BMO Financial Group today announced it has committed to purchase carbon credits over five years, representing 5,750 metric tons of carbon dioxide removal and reductions, via an agreement with Halifax-based CarbonCure Technologies, a climate tech company supporting the decarbonization of the global concrete industry. The credits are expected to be delivered every September from 2022 to 2026. Carbon neutral since 2010, BMO is the first North American bank to purchase CarbonCure carbon credits and the first purchaser of carbon credits supporting CarbonCure's full suite of carbon mineralization technologies, delivering permanent storage of CO2 across the concrete manufacturing process.
This announcement builds on BMO's purchase last year of Direct Air Capture carbon removals using Carbon Engineering technology from Canada's Carbon Engineering. Carbon removal projects, including engineered solutions that store carbon for over 100 years, are part of BMO's strategy to diversify its offset portfolio to meet its net zero goals by 2050.
"As part of our Climate Ambition and our Purpose to Boldly Grow the Good in business and life, BMO is focused on how we can support innovation through our carbon neutrality program. To achieve net zero, we will need a lot of innovation and new technologies, including the solutions being developed by CarbonCure," said Michael Torrance, Chief Sustainability Officer, BMO Financial Group. "Since 2010, BMO has been carbon neutral in its own operations through a combination of reducing energy use, purchasing renewable energy certificates to match 100 per cent of our electricity use. and offsetting remaining emissions. Our agreement with CarbonCure is an exciting opportunity for BMO to support new technology that will advance net zero aligned innovation in the decades ahead."
"We're excited to embark on this agreement with BMO," said Robert Niven, Chair and CEO of CarbonCure Technologies. "BMO's first-of-its-kind commitment to purchase carbon credits supporting the full suite of our technologies represents the kind of investment that is vital to tackling the climate crisis. We need to leverage every tool in our toolbox and bring innovations to scale quickly. CarbonCure's technologies have reduced and removed more than 210,000 metric tons of CO2 to date; with BMO's valuable support, we look forward to accelerating even faster our global growth and impact."
CarbonCure's systems inject captured CO2 into ready mix concrete, reclaimed plant water and recycled concrete aggregates where the CO2 is safely and permanently stored. The added benefit of carbon mineralization in concrete manufacturing is that it also enables reductions in the use of carbon-intensive cement, fresh water sources and virgin aggregate materials. Upon injection, the CO₂ immediately converts into rock-like nanoparticles that become embedded in these materials for millennia. Even if CarbonCure concrete is later demolished, the mineralized CO₂ will never return to the atmosphere.
In 2021, a CarbonCure methodology for calculating carbon credits was verified by Verra, the world's most widely used voluntary greenhouse gas crediting program. In most cases, CarbonCure can measure and track the CO₂ from point of capture through to mineralization, which provides credit buyers with precise information related to the deployment date and location of the CO₂ they paid to remove.
BMO announced its Climate Ambition in March 2021, including the launch of the BMO Climate Institute, with a focus on being their clients' lead partner in the transition to a net-zero world. This goal built on a previous commitment to mobilize $300 billion in sustainable lending and underwriting to companies pursuing sustainable outcomes by 2025. In 2021 BMO established a dedicated Energy Transition Group, to support clients' pursuit of opportunities driven by the increasing momentum of the global economy's shift in production and consumption of energy.
BMO's leadership on sustainability has been recognized on a number of global rankings, including the Corporate Knights' Global 100 Most Sustainable Corporations, Dow Jones Sustainability Indices World Index, and Ethisphere Institute's list of the World's Most Ethical Companies.
For more information on BMO's commitment to a sustainable future, please see the bank's Sustainability Report. To learn more about sustainable finance at BMO click here. For BMO's climate ambition, visit its Climate page.
About BMO Financial Group
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of $1.07 trillion as of July 31, 2022, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.
About CarbonCure Technologies
CarbonCure Technologies, a fast-growing carbon dioxide removal tech company, is on a mission to annually reduce and remove 500 million metric tons of carbon emissions—equal to taking 100 million cars off the road each year. CarbonCure's suite of technologies permanently store captured CO₂ in concrete through carbon mineralization. With hundreds of systems sold across the global concrete industry and a methodology verified by Verra, CarbonCure's technologies currently save from the atmosphere thousands of metric tons of CO₂ each month—with exponential growth and impact, year-over-year. CarbonCure's cutting-edge research and innovation have garnered global recognition and prestigious titles, most notably Carbon XPRIZE Grand Prize Winner, 2022 CNBC Disruptor 50 List Company and Cleantech 100 Hall of Fame Company. CarbonCure's investors include Breakthrough Energy Ventures, Amazon, Microsoft, Carbon Direct, and Mitsubishi Corporation.