Microsoft has signed a multi-year agreement with Alt Carbon to buy up to 36,920 metric tons of verified carbon removal credits generated through Enhanced Rock Weathering (ERW) projects in India. This marks Microsoft's first carbon removal purchase in Asia using ERW technology. The agreement reflects growing interest in carbon removal initiatives, Enhanced Rock Weathering, carbon credits, climate technology, and sustainability efforts in India.

The agreement will source carbon dioxide removal credits from Alt Carbon’s Darjeeling Revival Project in West Bengal. The deal shows the increasing demand from companies for lasting carbon removal solutions as they pursue long-term decarbonization strategies. It also strengthens India's role in emerging global markets for scientifically verified carbon removal projects and reliable climate solutions.

Darjeeling Revival Project Expands Carbon Removal Efforts

The Darjeeling Revival Project covers more than 80,000 acres of farmland and involves over 35,000 farmers in more than 60 local councils in West Bengal. Alt Carbon states that the project combines carbon removal with benefits for agriculture while supporting rural communities.

The company has also created more than 250 green jobs across various areas, including field operations, logistics, research, and laboratory work. The project aims to connect climate action with local economic growth, making it one of the largest ERW efforts in the region.

Microsoft's purchase gives Alt Carbon a significant corporate buyer and could help expand carbon removal efforts throughout India. The agreement also includes the option for additional purchases in the future, depending on successful project delivery and verification milestones.

How Enhanced Rock Weathering Removes Carbon

Enhanced Rock Weathering is a process that removes carbon by spreading finely crushed basalt rock over farmland. When rainwater interacts with the rock, chemical reactions occur that capture carbon dioxide from the atmosphere and convert it into dissolved bicarbonate ions.

These bicarbonates travel through rivers and eventually reach the ocean, where the carbon can be stored for long periods. In some cases, the carbon becomes part of stable carbonate formations, such as marine shells and corals. This storage can last for more than a thousand years.

Alt Carbon uses waste basalt for its operations and aims to create a scalable and scientifically measurable way to remove carbon. In addition to capturing carbon, the process may improve soil conditions by balancing pH levels and enhancing nutrient availability.

Focus on Measurement and Verification

A major aspect of the agreement is the focus on monitoring, reporting, and verification (MRV). As interest in ERW grows worldwide, buyers and investors have increasingly turned their attention to the ability of project developers to measure and verify carbon removal results accurately.

Alt Carbon has invested significantly in scientific infrastructure to support this process. Its research team, Shonku Labs, operates from the Indian Institute of Science in Bengaluru, while the Darjeeling Climate Action Lab conducts field testing and sample processing near project sites.

According to the company, over 20,000 soil and water samples have already been analyzed as part of its monitoring efforts. The Darjeeling laboratory is expected to process up to 100,000 samples annually by 2026, creating larger datasets to understand carbon removal performance better.

Under the Microsoft agreement, Alt Carbon plans to expand field trials, conduct deep soil and porewater monitoring, gather crop uptake data, and publicly share research findings to support broader industry development.

India’s Growing Role in Carbon Removal

Alt Carbon Chief Executive Officer and Co-founder Shrey Agarwal stated that the company has spent several years building scientific and operational capacities for reliable carbon removal in India. He noted that the partnership with Microsoft reflects advancements in laboratory infrastructure, farmer networks, and field operations needed to support large-scale ERW projects.

The company believes India has significant potential to become a global hub for technology-driven carbon removal due to its agricultural resources, favorable geology, and expanding scientific expertise.

So far, Alt Carbon has issued 9,566 verified carbon removal credits through the carbon registry platform Isometric. The company mentioned that verified issuance remains a major challenge in the broader carbon removal sector, making proven delivery increasingly important for project developers.

Market Implications for Investors and Policymakers

The agreement illustrates the rising investor interest in carbon removal projects in emerging markets. Industry participants have increasingly pointed to the Global South as a region with good conditions for scaling carbon removal technologies due to lower costs, extensive agricultural networks, and appropriate geological resources.

Alt Carbon President and Co-founder Sparsh Agarwal pointed out that Global South suppliers accounted for 26 percent of carbon dioxide removal issuances in recent years, compared to less than 2 percent in 2022. He added that Enhanced Rock Weathering could significantly boost global carbon removal capacity if deployment continues to grow.

For policymakers, the transaction shows how investments in climate technology can link international corporate decarbonization efforts with rural development and scientific progress. For companies buying carbon removal credits, the agreement highlights the increasing importance of verification, durability, and measurable environmental results.

While challenges related to measurement and long-term verification persist, Microsoft's recent purchase signifies the ongoing shift of the carbon removal market from pilot projects to larger, more structured procurement agreements. The deal also enhances India's standing as an emerging player in the global carbon removal economy.