement with Bolivia-based Exomad Green, marking its first purchase in South America.
- Delivering on its commitment to purchase only high-quality, trusted CDR, NextGen is setting a new standard for buyers by requiring independent digital Monitoring, Reporting, and Verification (dMRV) for all credits through its use of Carbonfuture MRV+, an industry-leading dMRV platform
- Exomad Green’s facilities in Concepción and Riberalta, Bolivia are the largest in the world, and are already producing high quality biochar at commercial scale.
- This deal takes place in Tokyo, home of joint venture partner Mitsubishi Corporation and founding buyer Mitsui O.S.K. lines, signifying Japan’s position as a vital hub of carbon removal activity.
(Tokyo, Japan – 5 December 2024 ) NextGen CDR AG (NextGen), one of the world’s largest portfolios for permanent carbon dioxide removals (CDRs), today announced a multi-year CDR purchase agreement with Exomad Green, the world’s largest biochar producer, supported by Carbonfuture’s digital MRV (dMRV) platform, Carbonfuture MRV+. This deal sets a new precedent for buyer clubs by embedding independent dMRV into the credit purchasing process, ensuring transparency on credit quality and building buyer confidence.
According to The Intergovernmental Panel on Climate Change (IPCC), society must actively remove 10 billion tonnes of CO2 from the atmosphere by 2050. Biochar alone has the potential to reduce as much as 10% of global emissions. Today’s deal signifies market leaders coming together to increase global buyer’s access to high integrity carbon removals and rapidly scale this critical climate solution.
Historically, CDRs have been unaffordable for most buyers and developed from projects launching from 2030 onwards, which has prevented the market from scaling and realising its full impact. Today’s purchase brings NextGen closer to achieving its goal of contracting certified technological CDRs only from projects that will be at scale in the near-term, producing credits by 2025, unlike most other purchasers in the market.
NextGen’s uniquely diversified approach means major corporations can secure a long-term supply of certified CDRs at the average price of $200/tonne, demonstrating that high-integrity removals can be delivered at a price that aligns with corporate procurement targets – a market first.
”We are excited to announce our latest purchase of CDRs from Exomad Green’s high quality biochar projects in Bolivia, thereby continuing to further diversify and de-risk our portfolio across carbon removal technologies and geography. Our purchase is supported by Carbonfuture’s digital MRV system, ensuring we receive a reliable, long-term supply of CDR. We are proud to be associated with such initiatives where climate financing catalyses socio-economic and environmental benefits.” says K. Kartick, Head, NextGen CDR.
Exomad Green, a leading biochar carbon removal company operating in Bolivia is recognized for its proven ability to deliver high-quality carbon removal at scale. Relying only on waste timber, sustainably certified by Autoridad Bosques y Tierra (ABT), Exomad Green’s process transforms forestry waste, or waste timber, that would otherwise be burned into biochar. Through NextGen’s purchase, Exomad Green also moves closer to its ambition to create 300+ green tech jobs for the local community, improving quality of life, fostering local economic growth, and championing environmental justice across the region.
“We are delighted to forge this groundbreaking partnership with NextGen CDR, as it propels Exomad Green to further scale up our production capacities to meet the urgent demands of both the market and our planet. This multi-year offtake agreement not only facilitates our rapid growth but also solidifies our position as a leader in the global carbon removal sector. By incorporating Carbonfuture MRV+ system, we provide the utmost transparency and reliability in our carbon removal operations, from carbon capture to credit issuance.“, says Diego Justiniano, Exomad Green, CEO.
As well as avoiding CO2 emissions, a number of co-benefits arise from this including reduced health and fire risks from open burning, and mitigation of deforestation. The biochar produced is freely distributed to municipalities, indigenous peoples and local smallholders to improve soil health and reduce deforestation linked to soil degradation.
dMRV is an essential component in the carbon removal credit purchasing process, ensuring transparency and confidence in the quality of credits delivered. Carbonfuture MRV+, a leading dMRV in the market, provides rigorous due diligence, meticulous digital tracking, and seamless third-party verification and certification. By embedding Carbonfuture’s independent dMRV as a cornerstone of this transaction, NextGen reinforces the importance of high-integrity carbon removal solutions in achieving global net-zero goals and emphasizing the role transparency and accountability play in driving the CDR market forward.
“At Carbonfuture, our mission is to build trust in carbon removal by delivering the most comprehensive and rigorous digital monitoring, reporting, and verification for durable carbon removal projects,” said Dominic Lüdin, Chief Growth Officer at Carbonfuture. “We are proud to support NextGen as a leader in buyer clubs, setting a precedent by requiring independent dMRV for all credits. Carbonfuture MRV+ enables real-time transparency on credit quality for NextGen buyers while supporting efficient credit issuance for carbon removal projects like the market-leading Exomad Green.”
