Microsoft (MSFT) has signed a 12-year agreement with Indigo Carbon to buy a record 2.85M soil carbon removal credits tied to regenerative agriculture in the U.S., as the tech firm aims to become carbon negative by 2030.
As Indigo and Microsoft’s third transaction, this deal builds on prior purchases of 40,000 tons in 2024 and 60,000 tons in 2025.
Under the agreement, Microsoft will purchase credits generated under the Carbon by Indigo program, Indigo’s U.S.-based project, emphasizing regenerative agriculture’s role in high-integrity carbon removals.
Regenerative agriculture practices have been recognized by governments and climate organizations as a valuable tool for carbon removal, with the ability to remove more than 3.5 gigatons of carbon-dioxide equivalent every year in addition to improving soil health, increasing crop resiliency and yields, and scaling local investment.
While Microsoft did not disclose the transaction details, a person with knowledge of the deal told Reuters that it is valued between $171M and $228M.