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The carbon sequestration project is being implemented under the support of various international organizations aiming for reducing greenhouse gas emissions across developing countries. Mahalat County is one of the leading regions in Iran to implement this project. Despite the objective achievements, the current project has left many ecological, economic, social and psychological impacts in the study areas. Through a survey research method, the present study analyzed these impacts from the perspective of 105 experts. The results revealed that the sequestration project could significantly reduce the risk of runoff and flooding by implementing watershed management, grazing and desertification operations, and preventing soil erosion to an acceptable extent. By holding six skill-based training courses, the participants' job skills were improved to a desirable level, and simultaneously with the holding of these courses, 5 microcredit funds were also established, which provided the necessary economic support to start 49 businesses. By forming 22 development groups, the group members' social capital was improved to a good extent, especially in the dimension of social trust. In addition, as a result of holding skill-based training courses and organizing villagers into development groups, their attitude and behavior towards natural resources and environment improved. In general, the results indicated that the measures taken in the project had a significant impact on the formation of balanced sustainable development components, as well as achieving the goal of soil carbon sequestration. [ABSTRACT FROM AUTHOR]