frontline waste's detailed concept presentation april 2017

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April 2017 Please Contact: Rob Steir, Frontline Waste [email protected] or 212-579-1781 A NEW, EFFECTIVE SOLUTION TO STOP THE OPEN BURNING OF TRASH, UNCONTROLLED FLY TIPPING AND USE OF UNSANITARY GARBAGE DUMPS IN THE DEVELOPING WORLD AND ISLANDS BY 2030! 1

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Page 1: Frontline Waste's Detailed Concept Presentation  April 2017

1

April 2017

Please Contact: Rob Steir, Frontline Waste [email protected] or 212-579-1781

A NEW, EFFECTIVE SOLUTION TO STOP THE OPEN BURNING OF TRASH, UNCONTROLLED FLY TIPPING AND USE OF UNSANITARY GARBAGE

DUMPS IN THE DEVELOPING WORLD AND ISLANDS BY 2030!

Page 2: Frontline Waste's Detailed Concept Presentation  April 2017

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AN INVESTMENT OPPORTUNITYTHAT REALLY

WILLMAKE

A HUGE

DIFFERENCE IN THE WORLD & BE PROFITABLE

www.frontlinewastesystems.com

Page 3: Frontline Waste's Detailed Concept Presentation  April 2017

PRESENTING A NEW PARADIGM FOR WASTE PROCESSING FOR AREAS <200,000 PEOPLE IN THE DEVELOPING WORLD & ISLAND NATIONS

The Big Picture

Saving Billions!

Modern Cell technology, connecting via decentralized yet organized mobile phone towers, enabled developing countries to be connected without having to build an antiquated and overcomplicated fixed line network. The result spurred countries, rural areas and poor to connect, and have access to more and better information

Page 4: Frontline Waste's Detailed Concept Presentation  April 2017

PRESENTING A NEW PARADIGM FOR WASTE PROCESSING FOR AREAS <200,000 PEOPLE IN THE DEVELOPING WORLD & ISLAND NATIONS

In the developed world waste disposal, similar to the “fixed” telecom structure, is structured in an integrated centralized collection and disposal process built over hundreds of years. Current waste structures have been build using massive infrastructure investments and government subsidies – It is often not suited for developing countries, and island situations.

The Big Picture

Page 5: Frontline Waste's Detailed Concept Presentation  April 2017

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PRESENTING A NEW PARADIGM FOR WASTE PROCESSING FOR AREAS <200,000 PEOPLE IN THE DEVELOPING WORLD & ISLAND NATIONS

.The Big Picture

The developing world is struggling with adopting this massive-investment, high infrastructure, inflexible model for its largest and fast-growing cities.

In its smaller cities and rural areas, this structure has no chance of working as there is not sufficient amount of waste per capita. Given the high investment requirement and risks involved, by using the traditional approach, it is impossible to make a business case

Page 6: Frontline Waste's Detailed Concept Presentation  April 2017

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PRESENTING A NEW PARADIGM FOR WASTE PROCESSING FOR AREAS <200,000 PEOPLE IN THE DEVELOPING WORLD & ISLAND NATIONS

Introducing Frontline’s Starter MRF (or “SMRF”), anchored by our revolutionary mobile and small-scale combustor. It transforms the way waste in smaller cities, islands and rural areas is being processed. Like the mobile phone network, we see the positive impact on surroundings where open burning or sending trash into unsanitary garbage dumps is and has been the rule, not the exception.

The Big Picture

Our SMRFs create a distributed network of small-scale waste

processing, recycling and disposal facilities that can deliver waste

reduction, high recycling results, healthier environments and offer real productivity impact – and at

little upfront investment and maintenance cost

Page 7: Frontline Waste's Detailed Concept Presentation  April 2017

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HERE IS OUR VISION AND

DETAILEDOPPORTUNITY

www.frontlinewastesystems.com

Page 8: Frontline Waste's Detailed Concept Presentation  April 2017

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THE PROBLEM

www.frontlinewastesystems.com

Page 9: Frontline Waste's Detailed Concept Presentation  April 2017

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Waste is Overwhelming the Developing World & It’s Only Going To Get Worse

