Current Landscape

Enhanced Rock Weathering (ERW) has evolved from an agronomic pilot-stage concept into a registry-validated and investable carbon removal pathway with over USD 242 million committed globally. Activity is highly concentrated in tropical regions, particularly India and Brazil, which account for the majority of validated near-term registry capacity due to favorable climatic and agricultural conditions. Innovation momentum continues to accelerate, with patent filings increasing sharply between 2021 and 2025 as developers move toward commercial deployment. Verified delivery has now begun through registries such as Puro.earth and Isometric, although retired tonnes remain significantly below contracted volumes.

Investments

ERW financing has transitioned from early venture-led seed funding toward larger Series A and B rounds tied to registry validation, MRV capability, and secured offtake agreements. Equity remains the dominant funding mechanism, while grant activity increased sharply in 2025 following major awards such as XPRIZE support for Mati Carbon. Capital concentration remains high, with developers including Lithos Carbon, UNDO, Eion, InPlanet, Mati Carbon, and Terradot accounting for most cumulative funding activity. Investor participation is also broadening across hyperscalers, institutional climate funds, cement-sector strategics, and philanthropic climate capital providers.

Market Demand

Demand for ERW removals is currently dominated by a small group of large buyers, with Microsoft, Frontier, and Google accounting for the majority of disclosed contracted volume. Participation from financial institutions and philanthropic buyers is gradually increasing, although compliance market participation and sovereign-scale procurement remain largely absent.

Despite approximately 1.10 Mt of contracted offtake volume, verified retirements remain extremely limited, creating a significant gap between forward demand and delivered removals. The sector’s credibility over the next several years will depend heavily on whether flagship tropical projects can successfully deliver registry-verified tonnes at commercial scale.

cCarbon Viewpoint

ERW is transitioning from a commitment-driven market toward a delivery-driven carbon removal sector. While capital formation and buyer interest have expanded rapidly, the market remains heavily dependent on equity, grants, and successful project execution.

The sector’s long-term scalability will depend less on policy announcements alone and more on reliable MRV implementation, registry validation timelines, and the ability to convert contracted volumes into verified retired tonnes. Delivery credibility remains the defining near-term challenge.

Key milestones over the next 18 months, including large-scale tropical project retirements, new registry issuances, ICVCM CCP alignment, and potential Article 6 authorizations, will determine whether ERW can mature into a bankable infrastructure-grade carbon removal asset class by 2028.