Verde Resources (OTCQB: VRDR) has signed a supply and carbon credit agreement with Biochar Solutions LLC, marking a step toward scaling carbon sequestering infrastructure model, according to a company statement on Monday.
The agreement provides Verde with a steady supply of engineered biochar, a carbon-rich material produced from organic waste, for use in its proprietary BioAsphalt products.
The partnership will also support joint intellectual property development and establish a framework for sharing revenue generated from carbon removal credits.
Under the initial terms, Biochar Solutions will supply up to 38,500 tons of engineered biochar annually, with roughly half expected to qualify for carbon removal credits, subject to verification.
These credits will be generated through the incorporation of biochar into road construction materials, effectively embedding long-term carbon storage within infrastructure.
Relevant: Opinion: Every Mile a Carbon Sink: Rebuilding Trust in Carbon Credits through Biochar Asphalt
The deal builds on earlier pilot work completed with the National Center for Asphalt Technology (NCAT) at Auburn University, where Verde demonstrated the feasibility of using biochar in live roadway applications.
That project led to the issuance of eight verified carbon removal credits, described as the first generated from asphalt-based applications.
Verde’s model combines material innovation with carbon credit generation, aiming to turn roads into durable carbon sinks while maintaining performance standards.
Measurement, reporting and verification (MRV) protocols will be used to quantify carbon storage, with an emphasis on durability and transparency to ensure credit integrity.
The partnership also aligns with Verde’s broader commercialization strategy, including a long-term agreement with Ergon Asphalt & Emulsions, which provides access to a large distribution network across North America.
“Securing long-term engineered biochar supply, aligning carbon monetization, and advancing joint intellectual property are critical pillars of building an infrastructure platform capable of national and global scale,” Verde’s COO Eric Bava said in a comment.
As demand for high-integrity carbon removal credits grows, the companies aim to position biochar-based infrastructure as a scalable pathway for emissions reduction and climate finance.
Read more: Ergon Becomes A Strategic Shareholder In Verde With $2M Investment
