Loam Bio Launches Biological for Carbon

JEFFERSON CITY, Mo. (DTN) -- On Tuesday, Australian company Loam Bio announced its entry into the U.S. agricultural biologicals space with the launch of CarbonBuilder, a new class of microbial seed treatment intended to increase soil organic carbon and overall soil health. In addition, farmers who use the product can earn revenue by participating in SecondCrop, the company's carbon credit program.

In 2024, CarbonBuilder will be available to soybean farmers in Iowa, Minnesota, Nebraska, North Dakota, South Dakota and Wisconsin.

In an interview with DTN, Loam Bio CEO Guy Hudson said not all soil carbon is created equal. The microbial technology in CarbonBuilder increases the amount of stable carbon in the soil.

"We've done a lot of work with our academic partners to understand how these organisms can influence not just the building of carbon but also the stability of that carbon within the soil," he said. In the United States, Loam Bio has partnered with researchers at Texas A&M University, the University of Arizona and Lawrence Livermore National Laboratories in California.

Plants pull carbon from the atmosphere during photosynthesis, eventually turning it into particulate organic matter. This form of carbon can cycle in and out of the soil in a short period of time. According to Loam Bio, the soil fungi in CarbonBuilder work to stabilize this carbon and increase levels of aggregate carbon and mineral-associated organic matter, the most stable carbon pools, within the soil. With greater stability, less carbon should be released back into the atmosphere.

Kevin Hodges, Loam Bio's senior vice president of U.S. commercial operations, said that in field trials across the upper Midwest, CarbonBuilder improved total organic carbon by 3.8% when compared to untreated plots. That translates to an increase in sequestered carbon of roughly 2 tons per acre. For comparison, the addition of cover crops in a rotation might generate 0.25 to 0.75 ton per acre, he said.

"What's unique about our approach is that CarbonBuilder works with all types of regional ag practices, even conventional practices," he added. "You can take it and combine it with what you're already doing."

The stability of the soil carbon asset allows Loam Bio's SecondCrop program to command a premium of 40% or more for its carbon credits, Hudson said.

"We designed this program around creating the highest possible quality of soil carbon credit," he said. "Ultimately, that leads to greater profitability and more revenue for the farmer. We cover all the costs for the program. The only thing the farmer pays for is the CarbonBuilder product."

HOW IT WORKS

CarbonBuilder comes in the form of a dry flowable planter box treatment. It can serve as a replacement for a typical graphite or talc product that a farmer would use as a seed lubricant. The product is applied at planting at a rate of 3 ounces per soybean seed unit.

"Each 10-pound foil pouch of CarbonBuilder will treat 50 acres at a rate of 140,000 seeds per acre," Hodges said.

Because the product does contain living fungi, it does require some special care and handling. Product refrigeration is maintained throughout warehousing and distribution. Once on the farm, Hodges said the sealed package has about a two-month shelf life. It should be kept in a cool, dark place and not allowed to freeze.

CarbonBuilder has been tested for compatibility with the most common fungicide seed treatments for soybeans, such as CruiserMaxx and ILeVO.

Loam Bio is hosting product launch meetings this week in Des Moines, Iowa; Grand Island, Nebraska; and Sioux Falls, South Dakota. The company will also have a presence at Commodity Classic in late February in Houston.

For more information about CarbonBuilder and SecondCrop, visit https://www.loambio.com/….

Jason Jenkins can be reached at jason.jenkins@dtn.com

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