NEW YORK / US, 27 June 2025: In a major step toward achieving its climate goals, Microsoft has entered a 12-year agreement to purchase 2.6 million carbon removal credits from Agoro Carbon Alliance, a leading sustainable farming collective specializing in regenerative agriculture.
The credits will be generated through Agoro’s U.S.-based crop and rangeland projects, which implement soil carbon sequestration techniques under Verra’s VM0042 Improved Agricultural Land Management methodology. This method quantifies greenhouse gas reductions and soil organic carbon increases resulting from practices like cover cropping, reduced tillage, and improved grazing.
“These practices not only pull carbon from the atmosphere but also improve biodiversity, water retention, and agricultural resilience,” said Agoro Carbon CEO Elliot Formal. He emphasized that farmers and ranchers benefit from improved yields, weather resistance, and a new income stream from participating in the program.
The agreement is Microsoft's third major investment in soil-based carbon removals, following previous partnerships with Indigo Ag, which involved 60,000-ton and 40,000-ton carbon removal purchases in May and June, respectively.
“This agreement with Agoro Carbon reflects the type of scientific rigor and long-term durability we seek in our carbon removal portfolio,” said Brian Marrs, Senior Director of Energy Markets at Microsoft. “It supports scalable, agriculture-based climate solutions that generate real, measurable climate impact.”
Microsoft has been ramping up its efforts to become carbon negative by 2030, investing in a diversified portfolio that includes reforestation, biochar, and enhanced rock weathering. The company views soil carbon sequestration as a crucial pillar in the fight against climate change due to its natural scalability and ecosystem benefits.
Agoro’s approach is grounded in field-level soil sampling, advanced data modeling, and third-party verification to ensure transparency and reliability. The program also provides hands-on agronomic support to farmers to maximize adoption and long-term success.
As global corporations face mounting pressure to take meaningful climate action, Microsoft's partnership with Agoro Carbon demonstrates a powerful model for combining corporate sustainability with farmer empowerment and regenerative land management.
