Forestry investment carbon sequestration is a growing field By investing in bushlands, investors can help to reduce the amount of carbon dioxide in the atmosphere by supporting the growth and maintenance of forests.
Trees are natural carbon sinks, meaning that they sequester carbon dioxide from the atmosphere and store it in their biomass. Over time, forests can accumulate a significant amount of carbon, which can registared as tradeable carbon credits, which is used to offset greenhouse gas emissions from other sources.
In addition to carbon sequestration, forests also provide a number of other environmental benefits, such as:
- Reducing air pollution
- Protecting water quality
- Supporting biodiversity
- Providing habitat for wildlife
- Improving soil health
- Reducing the risk of flooding
For all of these reasons, forestry investment in carbon sequestration is a sound investment for both the environment and the economy. Tradeable Carbon Credits enable investors to earn a return on their investment while also helping to protect the planet for future generations.
We anticipate that demand for carbon-conscious assets will sharply increase over the coming decades as more government and private entities start to target carbon-neutral statuses. This will drive demand for tradable carbon credits generated from Carbon registered forests.
At the same time, the global supply of bushlands is shrinking. We see these macro trends as significant factors which will drive strong performance in the asset class over the coming decades.
We focus on assets with dependable water supply, fertile soil profiles, and access to infrastructure. We apply management processes to maximise annual carbon sequestration.
We provide services for parties wishing to invest in a carbon conscious future.
Carbon Capture Fund
Client Type: Corporate
Project scope: Capital Transactions Carbon Compliant Bushlands
Outcomes: Capital transaction of carbon-compliant bushland as a seed asset in Forever Forest Fund created by Meridian Energy (ASX: MEZ). The Funds contribute to Meridian’s Carbon Neutral status. The Forests annually generate registered tradable carbon credits as the biomass of the holding increases delivering strong cashflow alongside environmental betterment.
Portfolio Management
Client Type: Kotuku Forestry
Project scope: Portfolio Strategy and Capital Transactions Program
Outcomes: Kotuku Forestry manages several hundred hectares of bushlands over several holdings. Assisted with the highest and best use assessment, identification of non-core assets, and divestment of non-core assets. Enabling capital recycling into high-potential core assets.
Silviculture Management
Client: Edgeware Estates
Project scope: Forest Management across the full asset lifecycle
Outcomes: Partnered to provide management services across the lifecycle of the Forests held. Enabling infrastructure, land use consenting, planting, pruning, soil improvement, inventory management, harvesting, and re-planting.