WASTE THAT IS OPENLY BURNED OR PUT IN UNSANITARY GARBAGE DUMPS EACH YEAR40% PEOPLE IN WORLD WHO LIVE IN AREAS WITHOUT FORMAL WASTE MANAGEMENT SYSTEMS 62% GLOBAL MUNICIPAL WASTE EXPECTED TO DOUBLE

FROM 2012 TO 2025 (2.2B/TONS PER YEAR) 2X

Page 10: Frontline Waste's Detailed Concept Presentation  April 2017

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Island Nations are Struggling With Too Much Tourism Waste & Pristine Environment Expectations

Page 11: Frontline Waste's Detailed Concept Presentation  April 2017

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Major Developing Cities Should Eventually Solve Their Massive Waste Problems-It Just Takes Money-

We Already Know How to Do It

Page 12: Frontline Waste's Detailed Concept Presentation  April 2017

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But What About the 62% (3-4 Billion People)Who Live in Small Cities, Rural Areas & Islands?

These areas need a fresh and different approach

Page 13: Frontline Waste's Detailed Concept Presentation  April 2017

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OUR “LEAPFROG” SOLUTIONS& TARGET MARKETS

www.frontlinewastesystems.com

Page 14: Frontline Waste's Detailed Concept Presentation  April 2017

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<20 tons/day systemsComposting, AD

20-60 tons/daySystemsWaste to Energy

Mumbai 24,000 tons/day Lagos 22,000 tons/dayNew York 10,000 tons/day

Our Markets: Small-Scale and Very-Small-Scale Local Waste Processing

60-2000 tons/day Systems

Main aim: waste destruction, WtE

Small-Scale

Very-Small-Scale(Local Area or On-Site )

Our TargetMarkets

We are not in the waste collection business. We are focused on waste processing/recycling/disposal

Main aim; waste destruction

Large – Medium Scale

Page 15: Frontline Waste's Detailed Concept Presentation  April 2017

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Types of Waste We Can Combust

Bagasse/Sugar Cane Corn Husks Hops Soy

Leftover “Non-Recyclable” waste from recycling sorting facilities (“Fluff”) Paper & Plastics

Dried cow feces Dried chicken feces

Glass Metals eWaste Wet or Dirty Materials (without pre-treatment)

Agricultural Waste

MSW Residual Waste

What We Can’t Combust

Marine Debris

Animal Waste

“Toxic” Treated Wood

Non-Metal Hospital Waste

Creosote Railroad Ties C&D Materials Utility Poles Disaster Debris

(with pre-treatment: shredding, chopping, sorting, drying)

Page 16: Frontline Waste's Detailed Concept Presentation  April 2017

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WHERE WE PLAY Current Options for Very Small-Scale & Small-ScaleResidual Waste Disposal for Local Areas

Solution Annual Cost ¹

Operation Ease

Environment Impact

Scalability Disadvantages for disposal of “residual waste”

Other Mobile Incinerators

• Uneconomical. Additional fuel required: Operating cost high = 20 gallons diesel/hour• Large amounts of ash produced

Gasification Unreliable. Hard to operate consistently to produce syngas. Can not be scaled to micro size. Not mobile. Best for organics.

Pyrolysis Unproven technology Prototypes emerging but not suited for all waste . Not suited for very small scale or in areas not supported.

Open Burning/Garbage Dump

High societal costs. Negative impact for air quality, water tables, people’s health. In most countries forbidden due to uncontrolled risks.Free to people.

