16th Dec 2020 09:42
(Alliance News) - BP PLC said Wednesday it has taken a majority stake in Finite Carbon, which it said is the largest developer of forest carbon offsets in the US.
BP provided no financial detail about the purchase but said it built on an existing interest in Finite Carbon. It said the move is intended to allow Finite Carbon to accelerate expansion within bp Launchpad, which provides funding and support for start-ups.
Wayne, Pennsylvania-based Finite Carbon identifies and develops projects that enable landowners to generate revenue from their forests by means of carbon offset credits. It has 50 projects covering 3 million acres in the US. It has generated over a third of all compliance offset supply in the state of California and provided more than USD500 million in revenue for landowners. The increased investment from BP is expected to add USD1 billion to this by 2030.
"Putting a price on carbon can make it possible for anyone with the ability to protect, plant, or improve forests to generate revenue from their efforts," said Finite Carbon Founder Sean Carney.
David Eyton, executive vice president of innovation & engineering at BP added: "Finite Carbon has the potential to build a global platform for managing and financing natural climate solutions."
BP shares were up 1.6% at 275.05 pence early Wednesday in London.
By Tom Waite; [email protected]
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