Carbon Offtake Prepayments for Project Developers

Important Disclosure. For corporate sponsors and accredited investors. Not a public offer. Local restrictions may apply. Prepared September 2025.

Carbon Offtake Prepayments for Project Developers

We help carbon project developers secure upfront capital from buyers willing to pay in advance for future verified credits. We design and arrange Emission Reduction Purchase Agreements (ERPAs), insurance layers and bank controls so funds can flow before issuance. Minimum aggregate size USD 10,000,000. We don’t fund directly—our role is to structure, underwrite and connect you to real offtakers and lenders.

USD 10M+
Minimum prepayment facility
9–18 months
Typical tenor to issuance
Article 6 Ready
Paris-aligned crediting

Who We Serve

AFOLU Developers

REDD+, reforestation, mangrove or soil carbon projects needing construction and early MRV funding.

Industrial & Methane Abatement

Waste-heat recovery, landfill gas, flare capture or cement plant retrofit projects.

Blue Carbon & Wetland Projects

Coastal wetland and seagrass initiatives with strong co-benefits and high-quality credits.

Structure of a Carbon Offtake Prepayment

ERPA Contract

Forward sale of verified credits with milestone payments and step-in rights if delivery is missed.

Security & Controls

Assignment of proceeds, escrow, insurance against delivery risk, registry alignment with Article 6 where applicable.

Use of Proceeds

Site works, planting, MRV equipment, community programs and verification costs.

Investor Types

Compliance buyers, voluntary market traders, corporates locking price, climate funds.

Documentation and Bankability

Core Docs

Feasibility study, PDD, validation/verification plan, baseline data, land rights, host country LoA (Article 6 if applicable).

Control Stack

Credit registry checks, insurance, step-in clauses, escrow waterfalls and offtake assignment to lenders or investors.

We align with leading standards such as Verra, Gold Standard, and emerging Article 6 rules.

Indicative Economics

Structure Size Tenor Key Terms Typical Pricing
Carbon Offtake Prepayment USD 10M–100M Up to 5 years Advance 30–60% of forecast volume; repayment from credit issuance Discount 8–20% to projected market price
Optional Hedge Layer USD 5M–50M Aligned with delivery Price floor/collar to manage downside Premium negotiated per corridor

Final terms depend on methodology, country risk, verification schedule and offtaker strength.

Execution Process

1 Fit call and project review. We assess feasibility, registry eligibility and buyer appetite.
2 Mandate and retainer. Data room and red-flag memo issued.
3 Indicative term sheet and pricing ranges from vetted offtakers.
4 Due diligence: technical, legal, E&S, credit checks.
5 Final approvals by buyers or financing funds. Conditions precedent agreed.
6 Contract signing and first disbursement aligned with milestones.

Typical timing: 12–20 weeks to first draw when feasibility and PDD are ready.

Why Developers Work With FG Capital Advisors

Early Liquidity

Convert expected credits into cash to fund planting, MRV and community programs.

Bankable Contracts

ERPA and Article 6 terms lenders and offtakers accept, with enforceable step-in rights.

Global Buyer Network

Access compliance and voluntary offtakers across Europe, Asia and North America.

Realistic Feedback

If the case won’t clear credit, you get a fix list and a structured data room for the next attempt.

Request Carbon Offtake Prepayment Support

Send your feasibility study, PDD draft and projected credit volumes. We’ll reply with a scope note, a control checklist and a call slot.

Book a Consultation Call

FAQs

Do you fund directly?

No. We arrange and underwrite. Funds and offtakers provide capital.

Minimum project size?

USD 10,000,000+ of expected credit value, or portfolios that can aggregate to that scale.

Which standards qualify?

Verra, Gold Standard, and projects structured for Paris Article 6 transfer.

What drives the discount?

Verification risk, delivery schedule, buyer credit, country risk and market volatility.

How fast is first draw?

12–20 weeks if feasibility, land rights and PDD are in place.

Is a PDD mandatory?

Yes, or at least a near-final draft and a credible feasibility study.

Disclaimer. All facilities are subject to KYC/AML, Article 6 compliance checks, underwriting and documentation. We do not guarantee funding. Third-party costs and bank charges are separate from our fees.