Carbon trade: Cambodia forests for EU scheme

CAYMAN Islands-registered Green Glory Ltd is in the process of obtaining management rights to establish a carbon credit scheme using Cambodia’s forests, according to a company statement.

The firm is seeking rights to 450,000 hectares of the Kingdom’s woodlands for supply-side carbon credits. It is also planning to list on the London Alternative Investment Market exchange via the acquisition of AIM-listed Tricor Plc.

The agreement between Green Glory and Tricor is subject to conditions – including the granting of the forest management rights by the Kingdom, according to a statement released late last week.

Many developed nations have signed to the Kyoto Protocol, creating demand for carbon credits, according to the firm.

Tricor requested a trading halt  on December 31 as the deal was being finalised.

Carbon permits rose in Europe last year after two consecutive years of decline.

Allowances for a December 2011 delivery in the world’s biggest cap-and-trade program gained 8.3 percent in 2010 after falling 23 percent in 2009 and 29 percent in 2008. They traded at €14.24 (US$19.024) per tonne on December 31 on London’s ICE Futures Europe exchange.