The Panama Cocoa Afforestation Project is a large-scale fine-aroma cacao development in La Soledada, Soná district, jurisdiction of Veraguas Province, Panama. Developed by Aegean American S.A., the project converts approximately 750 hectares of usable degraded cattle pastureland into a technified, export-quality cacao plantation that additionally generate carbon sequestration outcomes. Phase I covers 750 hectares and is structured as a $36.5 million Outcome Bond offering.

The project is located in La Soledad, Soná District, Veraguas Province, within Panama’s southern coastal agricultural region. The area offers a warm tropical climate, substantial seasonal rainfall, productive agricultural land, and conditions identified as favorable for commercial cacao cultivation, subject to site-specific soil and agronomic confirmation. Panama offers a stable legal and regulatory environment, an investment-grade sovereign rating (Moody’s Baa3, S&P BBB-), a dollarized economy, bi-oceanic trade access, and a national carbon market framework under Executive Decree No. 100, making it an attractive jurisdiction for long-term agricultural investment.

Yes. The project is in active development. Nursery production is underway at SEPLASA, with MIDA-certified ICS-95/IMC-67 hybrid grafted plants in germination and early growth. Land clearing, drainage excavation, soil treatment, and fertigation system design are in progress on site. The greenhouse and supporting infrastructure are in place. Phase I plantings are scheduled to begin in 2027. The capital raise (Phase I, $36.5 million) is targeting a Q3 2026 close.

Fine-aroma cacao (also called fine or flavor cocoa) refers to cacao varieties prized for their complex aromatic profiles and superior taste characteristics. It represents approximately 5% of global cocoa production and commands a price premium above the commodity benchmark, driven by demand from specialty chocolate manufacturers, premium confectionery companies, and institutional buyers seeking traceable, high-quality supply.

Several factors differentiate this project: (1) Scale: at 2,150 usable hectares on the project site it can scale to be one of the largest fine-aroma cacao developments in the Western Hemisphere; (2) Technology: fully automated precision fertigation, SCADA-controlled nutrient delivery, and LiDAR-designed planting infrastructure; (3) Geography: Panama sits entirely outside the West African risk corridor; (4) Compliance: EUDR-ready supply chain with full traceability from seedling to export; and (5) Structure: Natural Capital Outcome Bond represents a debt offering with secondary payment from sovereign authorized carbon mitigation outcomes.

The principal risks are agricultural execution, weather, crop disease, yield ramp-up relative to debt payments, cocoa pricing, and offtaker performance. These are mitigated through phased planting, experienced local operators, irrigation and drainage infrastructure, conservative price and yield assumptions, contracted offtake, reserve accounts, lender controls, collateral, and insurance.

The offering consists of a Natural Capital Outcome Bond structured as a conventional senior secured note. Debt service is supported primarily by cacao revenues and secured by applicable land-use rights, plantation assets, biological assets, irrigation infrastructure, project contracts, and related collateral.

Additionally, investors receive a first right of refusal to purchase sovereign-authorized carbon outcomes generated by the project, subject to verification and governmental authorization. Carbon proceeds are treated as potential additional value and are not required for repayment of the bond.

Phase I targets a Q3 2026 close for $36.5 million. Phase I covers 750 hectares. Subsequent phases expand the platform to 2,150 net planted hectares through 2032. The offering is currently in the marketing and indications of interest phase.

As a Regulations D & S /Rule 144a Private Placement Offering, the Outcome Bond is only offered to international investors (non-United States), accredited inv and qualified institutional investors. This website does not constitute an offer to sell or a solicitation of an offer to buy any security. Eligible investors may access offering materials through the secure OfferBoard portal.

The proposed insurance program includes crop, property, liability, and parametric weather coverage. Final covered events, limits, deductibles, exclusions, and claims procedures remain subject to the executed policy documents.

The project is expected to generate carbon sequestration through the conversion of degraded pastureland to agroforestry.  These outcomes are structured as CLEANs (Collateralized Liquid Environmental Asset Notes) and are regulated securities under Panama's sovereign authorization framework and Paris Agreement Article 6. Mitigation outcomes are released only when verified with Panama issuing the relevant authorization and corresponding adjustment.

Based on scientific literature from FAO, ICRAF, CATIE, and CIFOR, cocoa agroforestry systems in tropical lowlands typically sequester 80 to 200 tCO2e per hectare over a 25 to 30-year cycle (750 net planted hectares), estimated annual sequestration is approximately 20,250 tCO2e per year. Final quantification will depend on baseline assessments, methodology selection, and third-party validation. These figures are indicative and should not be relied upon as committed volumes or revenues.