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Executive Briefing · For City Officials

Anchorage Advanced Circular Manufacturing

A partnership briefing prepared for the Municipality of Anchorage
Advanced Circular Manufacturing — the $0-capital alternative to the $500–700M incinerator.

Carbotura · 8-minute walkthrough · Confidential briefing for authorized officials
The 30-second version

One partnership. One classification shift. Three configuration choices.

Three build stages: sizing → commercial structure → capital cost. Press Space or → to walk the Assembly through each stage.

Configurations available
400 / 800 / 1,200
TPD · elected at the Deployment Study, not now · ARL receives ~1,000 TPD today — Phase Initial is ~40% of existing flow
Beneficiation Fee (TMC)
$100/ton
Municipality pays Carbotura per ton delivered · receives Circular Royalty™ back (120%→150%)
Exogenesis™ · Legacy Remediation Royalty (optional bonus)
$50/ton
Stacks alongside the CSA on legacy landfill mass extracted · +1%/yr · subject to Characterization Study
Capital cost to Anchorage
$0
Carbotura funds 100% of the facility build · the WTE requires $500–700M of public capital
Category

Manufacturing — not waste.

This distinction determines how the facility is permitted, which regulator has oversight, and what the fiscal architecture looks like.

ACM IS
A manufacturing process
  • Microwave Catalytic Reforming, anoxic (oxygen-free), sub-atmospheric
  • Converts municipal material inputs into synthetic graphite, graphene compounds, recovered minerals
  • Classified under manufacturing NAICS 325180 / 325998 / 327992 / 331110 / 331314 / 331492
  • Regulated as manufacturing under ADEC and federal RCRA §1004(27) · 40 CFR §261.2(e) exclusion pathway
  • The 30-year CSA is a royalty-producing asset for the Municipality of Anchorage — it replaces the current waste liability on the Municipality's books with a recurring revenue stream
ACM IS NOT
A waste-handling operation
  • Not incineration — combustion mechanically impossible in the anoxic reactor. The proposed WTE is a mass-burn incinerator; ACM is the opposite process category
  • Not gasification, pyrolysis, or waste-to-energy
  • Not classified under solid-waste NAICS 562212 / 562213 / 562219 / 562920
  • Does not compete with, replace, or interfere with existing Alaska Waste collection contracts or SWS gate operations
  • Does not require new City-supplied transport infrastructure — existing collection routes simply reroute from current transfer/disposal destinations to the ACM facility
The relationship · supplier and buyer

Anchorage supplies the feedstock. Carbotura is the buyer.

The 30-year CSA is a supply agreement, not a service contract. The Municipality of Anchorage becomes the manufacturing feedstock supplier to the ACM facility; Carbotura is the manufacturer that material stream transfers to under the CSA. Beyond capital, Carbotura brings the industrial platform: manufacturing employment, US critical-materials production, and a circular material loop — located in Anchorage, the logistics hub of the state.

$
100% capital funding
Carbotura funds the ACM facility build, site works, and equipment. Anchorage commits no capital, borrows no funds, and pledges no full-faith-and-credit backing — versus $500–700M plus bond debt-service for the WTE.
◆
Build-Own-Operate
30-year Circular Supply Agreement. Carbotura owns and operates the facility. Environmental liability, closure obligations, and O&M all sit with Carbotura.
◈
Manufacturing jobs
Direct permanent skilled-trades and technician positions at the ACM facility — operators, process engineers, quality/lab, maintenance, logistics. Scales with configuration; specifics confirmed at the Deployment Study. Anchorage Phase Initial is 400 TPD — a substantial permanent manufacturing workforce from day one.
◉
Critical materials & minerals
The ACM facility produces synthetic graphite, graphene compounds, and recovered minerals — strategic domestic supply for battery, EV, and industrial supply chains. Places Anchorage on the US critical-materials map — strategic-materials production in Alaska.
◐
Circularity
Closes the material loop at the community level. The upstream inputs to graphite, graphene, and mineral products are decoupled from mining and imports. Anchorage's material stream becomes the manufacturing feedstock.
◇
Regulatory partnership
Carbotura leads the Regulatory Predicate Transition — the joint work with ADEC and EPA Region 10 to confirm manufacturing classification alongside site permitting.
The counter-flow · the Circular Supply Agreement

What Anchorage receives back.

