JPMorgan Strikes Landmark Deal for Low-Cost Carbon Removal with CO₂80

JPMorgan Chase has signed an agreement with Canadian company CO₂80 to purchase 450,000 metric tons of CO₂ removal over 13 years, at a price of less than $200 per metric ton. The project involves the capture and permanent storage of biogenic emissions from a pulp and paper plant owned by JPMorgan and located along the U.S. Gulf Coast.

This is one of the lowest prices ever recorded for engineered carbon removal technologies, marking a major step forward in making carbon dioxide removal (CDR) projects scalable and affordable for companies. The deal is part of a $200 million-plus investment package JPMorgan has already announced for 2023.

JPMorgan Agreement Secures 450,000 Metric Tons of CO₂ Removal, Boosting Scalable Solutions in the Pulp Industry

This agreement represents an extension of a memorandum of understanding (MoU) initially signed between JPMorgan and CO280 in 2023, and is part of a broader environmental strategy for the bank, which has announced investments of more than $200 million in carbon removal to date, among the largest ever made globally.

The pulp and paper industry ranks among the largest industrial contributors to greenhouse gas emissions. In the United States alone, facilities involved in pulp and paper production are responsible for emitting around 88 million metric tons of biogenic carbon dioxide (CO₂) every year. These emissions pose a significant environmental challenge, highlighting the urgent need for innovative and scalable solutions to mitigate their impact on the climate.

CO280, a company headquartered in Vancouver, is taking a comprehensive approach to addressing this issue by developing projects focused on biomass-based carbon removal and long-term storage. CO280 is involved in every stage of the project lifecycle—including financing, development, construction, ownership, and operational management. This full-spectrum involvement allows the company to maintain high standards of quality and consistency throughout its initiatives.

Currently, CO280 is actively working on over ten carbon removal projects in collaboration with various industrial partners. These efforts are part of the company’s broader mission to reach a combined carbon removal capacity of ten million metric tons of CO₂ per year. The company places a special emphasis on the pulp and paper sector, where it is developing more than ten dedicated facilities designed to capture and remove CO₂ emissions at scale.

To accelerate progress and contribute to the establishment of a robust carbon dioxide removal (CDR) market, besides JPMorgan, CO280 has also entered into strategic partnerships with major organizations, including Microsoft and Aker Carbon Capture. Through these collaborations, CO280 aims to support the standardization of CDR practices and promote widespread adoption of effective carbon management technologies across the industry.

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(Featured image by Joe Ciciarelli via Unsplash)

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