Carbon removals and renewable energy company Drax Group has announced a carbon removals deal with C-Zero Markets (C-Zero), an environmental consultancy.
The agreement is indicative of the maturing carbon market’s growing appetite for high-quality carbon removals and represents another concrete step toward Drax delivering bioenergy with carbon capture and storage (BECCS) in the US, according to Drax.
C-Zero will purchase carbon dioxide removals (CDR) credits from Drax representing 2,000 metric tons of permanently stored carbon under the terms of the agreement.
The deal, which converts a previous MoU into a firm offtake agreement, is connected to Drax’s future deployment of carbon-negative BECCS in the US.
This latest agreement between Drax and C-Zero is AN indicator that demand for BECCS-derived carbon removals continues to increase, added the company, as the announcement came just weeks after a firm offtake deal with Karbon-X, and Drax inked MoUs with Respira and C-Zero prior to that.
Drax also launched an independently operated business unit headquartered in Houston, Texas, at the beginning of the year with the intent of becoming the global leader in large-scale carbon removals.
This business unit will oversee the development and construction of Drax’s new-build BECCS plants in the US and internationally, and it will work with a coalition of strategic partners to focus on an ambitious goal of removing at least 6 Mt of CO2 per year from the atmosphere.
“Drax is one of the leading players in the BECCS space, and we’re thrilled to be partnering with them to help solve the other half of the climate equation with carbon removal,” said Mike Ridler, CEO at C-Zero Markets.
“It has been great to work with them on process, compliance and sustainability as this is fundamental to us as a business and to the clients we are supporting.”
Drax confirms carbon removals deal with C-Zero
