Voluntary emission reduction (VER) values trended higher this week as the first Global Emissions Offset (GEO) futures contracts transacted on Monday, while elevated interest in North American forestry and other project types provided a further boost. Xpansiv market CBL said that its CORSIA-aligned spot GEO had traded up to $1.55 as of market close on Feb. 25, with the bid/ask at $1.56/1.65. The commodities exchange and market data firm noted that spot GEOs rose from $1.50 at the start of the week, with additional sellers lining up in the $1.65-2.25 range.
“Volumes this week were strong, including regular transactions in the 5,000-20,000 range as well as several transactions above 50,000 tonnes,” Xpansiv said.
That upward momentum appeared to be continuing, with traders noting that spot GEOs had today traded at as high as $1.69. Additionally, the CME Group-listed GEO futures contract traded for the first time on Monday, in which a partial strip of 20,000 credits for June and Sep. 2021 delivery was sold at $2.025.