The 30-year CSA is a royalty-producing asset that replaces a waste liability on the City's books. Under the CSA, the Municipality pays a per-ton fee to Carbotura under the manufacturing arrangement, and Carbotura pays a per-ton royalty back that always exceeds the fee from Year 2 onward. At Anchorage scale (400 TPD Phase Initial) the widening spread compounds to a materially larger 30-year stream.

1
Circular Royalty™
Carbotura pays the City 120% of the current-year Beneficiation Fee per ton in Year 1, rising +1 percentage point every year (Year 2: 121%, Year 30: 149%). Uncapped. Paid monthly, 13 months in arrears.
2
Widening spread
Because the multiplier applies to the escalated fee, the royalty-minus-fee spread widens every year for the full 30-year term. This is a proven mathematical property of the formula, not a projection.
3
Take-or-Pay floor
Asymmetric Take-or-Pay: if tonnage falls short, the City still receives the royalty at the guaranteed minimum. Predictable revenue stream through the 30-year term.
4
Optional Exogenesis™ add-on
If the Municipality engages legacy ARL cells for Exogenesis™ remediation, a separate Legacy Remediation Royalty of $50/ton (on legacy mass, +1%/yr) stacks on top — extending ARL life even further than the WTE’s volume-reduction claim, without combustion. Available alongside the CSA. Subject to Characterization Study and mutual agreement.
Municipal accounting perspective

How this hits Anchorage's balance sheet and income.

The Municipality of Anchorage becomes a manufacturing feedstock supplier under a 30-year supply agreement. The financial architecture is designed so the effect on both the income statement and balance sheet is unambiguously positive — and both effects are recognized annually in the Municipality's financial statements. It is also the structural alternative to placing $500–700M of WTE capital plus debt service into the rate base.

▲
Income — new recurring revenue line
Circular Royalty™ receipts (~$18.1M/yr at Year 2 growing to ~$44.5M/yr by Year 30 — ILLUSTRATIVE, 400 TPD / 146,000 TPY basis) enter the general fund monthly, starting Month 37 (COD + 13 months) and continuing every month for 30 years. Recognized as recurring non-tax revenue.
▼
Income — disposal cost avoided
Every ton redirected to the ACM facility eliminates the Fully-Loaded Cost of Disposal (published gates $87.11–$101.00/ton before collection) — gate fee, transport, and the escalating tail. Reduction lands in the same fiscal year the tonnage is redirected.
◇
Balance sheet — no new debt
Carbotura funds 100% of CapEx. No G.O. bond issuance, no revenue bond, no pledge of the Municipality's full-faith-and-credit backing — versus $500–700M of public capital for the WTE. The manufacturing facility is Carbotura's asset; the royalty is the City's income.
◈
Balance sheet — environmental risk carry
Forward regulatory exposure (PFAS destination rules, methane compliance, closure re-permitting) sits with Carbotura under the CSA. The Municipality's environmental impairment risk profile is materially reduced for the redirected material stream.
◐
Fund balance — enterprise fund relief
SWS’s long-term rate schedule already carries a 5% increase in 2026. The CSA relieves rate pressure structurally — and avoids the WTE’s $500–700M debt service entering the rate base. The aging Asplund biosolids incinerator is also addressed: ACM accepts biosolids as feedstock, avoiding the estimated ~$100M water-utility replacement the WTE was partly justified by.
Sizing

Three configurations. Selected at the Deployment Study.

The Assembly is not choosing a configuration today. The Deployment Study confirms feedstock availability, disposal-cost baseline, and site suitability — then Anchorage elects. ARL receives ~1,000 TPD today — ~2.5× the Phase Initial requirement — all arriving at gates the Municipality already owns.

