Charm Industrial, a carbon removal startup with customers such as Stripe and Microsoft, Thursday disclosed a $53 million, multi-year contract with Frontier, a Stripe-managed buyers group signing up to support emerging and planned projects.
Under the agreement, the San Francisco-based company will remove 112,000 metric tons of CO2 from the atmosphere between 2024 and 2030 on behalf of the corporations behind Frontier, which facilitates advanced buying commitments for carbon removal technologies and approaches through a fund of close to $1 billion.
Frontier was founded and funded by Stripe, Alphabet, Shopify, Meta and McKinsey Sustainability, as well as smaller companies that buy through the Stripe Climate program. Legally, Frontier is a public benefit LLC wholly owned by Stripe.
Forward-looking offtake agreements such as the newly announced deal with Charm Industrial are seen as playing a crucial role in enabling early-stage carbon removal suppliers to scale their operations. These contracts provide access to capital and offer investors an assurance of future demand.