Landfill &Incineration

Landfill done everywhere. More and more difficult to identify new sites. Incineration: huge upfront investment and planning. Only very large scale –

All other “solutions” are sub-optimal and have not gotten significant market traction

¹ Annual cost includes capital equipment leasing or amortized capital costs + operating costs

Page 17: Frontline Waste's Detailed Concept Presentation  April 2017

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Frontline’s Small-Scale Waste Solutions

1 A STANDALONE, SMALL-SCALE & MOBILE COMBUSTOR

5,000 tons/year

(Optional) Waste to Energy module Anchored by our combustor

2 A STARTER MRF (“SMRF”): A SMALL-SCALE, DISTRIBUTED WASTE PROCESSING, RECYCLING & DISPOSAL SYSTEM

25,000 tons/year

For Very-Small Scale <20 tons/day systems

For Small-Scale 20-60 tons/day systems

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Introducing Our Standalone Small-Scale Combustor: a Revolutionary Combustor

Mobile with small footprint (not “fixed” – can be easily moved by truck, barge, railcar)

Uses “smaller” fluidized bubbling bed than currently in market. Recognized, 60 year old effective combustion technology

Intake: Anything that can burn (moisture <35%)

Disposes/Destroys 5000 -7000 tons/year

Built-in pollution scrubbers

Byproduct: “Clean” hot exhaust air

1

6

2

3

5

4

A standalone small-scale & mobile combustor:Used to “cleanly” dispose of waste normally openly burned or sent to garbage dumps

Picture of prior prototype

1

Key Differentiating Features

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Self-Fueling: Low operating costs with NO supplemental fuel required

2 Minimizes ash

Easy to operate & maintain

1

3

5 Potential for Net 75 kW/h with power generator (with R&D)

4Best for disposal of “residual waste” (inorganic non-recyclable waste)

Our Small-Scale Combustor: Advantages

1

Advantages

Page 20: Frontline Waste's Detailed Concept Presentation  April 2017

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Introducing The Starter MRF (“SMRF”) for Small Cities <200,000 Populations

A small-scale, cost-effective waste processing, recycling & disposal system

2

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The bounded collection area is where the local waste operator picks up the waste to be sent to the SMRF

A SMRF Can Handle About 25,000 Tons of Waste from a Bounded Collection Area

• A Starter MRF (“SMRF”) is a central facility where collected waste (by a 3rd party) is processed on-site, sorted out (organics, metals, plastics) for maximum profit and recycling, while minimizing negative environmental impact

• This facility is anchored by our combustor –which can destroy the leftover residual waste – after sorting - that normally is sent to an unsanitary garbage dump or is openly burned within the community

• A SMRF can handle about 25,000 tons of waste. It can expand to handle more waste to be processed by adding a more modular (and mobile) combustors -1 combustor will allow a SMRF to process an additional 25,000 tons of waste – of which 5,000 tons (20% leftover) is handled by the combustor

• A city of 200,000 could eventually have a large facility with 3-6 combustors, depending on amount/type of waste produced by its residents and businesses

2

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80% of waste is composted, recycled. 20% is sent into our combustor = ~100% never leaves!

The Combustor is the SMRF’s Secret Sauce

2

Without the combustor, what would we do with all the leftover valueless waste?

Send it to modern landfill: No! There is none. Too expensive to build.

Bring it to the unsanitary dump: Yes, that’s an option!

Openly Burn it: Yes, that’s an option

Or most likely, never collect it in the first place – which is what happens in these Small cities today. As waste is everywhere, status quo wins!

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80% of waste is composted, recycled. 20% is sent into our combustor = ~100% never leaves!

Each SMRF (With Combustor) CreatesA Waste-Free Impact Zone

2

The Impact Zone This Impact Zone, by definition, should stay Waste-Free as all waste, within these boundaries, is continuously picked up and sent to the SMRF

100% of waste in the Impact Zone enters the SMRF and potentially only a small amount

leaves the facility, i.e. can’t be combusted and sent to landfill

Impact Zone In Small City

Waste Brought To SMRF Facility

For Processing XX Square Miles: About 25,000 Tons of Waste/Year Collected

Page 24: Frontline Waste's Detailed Concept Presentation  April 2017

Small Cities; Rural Areas; IslandsWith limited or no formal waste processing, and where transportation costs to sanitary landfill, if

even available, can be massive

Way Too Much Waste:

