- Mizuho, a Japanese Mega Bank with $2 trillion in assets, becomes a major buyer of NextGen CDR, one of the largest global portfolios for permanent carbon dioxide removals (CDR)
- The move strengthens confidence in the CDR market, reinforcing its role in corporate climate transition strategies and net-zero ambitions
- NextGen, a joint venture between South Pole and Mitsubishi Corporation, sets an industry benchmark, ensuring high-integrity CDRs with an average price of $200/tonne and long-term CO₂ storage of over 1,000 years
- Mizuho joins leading institutions such as Boston Consulting Group, Mitsui O.S.K. Lines, UBS Global, Swiss Re, and LGT Group in building a robust CDR portfolio with NextGen
London, 28 March 2025 – NextGen CDR (NextGen), one of the world’s largest portfolios for permanent carbon dioxide removals (CDR), has announced that Mizuho Financial Group, the 15th largest bank in the world, has become its latest major buyer. With $2 trillion in assets, Mizuho’s investment signals a major shift in corporate commitment to high-quality carbon removals and underscores Japan’s growing leadership in the space.
The financial sector plays a critical role in scaling the CDR market. Investment from one of Japan’s megabanks has the potential to accelerate project development, enhance market confidence, and encourage other institutions to integrate CDRs into their climate transition strategies. At a time when securing climate and carbon finance remains challenging, Japan is positioning itself at the forefront of CDR.
“NextGen CDR, and our joint venture partners South Pole and Mitsubishi Corporation, are delighted that a globally leading financial institution like Mizuho has joined us as a buyer,” said Patrick Bürgi, Chairperson of NextGen and Managing Director Japan / Co-Founder at South Pole.
He continued, “Carbon dioxide removals are critical to climate action, now more than ever. We need more institutions entering the market from every angle. Meanwhile, NextGen remains committed to upholding high integrity and low risk through our diversified portfolio approach.”
This agreement signals that confidence in the CDR market is at an all-time high, as the carbon market shifts toward high-quality, high-durability carbon removals. As more financial institutions engage in CDR investments, it helps de-risk net-zero and accelerate climate action.
The current deployment of CDR solutions is insufficient to meet global climate goals. Many Nationally Determined Contributions (NDCs) under the Paris Agreement do not include sufficient CDRs, leaving a significant gap in emissions removal capacity. Corporate engagement through the Voluntary Carbon Market, via purchasing long term offtakes, is central to growing high integrity supply, and building market infrastructure for a future international, gigatonne scale market.
“We believe that creating initial demand momentum through joint purchasing of CDR credits is essential for providing funding for lesser known areas such as technology-based CDR. To supply funds to uncharted areas such as technological CDRs, it is essential and important to create initial demand momentum by jointly purchasing CDR credits,” said Shinichi Tsunoda, Operating Officer & General Manager, Mizuho Financial Group, Inc. “For Mizuho, participating in the early NextGen initiative as a buyer constitutes our first step into the technology-based CDR field at the core of decarbonization. Going forward, Mizuho will positively contribute to the broader implementation of technologies that will further technology-based CDR in Japan, as well as to the commercialization of the CDR field.”
Historically, high costs, tech immaturity and long project timelines have hindered the scalability of CDRs. NextGen sets itself apart by ensuring an industry-leading average price of $200/tonne for permanent removals, making it more accessible for corporate buyers. Projects in the risk-managed portfolio will begin delivering from the end of 2025, ensuring immediate impact.
NextGen continues to grow its network of leading institutions committed to building scalable, high-quality CDR portfolios. Mizuho joins buyers including Boston Consulting Group, LGT Group, Mitsui O.S.K. Lines, Swiss Re and UBS.
