Alphabet (GOOGL) (GOOG) has signed its biggest carbon removal deal so far. According to a Reuters report, the company will buy credits linked to the restoration of Amazon rainforest land from the Brazilian startup Mombak. The project aims to remove 200,000 metric tons of carbon from the air. That is four times the size of a smaller deal both companies made last year.
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Neither side shared the price. However, the agreement shows how large tech firms are looking for new ways to balance the climate impact of their fast-growing data centers. These facilities power AI tools and use large amounts of energy.
Meanwhile, GOOGL shares climbed 2.44% on Wednesday to close at $284.31.
A Push for Higher-Quality Carbon Credits
Google has moved away from cheaper carbon credits tied to avoided deforestation. These so-called REDD projects have faced concerns over fraud and weak tracking. Instead, Mombak restores degraded land into native forest, which stores carbon more directly and with longer-term benefits.
Because of this focus on quality, reforestation credits now sell for more than $50 per ton. Some deals reach prices close to $100 per ton, far above the under-$10 level seen in older markets. Even so, demand for high-standard projects continues to outpace supply.
Mombak’s co-founder, Gabriel Silva, said many buyers once purchased low-quality credits without knowing what they were getting. Now, firms are turning to verified projects with clear benefits for nature and local people.
Coalition Backing and Broader Climate Goals
Google helped launch the Symbiosis Coalition last year with Meta Platforms (META), Salesforce (CRM), McKinsey, and Microsoft (MSFT). The group sets strict rules for nature-based carbon projects. It plans to secure more than 20 million tons of carbon removals by 2030. Recently, Bain & Company and REI Co-op joined the coalition. Out of 185 projects reviewed so far, Mombak’s is the first to meet all its standards.
The deal comes as Brazil prepares to host the COP30 climate summit in the Amazon city of Belem. The country is promoting forest restoration as part of its growth plan. With its rich biodiversity and large land base, Brazil is becoming a primary source for premium carbon credits.
For Google, the agreement marks a steady step toward cleaner operations. The company has already invested over $100 million in other carbon removal methods, including biochar, enhanced rock weathering, and direct air capture. Still, replanting trees remains the most proven way to absorb carbon today. As companies look to offset emissions tied to their expanding data operations, demand for trusted carbon removal projects is likely to keep rising.
Is Google Stock a Buy?
Google still holds the backing of the Street’s analysts, with a Strong Buy consensus rating. The average GOOGL stock price target stands at $309.76, implying an 8.95% upside from the current price.
