Planet

A focus on our world

Introduction

The natural systems that underpin our economies—climate, oceans, land and biodiversity—are under increasing pressure. For Mercuria, understanding and managing our environmental impact is essential to operating responsibly and contributing to more sustainable and resilient systems.

This includes how we navigate the evolution of global energy systems, develop lower-carbon solutions, and support the protection and restoration of nature. Through our activities across energy, environmental markets and initiatives such as Silvania, as well as our work in oceans and polar research, we aim to contribute to practical solutions that balance environmental sustainability with the realities of global supply and demand.

Balancing the Energy Trilemma

The global energy system is undergoing rapid transformation, driven by shifting demand, geopolitical developments and the need to reduce environmental impact. This transformation is defined by the energy trilemma—the need to balance energy security, affordability and sustainability—where progress in one area can place pressure on the others.

At Mercuria, we operate at the centre of this dynamic system. Our role is to navigate these competing priorities, ensuring reliable and accessible energy supply while supporting the evolution towards more sustainable solutions.

This transformation reflects a complex shift in how energy is produced, transported and consumed. While the direction of travel is clear, the pace and pathway vary across regions, shaped by local resources, infrastructure, policy and economic conditions.

Several key factors are driving this change:

Addressing environmental impact – The need to reduce greenhouse gas emissions and mitigate climate change continues to reshape energy systems and markets
Enhancing energy security – Ensuring reliable access to energy remains a priority, particularly in the context of geopolitical uncertainty and supply chain disruption
Maintaining affordability – The cost of energy and the economic implications of transition remain central considerations for governments, businesses and consumers

At the same time, the transition presents a number of practical challenges. The development and deployment of emerging technologies often requires significant investment, while new infrastructure is needed to support evolving energy systems. The intermittency of certain renewable sources also requires effective storage and distribution solutions to ensure system stability.

At Mercuria, we work to address these challenges through investment, market participation and collaboration. We support the development of new technologies and infrastructure, while continuing to operate within existing energy systems to ensure continuity of supply.

Beyond these challenges, we also see significant opportunities:

Market evolution – New energy products, environmental markets and supply chains are creating opportunities for innovation and growth
Client adaptation – Supporting customers as their energy needs evolve, ensuring continued access to reliable and affordable energy
Financing and investment – Developing new financing models and investment approaches to support emerging technologies and infrastructure

We also recognise the importance of a just transition—ensuring that the shift in energy systems considers the needs of workers, communities and regions affected by change. This includes maintaining access to energy, supporting economic development and ensuring that the benefits of transition are shared.

At Mercuria, we are focused on navigating this complexity—balancing immediate energy needs with long-term system evolution, while positioning our business to adapt to changing markets and contribute to more secure, affordable and sustainable energy systems.

Towards lower carbon

The world’s quest for secure, affordable, and sustainable energy demands a fundamental shift, such as transitioning to lower-carbon sources. This transformation will reshape traditional energy commodity businesses such as power, natural gas, crude oil, and LNG, in the coming decades.

Pricing these commodities effectively requires a clear understanding of the evolving environmental products markets. These markets are growing rapidly as nations and companies set ambitious carbon reduction targets.

The shift towards lower-carbon energy sources is a key component of the evolving global energy system. As markets transition, traditional energy commodities—including power, natural gas, crude oil and LNG—are being reshaped by changing demand, regulatory developments and the growth of environmental products.

Understanding and pricing these commodities increasingly requires a clear view of environmental markets, which are expanding as countries and companies set more ambitious emissions reduction targets.

Mercuria actively participates in global carbon markets, including both voluntary offset programmes and compliance-based mechanisms. As these markets develop and attract greater participation, liquidity continues to increase, supporting more effective price discovery and enabling participants to manage risk and meet their environmental obligations.

We connect counterparties with a range of lower-carbon and environmental products, helping to meet growing demand for more sustainable solutions. In the voluntary carbon market, we are building a diversified portfolio of carbon offsets in anticipation of increasing corporate demand as net-zero commitments are implemented.

In parallel, we work with national environmental agencies to support the development and operationalisation of international carbon trading frameworks, including mechanisms under Article 6 of the Paris Agreement. These collaborations enable cross-border cooperation and contribute to the development of more robust and scalable carbon markets.

Leveraging our existing capabilities and partnerships, Mercuria is also supporting the development of renewable natural gas (RNG) and biogas projects. Our participation in clean fuels programmes, including initiatives such as California’s Low Carbon Fuel Standard, reflects our role in enabling lower-carbon fuel supply across different markets.

