Format A
Pilot funding
Fund the pilot module with an option on industrial scale-up. Smallest cheque, earliest information, first look at the scaled project.
Türkiye imports the base oil it already owns.
The country consumes around 611,000 tonnes of lubricants a year and imports roughly the same volume of base oil to make them. The used oil in between is a regulated stream that mostly leaks into illegal fuel. We industrialise the middle.
Used mineral oil · in
Base oil, SN-150 – SN-350 · out
01 · The gap
A country that generates the feedstock and imports the product.
610,878
tonnes / year
Lubricants sold in Türkiye, 2024. Down 5.8% on 2023. Source: PETDER.
~187,000
tonnes / year
Recoverable used motor and gear oil, 2024 estimate. Most of it never reaches a licensed plant.
650–700k
tonnes / year
Base oil imported to supply the same lubricant industry. Indicative range.
Free collection has collapsed. The authorised body PETDER gathered 19,469 tonnes in 2020 and 1,497 tonnes in 2024 — a thirteen-fold fall in four years. The reason is not weaker supply: since 2021 licensed refineries buy used oil for cash, and waste generators stopped giving it away.
Competing for the same barrels is the illegal “10 numara” fuel chain, which pays high prices because it pays no fuel duty. Feedstock in Türkiye is a contested, purchased commodity — not a free waste stream. Any credible model has to price it that way.
02 · Regulated demand
Turkish lubricant producers are legally required to buy what this plant makes.
Under the Waste Oils Management Regulation, every lubricant produced in Türkiye must contain a rising minimum share of base oil re-refined from used oil. The quota is not a target — it is a compliance obligation, and it escalates.
2023
2%
2024
4%
2025
6%
2026
8%
At 8% of a 611,000-tonne market, the mandated pull for re-refined base oil is on the order of 45,000–50,000 tonnes a year, and it grows with every revision. Producers who cannot source it are non-compliant. This is the offtake conversation we open with.
03 · The platform
What goes in, what comes out, and nothing in between.
Feedstock
Motor, industrial, hydraulic, port and mixed batches, accepted after intake testing and batch registration.
→
Proprietary upgrading platform
Multi-stage preparation and value uplift under controlled industrial conditions.
Disclosed under NDA and technical audit only
→
Marketable product
Base oil fractions and finished industrial and hydraulic oils, released against laboratory confirmation.
Process design, equipment, operating parameters, consumables and stage sequence are not published
on this site and are not disclosed in the memorandum. Technical review takes place after an NDA,
in the scope required for audit.
04 · Product ladder
Sell a specification, not a waste stream.
Each rung carries a different price and a different qualification burden. The plant moves up the ladder as specifications and licences are confirmed, not before.
Base oils and finished hydraulic oils
SN-150, SN-350, SN-500 grade material; HLP and HVLP 32/46/68 after additive blending.
Fraction 1 · highest margin
Industrial oils
Mid-grade industrial and circulating oils for B2B industrial buyers on published viscosity specs.
Fraction 2 · mid margin
Technical and process oils
Applications with lower colour and stability requirements, where qualification is quicker.
Fraction 3 · low margin
Byproduct stream
Fuel or energy routing, only where a permit and a legal offtake channel exist. Priced at zero otherwise.
Byproduct · permit-dependent
05 · Entry model
Prove it on someone else's licence before spending on your own.
Phase 1 · 0–6 mo
Pilot
Run real Turkish batches at a licensed partner site. Confirm yield, quality and unit economics on local feedstock.
Phase 2 · 6–12 mo
Partner contract
Service agreement or joint venture with shared economics. Offtake letters against the re-refined base oil quota.
Phase 3 · 12–18 mo
Scale-up
Equipment localisation, feedstock network build-out, licensing track for an own site.
Phase 4 · 18–24 mo
Own platform
Commissioning, ramp to design load, regional module replication.
Regulatory path: Turkish entity → industrial site, preferably in an OSB → environmental assessment
and applicable waste codes → ÇED and GFB → full environmental licence (çevre lisansı) → collection
network with licensed carriers. The barrier is real, and it works in favour of whoever clears it.
06 · Top-level business plan
Change any assumption. The whole plan re-solves.
One year of a 2,000 t/month plant at full utilisation, in cash, before tax and financing. Six cost lines, three products, and the payback that falls out of them. Nothing here is a forecast — it is a structure for arguing about the right inputs.
