First ever transaction of exchange traded forestry carbon credits completed at the Chicago Climate Exchange
Zurich (ots)
Precious Woods announced today that it successfully registered the first carbon credits originating from a forestry project at the Chicago Climate Exchange (CCX) and executed on the CCX trading platform the world's first ever trade of forestry offsets at a Greenhouse Gas Exchange.
Swiss-based company Precious Woods is an international leader in sustainable forest management in the tropics. The carbon credits registered at CCX originate from reforestation of 4,638 hectares of formerly degraded pasture land in Costa Rica. This project generated 221,700 metric tons of CO2 offsets (or 2,217 Carbon Financial Instruments - CFIs) that could be verified and registered for trading in the coming months in CCX.
For Precious Woods the sale of carbon credits at the Chicago Climate Exchange represents a historic landmark. The Group is involved in several Greenhouse Gas (GHG) reduction activities, both in forestry and bio-energy. The trade transacted at the CCX is the company's first sale of carbon credits. In the future, emission reduction projects are expected to contribute significantly to the performance of the Group.
"The verification, registration and trading of offset credits generated by a forestry project in the Chicago Climate Exchange not only shows the viability of offset programs linked to a broad based GHG reduction system but also demonstrates the feasibility of a credible and business friendly approach to forestry projects in GHG reduction." said Dr. Richard Sandor, Chairman and CEO of Chicago Climate Exchange. "CCX is proud to be the platform where this transaction occurred. The Exchange looks forward to continue to offer the environmental integrity and standardization that will allow high-quality offset projects to be brought to the market."
For Precious Woods the CCX protocols on forestry offsets play an important role as an enabler of expanded sustainable forest management activities of substantial ecological value. The standardized and transparent framework of CCX, substantial reduction of transaction costs and increased liquidity compared to previously available bilateral trades render trading of ecosystem services more economically viable.
Precious Woods is active in the reforestation and sustainable management of tropical forests; downstream wood processing and trading of FSC certified timber and non timber forest products. The shares of Precious Woods have been listed on the SWX Swiss Exchange since March 2002. See www.preciouswoods.com.
About Chicago Climate Exchange (CCX): Chicago Climate Exchange is North America's only, and the world's first, legally binding multi-sectoral, rule-based and integrated greenhouse gas emission registry, reduction and trading system. CCX is the only available mechanism through which US based entities may engage in the integrated carbon market with a linked reduction and trading system and is a vital tool for understanding the price of carbon in all operations. CCX members range from large industrial concerns such as Ford, IBM, Baxter Healthcare International and Bayer, to utilities such as Manitoba Hydro, Tampa Electric and Green Mountain Power, to universities such as Tufts and University of Minnesota, to non-governmental organizations such as World Resources Institute and Rocky Mountain Institute, to cities such as Portland, OR, Oakland, CA and Chicago, IL, to farmers in Iowa and Nebraska and the Iowa Farm Bureau, to the State of New Mexico, the first U.S. state to join CCX. See www.chicagoclimateexchange.com.
Contacts: Precious Woods Holding Ltd. Militärstrasse 90 P.O. Box 2274 8021 Zurich
Christoph Buholzer Tel.: +41/44/245'80'10 Fax: +41/44/245'80'12 E-mail: projects@preciouswoods.ch
Chicago Climate Exchange, Inc. 190 S. LaSalle Street, Suite 800 Chicago, IL 60603
Rafael Marques Tel.: +1/312/554'33'84 Fax: +1/312/554'33'73 E-mail: rmarques@chicagoclimateexchange.com