Carbon credit markets have taken a credibility hit over the last few years as buyers discovered that a lot of offset claims did not hold up to scrutiny, and at the same time heavy industry is under real regulatory and customer pressure to decarbonize processes like steel-making that are hard to electrify. This company sits between the two problems: it builds rigorous measurement, reporting, and verification for biochar production, and it locks in offtake contracts that sell that biochar directly into industrial furnaces as a physical substitute for coal, not just as a tradeable credit.
The customer on one side is landholders and biomass processors who need to prove their biochar meets a quality and carbon-removal standard before anyone will buy it, and on the other side is steel producers and other industrial furnace operators who need a coal substitute that performs at scale and comes with a verifiable decarbonization story for their own customers and regulators. Because biochar can be blended in at meaningful ratios in some furnace processes, this is a real materials substitution business with an MRV layer bolted on, not a pure carbon-credit brokerage.
The wedge is credibility: by owning the measurement methodology and the plant-level data on exactly how much carbon was sequestered and how much coal was displaced, this company can sell both a physical product and a defensible climate claim in the same transaction, which is a stronger pitch to industrial buyers than either a commodity biochar seller or a pure-play carbon registry can make alone.