Climate change investment manager Viridios Capital has teamed up with farmland investment specialist WealthCheck to acquire Conways Station in Australia’s Northern Territory for A$20 million ($13 million; €12.0 million).
The firms have acquired the 139,200 ha property with a view to developing a large-scale carbon project and running a sustainable cattle operation.
The asset borders Arnhem Land and the Kakadu National Park, with the firms saying it has “significant potential for ecosystem restoration” following a long period of cattle grazing and the impact of wild buffalo.
Viridios and WealthCheck aim to develop human-induced regeneration and integrated farm and land management projects to generate credits, with Viridios arguing that HIR credits trade at a significant premium to what it described as “generic” Australian Carbon Credit Units. Viridios said recent changes to Australia’s carbon markets following the Chubb review had created strong demand for carbon credits generated under the HIR methodology.
WealthCheck is an asset manager headed by CEO Sam Mitchell. It has built a significant portfolio of farmland assets in northern Australia after completing its first deal in the region in 2022.
Viridios was established to develop carbon projects and trade in carbon credits, including its own that it has sourced from primary projects. It completed a A$55 million Series B capital raise in 2022 that was led by Roc Partners and backed by Privatus Capital Partners, among other investors.
It subsequently acquired a majority stake in Australian climate change consultancy Pangolin Associates for an undisclosed sum.
Viridios Group CEO Eddie Listorti said: “We’re excited to be working with WealthCheck to develop a carbon project on Conways Station. After years of intense cattle grazing we see significant potential to restore this amazing land which borders some of Australia’s most iconic and biodiversity rich ecosystems.
“As we head towards 2030, we expect the carbon credits we generate from this unique property in the Northern Territory will help satisfy the increasing demand for high quality ACCUs.”
The sale of Conways Station was an off-market deal handled by LAWD agents Danny Thomas and Olivia Thompson.