• 7M+ tons of carbon removal: Microsoft will receive over 7 million tons of high-quality carbon removal credits over 25 years.
• 60,000 acres restored: The project will plant 35M+ native trees across Arkansas, Texas, and Louisiana.
• Scaling to 500,000 acres: Chestnut aims to expand its afforestation, reforestation, and revegetation (ARR) portfolio to 500,000 acres by 2030.

Microsoft is doubling down on carbon removal:

The tech giant signed a 25-year agreement with Chestnut Carbon to secure more than 7 million tons of carbon removal credits. This marks one of the largest nature-based carbon offtake deals in the U.S. and builds on an initial agreement from December 2023.

Why it matters:

The deal supports Microsoft’s goal to be carbon negative by 2030 while accelerating large-scale forest restoration in the U.S.

Project Scope:

Chestnut’s Sustainable Restoration Project will plant over 35 million hardwood and softwood trees, restoring 60,000 acres of marginal agricultural land across Arkansas, Texas, and Louisiana. The project is expected to scale to 500,000 acres by 2030, removing 100 million tons of CO2 over 50 years.

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“We’re excited to be expanding our collaboration with Microsoft given their market leadership in net zero commitments,” said Ben Dell, CEO of Chestnut Carbon. “Nature-based afforestation solutions remain the most attractive, scalable, and cost-effective means for removing carbon today.”

Microsoft’s take:

“This agreement is another positive step towards our goal to become carbon negative by 2030,” said Brian Marrs, Senior Director of Energy & Carbon Removal at Microsoft. “We look forward to scaling forest restoration in the U.S. while attracting sophisticated private capital.”

Why it stands out:

Chestnut’s project is registered with Gold Standard, ensuring carbon removal is verified, not just avoided. The initiative also delivers key environmental and community benefits, including enhanced wildlife habitats, improved air and water quality, and local economic development.

The big picture:

As corporate climate commitments rise, nature-based solutions like Chestnut’s ARR project are becoming a critical part of the carbon removal market. Microsoft’s long-term commitment signals confidence in scalable, high-quality credits that provide both environmental and financial returns.