TD Signs Long-Term Carbon Removal Agreement with Climeworks

Carbon dioxide removal (CDR) solutions provider Climeworks announced an agreement to supply high-quality carbon removal credits, spanning a range of CDR technologies over a 10-year period to Canada-based financial services provider TD Bank.

Founded in 2009, Zurich-based Climeworks provides carbon removal solutions for companies, including its own DAC technology, with the company operating the world’s first two DAC plants.

In 2024, Climeworks announced the launch of Climeworks Solutions, a new service providing companies with tailored, high-quality carbon removal portfolios, spanning a broad range of carbon removal technologies and solutions, such as afforestation and reforestation, biochar, bioenergy with carbon capture and storage, and enhanced rock weathering, as well as DAC.

The new agreement follows a series of moves by Climeworks towards large-scale deployment in Canada, including the opening of its corporate headquarters in Calgary earlier this year.

Adrian Siegrist, Chief Commercial Officer at Climeworks, said:

“We’re excited to work with TD Bank, Climeworks Solutions’ first Canadian financial services customer and a globally leading financial institution. Through our portfolio approach, we will provide a mix of North American-sourced high-quality removals from regional projects alongside future direct air capture credits from Climeworks.”

Under the new agreement, Climeworks will deliver a managed portfolio of high-durability carbon removal projects across North America, with the company responsible for project sourcing, due diligence, and ongoing portfolio management. The agreement encompasses high-durability solutions, which can each store CO2 for long periods of time, including enhanced rock weathering (ERW), biochar and bioenergy with carbon capture and storage (BECCS).

Climeworks said that it will also provide access to direct air capture credits sourced from one of its future North American facilities. The company added that in the coming months it will focus on cold-weather testing of its direct air capture technology, a key milestone ahead of building a commercial scale facility.

Susan Thompson, Managing Director Sustainable Finance and Advisory at TD Securities said:

“As carbon market standards and methodologies continue to evolve, Climeworks Solutions’ portfolio approach helps mitigate risk while providing organizations with flexible options in their carbon management strategies.”