HASI lends Terradot up to $34 million for rock weathering

Terradot closed a senior secured term loan of up to $34 million from HASI to fund enhanced rock weathering projects in the US and Brazil, ESG Today reported Oct. 29. The transaction is the largest disclosed debt financing to date for enhanced rock weathering, according to ESG Today.

Terradot said it is scheduled to deploy 1 million tonnes of rock across 60,000 hectares (150,000 acres) of farmland in the US and Brazil over 2026 and 2027. The funded projects are backed by fixed-price, multi-year offtake agreements with carbon removal buyer coalition Frontier, a coalition that includes Google, Salesforce, JPMorgan, Shopify and Stripe, among others. The company has signed committed offtake agreements with buyers including Google, Frontier and Microsoft, among others.

For allocators weighing carbon-removal exposure, the terms to diligence are the fixed-price Frontier offtakes behind the funded projects and the 2026–2027 delivery window.

Julia Sekula, Terradot's chief financial officer and co-founder, said lenders back only what they can predict, and that contracted demand and field data let the company bound risks and forecast delivery. Founded in 2022, Terradot crushes basalt rock and spreads it across farmland to speed the natural weathering process, which the company says also improves soil health.