Carbon Streaming’s investment strategy is focused on building a high quality and diversified portfolio of carbon credit streams and investments in projects and/or companies that generate or are actively involved, directly or indirectly, with voluntary and/or compliance carbon credits. The Company intends to enter into streaming arrangements with individuals, companies and governments to purchase carbon offsets from their assets or properties. The Company may also purchase carbon credits directly in the voluntary and compliance markets or make investments into entities, assets or properties involved in the origination, generation, monitoring or management of carbon credits. Carbon Streaming plans to diversify its exposure in the carbon markets by investing in projects and/or companies in a number of different geographical areas and different carbon project types.
“We anticipate significantly higher carbon prices over the next decade as governments and corporations around the world commit to fighting climate change and utilize carbon markets as an essential tool to meet these climate commitments.”Justin Cochrane, President & CEO
What is a Stream?
A carbon credit stream is a contractual agreement whereby Carbon Streaming makes an upfront payment in return for the right to receive all or a portion of future carbon credits generated by the project. An additional per-carbon credit delivery payment may be paid to the project developer or owner when the carbon credits are delivered to or sold by Carbon Streaming.
How Streaming Works
Carbon Streaming proposes to make an upfront payment plus ongoing delivery payments for a fixed percentage of future carbon credits generated over the life of the project.
The stream agreement provides Carbon Streaming with exposure to carbon credits and potential price appreciation without taking on the operating responsibility and risk of managing a carbon offset project.
There are a number of benefits of streams to the project developer or owner as well:
- Upfront cash investment and annual income for decades
- Able to monetize carbon credits from the property or asset
- Potential revenue sharing could provide additional upside
- Marketing partner to help maximize value of carbon credits and third party validation of project
- Funds to accelerate project activities or community investment
- Assistance with registration and verification process, as needed