Nori Inc. is looking to scale up its agricultural carbon credit program through a partnership with agrochemical giant Bayer AG and its new digital platform that is designed to help producers implement and manage regenerative practices such as cover crops and conservation tillage.
As part of the program, Bayer will aggregate about 400,000 acres of farmland to generate about 720,000 tons of carbon offsets, known as Nori Removal Tonnes, or NRTs, for a guaranteed 10-year period. The offsets are currently worth $20 per ton, or $14.4 million for the initial tranche of credits.
Farmers enrolled in Bayer’s ForGround platform are paid a flat rate of up to $12 per acre. In return, In return, participating farmers transfer their credit rights to Bayer, which plans to sell offsets through the Nori marketplace.
The credits, known as NRTs, can be purchased with cash or NORI tokens.
The initial 400,000 acres will represent six times the total supply of credits that Nori has sold.
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“With this partnership, Nori looks forward to not only generating hundreds of thousands of additional NRTs with Bayer-owned carbon removal offsets but also to gaining acceptance of the NORI token by one of the world’s largest agricultural companies,” said Nori CEO Paul Gambill.
Bayer’s ForGround platform was announced in August. Farmers participating in ForGround can use Bayer’s digital app, Climate FieldView, to track the performance of fields.
“Key to Bayer’s vision is collaborating with innovative companies that are committed to advancing the carbon removal marketplace,” said Leo Bastos, Bayer’s head of global commercial ecosystems. “Through working with groups like Nori, we’re able to enhance the offering within our ForGround platform to potentially enable even more growers to benefit from their environmentally sustainable farming practices.”
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