CARBOTURA
Glasgow City Council · Scotland · March 2026 Executive Brief
Advanced Circular Manufacturing · Community Engagement Package

Glasgow City Council Manufacturing Feedstock Opportunity

Glasgow generates an estimated ~1,014 TPD of manufacturing feedstock currently committed to long-term disposal via the existing GCC EfW contract with Fortum Glasgow Ltd (SCEC), with Greenoakhill landfill transitioning to closure by end-2027 under Scotland's BMW ban. This package defines the opportunity, the commercial structure, the economic delta, and the action required.

~~1,014 TPD Addressable Feedstock existing GCC EfW contract Expiry ~2040–41 Zero Council Capex · BOO Structure Royalty > Beneficiation Fee at Steady State

Engagement Path — Follow the Numbers

1 LOI / MOU engagement begins A non-binding Letter of Intent / Memorandum of Understanding. It opens the engagement, establishes the joint working group and data exchange, and carries no cost and no obligation for the community. Steps 1–5 are paper — typically 3–18 months in total.
2 Term Sheet verification & terms The verification phase. Feedstock streams, volumes, and the community’s disposal-cost basis (FWDC) are confirmed, the site is selected, and the per-tonne commercial terms are agreed before anything is signed long-term.
3 CSA execution = T0 The Circular Supply Agreement — a minimum 30-year supply contract with perpetual continuation. Execution starts the project clock (T0). It locks the Beneficiation Fee, the Circular Royalty™, the feedstock commitment, and site access.
4 Underwriting Carbotura-financed Carbotura arranges 100% of the facility financing under its Build-Own-Operate model. The community contributes zero capital and takes no construction or financing risk; an 18-month Parent Performance Guarantee backs all payment obligations.
5 Permitting manufacturing basis The facility is permitted as manufacturing (NAICS 31–33), never as waste processing. Both parties commit to the Regulatory Predicate Transition — the endpoint is categorical: manufacturing classification across all permitting, licensing and regulatory contexts.
6 Deployment build · 12–18 months The facility is manufactured and deployed in standardized 100 TPD modular increments rather than built as one-off construction — a 12–18 month build from CSA execution to commissioning.
7 COD & Royalties royalty +13mo after first fee Commercial Operations Date: the facility begins accepting feedstock. The Beneficiation Fee applies to delivered tonnage, and the first Circular Royalty™ payment follows 13 months after the first fee payment, then monthly, escalating every year.

Download the Engagement Path one-pager (PDF)

Package Hub · Glasgow City Council, Scotland · DOC 01 OF 06

What this package is

A complete Advanced Circular Manufacturing engagement package for Glasgow City Council. Five further documents cover the feedstock diagnosis, the deployment structure, the economic impact, the action brief and the community narrative. One decision drives all of them: execute the LOI/MOU.

