Hey there,
It feels weird to write this while oil rain is falling in Iran. Wars over oil aren’t new, but this time there’s an answer as countries try to figure out how to reduce their exposure to volatile fossil fuels: electrification. The energy security case for renewables just got a lot stronger.
This week, we’re recapping Carbon Removal Day. A new coalition to mobilize $100M for Canadian CDR projects grabbed the headlines, but the conversations throughout the day revealed where the sector stands today: moving from plans to projects.
Elsewhere in climate tech:
Svante acquires carbon project developer Carbon Alpha
Lux Bio gets tapped for NATO defence program
A new inter-provincial electricity deal
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TECH
Carbon Removal Day kicks off $100M CDR coalition
Noah Deich (Columbia Center for Global Energy Policy), Frank Des Rosiers (Government of Canada), Laura Jackson (Government of the United Kingdom), Erin Burns (Carbon180)
Credit: Carbon Removal Canada
What happened: Canada's carbon removal (CDR) sector hit a new threshold at last week's Carbon Removal Day, headlined by a new coalition to mobilize $100 million by 2030 for Canadian CDR projects.
Advance Carbon Removal Coalition is backed by the Government of Canada, NorthX, Shopify, RBC and others. And it isn’t just a procurement tool: it’s putting capital to work across purchases, investments and project finance, creating a full-stack approach to accelerating CDR.
The Advance announcement reflects the sector’s shift from potential to real projects - and the new challenges and opportunities that it brings. Here’s what we heard throughout the day:
Industrial integration
Carbon removal is finding traction inside existing industries - mining, steel, pulp and paper - that have unique feedstocks, whether it’s carbon-absorbing waste rock or concentrated CO2 streams.
John Naccarato, VP Strategy at Algoma Steel, described looking for technology partners that can help monetize millions of tonnes of steel slag sitting on their site.
A new Carbon Removal Canada report puts the stakes plainly: CDR could boost GDP by $78B annually, cut the marginal cost of net-zero in half by 2050, and keep jobs in communities.
Buy-in
Community engagement in CDR is still mostly about playing defence, reacting to opposition when it surfaces rather than building coalitions before it forms.
Innisfail (home to Deep Sky’s Alpha site) and Thetford Mines’ “Gris Au Vert” initiative offer compelling examples of what strong community engagement can unlock. Both made strategic decisions to pull CDR projects toward them, turning local assets into leverage.
Indigenous consultation and partnerships need the same shift: from compliance checkbox to equity stakes and strategic advantage. Free, prior and informed consent (FPIC) obligations and Article 6 credit opportunities point in the same direction: get in early.
Owning the moment
The US retreat on climate creates an opening for Canada, but it’s not inevitable. Carbon 180’s Erin Burns noted that Congressional support is holding: the Republican-controlled house just passed $100M+ for carbon removal R&D and procurement.
Canada’s regulatory and policy certainty are becoming a competitive asset, and Clean ITCs that fund up-front construction costs make getting projects financed and off the ground easier.
Canada's carbon pricing infrastructure creates a compliance demand signal the US can't replicate.
What needs to happen: Carbon Removal Canada's new Removals into Revenue report lays out the sequencing.
Near-term: a $500M backstop for projects and buyers to crowd-in private capital without putting public dollars at risk unless projects fail.
Medium-term: scale procurement from $10M to at least $100M per round, creating a demand signal that moves companies from demonstration to commercialization.
Long-term: plug CDR into compliance markets like the industrial carbon price and Clean Fuel Regs. And build an Article 6 credit strategy (including FPIC) to unlock international credit sales.
Our takeaway: Advance's full-stack approach - purchases, investment, project finance - fills a gap that procurement alone never could. A credible co-investor or buyer like Advance can unlock new capital by giving a stamp of approval.
A year ago, Canada's CDR sector was making the case for why it should exist. Now, it’s about turning plans into projects.
