1Fibrowatt Ash Fertilizer:

Managing Valuable Resources in Combination

With Successful Crop Fertilization

February 2012

2Company Development and Operating History

Glanford

Comm: 1993

Design Output: 13.5MW

Eye, UK

Comm: 1992

Design Output: 12.7MW

Thetford

Comm: 1998

Design Output: 38.5MW

Fibrominn

Comm: 2007

Design Output: 55MW

Fibrowatt: Developer/Builder/Operator of Poultry

Litter Biomass Plants

20+ years of experience generating power from

poultry litter and ag biomass

Combusted 8 million tons ag biomass Produced over 7 million megawatt-hours Sold over 1.5 million tons of ash fertilizer

HBE: Developer/Builder/Operator of

Manure/Substrate AD projects

Currently operate three AD projects in WI

(produce 450 mmBtu/day Methane output per

system)

Developing largest animal waste AD system in NA

(1 bcf gas/yr)

Biomass Plants Developed By Fibrowatt

3Fibrominn Biomass Power Plant

The Only Facility of Its Type in US

The Largest Biomass Facility Fuelled with Poultry Litter in the World

Market 100,000 tons of Ash Fertilizer By-Product Annually

This Plant is the Basis for All Analyses Incorporated into this Presentation

4FibroVA Project Details

Design Rating: 55 MW

Total Expected Capital:

$300 million

Job Creation

Plant Operations: 32 personnel

Ash Fertilizer Operations: 5

personnel

Trucking: 100+ Jobs

Fuel Requirements:

Total: 545,000 tons/year

Target Litter: 273,000 - 465,000 tons/year

Target Wood Biomass: 273,000 - 80,000 tons/year

Ash Fertilizer Generation

~80,000 - 100,000 tons/year

5Utilization of S Valley Poultry Litter by FibroVA*

Parameter N (MM lb) P (MM lb)

350,000 tons Litter 21.9 9.5

Excess Load to Bay 2.293 0.717

Excess Buildup in Soil 7.140

FibroVA Progress Toward VA WIP Reduction Goals

VA WIP N and P Reduction Goal 6.990 1.223

Fibrowatt N and P Reduction Achieved 32% 58%

Estimated Value for WIP $1.9 Billion

FibroVA Aids in State Progress To Bay Goals

*Diverting Litter to FibroVA Prevents Loading to Bay and Build Up

of P in Soil

6FibroVA Provides Superior Environmental Benefits

FibroVA Design Emissions Far Surpasses

Applicable EPA

Emissions Limits

FibroVA Provides Far Superior Environmental

Benefits compared to

Solar and Wind

EPA CISWI Limits

FibroVA

Energy SourceCapacity

(MW)

GHG Offsets

(tpy)

PM2.5

Reduction

(tpy)

N Reduction

(mmlb/y)

P Reduction

(mmlb/y)

FibroVA (90% CF) 55 400,025 891 2.293 0.717

Solar (14% CF) 662 400,025 0 0 0

Offshore Wind (34% CF) 278 400,025 0 0 0

721.9 million lbs Nitrogen in Litter 9.5 million lbs Phosphorous in Litter

9.5 million lbs preserved in ash

350,000 tons of litter/year

Combusted at FibroVA

P-rich ash applied to soils at efficient

agronomic rates

Soil nutrient levels are kept in

balance + P is not wasted

N enrichment achieved by cover crop and/or

commercial N application

21.4 million lbs converted to N2

FibroVA Byproduct - Improved Nutrient Management

8P is Segregated into

Deposits by Living

Organisms

Preserved as Fossil

Resource

Key Building Block of Life

DNA: Genetic Code

ATP: Chemical Activity That Powers Every Cell

Essential to High Yield in Crop Production

No Substitution of P in Role of Producing Life

Why is Phosphorous So Important?

Fossil P is used at

High Rate with

Little Conservation

9Country

Extracted 2010

(MM tons)

Reserve

(MM tons)