Not Our TargetMarket

Mumbai 24,000 tons/day Lagos 22,000 tons/dayNew York 10,000 tons/day

Where We Play: Processing 25,000 tons/yearFor Small-Cities Under 200K, Rural Areas & Islands

Cities 200K-1M populations

Most likely these larger cities are already processing waste. Other competitive solutions available. Potential opportunities in future once our SMRF process proven

2016 Average Waste Per Capita/day

Projected 2025 Average Waste Per Capita/day

2025: # of People

Served For Each SMRF*

Lower Income (343Million)

.60/kg .86/kg 74,000

Lower Middle Income (1.3B)

.78/kg 1.3/kg 48,000

Sub-Sahara .65/kg .85/kg 66,000

Latin America 1.1/kg 1.6/kg 39,000

Middle East 1.1/kg 1.43/kg 44,000

East Asia .95/kg 1.5/kg 42,000*1 SMRF has 1 combustor and a capacity of 25,000 tons processed per year. A small city of 200,000 in Sub-Sahara could have 1 SMRF with 3 combustors to handle estimated 75,000 tons of waste its people produce

2

24

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• Waste firm must be hired to collect waste and scale to reach minimum capacity of 25,000 Tons/yr (up to 500 tons/week)

• Local municipality/government must besupportive

• Waste collected in public areas (daily) – an absolute must!

• Waste collected from residences (at least weekly)

• Waste collected from businesses (as often as needed)

• These collection areas become “waste-free” due to disciplined removal efforts

How The Starter MRF (“SMRF”) Works

[1] Collect Waste

[2] Sort Waste

[3] Compost Organics

[4] Recycle Valuable Materials

[5] Combust Residual Waste

Collect Waste (by 3rd Party firm)

2

Page 26: Frontline Waste's Detailed Concept Presentation  April 2017

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• Organics separated from inorganic waste

• Inorganic waste divided out (glass, metals, plastics, eWaste, miscellaneous)

• In most cases, up to 80% of the waste is organic waste and valuable recyclable waste

Sort Waste Within SMRF

How The Starter MRF (“SMRF”) Works

[1] Collect Waste

[2] Sort Waste

[3] Compost Organics

[4] Recycle Valuable Materials

[5] Combust Residual Waste

2

Page 27: Frontline Waste's Detailed Concept Presentation  April 2017

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• Once organic waste separated, the SMRF waste operator will find best ways to process it.

• Ideally, most of the organics are composted within the SMRF plot of land itself

• The composted waste can be repackaged and sold for profit either to wholesalers or as internal retail product

• In certain local markets, composting won’t be profitable if scaled up. Other cost-effective methods to process organics profitably, using other small-scale technologies, will be deployed, including anaerobic digestion.

Compost Organics

How The Starter MRF (“SMRF”) Works

[1] Collect Waste

[2] Sort Waste

[3] Compost Organics

[4] Recycle Valuable Materials

[5] Combust Residual Waste

2

Page 28: Frontline Waste's Detailed Concept Presentation  April 2017

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• SMRF pre-identifies types of metals, and plastics that can command payment by buyers in market (net of transportation costs)

• These materials are further separated out within the piles of inorganic waste

• Material sent to be packaged into bales that are profitably sold by the ton in nearby marketplace (net of transportation costs)

Valuable Waste Recycled

How The Starter MRF (“SMRF”) Works

[1] Collect Waste

[2] Sort Waste

[3] Compost Organics

[4] Recycle Valuable Materials

[5] Combust Residual Waste

2

Page 29: Frontline Waste's Detailed Concept Presentation  April 2017

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• The remaining residual waste (about 20%) is, for all intent and purpose “valueless” waste

• It is further separated into what can be combusted and what has to go to landfill(which should be minimal)

• The combustible waste is prepped (cut into small pieces) and sent into our combustor -which will be operated 20 hours/day – where the waste is destroyed

• Any waste ill-suited for our small-scale combustor will be sent, if possible, to cement facilities, and any remainders may be sent to nearby sanitary landfills

Combust Residual Waste

How The Starter MRF (“SMRF”) Works

[1] Collect Waste

[2] Sort Waste

[3] Compost Organics

[4] Recycle Valuable Materials

[5] Combust Residual Waste

2

Page 30: Frontline Waste's Detailed Concept Presentation  April 2017

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SMRF Advantages

• Incorporates understood, proven composting/recycling MRF methodologies that capture about 70- 80% of the processed waste

• Enables low cost “just in time” investment by local municipality compared to big waste processing centers and modern landfills that require far more waste than what is generated. A SMRF can grow and process waste as fast as waste is collected

• Expect less need for permitting, due to size, however we will share our monitoring reports as required with local authorities.

