A deal to supply solid fuel at a Dumfries waste processing plant is understood to be nearing completion.
The plant will cope with landfill reduction targets
The news came despite earlier concerns that it could take years to secure a contract to take material off the site.
The solid fuel is produced at the Eco-Deco plant, which has been developed to help meet targets for reducing rubbish going to landfill.
The facility is operated by Shanks as part of a 25-year, multi-million pound deal with the local authority.
The plant opened without a contract in place to supply the solid fuel product - although a financial safety net was built into the PFI contract to allow material to continue to be sent to landfill for up to seven years.
However, it has now emerged that a deal is poised to be agreed, the details of which will be reported to Dumfries and Galloway Council in the Autumn.