Agoro Carbon Alliance has finalized a groundbreaking 12-year offtake agreement with Microsoft to deliver 2.6 million metric tons of carbon removal credits, positioning itself at the forefront of nature-based climate solutions and regenerative agriculture. This landmark deal is among the largest long-term commitments ever made in the soil carbon market, reflecting the growing corporate appetite for scientifically robust, scalable carbon removal methods rooted in sustainable land use.
The multi-year agreement, focused on soil carbon sequestration, solidifies the role of regenerative farming in combating climate change and accelerating the transition to a net-zero future. With soil carbon removals increasingly recognized as an essential component of global decarbonization strategies, Agoro Carbon’s partnership with Microsoft signals both a new benchmark for soil-based climate solutions and a critical vote of confidence in farmer-led environmental stewardship.
Delivering Scale, Credibility, and Climate Impact
Under the agreement, Agoro Carbon will generate 2.6 million verified carbon removal credits over the course of 12 years. These credits will originate from a broad portfolio of agricultural projects across the United States, encompassing both croplands and rangelands. All projects are developed in compliance with Verra’s VM0042 methodology, known as the Improved Agricultural Land Management (ALM) framework, which emphasizes measurable, permanent, and additional soil carbon gains through practice-based improvements.
The credits will be earned through the adoption of regenerative agricultural practices by participating farmers and ranchers. These include techniques such as cover cropping, improved rotational grazing, and reduced or no-tillage farming, all of which work synergistically to draw down atmospheric carbon and store it securely in soils. Beyond carbon removal, these techniques also bring significant co-benefits, including enhanced soil health, improved water retention, greater biodiversity, and increased resilience to extreme weather—all of which contribute to the sustainability and productivity of agricultural systems.
A Farmer-Centric Model Backed by Science
What sets Agoro Carbon apart in the voluntary carbon market is its comprehensive, farmer-focused approach. The organization partners directly with farmers and ranchers, offering both agronomic guidance and financial support to implement regenerative practices that are tailored to each operation’s unique conditions. Agoro Carbon’s agronomists work on the ground with producers to plan, execute, and monitor their transition to climate-smart agriculture, ensuring that changes deliver not only environmental results but also tangible improvements to farm performance and profitability.
For producers, the benefits are multifold. Participation in the Agoro Carbon program has been shown to improve crop yields and forage quality, increase input efficiency, and enhance long-term farm viability through better soil health and risk mitigation. At the same time, producers are compensated for the environmental services they provide in the form of carbon credits—creating a new, performance-based revenue stream that aligns climate action with economic sustainability.
Setting a New Standard for High-Integrity Carbon Removals
The Microsoft agreement is a strong validation of Agoro Carbon’s rigorous, quality-first methodology. Microsoft, which has set one of the most ambitious climate goals in the corporate world—becoming carbon negative by 2030—has consistently emphasized the importance of purchasing only high-integrity, verifiable carbon removals to meet its targets.
Agoro Carbon’s program meets Microsoft’s exacting standards through a data-driven and transparent approach. Each credit issued under the program is supported by field-level soil sampling, advanced modeling tools, and third-party verification. These measures ensure that the credited carbon removals are real, additional, and durable, in line with evolving best practices in the carbon accounting field.
“This agreement with Microsoft is the strongest endorsement of our quality-driven, farmer-focused approach to soil carbon sequestration,” said Elliot Formal, Chief Executive Officer of Agoro Carbon. “We are deeply committed to working hand-in-hand with producers—offering not only technical support but also a long-term partnership to ensure that regenerative practices deliver real outcomes, both for the climate and for agricultural operations. This collaboration is a clear signal that soil carbon solutions can and should play a leading role in corporate climate strategies.”
Microsoft echoed this sentiment, noting the importance of scientifically rigorous and scalable removals. “Agoro Carbon’s approach to soil-based carbon removals reflects the kind of scientific rigor and long-term solution we look for in our carbon removal portfolio,” said Brian Marrs, Senior Director of Energy Markets at Microsoft. “This agreement supports our broader sustainability goals, including support for scalable, agriculture-based climate solutions that deliver measurable impact over time.”
Unlocking Investment and Scaling Regenerative Agriculture
Beyond its direct impact, the deal is expected to catalyze further investment in regenerative agriculture and soil carbon markets. By demonstrating the viability of large-scale, verified soil carbon removals, Agoro Carbon and Microsoft are helping to de-risk the sector for other corporate buyers and policy stakeholders, paving the way for broader adoption of climate-smart farming.
Agoro Carbon’s model also reflects a shift toward outcome-oriented agricultural systems that reward producers for environmental performance. With growing interest from the private sector, policymakers, and investors in ecosystem services markets, initiatives like this offer a blueprint for how farmers and corporations can collaborate to drive both environmental progress and rural economic resilience.
Commitment to Climate, Community, and Co-Benefits
As the urgency to act on climate change intensifies, the role of agriculture is increasingly recognized as both a contributor to and a potential mitigator of greenhouse gas emissions. Agoro Carbon’s work is built on the belief that farmers and ranchers can be powerful agents of climate action when provided with the right tools, incentives, and partnerships.
In this spirit, the 12-year agreement with Microsoft is more than just a transaction—it is a strategic alliance built on shared values, mutual trust, and a vision for a healthier, more sustainable future. The collaboration exemplifies how the private sector can partner with land stewards to deliver measurable environmental outcomes while strengthening food systems and rural livelihoods.
Looking ahead, Agoro Carbon remains committed to scaling its impact, refining its methodologies, and expanding its reach to new geographies and communities. As the soil carbon market matures, partnerships like this one will serve as foundational pillars, showing what is possible when science, technology, and stewardship align to tackle one of the most pressing challenges of our time.
