Beyond Asphalt: Biochar Deal Paves Way for Sustainable Infrastructure

ST. LOUIS, MO – July 02, 2026 – In a move that could fundamentally alter the carbon footprint of our nation’s roadways, Verde Resources Inc. has forged a 10-year commercial agreement with Ergon Asphalt & Emulsions, the largest asphalt supplier in the United States. The deal aims to move an innovative material, engineered biochar, from the laboratory to the vast network of American roads, creating pavement that not only lasts but also actively sequesters carbon.

This isn’t just another corporate sustainability pledge. It’s a calculated commercial strategy to embed climate-friendly technology into the bedrock of industrial America. The collaboration transitions Verde from a technology development firm into a commercial-stage company, with a plan to generate revenue from both material sales and the burgeoning market for high-value carbon removal credits. For an industry long criticized for its environmental impact, this partnership represents a pragmatic, market-driven pivot toward a greener future.

A Pragmatic Pivot to Green Pavement

At the heart of the agreement is Verde's engineered biochar, a carbon-rich material designed to be mixed into Ergon’s cold paving applications. Cold paving, which avoids the high-energy heating process of traditional hot-mix asphalt, already offers environmental benefits. The addition of biochar promises to amplify them significantly.

Under the terms, Verde becomes a preferred vendor to Ergon, providing the biochar for test projects and, eventually, broader commercial rollout. The collaboration builds on a relationship that began in October 2025, now solidifying the path toward what both companies hope will be recurring commercial revenue. Ergon, a subsidiary of the privately held, Mississippi-based Ergon, Inc., brings its immense scale, technical expertise, and deep customer relationships across the infrastructure market to the table. Verde brings the proprietary technology.

“This agreement marks Verde’s transition from technology validation into commercial execution,” said Jack Wong, CEO of Verde Resources, in a statement. He emphasized a focus on “sustained revenue generation” and building a growth profile that extends “well beyond our anticipated Nasdaq uplisting.”

For Ergon, the partnership is a strategic move to meet growing demand for sustainable solutions in a sector facing increasing pressure to decarbonize. “The road construction and infrastructure sectors are actively seeking practical, scalable solutions that can support performance, sustainability, and long-term value,” noted Patrick Nation, President of Ergon Asphalt & Emulsions. “We believe Verde’s engineered biochar platform has the potential to become an important part of that next-generation materials landscape.”

The Science and Strategy of Biochar

To understand the significance of the deal, one must look past the corporate statements and into the material itself. Biochar is a stable, charcoal-like substance produced by heating biomass—in Verde’s case, agricultural waste like palm husks from its BioFraction™ facility in Borneo—in a low-oxygen environment through a process called pyrolysis. This process locks the carbon from the biomass into a solid form, preventing it from being released into the atmosphere as CO2.

When integrated into materials like concrete or asphalt, that sequestered carbon is effectively entombed. Verde’s “BioAsphalt™” technology is designed to enable the use of 100% recycled asphalt pavement (RAP) in a cold-mix application, a process that eliminates the need for burners and solvents. This not only dramatically lowers on-site emissions but also extends the paving season into colder months.

Crucially, this technology is no longer purely theoretical. In October 2025, Verde’s BioAsphalt™ received “early validation” from the National Center for Asphalt Technology (NCAT), a respected independent research center. This third-party validation, which covered the performance of its cold mix enhanced with biochar, provides the technical credibility needed to move from small test strips to commercial projects.

Paving the Path to Profitability

While the environmental benefits are clear, the Verde-Ergon deal is fundamentally a business strategy built on a new kind of value chain. The plan to generate revenue rests on two pillars: the sale of the physical biochar product and the monetization of the carbon it sequesters.

The market for high-integrity carbon removal credits is booming. Corporations like Microsoft, Google, and JPMorgan Chase are making multi-year commitments to purchase credits from projects that can prove they are permanently removing carbon from the atmosphere. Biochar has emerged as a leader in this space. Its carbon removal process is easily measurable, and its permanence—lasting hundreds to thousands of years when embedded in materials—is well-documented.

In August 2025, the Integrity Council for the Voluntary Carbon Market (ICVCM) endorsed the methodology for biochar credits, certifying them as a high-integrity solution. This has sent prices soaring, with biochar credits fetching an average of $164 per tonne in 2025 and projected to command between $100 and $250 in 2026. Verde and Ergon will share the credits generated from their joint projects, creating a powerful financial incentive to scale the use of biochar-enhanced asphalt.

This dual revenue stream is central to Verde’s ambition to uplist from the OTC market to a major exchange like Nasdaq. The strategy appears to be gaining traction; in November 2025, Ergon made a $2 million strategic investment in Verde, a significant vote of confidence that strengthened Verde's balance sheet and signaled a deep commitment to the partnership.

Hurdles on the Road Ahead

Despite the immense potential, the path to making carbon-negative roads a national standard is filled with obstacles. The most significant is the complex web of state and federal regulations. While NCAT’s validation is a major step, each state’s Department of Transportation (DOT) has its own stringent specifications for road materials. Gaining approval across dozens of jurisdictions is a slow, methodical process that requires extensive data on performance and long-term durability.

Beyond the regulatory maze lies industry inertia. The construction sector is notoriously resistant to change, favoring time-tested materials and methods over unproven innovations. Convincing thousands of independent contractors to adopt a new material will require not just data, but hands-on training, clear cost-benefit analyses, and undeniable proof that these new roads can withstand punishing traffic loads and extreme weather over decades.

Finally, there is the challenge of scale. Transitioning from pilot projects to supplying a continent-wide market is a monumental leap. It requires a robust supply chain, consistent quality control, and the logistical capacity to deliver materials on time to construction sites across the country. While Verde and Ergon plan to explore international expansion, starting with Singapore, their success will first be measured by their ability to execute in the massive and demanding U.S. market.

The collaboration between Verde and Ergon represents a tangible effort to align industrial activity with climate goals. It is a calculated wager that the roads we drive on can be transformed from passive infrastructure into an active part of the climate solution, creating a blueprint where environmental responsibility and commercial success are paved together.