Three things this package establishes
  1. Glasgow City Council has ~1,014 TPD of addressable manufacturing feedstock committed to long-term disposal under the existing GCC EfW contract, with Greenoakhill landfill transitioning to closure by end-2027 under Scotland’s BMW ban. The exposure is a capacity and cost-escalation position, not a one-off price question.
  2. Carbotura offers a single commercial structure — the Circular Supply Agreement: a Beneficiation Fee (TMC Fee) paid by the Council on delivered feedstock, and a Circular Royalty™ paid by Carbotura from product revenues. There is no election to make, and the two flows are reported as separate transactions and never netted.
  3. Under the CSA the facility is privately financed on a Build-Own-Operate basis: zero Council capital cost, zero construction debt, and a Circular Royalty™ beginning 13 months after the corresponding Beneficiation Fee payment and escalating for the full 30-year Term. All figures GBP; IFRS / UK GAAP.
Start here if you’re new to this package
Carbotura · Advanced Circular Manufacturing · Community Overview
~130 TPD
Total Addressable Feedstock
Estimated
£0
Council Capital Obligation
Verified · BOO Structure
~123
Total Jobs · Phase Initial
Estimated
30 yr
Circular Supply Agreement
Carbotura standard
~2040
existing GCC EfW contract Horizon
Hard planning deadline
⏱
Decision Window: Waste Study Authorisation Latest date to preserve Phase Expanded before existing GCC EfW contract expiry (~2040–41) is approximately 2032–33. Recommended authorisation: 2026. Each year of deferral compresses the planning buffer by one year and increases post-contract market exposure.
~2026 Recommended
This engagement package uses planning-basis estimates where confirmed figures are not yet available. Absolute financial values — including the Beneficiation Fee per tonne and all derived Circular Royalty™ figures — require Term Sheet phase verification of Glasgow City Council's confirmed disposal cost data before budget commitment. Structural relationships (Beneficiation Fee formula, Circular Royalty™ formula, fiscal period sequence) are contractually standard.
Six Documents · One Decision
Project Brief · Action Instrument
Decision Brief
The existing GCC EfW contract Joint Committee Agreement creates a hard feedstock planning horizon at approximately 2040–41. One resolution preserves every option. Inaction forecloses them structurally.
Next action: Authorise Waste Study →
Open document ↗
Waste Study · Diagnostic
Feedstock System Analysis
Glasgow's ~1,014 TPD of manufacturing feedstock flows to a South Clyde Energy Centre (SCEC) under the GCC EfW contract with Fortum Glasgow Ltd (SCEC) running to approximately 2040 — with no post-contract destination confirmed.
Feedstock volumes estimated →
Open document ↗
Proposal · Transaction Structure
Circular Supply Proposal
A 30-year Circular Supply Agreement (with perpetual continuation after Year 30) converts Glasgow's ~1,014 TPD of addressable manufacturing feedstock into an independent Circular Royalty™ receipt stream from 13 months after corresponding Beneficiation Fee payment — reported as a separate transaction from the Beneficiation Fee, with zero Council capex and a structured path beyond existing GCC EfW contract.
Beneficiation Fee requires Waste Study →
Open document ↗
Economic Impact Report · Delta Analysis
State A vs. State B
ACM deployment structurally eliminates Glasgow's post-contract feedstock exposure, produces a per-tonne Circular Royalty™ receipt stream that exceeds the Beneficiation Fee from Year 2 (separate transactions), and grows the spread through steady state.
Absolute £ requires Waste Study →
Open document ↗
Community Benefits · Plain Language
What Glasgow Gains
~788 jobs (Configuration A total), monthly Circular Royalty™ income from Year 2, zero Council capital, a plan for after 2040, and Glasgow's materials turned into manufactured products instead of being burned or buried.
Plain language · community audience →
Open document ↗
WHAT CHANGES
What Adopting Carbotura Changes
A plain-language tour of how a 30-year ACM commitment changes a community's fiscal position, employment, and waste system structure. Generic illustrative figures.
Open ↗
Circular Royalty™ · Structural Summary
How the Circular Royalty™ Works
The Circular Royalty™ is a contractual obligation — not projected upside. The formula is locked at Circular Supply Agreement execution. Absolute £ values require Waste Study.
Right-hand column: It is not a netted position.
Year 1
Pre-Royalty
Glasgow pays the Beneficiation Fee on ~330,000 tpy of manufacturing feedstock. No Circular Royalty™ is received. This 12-month period is structural — it must be recognised separately in Year 1 budget planning.
−T per tonne
13 months after corresponding Beneficiation Fee payment+
Ramp Begins
Rolling monthly Circular Royalty™ begins at 120% of the Month 1 Beneficiation Fee per tonne. Each subsequent Beneficiation Fee payment generates a corresponding Royalty payment 13 months later (separate transactions). The per-tonne Royalty − Fee spread widens every month.
+17.5 indexed
Year 2
Year 2+ Steady State
Circular Royalty™ per tonne exceeds the Beneficiation Fee per tonne. Per-tonne Royalty − Fee margin is positive by contractual design (separate transactions). The Royalty rate escalates at +1 percentage point per year, compounding the advantage annually.
+36 indexed
Year 10
Year 30 Maximum
Circular Royalty™ rate reaches 148% of the current Beneficiation Fee rate. Glasgow receives ~341 indexed units against ~230 paid in Beneficiation Fee — a per-tonne Royalty − Fee spread of +111 indexed units (separate transactions). The advantage grows each year through Year 30.
+111 indexed
Year 30
Priority 1 Site Candidate
📍
Priority 1 Site Candidate
ABP Atlantic Site — Port of Glasgow (South Dock)
74 acres of development land designated by Associated British Ports for clean energy, hydrogen production, and carbon capture — direct alignment with the ACM manufacturing profile (synthetic graphite · graphene compounds · recovered minerals). Glasgow City Council formally endorsed ABP's clean growth hub masterplan in January 2025. The site is ~0.3 miles from Glasgow's Greenoakhill landfill, adjacent to existing feedstock logistics infrastructure, and provides multimodal access (road, rail, marine) for manufactured product distribution. No new collection infrastructure is required for Phase Initial feedstock delivery.

View full site candidate analysis →
Documents & References
Feedstock System Analysis
Circular Supply Proposal
Economic Impact Report
Project Brief
Site Candidate Analysis
Decision Window Analysis
Authoritative Glossary
Community Benefits
Authorise Waste Study

Basis of Presentation

Basis of Presentation — Assumptions & Confidence

Source-of-truth references for the key figures cited throughout this document. Full Assumption Registry available on request from the Glasgow City Council engagement team.

