Laconic Infrastructure Partners Inc. (Laconic) announced  a historic agreement with Carbon Management Ltd. (CML), a Bahamian controlled public-private partnership with the Bahamian Government, to provide technology transfer, capacity building, and financing of the Government's Sectoral Conditional Ambition pursuant to Articles 6.2 of the Paris Agreement. This program will finance independently verified Blue-Carbon removals generated by CML's scientific management of the Bahamas' expansive seagrass ecosystems via the issuance of Laconic's pioneering Sovereign Carbon Security product.

The agreement marks the first-ever Blue-Carbon Sovereign Carbon Securities transaction and is set to position the Bahamas at the forefront of global climate leadership. Using Laconic's innovative Sovereign Carbon Security, which does not require a sovereign guarantee, the program will see verified, additional and real carbon removals generated by the CML's scientific management of up to 150,000 square kilometers of the nation's seagrass ecosystems monetized over the next 5 years in full compliance with Article 6.2 of the Paris Agreement. This transaction establishes a new standard for environmental finance and sets a critical precedent for countries seeking innovative national-level solutions to meet their climate targets while sustainably growing their economies via the national-level financing of approved Sustainable Development Goals (SDGs).

"The Commonwealth of the Bahamas is committed to becoming a full economy net-remover of atmospheric carbon by 2035", said Anthony Ferguson, Director of CML. "By working with Laconic, we will be able, for the first time, to generate sufficient development financing, technology transfer, and capacity building to enable our country to make this commitment a reality – enhancing our Sectoral Conditional Ambition under the Paris Agreement to the benefit of not only our own people, but the entire global community." 

Laconic's Sovereign Carbon Securities represent the first carbon asset that is tradeable as a bona fide financial security, offering governments a powerful tool to meet their Paris Agreement commitments.  Sovereign Carbon Securities are the only mechanism that provide a transparent, regulated, and reliable means for governments to monetize their environmental assets at the scale required to meet humanity's collective NetZero goal, offering institutional investors a secure and legitimate financial structure that can be trusted for long-term value creation.

Through its proprietary cloud-based technology platform, SADAR^™, Laconic manages vast environmental data streams to guarantee full compliance with global (including applicable UNFCCC and IPCC GHG reporting framework compliance requirements) and local carbon market regulations. By automating the complexities of carbon asset management, Laconic provides the technology transfer and capacity building that allows governments to focus on enhancing their respective ambition under their Nationally Determined Contributions (NDCs) and accelerating their transition to a low-carbon economy.

"The Bahamian commitment to Blue-Carbon solutions is a shining example of how governments can use global capital markets to finance national-level conservation and sustainable development initiatives that drive meaningful long-term economic growth whilst contributing to global decarbonization efforts," said Andrew Gilmour, CEO of Laconic. "This partnership is proof that the capital markets are now awakening to the immense opportunities in carbon finance, and we are excited to work with the Bahamas to unlock a new source of permanent foreign direct investment (FDI) for the country's economy."