• Collected waste is treated “just in time” which reduces risk of fire, smell, and other environmental hazards

• Once proven in one location, authorities can distribute these waste processing centers throughout a local region to effectively collect, recycle and process waste as a region grows

• Operating a SMRF and corresponding waste collection efforts require many people -- a major job creator

2

Page 31: Frontline Waste's Detailed Concept Presentation  April 2017

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THE SMRF BENEFITS

www.frontlinewastesystems.com

Page 32: Frontline Waste's Detailed Concept Presentation  April 2017

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Benefit #1: Each SMRF Creates a “Waste-Free Area” & De-facto “Recycling” Program

WASTE FREE

AREA

We partner with a local waste collection firm and waste disappears in areas where it is collected

In “Local Area A” in Developing World (Currently)

“Leftover”Residual Waste

Waste Burned and/or Sent to UnsanitaryDump

Public perception:

No Difference: Waste “still

everywhere” inlocal community

(if) WasteCollected

MRF: Recycled (small %’s)

Waste Prepped &Sent intoCombustor& Destroyed

In “Local Area A” In Developing World (With SMRF)

“Leftover”Residual Waste

Public perception:Waste disappearswhere collectedClean streets, clean air, cleared beaches=Waste-Free Area

25,000 TonsWasteCollectedIn

SMRF: Recycle & Compost(70%-80%)

A

A

Page 33: Frontline Waste's Detailed Concept Presentation  April 2017

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Benefit #2: Before/After When Waste is Collected All Year Long and Disappears (Via the SMRF)

The public will DAILY (visually) see the differences in where they live.

Page 34: Frontline Waste's Detailed Concept Presentation  April 2017

CLEANER STREETS

BETTER HEALTH & AIR QUALITY

MORE TOURISM $$’S(CAN’T SEE WASTE)

IMPROVED DRINKABLE WATER

HAPPIER PEOPLE TO GOVERN

Benefit #3: The Positive Environmental & Social Impact Of Waste-Free Areas

The SMRF eliminates residual waste from being put back into the community.Waste isn’t openly burned or sent to unsanitary garbage dumps

AIR LESS “SMELLY”

CLEANER NEIGHORHOODS:LESS CRIME

Page 35: Frontline Waste's Detailed Concept Presentation  April 2017

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Benefit #4: SMRFs will be profitable, recover capital investment costs and be economically sustainable

• Assume fair “tipping fees” for taking in and treating collected waste.

• Composting creates fertilizer to sell back to community at profitable, yet below-market rates

• Valuable recyclables (metals, plastics) will also be packaged for sale and sold at profit

• Set up costs are small, outside of combustor. Plus, smaller plots of land required. Ability to create temporary SMRFs for events or place in industrial facilities.

• Each combustor estimated to last for 20 years and subject to minimal maintenance costs. Combustor requires 1 to 2 people to run. Low operational costs and easy to maintain/operate

Bottom line: The SMRF should be operationally sustainable each year after salaries paid to workers

Page 36: Frontline Waste's Detailed Concept Presentation  April 2017

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A

WASTE FREE

AREAS

Benefit #5: When Waste-Free Areas become the norm, Local residents will “demand” them!

DC

B

“Where I live, the streets are now always clean” says Villager in Local Area A “and the air seems fresher.”

Villagers in Local Area B take notice and want the same positive changes to their environment.

Local authorities in Local Area B see benefits…as do Area C and D

We focus on getting “buy-in” from adjacent areas to create an area “tipping point” – and so on..

