MONTREAL and TOKYO, Dec. 3, 2025 – Deep Sky, a Canada-based developer of technology-agnostic Direct Air Capture (DAC) projects, announced today at the DeCarbon Tokyo 2025 Conference a strategic partnership with Sumitomo Mitsui Banking Corporation (SMBC), one of Japan’s leading financial institutions.
Deep Sky and SMBC will collaborate to establish a robust market for DAC and high-integrity carbon dioxide removal (CDR) in Japan. This will be achieved by jointly developing commercial avenues, financing structures, and policy frameworks necessary for rapid scaling.
Partnership focus
The collaboration will concentrate on three primary areas:
- Creating mechanisms for DAC carbon credit purchases in Japan
- Business cooperation both domestically and with Japanese companies internationally
- Advancing Japan’s DAC ecosystem and supportive policies
A timely step for Japan’s net zero path
Japan has articulated ambitious decarbonization objectives, and prominent institutions increasingly acknowledge that high-quality engineered removals, such as DAC, will be crucial for addressing residual emissions. SMBC’s climate strategy emphasizes practical, forward-looking support for emerging technologies, combined with rigorous evaluation and close collaboration with industry and government.
Deep Sky’s technology-neutral project platform and Canadian operational expertise are designed to introduce viable, scalable DAC solutions to markets poised for action.
The partnership reflects growing momentum among Japanese financial and industrial leaders to unlock durable CDR solutions and to develop the commercial and financial infrastructure required for expansion. SMBC and its affiliated entities have demonstrated active engagement in carbon markets and decarbonization efforts, including investments in carbon credits and assistance for customers’ net-zero journeys.
Leadership perspectives
“Japan represents a crucial frontier for the next stage of enduring carbon removal,” stated Alex Petre, CEO of Deep Sky. “By partnering with SMBC, we are combining Deep Sky’s project development capabilities with one of Japan’s most influential climate finance platforms. Together, we will enable Japanese companies to access high-integrity, permanent removals and work to build the market structures that will allow DAC to scale.”
Kenji Irie, Executive Officer and General Manager, Sustainability Planning Department at SMBC, added, “SMBC is committed to supporting the decarbonization of the real economy through the provision of transition finance, contributions to emerging technologies, and collaboration with stakeholders. Deep Sky brings a distinctive project developer model and profound operational insight into DAC. Through this partnership, we aim to contribute to the advancement of DAC and CDR in Japan and to assist our clients in achieving their net-zero targets.”
Looking ahead
Deep Sky and SMBC will commence joint market development initiatives immediately. This strategic partnership underscores a shared focus on DAC as a vital climate solution, strong confidence in Deep Sky’s capacity to deliver, and signals alignment between Deep Sky and SMBC on scaling durable carbon removal in Japan.
SOURCE Deep Sky