The transaction involves offsets originating from Blue Source’s portfolio of emission reduction projects. The offsets are generated from the US based projects including forestry, landfill gas and coal mine methane.
The companies said that the projects meet the quality standards of the Climate Action Reserve and Voluntary Carbon Standard. Included in the transaction is the Alligator River Forestry Project in North Carolina, the forestry project located outside the state of California to be listed by the Climate Action Reserve.
Goldman Sachs and Blue Source have an alliance in which Blue Source develops and manages projects that generate carbon offsets and Goldman Sachs off-takes, structures and markets the Blue Source offsets.
Greg Arnold, president of CE2 Carbon Capital, said: “This transaction is an important addition to our expanding portfolio of carbon commodities and projects under ownership and in development. This transaction also expands the US carbon offset market by better defining transaction structure and value, enabling capital to flow more freely.”
Greg Spencer, president of Blue Source, said: “We are pleased to be involved in this landmark transaction and drive activity within the US carbon economy. This is a continuing signal both to offset purchasers and potential project owners that capital is moving, and there is a high degree of confidence that investment returns can be achieved today.”
The transaction is expected to create environmental and economic benefits as the US works toward achieving emission reductions through state, regional and federal cap-and-trade programs.
