Microsoft to buy 3.6 million carbon removal credits from C2X biofuel plant

JAKARTA - Microsoft announced on Thursday, December 11, 2025, that it would purchase 3.6 million carbon offset credits. The credits come from a biofuel plant in Louisiana owned by C2X.

The plant, which is scheduled to start operating in 2029, will process forest waste into methanol. This methanol can be used as fuel for ships and airplanes, as well as a raw material for the manufacture of chemicals.

The facility is expected to produce more than 500,000 metric tons of methanol. Around 1 million metric tons of carbon dioxide will be captured and stored. This storage is likely to be done underground.

This carbon purchase is part of a large purchase made by Microsoft in the past year. Previous purchases include a 4.9 million metric ton deal with Vaulted Deep and a 3.7 million metric ton agreement with CO280.

Microsoft has also purchased 7 million metric tons from Chestnut Carbon. All of these purchases are made to fulfill the carbon negative promise in 2030, along with the data center expansion carried out by the company in recent years.

Negative carbon is a promise to remove more carbon from the atmosphere than it produces. Although Microsoft also buys large amounts of renewable and nuclear energy, these purchases of carbon removal credits will offset future fossil fuel emissions.