SAO PAULO, Sept 18 (Reuters) - Facebook owner Meta

agreed to buy up to 3.9 million carbon offset credits

from Brazilian investment bank BTG Pactual's

forestry arm through 2038, the companies said on Wednesday in a

statement.

They did not disclose the value of the deal. The average

price for forestry carbon offsets last week was $4.22 per

credit, according to data provider Allied Offsets. That could

value the deal at up to $16 million based on that pricing.

Carbon offsets allow companies to offset greenhouse gas

emissions by paying for actions to cut emissions elsewhere to

meet corporate climate goals. Each credit represents a reduction

of one metric ton of carbon dioxide emissions.

Under the long-term contract signed by Meta and BTG Pactual

Timberland Investment Group (TIG), the owner of Facebook and

Instagram agreed to buy 1.3 million carbon credits, with options

to purchase an additional 2.6 million credits.

Meta said the deal is its largest carbon removal transaction

from a single project and is part of its commitment to reach net

zero emissions across its value chain in 2030.

The credits were generated by BTG Pactual TIG's forest

restoration projects in Latin America, where it has planted more

than 7 million seedlings, according to the statement.

In June, TIG announced the sale of 8 million carbon credits

to Microsoft ( MSFT ) in the largest-ever transaction of such

credits worldwide.

The deals from Microsoft ( MSFT ) and Meta come even though demand

for offsets broadly stalled last year.

Companies including food giant Nestle and fashion

house Gucci have reduced their buying of credits amid widespread

doubts that they served to reduce emissions.