BPI Energy Holdings, an independent energy company engaged in the exploration, production and commercial sale of coalbed methane (CBM) in the Illinois Basin, has signed an agreement for the development, verification, registration and marketing of greenhouse gas emission reduction benefits (ERBs) with Blue Source, LLC, an aggregator and marketer of carbon credits.

The agreement contemplates a 10-year term and will commence with the registration and certification of ERBs from BPI Energy's existing CBM production portfolio. This procedure entails the monitoring and collection of relevant data required for documenting marketable ERBs at BPI's projects. An independent third party engaged by Blue Source will verify the ERB-creation activities, which will then be registered with a reputable North American registry, which will in turn be marketed by Blue Source/Goldman Sachs for the benefit of BPI Energy.

James G. Azlein, BPI's chairman, president and chief executive officer, commented: "We are very pleased to have reached this agreement with Blue Source—the leader in developing independently verified emission-reduction projects in North America."

Tags: Blue Source, BPI Energy