Terra Global Capital Signs Groundbreaking OPIC REDD Insurance Contract

SAN FRANCISCO--(BUSINESS WIRE)-- Terra Global Capital, the leading land-use carbon development and investment company, announces the signature of a groundbreaking agreement with OPIC, the Overseas Private Investment Corporation. The agreement provides Terra Global with political risk insurance covering its investment in an Asian-based reduced emissions from deforestation and degradation (REDD) carbon project. This is the first time that a political risk insurance contract has been written by OPIC for a carbon project and it is believed to be the first REDD insurance contract executed globally.

“The value of having political risk insurance as a mechanism to reduce investor’s risk cannot be overstated in this emerging sector,” said Leslie Durschinger, Founder, and Managing Director of Terra Global Capital. “Expropriation and political violence insurance lowers the risk of investing in REDD host countries, improving the investment profile for private capital investments in the sector.”

In working with OPIC to develop this REDD insurance product, Terra Global continues to demonstrate innovation and deliver on its mission of developing the market for land-use carbon projects that deliver sustainable income streams to rural communities and safeguard biodiversity. Terra Global intends to apply similar risk-insurance contracts across the investments to be made by the Terra Bella Fund, managed by Terra Global Investment Management.

As the U.S. Government’s development finance institution, OPIC supports U.S.-based investment in emerging markets worldwide, fostering development and the growth of free markets. Executing this REDD insurance contract represents a milestone in OPIC’s innovation and commitment to reducing deforestation by working with the U.S. private sector to help support the development of emerging markets, catalyzing investments, jobs and growth opportunities with significant development value.

About Terra Global Capital:Terra Global Capital, LLC was formed in 2006 to provide governments, NGOs and private companies with advisory and carbon finance in the land-use sector. Terra Global’s goal is to facilitate the market for community-based land-use carbon projects, by providing both technical expertise for the measurement and commercialization of carbon credits and carbon finance through its dedicated Terra Bella Investment Fund. By combining remote sensing based measurement methodologies with carbon finance Terra Global aims to lower costs and increase accuracy for carbon from afforestation, reforestation, improved forest management, agro-forestry, changes in agricultural practices, and avoided deforestation actions globally. Terra Global also supports capacity building and development of REDD+ programs to prepare governments to attract investment capital and participate in the emerging carbon markets.