Energy and commodity group Mercuria has announced it will be entering the climate investment space. The group will be launching a nature-based investment platform called Silvania with a capital commitment $500 million from its own resources and partners.
Investment made through the platform are planned to have specific regional focuses: In North America investments will be aimed at carbon sequestration and peatland projects; Latin America will see funds for reforestation and mangrove restoration; Africa and Asia’s preferred projects will be for reducing agricultural methane emissions while Australia and New Zealand will primarily have forest conservation and restoration projects.
“Launching Silvania is consistent with Mercuria’s purpose to connect markets and advance the energy transition and its ambition to help the world achieve Net Zero,” said Marco Dunand, Mercuria’s chief executive officer. “Silvania will bring local environmental and social benefits through its projects whilst also delivering positive global climate change impacts and biodiversity benefits overall.”
Project selection and execution will benefit from the experienced Mercuria Environmental Products team, who have accumulated experience with climate and low-carbon investments from over 15 countries. The investments are expected to generate high-quality carbon credits that can then by used by companies for their compliance needs, as well as providing supply to voluntary carbon markets.