FieldValueConfidenceSource
Beneficiation Fee Year 1$100/ton at FLOORLOCKEDMASTER_RULES v4.6 §4.2 formula floor
Beneficiation Fee escalator2.5%/yr compoundedLOCKEDMASTER_RULES v4.6 §4.2
Circular Royalty™ Year 2 / Year 30$120 / $295.48 per tonLOCKEDRoyalty math glossary MR §4.13
CSA term30-year minimum + perpetual continuationLOCKEDMASTER_RULES v4.6 §4.7
Credit floorBBB–/Baa3 minimumLOCKEDPortfolio compliance pass 2026-05-15
Tax abatementNAICS 31–33 manufacturing-classification or PILOT equivalentLOCKEDPortfolio compliance pass 2026-05-15

Confidence flags follow the Carbotura Confidence Flag classification: VERIFIED (contracted or audited) MODELED (calculated from documented inputs) ESTIMATED (best-available, locked at Term Sheet phase).

Before the LOI/MOU

Six Questions That Decide Everything

Three to open the conversation. Three to close it. If the answers run the way they always do in Glasgow, the LOI/MOU writes itself.

Three Questions to Open · The Yeses
01
Has Glasgow City Council adopted the Scottish Government's Beyond Recycling strategy and committed to near-zero landfill targets under the national Municipal Waste Strategy?
YES
Scotland has set some of the UK's most ambitious recycling and diversion targets — 70% recycling rate by 2025 and near-zero residual waste to landfill. Glasgow City Council operates within that statutory framework. ACM is the only processing pathway that achieves near-zero landfill at municipal scale without combustion — a critical distinction given Scottish planning and air quality constraints.
02
Would Glasgow City Council welcome a 30-year Circular Royalty™ beginning 13 months after corresponding Beneficiation Fee payment, converting a disposal cost into a recurring revenue asset?
YES
At 1,000 TPD, the Circular Royalty™ reaches ~$5.7M/yr by Year 2 and escalates annually for 30 years. Under the BOO structure, Glasgow contributes feedstock access — not capital. Carbotura finances, builds, and operates. The royalty stream begins 13 months after corresponding Beneficiation Fee payment and runs for the full CSA term.
03
Does Glasgow face UK Landfill Tax escalation and Scottish Government biodegradable waste restrictions that make continued landfill dependency increasingly untenable?
YES
UK Landfill Tax is set at £126.15/tonne for 2024–25 and rises annually. The Scottish Government has imposed near-zero landfill targets for biodegradable waste. Glasgow's residual waste processing arrangements face escalating costs on both the disposal fee and the tax levy. ACM eliminates landfill dependency for processed streams — eliminating the tax liability with it.
Three yeses. One follow-up.
If the answer to all three is yes — and it always is — the only remaining question is why the LOI/MOU has not been signed. The three questions below make that silence impossible to maintain.
Three Questions to Close · The Consequences
04
What contracted ACM or equivalent circular manufacturing agreement has Glasgow City Council executed to replace landfill dependency for its residual waste stream?
NONE
No advanced circular processing agreement exists at Glasgow's scale. Alternative processing capacity in Scotland is constrained. Glasgow's residual waste currently relies on regional infrastructure that generates no royalty return and no Landfill Tax relief. There is no competing offer on the table.
05
Is Glasgow's current residual waste arrangement cost-stable against UK Landfill Tax trajectories and Scottish statutory diversion requirements?
NO
Landfill Tax rises annually. Scottish statutory targets impose penalty risk for non-compliance. Regional processing alternatives are capacity-constrained. No royalty return offsets disposal costs. The combination creates a rising cost base with a compliance ceiling and no revenue hedge — until the LOI/MOU is signed.
06
How long does it take to commission ACM in Glasgow after the LOI/MOU is executed?
YEARS
Phase Initial at 1,000 TPD (1–2 modules) reaches COD after a 12–18 month build following CSA execution. Scottish planning permission, site confirmation, and NAICS classification run in parallel. First Circular Royalty™ payment follows COD by 13 months. Landfill Tax continues to rise on that same timeline — whether or not the LOI/MOU is signed.
Execute the LOI/MOU → Q3 2026 deadline · Read the Brief
Programme Overview · General Audience

What Adopting Carbotura Changes →↗

Programme-level explainer: the Circular Supply Agreement (CSA) — Beneficiation Fee (TMC Fee) + Circular Royalty™ — plus the universal Exogenesis™ bonus, fiscal timeline, State A vs State B delta, and the Regulatory Predicate Transition — the dewaste pathway off waste-domain law onto manufacturing law. Applies to every community.

Learn about the programme →↗