In most small cities everywhere residents expect government to provide waste collection, now!Local government can look good by embracing SMRFs and working with the public as partner

Page 37: Frontline Waste's Detailed Concept Presentation  April 2017

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Benefit #6: Result: No Need to Build Modern Landfills for Smaller Cities, Islands and Rural Areas

The cost to build modern landfill areas and waste equipment infrastructure (plants, trucks, etc) is costly -- in the $ multi-millions.There needs to be huge quantities of waste to justify the investment ROI

On the other hand, a SMRF starts small and can expand to meet full waste collecting capacity over time. One can add a combustor to a SMRF to increase the amount of residual waste that can be destroyed

Thus, as more and more waste is collected, the SMRF processes the waste and by adding more combustors, the waste is still “disappearing” from the community in a “just in time” way

Page 38: Frontline Waste's Detailed Concept Presentation  April 2017

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OUR BIG VISION

www.frontlinewastesystems.com

Page 39: Frontline Waste's Detailed Concept Presentation  April 2017

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• Building a SMRF is economically affordable and achievable as there is no need to pay for costly modern landfill and fixed volume-heavy waste equipment

• Waste collection becomes easier in participating small cities & rural areas as it becomes clear that housing values appreciate better where SMRFs operate, overall health of residents improves, and business productivity increases

• Operating a SMRF is scalable, profitable and sustainable

Assumptions

Result: Big demand for building a SMRF and for our combustor

The SRMF Becomes THE Cost- Effective Waste Processing Solution for the Developing World’s Small

Cities, Islands & Rural Areas.

Page 40: Frontline Waste's Detailed Concept Presentation  April 2017

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A BC D

N

2030 SDG Goals2017

All small cities, Islands, & rural areas <200,000 people

A SMRF’s Operations Will Be Profitable, Scalable, and Replicatable To Serve Growing Populations And Their Waste

Result: Big demand for building a SMRF and for our combustor

Eventually SMRFs (Anchored by our Combustor) Will Be Ubiquitous in all Small Cities in the

Developing World as “Waste Free Areas” Proliferate

See Exhibit 1 for our steppedstrategy

Page 41: Frontline Waste's Detailed Concept Presentation  April 2017

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By 2020 “Waste-Free” Tourism Areas (Due to SMRFs) Outperform Areas With “Waste Everywhere”

Assumptions

• Tourism areas that support a SMRF and have “waste-free designation” will attract more tourists. Work with Sustainable travel industry.

• In remote tourism areas, the cost of electricity (delivery of diesel) is high. A SMRF can deliver power, too (adding our power module). This makes an even better ROI use case for them.

• More tourists express disappointment in locations with visible waste, especially when compared to “waste-free tourist destinations.” This negatively affects people who want to go to these locations on their vacations.

Result: Hotels & Resorts (with buy-in from Island tourism boards) see the value of deploying SMRFs and commit to drive local waste firms to not just participate, but successfully operate them with local government and tourism-focused business financial support

Page 42: Frontline Waste's Detailed Concept Presentation  April 2017

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FRONTLINE’S CURRENT SITUATION

www.frontlinewastesystems.com

Page 43: Frontline Waste's Detailed Concept Presentation  April 2017

ABOUT 1000 HOURS OF DEMO TESTING

Proven concept – technology works. Built on 60 year old technology. Not re-inventing the wheel, but improving it (with IP) $5M prior venture – Transportable Power Plant (’04-’08) Tested using wood chips & pellets/ engineering reports

Frontline’s Current Situation: Seeking Seed Capital

NEW IP & KNOW-HOW

Short-lead time: build unit in 4-5 months Management Team ready to build and drive sales Core combustor technology hasn’t changed since ’08 California manufacturer ready to go

“Know How” embedded in software controller logic per waste stream IP patents to be filed upon funding

PRODUCTION-READY FOR SALE UNIT

1

3

2

43

o Cold start of fluidized bubbling bed combustor using in-line heater

o Wheel mounted combustor assembly

Seed Round: Minimum $1,000,000

o Retrofit connection from combustor to Organic Rankine Cycle (ORC) power generator

