Chestnut Carbon recently signed a 25-year offtake agreement to provide Microsoft Corporation with more than 7 million tons of credits through its afforestation, reforestation, and revegetation project in Southeastern states including Arkansas, Louisiana, and Texas. Chestnut estimates the agreement will restore approximately 60,000 acres of land through the planting of more than 35 million native, biodiverse hardwood and softwood trees.

It is the latest sign of growth for Chestnut, a New York-based entity founded in 2022 with the support of Kimmeridge Energy Management Company. Over the past three years, Chestnut has enrolled more than 160,000 acres in its Improved Forest Management membership program, branded as Forest Carbon Works. Chestnut recently completed its first issuance of carbon credits from the program, with more than 66,000 tons of carbon removal transacted at an average price of $34 per ton, for a total of nearly $2.25 million.

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