London-listed Camco Clean Energy has struck a $1.74 million offtake deal for most of the offsets it expects will be generated from the US dairy methane projects it owns and manages.
The deal gives an unnamed “major multinational corporation” the rights to the future stream of CCOs between 2015-2020, Camco said in a statement on Thursday.
The $1.74 million initial cash payment could be followed by a later conditional payment of up to $0.5 million, it added.
The statement said Camco expects to complete a further structured transaction of its remaining projects which generate offsets between 2015 and 2020.
“This is a landmark transaction and we believe it to be the first of its type in the California Carbon Offset market underpinning our expertise in the area. The cash received from the sale will be used to support Camco operations, in particular the REDT Liquid Energy storage product which we are in the process of commercialising,” said Camco CEO Scott McGregor.
Camco’s shares had risen 12% to close at 5.88p following the announcement.
By Ben Garside – firstname.lastname@example.org