Waste Wood, Big Ambitions and Microsoft's Wallet

Microsoft buys 626,000 tonnes of carbon credits from North Star, Canada's first Indigenous-majority-owned BECCS project in Saskatchewan

30 Apr 2026

Canada's carbon removal sector just landed its biggest corporate vote of confidence yet. On April 7, 2026, Microsoft agreed to purchase 626,000 tonnes of carbon dioxide removal credits over 15 years from North Star Carbon Solutions, a bioenergy with carbon capture and storage project in Saskatchewan. It's Microsoft's first Canadian BECCS deal and, notably, the first carbon removal offtake in the country tied to Indigenous majority ownership.

North Star is a joint venture between Svante Technologies and the Meadow Lake Tribal Council, a First Nations government representing nine communities in northwest Saskatchewan. The project will be built at the MLTC Bioenergy Centre in Meadow Lake, powered by waste biomass from an adjacent Indigenous-owned sawmill. Carbon captured during energy generation gets permanently stored in a geologic formation owned and operated by North Star itself. At full capacity, the facility is expected to yield up to 90,000 verified removal credits per year, with commercial operations targeted for early 2029.

Deals like this one are what move projects from promising concept to shovels in the ground. Scott Gardner, President of Svante Development, called Microsoft's commitment a strong market signal about Canada's readiness to deliver high-quality credits at scale. Phillip Goodman of Microsoft's Carbon Removal Portfolio team echoed that, describing the agreement as a pathway for additional Indigenous-led projects over time.

For the Meadow Lake Tribal Council, the stakes are more personal. Tribal Chief Jeremy Norman framed the project as an extension of generations of land and forest stewardship, one that also brings real economic returns: 50 construction jobs and up to 10 permanent operational roles for member nations. That combination of climate purpose and community benefit is exactly what critics say carbon markets too often fail to deliver.

Canada's geology, forestry resources, and a federal CCUS Investment Tax Credit covering up to 50 percent of eligible capital costs make it a credible home for projects like this. The harder question is whether the North Star model scales without straining forest carbon stocks elsewhere. For now, Microsoft's anchor commitment puts Canada firmly on the map as a destination for serious carbon removal investment.