United States 26.1 1400

Algeria 2 2200

Australia 2.8 82

Brazil 5.5 340

Canada 0.7 5

China 65 3700

Egypt 5 100

Israel 3 180

Jordan 6 1500

Morocco and

Western Sahara 26 50000

Russia 10 1300

Senegal 0.65 180

South Africa 2.3 1500

Syria 2.8 1800

Togo 0.8 60

Tunisia 7.6 100

Other Countries 9.5 620

World Total 176 65000

Phosphorous A Valuable and Limited Resource

Global Concern from Overuse of Supply and Keeping up with High Demand

USA: ~50 years reserves of

Domestic Mineable P

Essential to Conserve Manure P

as Domestic Resource

USGS 2011 Report on Global P Use

10

Phosphorous A Precious But Wasted Resource

Agriculture 44%

Non-Tidal Water Deposition 1%

Forest 15%

Point Source 25%

Urban Runoff 15%

All Sectors of Agricultural Need to be Managed for

Efficient Use of P

Poultry litter is unique because it captures large

amounts of P

Example: Chesapeake Bay

Fibrowatt Plants Capture

and Preserve P

Efficient Use of

Fibrowatt Ash Produces

High Crop Yield and

Low P Residue in Soil

http://stat.chesapeakebay.net/?q=node/130

11

Guaranteed Fertilizer Analysis -Fibrominn

Sol. Phosphate (P2O5) * 6.0% Boron (B) 0.01%

Total Phosphate (P2O5) 10% Copper (Cu) 0.09%

Sol. Potash (K2O) * 4.5% Iron (Fe) 0.4%

Total Potash (K2O) 6% Manganese (Mn) 0.11%

Calcium (Ca) 14.0% Molybdenum 0.002%

Magnesium (Mg) 1.9% Zinc (Zn) 0.08%

Sulfur (S) 1.5%

Fibrowatt Byproduct - Ash Fertilizer

Not a synthetic blend

Valuable source of micronutrients

Nutrients are evenly dispersed in ash enabling precision assess of roots to nutrients

12

Parameter Fibrowatt

Ash with N *

Commercial

Fertilizer *

Turkey Litter

Example **/+

Application (ton/acre)

0.75 Varied 5

N applied (lb/a)

180 (+) 180 (+) 200

P2O5 applied (lb/a)

90 105 250

K2O applied (lb/a)

60 75 150

Yield (bu/acre)

183 178 166

Fertilizer Application and Yield Comparison

* 2011 results of MN study in development to evaluate utilization of poultry litter ash as fertilizer.

** http://www.sbreb.org/research/soil/soil99/99p132.htm, 1999 MN study including turkey litter as fertilizer and associated corn

yield production.

+ After extensive research on available literature, this source proved to have the highest published yield in association with

litter application; other resources have shown higher yield but without documentation of litter application rate.

Fibrowatt Ash and

Commercial Fertilizer

Rates Traditional for

N and P Application

Ash Fertilizer Yield

Advantage

13

Fertilizer Type Fertilizer ($/Acre)

Yield Sales($/acre)

% Fibrominn Ash

Advantage Over

Other Fertilizer

Fibrominn Ash (cost /acre) $110.50 $1,100 --

Commercial Fertilizer (cost/acre) $115.50 $1,070 3.5%

MN Turkey Litter @ $17/ton(cost/acre) $125.00 $999 4.3%

Fertilizer Cost Analysis

Ash Price Indexed to Commercial Fertilizer Based on P-K-S-Zn concentration

Turkey Litter Cost Based on Most Recent MN Spot Market Price

Yield Sales Based on USDA MN 2010 Cash Prices at Principal Markets ($6.02/bu)

14

Fibrowatt Ash and Environmental Management of

Phosphorous

Parameter Fibrowatt Ash

with N

Commercial

Fertilizer

Turkey Litter

Example

Application (ton/acre)

0.75 Varied 5

Corn Yield (bu/acre)

183 178 166

P2O5 applied (lb/a)

90 105 250

P2O5 Grain Removal (lb/a)

64 62 58

P2O5 Remaining(lb/a)

26 43 192

% Excess P Avoided -- 39% 86%

According to Results Fibrowatt Ash Leaves Lowest Concentration of Residual P In Soils

Key in Efficient Management of Domestic P Resources and Reduction of P Runoff to

Watersheds

15

FibroVA: 2X Reduction of Phosphorous loading to

the Bay or other areas:

1) Reduces excessive P loading by diverting litter

from land in Bay Watershed to FibroVA

2) Optimizes P fertilizer use by utilizing high

yield/low application Ash By-product resulting

in minimal P buildup in soil

16

FibroVA Summary of Benefits

Plant Operation

N and P load reduction to Bay

Support for VA Bay Compliance Goals

Air Quality Benefits

Low Cost and Cost Effective Renewable Energy

Preservation of Ag Sector

Ash By-Product

Conservation of Domestic Phosphorous Resource

High Crop Yield Compared with Other Fertilizers

Cost Effective Fertilizer

Fertilizer Use Leads to Continued Environmental Conservation

17

Contact Information

Laura Kellogg, Director of Business

Development and Environmental

Services

laura.kellogg@fibrowattusa.com

James Potter, President and Chief

Operating Officer

jim.potter@fibrowattusa.com

FIBROWATT LLC

One Summit Square, Suite 200

1717 Langhorne-Newtown Road

Langhorne, PA 19047

Ph: 267.352.6588

Fax: 267.352.0035

www.fibrowattusa.com