CLIMATE CAPITAL
⛏ Canada announced $165.2 million in funding to accelerate the critical minerals supply chain, including projects from Exterra Technologies to develop low-carbon nickel and cobalt from asbestos residues, Green Graphite Technologies for graphite refining, and Cyclic Materials to scale its rare earth recycling.
⛽ EverWind Fuels (Halifax, NS) secured $240 million in financing from Nuveen Infrastructure to build its onshore wind-to-hydrogen and ammonia plant.
🚫 World Energy GH2 (St. John’s, NL), another wind-to-hydrogen developer, is seeking creditor protection after Newfoundland and Labrador reclaimed land reserved for its project.
🏭 Svante (Vancouver, BC) acquired CDR project developer Carbon Alpha to accelerate commercial-scale carbon removal and expand its portfolio of CCS / BECCS projects.
☀ Brookfield Renewables, BCI and Norges Bank launched Northview Energy to acquire and own a renewable assets in the U.S. and Canada. The company is valued at $2.6B.
IN THE FIELD
🚌 New Flyer opened a new production plant in Winnipeg where it’s producing the first fully Canadian-built electric transit buses for the first time in 15 years.
🌊 Oneka Technologies will test enhanced AI monitoring of its wave-powered desalination system in a new project backed by Canada’s Ocean Supercluster.
💡 Lux Bio joined NATO’s DIANA Maritime Operations Challenge to test its bioluminescent lighting for defence and commercial operations. The program includes pre-approved sole-supplier status to allied nations.
🏍 Electric motorcycle startup Damon Motors' board and leadership resigned after getting delisted from the NASDAQ last summer and facing multiple lawsuits.
♻ Cyclic Materials and Neo Performance Materials will partner to build a circular rare earth supply chain between Europe and North America, integrating recycled materials in Neo’s magnet manufacturing.
🌲 Flash Forest launched a drone and LiDAR-based forest monitoring service to help forestry operators optimize treatments and inventory.
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NEWS
📡 Signals & Currents
Energy corridor: Ontario and most of the provinces and territories signed on to a new energy corridor agreement to build interprovincial electricity infrastructure. The deal focuses on meeting new demand and energy security by building new interties, expanding inter-provincial electricity trade, and partnering with Indigenous communities.
The feds also announced $100M for three transmission projects in BC and Saskatchewan to connect critical minerals projects.
Why it matters: Expanding interties makes the grid more resilient and opens up more markets for clean electricity. E.g. offshore wind could power Eastern Canada - not just Nova Scotia or the immediate provinces.
Stocking up: Canada announced 12 new critical minerals partnerships with allied nations and an additional $12.1 billion in mining project capital. The feds says the Alliance is now helping to mobilize $18.5 billion with 30 partners in Canadian critical minerals projects.
The feds are also planning a $2 billion sovereign fund to invest in critical minerals projects.
Carbon pricing pause: Oil company Canadian Natural Resources delayed its $8.25B Jackpine mine expansion until federal and provincial governments finalize carbon pricing and methane regulations, citing uncertainty around long-term project economics.
Data centre denial: Alberta rejected a proposal for what would be Canada’s largest data centre due to lack of consultation. The project would have run on a 1.4GW natural gas power plant, consuming as much power as Edmonton.
Quick hits:
The EU is already considering CBAM carve-outs
The US war in Iran is driving up jet fuel prices
Big tech promises to cover data centre energy costs 🤞
The startup building data centres into offshore wind turbines (h/t Owen from Fathom)
Just as oil prices spike, BYD rolls out 5-min charging on a 1,000 km battery
Jigar Shah on how data centres could fund local energy
L’Oreal swaps in chemicals made from CO2
COMMUNITY
🚀 2026 Call for Innovation: Women in Climate Tech: NorthX is investing up to $3M in ventures tackling the toughest problems in decarbonization. Apply by March 13th.
🗓 Toronto Climate Week Info Session: TOCW returns this summer - join this info session to learn more about the week and how to get involved. March 11th.
🗓 Carbon to Sea 2026: Join the Carbon to Sea Initiative’s annual convening to explore the future of ocean-based carbon removal. April 28-30th, Halifax.
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