Material balance · one tonne of feedstock
Product shares exceed 100% of the feedstock
—
—
Capital investment
—
Revenue
—
Operating cost
—
Annual profit
—
Payback
—
Indicative plan. Not a forecast or a guarantee. Every figure above is produced by the assumptions you set below and is subject to pilot results, feedstock contracts, offtake agreements and due diligence. The defaults were set by the project owner on 27 July 2026; they are not audited project accounts.
Throughput
t/mo
mo
Feedstock processed—
Saleable output—
Losses and water—
Products and prices
%
$/t
%
$/t
%
$/t
Blended price per tonne of product—
Annual revenue—
Costs
$
$/t
$/mo
$/mo
$/t
$/t
Total operating cost—
Cost per tonne of feedstock—
Profit margin—
Profit per tonne of feedstock processed
—
Feedstock price at which the year breaks even, everything else held
—
| Line | t/y | $/t | $’000/y | % of revenue |
|---|
How to read this. This is a top-level plan, not a financial model: one full-utilisation year, in cash. Payback is capital investment divided by that year’s profit, so it leaves out tax, interest, the ramp-up years and the time value of money — all of which push the real figure out. Read it as an order of magnitude; the full model comes with the memorandum.
Where the losses sit. Water, residue and processing losses are the gap between saleable output and 100% of the feedstock: those tonnes are bought and never sold, which is why feedstock purchase is the largest line in the plan. The other line carries only the cash cost of handling them — treatment and disposal — not the lost value, which the balance above already accounts for.
What this plan says, and what has to hold for it. On the defaults as loaded — 93% saleable yield, feedstock at $350/t, processing at $30/t — the plant returns its capital investment inside the first year. A result that strong is the one an investor will test hardest, and it rests on three inputs: the yield holding at 93%, processing staying near $30 a tonne at industrial scale, and the feedstock price, which moves the answer more than anything else on this page. The breakeven readout above shows how far feedstock can rise before the year stops paying for itself. The presets move prices and processing cost together, the way the market moves them — the 2026 spot case uses July 2026 levels distorted by Middle East supply disruption, and feedstock rises with product there, which is why it is a reference and not a plan.
Figures are indicative, not a forecast, and are subject to pilot results, feedstock contracts and offtake agreements.
Where the losses sit. Water, residue and processing losses are the gap between saleable output and 100% of the feedstock: those tonnes are bought and never sold, which is why feedstock purchase is the largest line in the plan. The other line carries only the cash cost of handling them — treatment and disposal — not the lost value, which the balance above already accounts for.
What this plan says, and what has to hold for it. On the defaults as loaded — 93% saleable yield, feedstock at $350/t, processing at $30/t — the plant returns its capital investment inside the first year. A result that strong is the one an investor will test hardest, and it rests on three inputs: the yield holding at 93%, processing staying near $30 a tonne at industrial scale, and the feedstock price, which moves the answer more than anything else on this page. The breakeven readout above shows how far feedstock can rise before the year stops paying for itself. The presets move prices and processing cost together, the way the market moves them — the 2026 spot case uses July 2026 levels distorted by Middle East supply disruption, and feedstock rises with product there, which is why it is a reference and not a plan.
Figures are indicative, not a forecast, and are subject to pilot results, feedstock contracts and offtake agreements.
07 · Risk
The five things that can break this, and what holds them.
| Risk | Mitigation |
|---|---|
| Feedstock cost and availability | Direct contracts with industrial generators rather than spot buying; multiple regions; intake testing to widen the acceptable batch range. |
| Product price cycle | Model underwritten at mid-cycle, not at spot. Product mix shifted toward finished hydraulic oils, which move less than base oil. |
| Regulatory and licensing | Entry through a licensed Turkish partner site; Turkish environmental consultant engaged before site selection. |
| Technology performance on local feedstock | Staged pilot with acceptance KPIs on real Turkish batches before any major CAPEX commitment. |
| Disclosure of know-how | NDA, tiered information access, process documentation held outside the project company. |
08 · Participation
Three ways in. Structure agreed at term sheet.
Format B
Joint venture
JV with a licensed Turkish industrial partner. Shared economics, regulatory cover from day one, fastest route to production.
Format C
Strategic investment
Investment into the project company with pre-emption rights on regional module replication.
09 · Next step
Request the memorandum.
Requests are reviewed individually. Approved parties receive an NDA for signature, then access to the investment memorandum, the full financial model, the detailed product slate and the licensing roadmap. Technical sessions are scheduled after that.