Hong Kong Exchange Inks Carbon Credit Agreement With Natural Resources Company

Hong Kong Exchanges and Clearing Limited (HKEX) announced that Kinming Resources Holdings (Kinming), a natural resources company specialising in sand exploration and production, has bought over 200,000 tonnes of voluntary carbon credits on HKEX’s Core Climate Platform.

Kinming has also signed a letter of intent with Core Climate to facilitate the company’s decarbonisation by purchasing carbon credits on the Core Climate platform.

Hong Kong-headquartered Kinming currently has exclusive exploration rights to over 1.5 billion metric tons of natural sand resources in the Philippines.

In the letter of intent, Kinming said it intends to purchase voluntary carbon credits on Core Climate to offset carbon emissions generated from the production of natural sand resources that will be supplied to infrastructure and construction projects in the region, with a specific focus on China’s Greater Bay Area.

Launched in October 2022, HKEX’s Core Climate is currently the only carbon marketplace that offers Hong Kong Dollar and Renminbi settlement for the trading of international voluntary carbon credits.

The platform’s participant number has tripled to nearly 70 in less than a year. It offers carbon credits from more than 40 internationally-certified projects in Asia, South America, and West Africa, covering forestry, solar, wind, and biomass initiatives. All projects available on Core Climate are currently verified against the Verified Carbon Standard by Verra.

HKEX Group Head of Emerging Business & FIC, Glenda So, said: “As part of Core Climate’s commitment to connecting capital with climate-related products and opportunities in the region, this agreement marks another step forward in cementing Core Climate’s position as one of the world’s most exciting new carbon marketplaces, further strengthening Hong Kong’s role as a leading international green finance centre.