BHP Rio Tinto and Qantas Invest in Nature-Based Carbon Credits

Early-stage funding to support development of carbon capture and storage

SYDNEY, Aug 12 (Reuters) - Mining giant BHP Rio Tinto (RIOAX.AX) and airline Qantas Airways (QANAX.AX) will invest a combined A$80 million ($52.7 million) in a new fund to develop nature-based carbon credits, the companies said on Friday.

The fund, which aims to raise a total of A$250 million, will invest in projects that capture and store carbon dioxide from the atmosphere, such as planting trees and restoring wetlands.

The companies said the investment was part of their efforts to reduce their carbon footprints and support the transition to a low-carbon economy.

"This investment is a significant step forward in our efforts to decarbonize our operations and contribute to the global fight against climate change," said BHP chief executive Mike Henry.

"By investing in nature-based carbon credits, we can help protect and restore our natural environment while also supporting the development of a new low-carbon industry."

Qantas CEO Alan Joyce said the investment was "a tangible example of how we are working to reduce our emissions and support the development of a sustainable aviation industry."

"Nature-based carbon credits have the potential to play a significant role in offsetting our emissions and helping us achieve our goal of net zero emissions by 2050," he said.

The fund will be managed by Pollination, a leading provider of environmental finance solutions. Pollination CEO Martijn Wilder said the fund would "play a critical role in accelerating the development of the nature-based carbon market."

"We are delighted to partner with BHP and Qantas on this important initiative, which will help protect our planet and support the transition to a low-carbon economy," he said.