TD Bank Signs Ten-Year Carbon Removal Portfolio Deal with Climeworks

Climeworks has signed a ten-year agreement to supply TD Bank with a managed portfolio of high-durability carbon removal credits spanning multiple technologies, including enhanced rock weathering, biochar, bioenergy with carbon capture and storage, and future direct air capture credits. The deal marks Climeworks Solutions' first Canadian financial services customer.

Under the agreement, Climeworks will deliver a managed portfolio of high-durability carbon removal projects across North America, with the company responsible for project sourcing, due diligence and ongoing portfolio management. Climeworks Solutions, launched in 2024, provides companies with tailored carbon removal portfolios spanning a broad range of technologies. The company also operates the world's first two commercial direct air capture plants. In addition to the portfolio agreement, Climeworks noted it will also provide TD with access to direct air capture credits from one of its future North American facilities, with cold-weather DAC technology testing planned in the coming months as a key milestone toward a commercial-scale facility.

The agreement follows a series of strategic moves by Climeworks into the Canadian market, including the opening of its corporate headquarters in Calgary earlier in 2026. Canada is emerging as a significant hub for carbon removal infrastructure, driven by its geological storage potential, access to renewable energy and a policy environment that includes investment tax credits for carbon capture and storage. TD Bank's involvement is significant given the financial sector's increasing exposure to carbon removal as a mechanism for addressing residual operational emissions that cannot be eliminated through direct efficiency or electrification measures.

The portfolio approach in the agreement—spanning multiple technology types—is designed to mitigate risk for TD Bank as carbon market standards and verification methodologies continue to evolve. Each technology in the portfolio offers different durability, scalability and cost profiles, with DAC providing the highest durability storage while biochar and ERW offer more near-term availability and lower cost. The deal illustrates a maturing approach to corporate carbon removal procurement, where buyers seek managed portfolios from established providers rather than single-technology bilateral offtakes.

Key figure — Ten-year duration of the TD Bank carbon removal portfolio agreement with Climeworks