Dive Brief:

• Carbon removal startup Charm Industrial announced Thursday that JPMorgan Chase has increased its carbon dioxide removal purchases with the company and will provide Charm with a $20 million debt facility to expand its Colorado facility.
• As part of the agreement, JPMorgan purchased 61,500 tons of bio-oil carbon removals over a multi-year period, according to a press release. The bank previously purchased 28,500 tons of removals in 2023, bringing the total agreement to 90,000 metric tons of removals. The price per ton was not disclosed.
• “I can't stress enough how important it is to be at that juncture where you're delivering and kind of hitting on the timelines that have been promised with some of these early contracts,” Charm Industrial CFO Tim Thomson told ESG Dive Thursday. “Showing proof of financeability is huge, and showing proof of financeability from the largest bank in the world [by market cap] is even bigger.”

Dive Insight:

JPMorgan Chase said in the release that the expanded relationship with Charm is partly due to the carbon removal company’s record of deliverability. Charm Industrial has removed 13,529 metric tons of carbon dioxide equivalent as of June 5, according to its live ledger, and sold over 530,000 metric tons of removals, according to carbon dioxide removals registry and data analytics platform CDR.fyi.

JPMorgan has ramped up its CDR purchases in the past two years, and went from having purchased 74,000 metric tons of removals in April 2025 to having purchased 700,000 metric tons of removals as of this month following the Charm deal, according to CDR.fyi. 

“Charm has successfully developed a promising and bankable technology, with a strong combination of long-term offtakes, a proven ability to deliver against those contracts, and a scalable operational model in Colorado,” Robert Keepers, J.P. Morgan Commercial Banking’s head of climate tech, said in the release.

The $20 million venture debt facility will help Charm expand its Colorado facility, including increasing pyrolysis and injection capacity, the facility’s capacity to process biomass that could otherwise contribute to wildfires and the number of pyrolysis operators it can hire in the state. 

The partnership also works because of the co-benefits of the projects, Charm’s CFO said in an interview with ESG Dive Thursday. Thomson said JPMorgan is looking to help small businesses, and the partnership will help expand small rural businesses involved in processing wood that otherwise could contribute to wildfires. He said the financing will also help as Charm expands the amount of acreage of forest wood and biomass it’s able to process, as Charm moves to the scale of thousands of acres annually.

In addition to JPMorgan, Charm’s clients include TD Bank, Boeing and Google. Thomson called the expanded purchasing and financing partnership “a great indicator for the broader market as a one-two package.”

“Carbon removal is scaling, and there's a real business behind it,” Thomson said. “There's financing coming and continuing to ramp up in the market, and people are repeat-purchasing.”

CDR.fyi reported that the first quarter of this year was “the largest opening quarter on record” for durable carbon dioxide removal, with 2.3 million metric tons of contracted CDR, and accounted for the second-highest amount of deliveries and retirements.