Microsoft has signed what it claims is the world’s largest agreement for permanent carbon removal, partnering AtmosClear to build a facility in Louisiana. The project aims to remove 6.75 million metric tons of carbon dioxide over 15 years through bioenergy with carbon capture and storage (BECCS). The facility, which will be located in the Port […]

Microsoft has signed what it claims is the world’s largest agreement for permanent carbon removal, partnering AtmosClear to build a facility in Louisiana.

The project aims to remove 6.75 million metric tons of carbon dioxide over 15 years through bioenergy with carbon capture and storage (BECCS).

The facility, which will be located in the Port of Greater Baton Rouge will process sustainable feedstocks such as sugarcane bagasse and trimmings from responsible forest management, generating clean energy while capturing around 680,000 metric tons of biogenic CO₂ annually for permanent storage or reuse.

Possible use cases include feedstock for low-carbon natural gas or other synthetic fuels.

Construction is scheduled to begin in 2026, with commercial operations expected by 2029.

AtmosClear parent company Fidelis estimates the project will involve more than $800 million in investment and create around 6,000 construction jobs and 75 permanent positions.

“This contract with Microsoft marks a transformative moment for the high-quality, engineered carbon removal market,” said Daniel J. Shapiro, CEO of Fidelis.

“AtmosClear showcases how proven technologies, paired with sustainable feedstocks like sugarcane bagasse and forest management materials, can deliver meaningful climate impact while providing quality jobs, economic development, and other community benefits.”

Brian Marrs, senior director of energy and carbon removal at Microsoft added” “We are proud to work with Fidelis on this pathbreaking project, which will bring together science, engineering, and commercial innovations to offer a compelling model for carbon removal in the United States.”

He added that such carbon removal solutions such as this are “vital for Microsoft in progressing its goal to become Carbon Negative by 2030.”

This is the second recent announcement by Microsoft highlighting its sustainability initiatives, as last week it announced a multimillion-ton CO₂ deal with carbon removal firm CO280.

The deal will span 12 years and involves capturing CO2 emitted during the production of paper and other products and storing it in underground geologic formations.

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