Page 44: Frontline Waste's Detailed Concept Presentation  April 2017

SELLING COMBUSTORS SEPARATELY OR SELLING SMRF SYSTEMS

Our Business Model

SMRF CONSULTING & OPEARTIONAL FEES Initial Feasibility Studies Business Plans, Finding Strategic Partners, Funding Sources Set up SMRF site and operational advisory oversight (over first X years) Hands-on operational management (if contracted) for period of time

LICENSING FEES, JOINT VENTURES, BOTs

1

4

3

44

Looking for strategic partners for exclusive country licenses to manufacture combustor and/or run SMRFs

Open to Build Own Transfer arrangements; Open to Joint Ventures Open to exclusive and non-exclusive country licensing fees to sell and/or

operate combustor and SMRFs

OPERATING ON-SITE COMBUSTORS IN U.S. FOR MRFS & INDUSTRIAL FACILITIES

2

Save them $ by charging less than their transportation and landfill tipping fees We employ workers, handle all aspects of business. Create annuity stream

Page 45: Frontline Waste's Detailed Concept Presentation  April 2017

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UNITED STATES

First Target MarketsDEVELOPING WORLD

52 Small Island Nations Developing cities <200,000 people Refugee Camps

o Focus on SMRF o Inadequate or no scalable waste

management systemo Partner with established waste

collector o Priority focus on tourism areas or

where active local government support

Paper MRFs (on site disposal)

Companies and Cities Zero-Waste Initiatives

SALES VISION: Potential 5,000-10,000 units; $4B-10B Sales

Page 46: Frontline Waste's Detailed Concept Presentation  April 2017

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WHERE WE PLAY Growth Capital Stages

(1) Finance Build & Sell Unit 001

For “Demonstration Pilot”

(2) Expand With 3-5 Pilots

Focus on tourism areas & target market opportunity buyers

(3) Rapid Expansion

Via Partnering (Series B, if needed)

$1M Pre-Series A $3M - 5M Series A Breakeven Month 30

Months 1-8 Months 9-20 Months 21+

Use of Funds: Parts/Labor/Salaries to build Unit 001

Establish manufacturing process & scalability, IP patenting

R&D for handling plastics disposal, ORC energy retrofit,

Use of Funds: •Establish ability to successfully deploy (with results) SMRFs and scale in target markets

• Scaling sales

Page 47: Frontline Waste's Detailed Concept Presentation  April 2017

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LAUNCH TEAM

Our Management Team

ADVISORS

Rob Steir

Perry Mclain, Chief Product Engineer

Bernie Podberesky

Randy Wolf

Frank Raschke

Frank is a finance-focused waste executive for 30 years, mostly in the U.K. Currently he resides in Myanmar where he is developing different types of waste solutions for Myanmar and similar developing countries (including hazardous waste and sludge) as he believes not one solution fits all. He is an expert in project financing.

Rob has 25 years of business innovation expertise, strategy & business development. Kellogg MBA.

Perry has 30+ yrs in product manufacturing of industrial & agricultural equipment and has invented multiple products (with patents).

Bernie spent 25 years at GE in senior procurement positions within the nuclear energy business.

Randy has done it all within the waste management industry for 40 years. For the past 14 years his focus has been working with Fortune 500 companies to maximize the value of waste generated & minimize the amount of waste to landfill. Works for MRF in PA . He is an expert about the MRF world and what works and doesn’t work.

