Deep Sky, a Canadian carbon removal and storage company, has signed a 10-year carbon credit agreement with TD Bank Group. The deal is one of the longer-term offtake agreements in the direct air capture and carbon removal space, signaling that major financial institutions are starting to commit to multi-year purchases of verified carbon credits. The agreement gives TD access to carbon removal credits generated by Deep Sky's planned facilities. While the exact volume and price were not disclosed, the 10-year duration suggests both sides are betting on a growing compliance and voluntary market for durable carbon removal. The deal also highlights how banks are using carbon credits to address their own residual emissions rather than relying solely on offsets from nature-based projects. For the carbon credit market, this type of long-term contract provides revenue certainty for developers who need capital to build expensive direct air capture infrastructure. It also sets a precedent for other banks and corporations looking to secure removal credits ahead of expected regulatory tightening.
