Gunung Capital participates in first-of-its-kind portfolio auction

Gunung Capital, a leading private investment management company focused on impact investments guided by environmental, social, and governance (ESG) frameworks, announces the completion of its first purchase of high-quality carbon credits. The purchase was done in partnership with global carbon credit exchange and marketplace Climate Impact X (CIX), which led the auction. Other participants included Berge Bulk, The Boston Consulting Group, City Developments Limited, DBS Bank, Engie Energy, Marquis Energy, Mercuria Energy, Nestlé, SK Energy, Standard Chartered, ST Telemedia Global Data Centers, STX Group, Singapore Exchange, Temasek, Trafigura, Vertree, and Vitol.

The auction successfully cleared 170,000 carbon credits from eight recognised NCS projects curated to form a diversified portfolio, at USD 8.00 per tonne. Each of the NCS projects, spanning reforestation and avoided deforestation initiatives – across Africa, Asia and Latin America – demonstrate high-performance of carbon sequestration and high levels of broader co-benefits, such as supporting biodiversity, along with social and economic development in local communities. The portfolio auction is the first-of-its-kind in the global voluntary carbon market.

Kimin Tanoto, CEO of Gunung Capital, said: “We are delighted to support this important auction of carbon credits led by CIX, which represents our first purchase of this vital tool in addressing global climate change as we grow our portfolio of ESG assets. We are confident that by investing in high quality carbon markets, being a responsible stakeholder, and backing climate action, we are showing leadership as an asset manager that will serve as an example for others. As a private investment management company, we are focused on impact investments guided by ESG frameworks with a vision to help the world better protect the environment.”

Kelvin Fu, Managing Partner at Gunung Capital, said: “Today’s purchase of carbon credits marks an important milestone in our commitment to encouraging the adoption of decarbonisation technology and related innovation, establishing carbon credits as a recognised emerging asset class, and ultimately funnelling more capital into sustainable enterprises. We look forward to partnering with more global investors, institutions, policy makers, and non-governmental organizations in future.”

Gunung Capital’s purchase aims to align with and support the Singapore government’s vision to establish the city-state as a green hub and become a leading global trading hub for carbon credits, as well as to create a vibrant, reliable, transparent, and accountable carbon market. Attracting more financial institutions and asset management companies to establish themselves in Singapore, as well as groom and attract more talent in the emerging green and sustainability space, also remain high priorities.

By delivering greater transparency, efficiency and risk mitigation for buyers, the pilot supports scaling of the voluntary carbon market as advocated by the Taskforce on Scaling Voluntary Carbon Markets (TSVCM).  The projects also help support a broad base of verified co-benefits and delivery against UN Sustainable Development Goals. The eight projects in question collectively support more than 55,000 jobs, improved education for more than 35,000 students, along with 60 medical facilities and infrastructure projects; plus efforts to protect over 250 threatened species.

Received from Press Release


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