Allens has advised ASX-listed Kiland Limited on its partnership with Biocare Projects under which, subject to the successful outcome of in-field trials, 4.5 million tonnes of fire-damaged timber will be converted into approximately 900,000 tonnes of biochar. Biochar is a stable form of carbon which is considered a permanent store.
Kiland's timber plantations on Kangaroo Island sustained significant damage during the devastating bushfires of 2019-2020.
The project is expected to be the world's largest biochar project with anticipated carbon removal equivalent to the annual emissions from 390,000 conventional automobiles. It will take place over the next six to ten years and will potentially produce 1.8 million Carbon Removal Certificates.
'We congratulate Kiland on this innovative and world-leading carbon removal project. The project is a win, win. It will allow Kiland to offset costs associated with its biomass removal and land development activities on Kangaroo Island in a manner that delivers improved environmental outcomes,' said transaction lead Michael Hogan.
'We are pleased to continue to support Kiland through its major corporate transactions, including an-off market buyback last year, an accelerated non-renounceable pro rata entitlement offer earlier this year to support its agricultural reversion strategy, and negotiation of a Property Management Agreement with AAGIM Investment Management,' said Partner Charles Ashton.