We are also producing and supplying biofuels and biogas to a range of end users, supporting both voluntary and compliance markets in domestic and international contexts. As utilities and other market participants continue to prioritise long-term decarbonisation goals, these markets are expected to grow significantly.

Building on this activity, Mercuria supports projects aligned with the UN Sustainable Development Goals, including initiatives that address deforestation, enhance biodiversity and support rural communities through access to cleaner energy solutions such as cookstoves and solar power.

Through this combination of market participation, investment and partnership, Mercuria contributes to the development of lower-carbon systems while supporting the continued evolution of global energy markets.

Nature and biodiversity

Protecting and managing nature is essential to maintaining the environmental systems that underpin global economies. Forests, oceans and ecosystems provide critical services—from carbon storage and climate regulation to supporting biodiversity and livelihoods—yet they remain under increasing pressure.

At Mercuria, we recognise that addressing environmental challenges requires not only reducing emissions, but also protecting, managing and restoring natural systems. This includes a combination of investment, partnerships and market-based solutions to support nature at scale.

Mercuria’s approach to nature and biodiversity reflects the critical role that natural systems play in supporting global economies, supply chains and communities. Forests, oceans and ecosystems provide essential services—from climate regulation and carbon storage to sustaining biodiversity and livelihoods—yet these systems remain under increasing pressure and significantly underfunded.

Addressing this challenge requires more than mitigation. It requires recognising nature as a form of natural capital and developing mechanisms that align environmental outcomes with economic value. At Mercuria, we contribute to this through a combination of market-based solutions, investment and long-term partnerships.

This includes our participation in environmental markets, where we support the development of carbon and biodiversity-related products that help direct capital towards high-integrity projects. By connecting demand for environmental credits with credible supply, we help enable the scaling of nature-based solutions. One of the key ways we do this is through Silvania.

Silvania

Silvania, launched in 2023, is Mercuria’s dedicated nature and biodiversity platform. Silvania was established to mobilise capital at scale into high-integrity projects while actively participating in their development, execution and long-term management.

Silvania takes a hands-on approach across the full project lifecycle—from origination and structuring through to implementation and ongoing management—ensuring that projects deliver measurable climate, biodiversity and community outcomes while maintaining high standards of integrity and transparency.

By combining investment expertise, scientific rigour and local partnerships, Silvania operates across diverse ecosystems and jurisdictions. Its approach emphasises local engagement, capacity building and long-term value creation, ensuring that projects are both environmentally and socially sustainable.

Silvania’s portfolio spans diverse geographies and ecosystems, including:

North America – carbon sequestration initiatives with landowners and restoration of degraded peatlands
Latin America – sustainable forest management and restoration of forests and mangrove ecosystems
Africa and Asia – projects focused on reducing emissions from agriculture, avoiding deforestation and conserving peatlands
Australia and New Zealand – forest conservation and restoration programmes
Global initiatives – participation in jurisdictional programmes to prevent deforestation at scale

Through these activities, Silvania supports Agriculture, Forestry and Other Land Use (AFOLU) strategies that contribute to emissions reduction, carbon removal and biodiversity enhancement, while also delivering social and economic benefits for local communities.

Despite increasing recognition of their importance, nature-based solutions remain significantly underfunded. Bridging this gap requires both capital and execution capability, as well as the development of high-integrity projects that can attract long-term investment.

Mercuria is well positioned to contribute to this effort. Through Silvania and our broader capabilities in environmental markets, investment and project development, we support the scaling of nature-based solutions that deliver measurable environmental impact alongside sustainable economic outcomes.

Through this approach, Mercuria contributes to the protection, sustainable management and restoration of natural systems, while supporting resilient supply chains and long-term value creation.

Learn more by reading the Silvania Partner Profile.

Ocean, Poles & Glaciers

The ocean, polar regions and glaciers are critical components of the Earth’s climate system, acting as regulators of temperature, carbon and biodiversity. These interconnected systems are increasingly under pressure, with accelerating changes that have global implications for weather patterns, sea levels and ecosystem stability.

At Mercuria, we recognise both the importance of these environments and the role we can play in supporting their understanding and protection. As participants in global trade and users of the ocean, we are closely connected to these systems and the challenges they face.

Our approach brings together scientific research, innovation, data and collaboration. Through partnerships with research institutions, technology providers and global initiatives, we support projects that advance knowledge, develop practical solutions and raise awareness of the importance of these ecosystems.

This work now forms part of our broader Oceans, Poles & Glaciers programme, which spans expeditionary science, eco-engineering, data platforms and global engagement initiatives.

To learn more about our projects, partnerships and five-pillar approach across this space, visit the Oceans, Poles & Glaciers page.