Carbon removal project developer Recapture has announced it has completed the implementation of its climate-smart forestry project Terra Nova 1 (TN1) in Salta, northwestern Argentina, through which it expects to remove 1,000 tons of carbon dioxide (CO2) a year.
At the same time, the project will generate a double-digit internal rate of return (IRR) for investors, the company said.
The carbon credits generated through the TN1 project will be verified by an independent third party and issued through leading carbon registry Verra under their Verified Carbon Standard (VCS) program.
The project will last for 37 years following the eight-month implementation phase, which has now been completed. Before that securing regulatory approvals in both Germany and Argentina took a year and half.
The approvals from Deutscher Pflanzenschutzdienste and the Servicio Nacional de Sanidad y Calidad Agroalimentaria will allow Recapture to scale its model of planting non-invasive, fast growing eudicot hybrid hardwood trees on degraded farmlands, the company said.
“The completion of TN1 marks a significant milestone for Recapture and the industry. Our innovative approach to afforestation demonstrates that we can generate positive financial returns and verified carbon removal credits at a profit while ensuring sustainable management practices,” Philip-Michael Weiner, Founding Partner of Recapture, said in a comment.
TN1 is the flagship project in Recapture’s three-year, $100-million strategy Terra Nova Series™, aimed at delivering truly sustainable timber, combining afforestation with carbon capture, and integrating carbon stacking with coppice regeneration.
It is also the first live project from Recapture’s 250-million-ton pipeline, which is expected to generate megaton CO2 removals by 2028.
Under the company’s One Percent to Co-benefits™ model, 1% of the revenues from the project will be reinvested into small-scale, low-budget climate adaptation co-benefits locally to ensure more equitable development.