Standard Chartered Bank and financial services group SEB have expanded their partnership with Puro.earth in a bid to increase liquidity in the carbon dioxide (CO2) removal market.
The move will boost the production of CO2 Removal Certificates (CORCs), empowering corporations to achieve their carbon Net Zero targets, according to a statement.
Under the terms, Standard Chartered Bank and SEB will act as intermediaries facilitating offtake agreements of Puro Standard-certified carbon removal credits to their clients.
Puro.earth will provide its methodologies and certification framework, ensuring all CDR projects meet the highest standards in carbon accounting, social and environmental safeguards, and permanence.
In addition to increasing liquidity and CORC supply, the collaboration seeks to address challenges facing the CDR market, including the bankability of projects, and offtake contract structures, with a view to supporting investments in the sector.
The partnership leverages the banks’ network to create new distribution channels for Puro.earth CO2 Removal Certificates.
Julien Jacob, Head of Offtake and Investment Solutions at Puro.earth, said achieving Net Zero emission targets will be impossible without a significant acceleration in the pace of carbon dioxide removal deployment.
He said, “This collaboration takes our efforts further, with Standard Chartered and SEB now playing an active role in facilitating offtake agreements with suppliers that meet the stringent criteria of the Puro Standard.”
Fredrik Ekström, Head of Carbon Markets at Nasdaq, and Chairman of Puro.earth, said to scale up capacity in carbon removal we need allocation of capital into projects aiming to deliver negative emissions.
He said, “Offtake agreements play a crucial role at this stage of the market development to support funding and demand signalling. The partnership between Puro.earth, SEB and Standard Chartered represents an important step to support increased investments into early-stage carbon removal projects.”
Chris Leeds, Head, Carbon Market Development, at Standard Chartered, said we need “every tool in the toolbox” to help accelerate efforts to achieve Net Zero.
“Investment in emissions reductions and avoidance beyond company value chains are crucial but we also need to invest in carbon dioxide removal technology today, that will scale tomorrow, and put the net in Net Zero,” he said.
Maximilian Brodin, Head of Commodities, at SEB, said the CO2 removal market needs to scale to address the ongoing climate crisis.
“The partnership with Puro will support SEB in our strive to equip our clients with the necessary tools they need to deliver on their Net Zero targets,” he said.
“This partnership represents a significant step forward in creating a more transparent and accessible CDR market.”
