Climate Innovation Challenge: Project Finance with Deep Sky

The Climate Innovation Challenge is a new initiative by the Centre for Climate and Business Solutions at UBC Sauder. This series of hackathon-style events engages students and industry leaders in developing actionable climate solutions. Each challenge tackles a specific climate problem, focusing on practical, business-oriented innovations that drive sustainability.

This year’s Climate Innovation Challenge focuses on project finance for carbon dioxide removal (CDR), featuring a real-world case study from Deep Sky, a Montréal-based leader in large-scale CDR. Students will tackle the critical challenge of developing offtake and financing strategies for Deep Sky One, the company’s first commercial-scale direct air capture (DAC) facility in Quebec. This facility aims to remove and permanently sequester one million tonnes of CO₂ annually, contributing to global climate goals.

The Challenge:

Participants will design strategies that balance financial viability and environmental integrity, addressing the following:

• Offtake Strategy Development: fixed-price contracts, market-linked agreements, or spot market sales.
• Financing Options: debt, equity, and hybrid structures for long-term sustainability.
• Stakeholder Engagement: aligning with government bodies, corporations, and environmental groups.
• Market Considerations: Navigating the compliance and voluntary carbon credit markets. 
• Risk Management: Evaluating technological, regulatory, and financial risks. 

Instructors:

• Greg Oberti, Partner at PwC Canada, Energy Transition Leader, and expert in capital projects and infrastructure, will provide lectures on project financing and lead the case study.

• Charlie Renzoni, Vice President of Carbon Markets at Deep Sky, will present the project's real-world challenges and engage directly with participants.

Who is it for? 

This Challenge is designed for master's and advanced undergraduate UBC students who are comfortable building financial models, evaluating project feasibility, and having a basic understanding of debt, equity, and hybrid financing structures.

Ideal participants will have prior exposure to corporate finance, project finance, or sustainable finance concepts through coursework or practical experience. This challenge is particularly suited for those with a strong interest in applying financial expertise to real-world climate solutions, exploring the dynamics of carbon markets, and tackling the complexities of financing emerging technologies.

Please note: Students must be available to participate on both challenge days.