Microsoft signs 2 mega deals to remove 10.5 MMT of CO2 carbon dioxide removal (CDR) in pursuit of its 2030 carbon negative goal in the past week. It generated 17.1 million metric tons of greenhouse gases in 2023.
The company is buying 3.7 million metric tons of carbon removal credits from CO280, a project developer that works with pulp and paper mills, covering 12 years of emissions from CO280’s first carbon capture project at a mill on the Gulf Coast in the US. CO280 expects the facility to start capturing CO2 in 2028.
Once captured, the carbon dioxide will be sent 40 miles via pipeline to a saline aquifer that is being used for CO2 storage. Altogether, this first phase of the project will capture about 40% of the biogenic carbon dioxide released by the mill and 30% of the total CO2, including from fossil fuels used to power the operation. CO280 is planning a second phase that should double those figures.
2nd mega deal with Fidelis
In the 2nd deal, Microsoft signed CDR deal with AtmosClear, a group company of energy infrastructure developer Fidelis.
AtmosClear will deliver 6.75 million metric tons of engineered carbon removal over a period of 15 years, utilizing bioenergy carbon capture & storage (BECCS) technology.
AtmosClear will work on constructing a carbon removal facility that will use sustainable materials like sugarcane bagasse and trimmings from responsible forest management to produce clean energy.
The plant is expected to begin construction in 2026, aiming to advance to commercial operations in 2029. The facility, set to be built in the Port of Greater Baton Rouge in Louisiana, will have an annual biogenic CO2 capture capacity of 680,000 metric tons.
The carbon dioxide captured at the plant will be processed for permanent storage or repurposed for product manufacturing, serving as feedstock for products like low-carbon natural gas or other synthetic fuels.
Fidelis estimates that this ambitious project will attract more than $800 million in investments in Louisiana, introducing numerous job openings and economic opportunities to the Baton Rouge region.
