Executive Brief — Jeddah

Sharia-Structured Instrument Ijarah (manufacturing and processing service) + Musharakah (revenue participation in manufactured goods). Two independent transactions — never combined or netted. IsDB Jeddah Circular Sukuk alignment available. Formal Sharia Board review recommended prior to CSA execution.

Hajj surge: 6,114 TPD → 10,700 TPD. 1.75× design basis. Every Hajj season without advanced processing is an unresolved acute infrastructure gap.

Opening

Jeddah generates an estimated 6,114 TPD baseline across seven material streams, surging to approximately 10,700 TPD during Hajj season — the largest single periodic waste surge event in Saudi Arabia. ACM at Jeddah is designed to the P90 surge basis, not the baseline average. Each Hajj season without advanced processing capacity compounds the compliance gap.

Gap 1

MWAN Mandate + Hajj Surge

85% diversion from landfill by 2035 — against a surge design basis of 10,700 TPD. No existing facility in Jeddah is designed for P90 Hajj surge. ACM Phase Initial addresses the baseline; full programme addresses the surge.

1.75× surge factor · 2.5M+ pilgrims annually

Gap 2

Port + Tourism Sustainability Mandate

Jeddah Islamic Port (400 TPD — ACCESSIBLE) and Red Sea Destination sustainability commitments require certified circular waste disposition. No incumbent advanced processor exists for port waste or tourism commercial waste in the Western Region.

0 advanced processors for port waste in Western Region

Carbotura Phase Initial (100 TPD, Q4 2030 COD) addresses both gaps. Each Hajj season of delay is a measurable unresolved infrastructure deficit.

The Decision

THIS BRIEF MODELS OPTION A — STANDARD ELECTION

Options B, B+Exogenesis, and Option A-IC (in-country premium on CB, Aromatics, CFP to SABIC and NEOM OXAGON) described in Proposal. IsDB Circular Sukuk alignment described in ICO Study.

The Circular Supply Agreement authorises Carbotura to operate an Advanced Circular Manufacturing centre at MODON Jeddah (Manufacturing Site Deed: MODON · CSA: Saudi Investment Recycling Company (SIRC), 100% PIF subsidiary). Two independent agreements — two independent counterparties. Jeddah Islamic Port stream requires a third, separate port authority agreement.

Processing Service (Ijarah): Authority pays for a manufacturing and processing service per ton processed — Year 1
Manufactured Goods Revenue Share (Musharakah): Authority receives a share of manufactured output revenue, 13 months after each corresponding Processing Service payment — from Month 14 onward
Zero capital obligation: Carbotura designs, finances, builds, owns, and operates. LOCKED.

Surge capacity design: ACM at Jeddah processes at full P90 Hajj surge design basis. During Hajj peak months, all outputs scale proportionally. Carbon Black and Aromatics produced during Hajj surge are stable for storage and post-season supply to SABIC Western Region.

Key Facts

Addressable streams	MSW residuals · ELT · Wastewater sludge · ASR · Commercial · C&D fluff · Jeddah Islamic Port (separate agreement)	LOCKED
Baseline TPD	6,114 TPD ESTIMATED	ESTIMATED
Hajj surge TPD (design basis)	~10,700 TPD · 1.75× factor	ESTIMATED
Phase Initial	100 TPD · 35,000 tpy · 1 module	LOCKED
Full programme	600 TPD · 210,000 tpy · 6 modules	LOCKED
Carbotura FDI (Phase Initial)	$55M	LOCKED
Carbotura FDI (full programme)	$330M	LOCKED
Revenue Share lag	13 months rolling · independent transaction	ALWAYS
Capital obligation	Zero	LOCKED
T0	Q2 2028	ESTIMATED
Phase Initial COD	Q4 2030 · Safar 1453 AH	ESTIMATED
First Revenue Share	~Q1 2032	DERIVED
Direct FTE (full programme)	282 Subject to Nitaqat compliance — ESTIMATED	ESTIMATED
Carbon avoidance (full programme)	799,350 tCO₂e/yr · SGI contribution	ESTIMATED
MWAN contribution (full programme)	210,000 tpy toward 2035 mandate	ESTIMATED
Primary ICO buyers (CANDIDATE)	SABIC Western Region · Red Sea Destination · NEOM OXAGON · IsDB alignment	CANDIDATE
Site counterparty	MODON (National Industrial Development Company)	LOCKED
CSA counterparty	Saudi Investment Recycling Company (SIRC) — 100% PIF subsidiary	LOCKED

What Delay Costs

Each 12-Month T0 Slip

One additional Hajj season without P90 surge processing capacity — the only periodic waste surge event of this scale in the Kingdom
Jeddah Islamic Port waste stream continues without a processing disposition — port authority agreement timeline extends
MWAN compliance window shortens — Phase Initial COD slips to Q4 2031 with only 3 years to 2035 mandate
Forfeits one full year of Revenue Share at 6-module full programme scale

Call to Action

Authorise the Authority Feasibility Study — the single action that preserves Q2 2028 T0.

The Feasibility Study resolves:

MODON Jeddah actual gate rates (WARN-01)
MODON Phase II land allocation — 15,000–25,000 m² per 100 TPD module
Jeddah Islamic Port authority preliminary agreement (400 TPD port stream)
Nitaqat tier with HRSD (WARN-03)
SABIC Western Region and Red Sea Destination off-take engagement (first ICO track)
IsDB Circular Sukuk alignment feasibility

Authorization required by Q1 2028 to preserve Q2 2028 T0.

Contact: info[at]carbotura.com

Source Basis

Registry-jeddah-v1 · SIRC (sirc.sa) · PIF (pif.gov.sa) · MODON (modon.gov.sa) · MWAN (mwan.gov.sa) · IsDB (isdb.org) · Exchange-rates.org SAR/USD 3.75 May 2026. Financial projections: Carbotura Circular Advantage modeling, RC3 baseline. All figures ESTIMATED unless LOCKED. This document does not constitute a Sharia certification or sukuk prospectus.