Deep Sky, a Montreal-based carbon-removal developer, has announced plans to build one of the world’s largest direct-air capture facilities in southwestern Manitoba, a project the company says will represent about $500 million in investment and ultimately remove up to 500,000 metric tons of carbon dioxide a year at full build-out.
Company materials say the project will be built in stages, with an initial phase capable of capturing roughly 30,000 tonnes a year and representing more than $200 million of the overall commitment; construction on that first phase is expected to begin in 2026, with final site selection scheduled this fall.
Deep Sky pointed to Manitoba’s recent legislation creating a regulatory framework for underground carbon storage and the province’s low-emissions hydroelectric power as reasons for the location choice. The company has previously opened a smaller “Alpha” test site in Alberta and received a US$40 million grant commitment from Breakthrough Energy Catalyst to help scale technologies.
Supporters say the facility could help establish Canada as a hub for commercial carbon removal; critics and independent analysts note that direct-air capture will require sustained investment, energy, and long-term monitoring of storage sites to ensure permanence.
You can remove CO2 by planting trees for about $20 a tonne.
— Peter McCaffrey (@peteremcc) October 13, 2025
If fully implemented, this will cost $1,000 a tonne.
(The first phase costs $6,700 per tonne). https://t.co/wHR8eGi2IO
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