Page 48: Frontline Waste's Detailed Concept Presentation  April 2017

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Why Investors Should Care

POTENTIAL DEMAND FOR THOUSANDS OF UNITS GLOBALLY

POTENTIAL FOR LICENSEES AND/OR STRATEGIC PARTNERS IN EACH REGIONAL MARKET

MINIMAL INVESTMENT ($1M-$5M) FOR POTENTIAL BIG RETURNS

OPPORTUNITY TO ACHIEVE A BIG SOCIAL IMPACT RESULT

Page 49: Frontline Waste's Detailed Concept Presentation  April 2017

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ONE INFOGRAPHIC = 1000 WORDS SUMMARY

www.frontlinewastesystems.com

Page 50: Frontline Waste's Detailed Concept Presentation  April 2017

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In U.S. & Europe (currently)

In Small Cities in Developing World (Currently)

“Leftover”Residual Waste

Sent to SanitaryLandfill

Public perception: Waste always “disappears”

WasteCollected MRF: Recycled

(30%-50%)

“Leftover”Residual Waste

Waste Burned and/or Sent to UnsanitaryDump

Public perception:

No Difference: Waste “still

everywhere”

(if) WasteCollected

MRF: Recycled (small %’s)

In “Local” Area In Developing World (With SMRF in Future)

“Leftover”Residual Waste

Waste Prepped &Sent intoCombustor& Destroyed

Public perception:Waste disappearswhere collectedDirect cause/effectCreating 365/24/7 Waste-Free Area

25,000 TonsWasteCollectedin Local Area

SMRF: Recycle & Compost(70%-80%)

Page 51: Frontline Waste's Detailed Concept Presentation  April 2017

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Please Contact: Rob Steir

[email protected]

www.frontlinewastesystems.com

April 2017

THE END

Page 52: Frontline Waste's Detailed Concept Presentation  April 2017

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Exhibit 1

STEP BY STEP IMPACT: HOW A REGION BECOMES “WASTE-FREE”

A Region= a set geographic area with X population. It is strategically divided into SMRF-sized local areas

base on its geography and population centers

www.frontlinewastesystems.com

Page 53: Frontline Waste's Detailed Concept Presentation  April 2017

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

1

Establish 1 SMRF beachhead in a local area within a region. Preferably there is a local waste collector already operating and ready to rapidly expand its business

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Step 1

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Get buy-in of “cluster” of 3 additional adjacent areas (preferably) to create one large “waste-free” area; or sign up 3 nearby small cities which commit to hosting a SMRF and to formalized waste collection

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Step 2

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Start new “cluster” beachheads in different parts of the region. Business plans must support local operational sustainability. Find passionate waste collection firms in these small cities within region to further expand waste management reach

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Step 3

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Local government will expand into “adjacent” areas at appropriate times for each beachhead area based on a local SMRF hitting certain milestones and attaining operational sustainability. If a local area fails , then move the SMRF facility to another regional location

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Step 4

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

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Eventually SMRFs occupy an entire region. The region now has a sophisticated army of waste collectors, an effective recycling effort, and sustainable and profitable SMRFs. Each local area may even have more than 1 SMRF or 1 SMRF may have more than 1 combustor to meet residual waste disposal requirements to maintain “waste free areas”

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Step 5

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THE BEAUTY OF A SMRF-LED DISTRIBUTED WASTE MANAGEMENT STRATEGY FOR A REGION

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At some point, new large-scale waste processing technology will be available for the entire region and with collection process in place, individual SMRF’s may turn into recycling-only MRFs (moving combustor out and used somewhere else) and a centralized “residual” waste-to-energy facility built to handle even more waste in each local area.

Each Square=25,000 tons

On average: 80% organic/recycle20% residual waste

Step 6

Waste To Energy Facility

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EXAMPLE: KITUI COUNTY KENYA

1.1M Population (2009 Census) – 11,500 sq. miles of land. Compare, in theory, 1 landfill at 1000 tons/day (0.85 kg./day/capita) vs. est. 15 SMRFs placed throughout county

Step 1 Step 2 Step 3

1st SMRF in majorCounty city: Kitui CityPopulation 160,000.Cost: $1.25M, incl. trucks& waste operator 3 years.

City expected to grow to 250,000 by 2030.3 more SMRFs added to cover city’s waste collections

3 Beachhead SMRFs started in the 3 other sub-regions

Step 4 Step 5

More SMRFsadded to each Sub-regions

All 15 SMRFs operational. Most waste now collected in entire country!