Faeger Signed MOUs with Indonesian Irrigation and Agricultural Extension Authorities

~Advancing the Government-Based Framework for an AWD Project in West Java~

Faeger Co. Ltd. (“Faeger”; headquarters: Chiyoda-ku, Tokyo; CEO: Takahiro Ishizaki) hereby announces that it has signed two Memoranda of Understanding (MOUs) in the Republic of Indonesia with Balai Besar Wilayah Sungai Cimanuk Cisanggarung (“BBWS Cimanuk Cisanggarung”), an irrigation authority under the Ministry of Public Works, and the Indonesian Center for Agricultural Extension (“ICAE”), an agricultural extension agency under the Ministry of Agriculture.
Through this initiative, Faeger will expand its Alternate Wetting and Drying (AWD)* project, developed based on its experience implementing projects in the Philippines in accordance with the Joint Crediting Mechanism (JCM), to West Java, Indonesia.

Faeger also welcomes inquiries from companies considering the long-term purchase of JCM carbon credits expected to be generated through this project.

*AWD (Alternate Wetting and Drying): A water management technique designed to reduce methane emissions from rice cultivation by alternating between flooded and non-flooded conditions in rice paddies.

【Overview of the MOUs】
・MOU with BBWS Cimanuk Cisanggarung: Cooperation in sharing irrigation operation and hydrological data and coordinating access to project fields for AWD implementation.
・MOU with ICAE: Cooperation in farmer engagement through agricultural extension networks, dissemination of low-carbon agricultural technologies such as AWD and biochar, and the sharing and use of demonstration fields.

The JCM is a bilateral framework established between the governments of Japan and Indonesia. Building cooperative relationships with local government authorities, such as those established through these MOUs, is an important indicator in assessing the feasibility of carbon credit issuance.



【Project Progress】
・Pilot activities underway: Farmer training, AWD implementation, and monitoring are currently being conducted at fields in West Java.
・Project scale: The project is expected to achieve cumulative emission reductions of approximately 2.1 million tCO2e over ten years.
・Schedule: Faeger is preparing for the initial issuance of credits in the second half of 2027 or later. The project area will then be expanded in stages, with the aim of reaching steady-state credit issuance of approximately 400,000–480,000 tCO2 annually by 2033.





【For Companies Considering Long-Term Credit Purchases】
The project has steadily achieved several important milestones, including the establishment of cooperative frameworks with local government authorities responsible for irrigation and agriculture and the implementation of field-level pilot activities.
Faeger welcomes inquiries from companies interested in participating in various ways, including through forward purchase agreements, long-term offtake agreements, or involvement in a joint venture.
Detailed steps leading to credit issuance, as well as conditions concerning credit volumes, timing, and pricing, will be discussed individually with interested parties.

【About Faeger Co. Ltd.】
Faeger Co. Ltd. is a startup engaged in the entire value chain of agricultural carbon credits, from project development and credit generation through to sales. By working closely with agricultural producers, Faeger supports the monetization of decarbonized agricultural practices. Through the development and implementation of climate-resilient solutions that support adaptation to climate change, the company aims to build sustainable agricultural systems.
In this initiative, Faeger is responsible for project operation and support.

【Company Profile】
Company: Faeger Co. Ltd.
Address: 0 Club, 3rd Floor, Shin-Otemachi Building, 2-2-1 Otemachi, Chiyoda-ku, Tokyo 100-0004, Japan
Representative: Takahiro Ishizaki, CEO
Website: https://faeger.company/en/

【Contact】
Faeger Co. Ltd.
Email: jcm@faeger.co

*The information addressed to investors in this press release is not intended as a solicitation for any specific investment.

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