400
TPD
Municipality streams only. No partnership needed. ARL-gate flows (~1,000 TPD) cover this ~2.5× over.
800
TPD
Phase Medium. Full Municipality system flow (~matches the WTE’s planned 300,000 TPY capacity) — still no partnership required.
1,200
TPD
Full wasteshed pathway. Adds Mat-Su Borough and Kenai Peninsula Borough partnerships — the same 3-borough wasteshed the Municipality’s own WTE feasibility study analyzed at 1,200 TPD. None is a precondition.
The borough pathway — and the WTE comparison

Anchorage anchors. The boroughs grow into it. The Municipality of Anchorage is the sole counterparty on the anchor CSA — no other jurisdiction's approval is needed to start. As the facility scales, Mat-Su Borough and Kenai Peninsula Borough can join through separately structured CSA addenda — each additive, none a precondition. Phase Expanded (1,200 TPD) matches the exact 3-borough sizing the Municipality’s own WTE feasibility study recommended.

Head-to-head with the $500–700M incinerator. Both projects target the same ~300,000 TPY and even the same siting zone (the ARL footprint). The differences: the WTE consumes $500–700M of public capital plus bond debt service, operates 2030–2032 at the earliest, burns the material in Alaska’s first mass-burn incinerator, still landfills ~10% ash, and returns nothing. ACM requires $0 public capital, targets COD at T0 + 24 months — years earlier — converts the material without combustion into synthetic graphite, graphene compounds, and recovered minerals, accepts biosolids (avoiding the Asplund biosolids-incinerator replacement the WTE was partly justified by — put at ~$75M by the Municipality in 2026, and at up to ~$100M by AWWU’s General Manager in 2019), and pays the Municipality a royalty for 30 years. Every claimed WTE benefit is matched or exceeded at zero public cost.

The Assembly has approved $8M in WTE planning — before that becomes $500–700M in committed capital, the ACM alternative deserves a side-by-side look. The Deployment Study (4–6 weeks, $0 to the Municipality) produces exactly that comparison, on verified Municipality data, in time to inform the next WTE phase decision.

Regulatory foundation

The Regulatory Predicate Transition.

Also called the dewaste pathway. This is the joint regulatory work that lets a manufacturing operation stand up alongside — not inside — legacy waste-domain statutes.

RPT — both parties commit to the dewaste pathway

Advanced Circular Manufacturing does not fit within the waste domain and does not operate under waste-domain statutes. 100% elemental recycling requires classification onto the manufacturing predicate.

Carbotura brings: the process-classification evidence, the RCRA §1004(27) / 40 CFR §261.2(e) federal classification basis, and prior regulatory-engagement experience.

The Municipality of Anchorage brings: standing to engage ADEC, political mandate for the transition, and Assembly leadership already engaged on the future of the disposal system.

Endpoint: manufacturing NAICS classification recognized across all permitting, licensing, and regulatory contexts. Interim bridging authorities may apply during the transition.

From here to first tonne

Approximately 24 months, sequenced in five stages.

Each stage has a natural exit ramp. The Council decision today authorizes only the first stage. Actual Commercial Operating Date depends on Anchorage's manufacturing queue position — the sequencing of active Carbotura client deployments at the time of CSA execution.

1
Weeks 4–6
Deployment Study
Feedstock baseline · Fully-Loaded Cost of Disposal · site + regulatory pathway · verifications against City-supplied documentation. $0 to Anchorage.
2
Month 2–5
LOI / MOU
The Assembly authorizes the Letter of Intent. Configuration locked at signing.
3
Month 5–8
CSA execution
Circular Supply Agreement signed. ADEC manufacturing classification confirmed via the RPT.
4
Month 8–24
Build phase
Carbotura funds and builds the ACM facility. City engagement is minimal — permitting only. Queue-position dependent.
5
Month ~24
COD · first tonne
Commercial Operating Date. First Beneficiation Fee payment. Royalty stream begins M+13.
The ask · Today

Authorize a Deployment Study.

That is the full extent of what the Assembly is asked to approve today. Everything downstream — configuration, LOI, CSA — is a subsequent Assembly decision informed by the Deployment Study findings. Authorizing now puts a verified ACM-vs-WTE comparison in front of the Assembly before the incinerator’s next phase commits further capital.

Cost to Anchorage
$0
Carbotura bears the Deployment Study cost
Duration
4–6 wk
Then the Assembly reviews findings
Next Council decision
LOI
Approximately Month 4
Back to Anchorage Overview → Read the full Proposal →
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