Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.
General Environmental/Regulatory
Canada has raised $2 billion by re-opening its 10-year green bond, becoming the first sovereign borrower to include nuclear energy expenditures in its green bond framework.
Saudi Arabia's Public Investment Fund (PIF) has unveiled a nearly $20 billion plan to finance green projects, with $5.2 billion already allocated as of June 2024. This initiative emphasizes renewable energy, green buildings, and sustainable water management, aligning with the Kingdom's goal of achieving net-zero carbon emissions by 2060. The fund aims to develop 70% of Saudi Arabia's renewable energy target by 2030 and is committed to supporting the country's broader green agenda through its Green Finance Framework.
Battery Metals
South32 has been selected by the U.S. Department of Energy (DOE) to negotiate a $166 million grant for its Hermosa project in Arizona, aimed at producing battery-grade manganese. The DOE grant will cover 30% of the cost of developing a commercial-scale manganese production facility.
Related Stock List(s): Commodity Trust Stocks, Commodity Royalty Stocks
Biofuels/Chemicals
Brazil's state-run oil company, Petrobras, is exploring a partnership with mining giant Vale to support decarbonization efforts. Petrobras indicated that the collaboration could involve supplying Vale with marine fuel and renewable-content diesel for its railways, ships, and trucks.
Related Stock List(s): Biofuels & Chemicals Stocks
Carbon Capture
Orlen's Upstream Norway unit has decided to withdraw from the Polaris carbon storage project in the Norwegian Barents Sea due to low projected returns on investment. Initially, the project was expected to store 2 to 6 million metric tons of CO2 annually, but geological assessments indicated storage potential at the lower end of that range. Despite this setback, Orlen remains committed to its carbon capture and storage (CCS) goals, targeting a capacity of 3 million tons of CO2 annually by 2030. In response, Polaris project owner Horisont Energi is exploring alternative strategies, including discussions with the Norwegian energy ministry and potential new partners.
Related Stock List(s): Carbon Capture Stocks
Voluntary Carbon Markets (VCMs)
Vietnam's aviation sector, led by the Civil Aviation Authority of Vietnam (CAAV), plans to participate in the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) starting January 1st, 2026. The CAAV has been actively involved in reporting carbon emissions since 2019 and is preparing for the mandatory phase of CORSIA starting in 2027. Vietnam’s aviation sector will spend between $5.6 million and $37.5 million on carbon offsets in 2026, depending on carbon credit prices.
Related Stock List(s): Carbon Credit Stocks
Electric Vehicles
Stellantis CEO Carlos Tavares stated that current EU carbon emission regulations have increased costs for the automotive industry by 40%, while Chinese competition in the EV market benefits from a 30% cost advantage. He emphasized that demand for EVs remains low unless they are priced similarly to petrol vehicles, and he called for consistent state-funded purchase incentives to support the transition.
Related Stock List(s): Electric Vehicle Stocks
Hydrogen
Ørsted, the Danish wind developer, is withdrawing from two key green hydrogen projects as part of a strategic shift away from green fuels. The company is exiting the Green Fuels for Denmark initiative, a 300 MW green hydrogen-based SAF project. Ørsted is also pulling out of its related H2RES pilot project.
Related Stock List(s): Hydrogen Stocks
Nuclear Energy
Google has agreed with Kairos Power to purchase 500 MW of power from multiple SMRs to meet its growing electricity demands for artificial intelligence. They aim to bring the reactors online by 2030.
Related Stock List(s): Nuclear Energy & Uranium Stocks
Recycling Technology
Redwood Materials has partnered with GM and LG Energy Solution's joint venture, Ultium Cells, to recycle EV battery components such as cathode and anode materials, as well as cell manufacturing scrap. Redwood takes end-of-life EV batteries and scrap materials, processes them, and sells the new components back to its partners to be reused in battery manufacturing. This partnership, involving Ultium's Ohio and Tennessee facilities, is expected to produce the equivalent of 80 GWh of battery cells annually.
Related Stock List(s): Recycling Stocks
Renewable Energy
BrightNight secured $260 million in tax equity financing from J.P. Morgan and Capital One for its 300 MW Box Canyon solar project in Arizona, expected to provide over 900,000 MWh of clean energy annually. The project is set to become operational in early 2025.
Water
The City of Corpus Christi, Texas, has selected Kiewit Infrastructure South Company to design and build its first desalination plant, the Inner Harbor Seawater Desalination Treatment Plant. The $700 million facility will produce 30 million gallons of water per day. Contract negotiations with Kiewit are expected to conclude by December 3rd, 2024.
Related Stock List(s): Water Stocks