Microsoft Acquires Record 500,000 Metric Tons of DAC Carbon Removal Credits from 1PointFive

In a landmark agreement, Microsoft has purchased 500,000 metric tons of carbon dioxide removal (CDR) credits from 1PointFive, marking the largest direct air capture (DAC) purchase to date. This six-year deal supports Microsoft’s ambitious goal to become carbon negative by 2030 and underscores the increasing viability of DAC technology in addressing climate change.

The carbon removal credits will be facilitated by 1PointFive’s STRATOS facility, the first industrial-scale DAC plant currently under construction in Texas. The captured CO2 will be securely stored through subsurface saline sequestration, ensuring it is not used for oil and gas production, thus providing a reliable method for mitigating emissions from hard-to-abate sectors.

Michael Avery, President and General Manager of 1PointFive, highlighted the significance of this agreement, noting Microsoft’s leadership in carbon removal and its commitment to sustainability. Avery stated, “We are excited about this landmark agreement for Direct Air Capture, which is a result of Microsoft’s leadership in carbon removal and focus on building a more sustainable future. A commitment of this magnitude further demonstrates how one of the world’s largest corporations is integrating scalable Direct Air Capture into its net zero strategy.”

Microsoft’s commitment to becoming carbon negative by 2030 is a key driver behind this deal. Brian Marrs, Senior Director for Carbon Removal and Energy at Microsoft, emphasized the essential role of DAC in their strategy, stating, “We’re very pleased to announce this deal with 1PointFive, a pioneer in the Direct Air Capture space, which is building the largest DAC project worldwide. To achieve the gigatons of removals needed this century, first-of-a-kind projects like STRATOS are essential to move from pilots to scale. DAC plays an important role in Microsoft’s carbon removal portfolio supporting our broader goal of becoming carbon negative by 2030.”

This partnership highlights the crucial role of direct air capture in global carbon reduction efforts and sets a significant precedent for future large-scale carbon removal initiatives, driving the transition from pilot projects to full-scale industrial operations.