Microsoft has signed a new agreement with UNDO to permanently remove 28,900 tonnes of carbon dioxide by 2036, backed by debt financing from Inlandsis, a Canadian climate fund managed by Fondaction Asset Management. The financing structure will provide capital to deliver the carbon removal and potentially scale future enhanced rock weathering (ERW) projects globally.
This is Microsoft’s third commercial contract with UNDO, following earlier agreements in 2023 and 2024 for 5,000 tonnes and 15,000 tonnes of removals respectively. Together, these contracts represent nearly 49,000 tonnes of long-term carbon removal, making UNDO a significant contributor to Microsoft’s carbon-negative ambitions by 2030.
Jim Mann, Founder and CEO of UNDO, said: “Innovative financing is the catalyst for unlocking gigatonne-scale carbon removal. The support of Inlandsis shows how financial backers can help transform carbon removal into a genuine asset class – one that is scalable, tradable, and investable.”
David Moffat, Managing Director at Inlandsis, said the agreement reflects the fund’s commitment to advancing carbon finance. “Inlandsis is very pleased to provide capital to this strategic and innovative deal, helping to strengthen the growing relationship between Microsoft and UNDO while advancing the critical fight against climate change,” he said. “This marks our first investment in an ERW project and the first Canadian investment for our second fund.”
Phillip Goodman, Director of Carbon Removal Portfolio at Microsoft, added: “Enhanced rock weathering is a promising pathway to gigatonne-scale carbon removal. UNDO’s commitment to scientific rigour gives us confidence in both the durability of these credits and their role in helping Microsoft achieve its goal of being carbon negative by 2030.”
UNDO, which also partners with companies including Barclays, British Airways, and McLaren, plans to expand its application of mineral-rich silicate rock to remove atmospheric CO₂ at scale—an approach researchers consider one of the most durable carbon removal solutions available.
