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Biofine Technology, LLC“Cellulosic Biodiesel”

www.biofinetechnology.com

BIOFINE

THEBIOFINEPROCESS

CELLULOSE AND STARCH

CELLULOSIC BIODIESEL

BIOFINE

PRESENTATION OUTLINE

THE BIOFINE “BIO-REFINING” PROCESS

LEVULINIC ACID: A VERSATILE PLATFORM CHEMICAL

LEVULINATE ESTERS: A NEW CLASS OF CELLULOSIC ADVANCED BIOFUELS

TEST WORK (BROOKHAVEN NATIONAL LABORATORY)

LIFE CYCLE CARBON DIOXIDE SAVINGS AND BENEFITS FOR HEATING OIL

FEEDSTOCKS AND POTENTIAL LOCATIONS

PRODUCTION - WHAT WILL IT COST?

Cellulose

Sugars

Intermediates I

HMF

Intermediates II

Levulinic Acid (50wt %)

First Stage“Plug Flow”

Reactor

Second Stage“Back Mixed”

Reactor

Biofine Process – Fast Chemical Conversion

Fast Reaction(Seconds)

Slower Reaction(Minutes)

BYPRODUCTS: Tars (30 wt%)

Formic Acid (20 wt %)

OCH2OHOHC

BIOFINE

THE BIOFINE PROCESS(THE “BIOREFINERY”)

CROPS

ARGICULTURAL

RESIDUES

CELLULOSIC

SLUDGES

WOOD

STARCH

WASTEPAPER

MOLASSES

THE

BIOFINE

PROCESS

LEVULINIC

ACID

FORMIC

ACID

FURFURAL

LIGNEOUSCHAR

DOWNSTREAM

CONVERSION

SPECIALTY

CHEMICALS

COMMODITY

CHEMICALS

HERBICIDES

PESTICIDES

TRANSPORTATION

FUELS

HEATING OIL

FEEDSTOCKS

“BIOMASS”

PRODUCTS

HO OHO

Osuccinic acid

HO OH

O

3-hydroxypropionic acid

OHO

NH2

HOO

glutamic acid

aspartic acid

OHHOO

O NH2

HO OHOH

glycerol

OOHO

4-hydroxybutyrolactone

itaconic acid

HO OHO

O

O

O

OH

levulinic acid

OO

OH

O

HO

2,5-furandicacboxylic acid

OH OHOH

OH OH

xylitol

OH

OHOH

OH

OH

OH

sorbitol

HO OH

OH

OH

OH

OH

O

O

glucaric acid

LEVULINIC ACID: ONE OF THE U.S. DEPARTMENT OF ENERGY’S “SELECT TWELVE” PLATFORM CHEMICALS FROM BIOMASS

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Liquid Fuel Markets

• U.S. Fuel Markets:–Heating oil – 7+ billion gallons–Diesel Fuel – 53+ billion gallons–Gasoline – 140+ billion gallons

DRIVERS FOR RENEWABLE LIQUID FUELS

Sustainable Development (Social, Economic and Environmental) Kyoto – Reduction of Atmospheric Carbon Emissions Legislation (Carbon Control Programs for Fuels) Synergy with Primary Carbon Use (Liquids) Convenience of Use -High energy content (Liquid Fuels) Improved Product Performance (Cleaner Burning) Security of Supply (Home Grown Fuels) Agricultural Support (Energy Farms, Ag Byproducts) New Business Potential (Huge markets)

BIOFINE

LEVULINATE ESTERS“CELLULOSIC BIODIESEL”

A NEW CLASS OF ADVANCED BIOFUEL

FOR USE IN

COMMERCIAL AND RESIDENTIAL HEATING OIL

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“CELLULOSIC BIODIESEL”LEVULINIC ACID ESTERS

• EASILY PRODUCED FROM LEVULINIC ACID AND AN ALCOHOL (ETHANOL OR METHANOL)

• BIODIESEL FROM NON-FOOD FEEDSTOCKS - CELLULOSE

• GREENHOUSE GAS SAVING – OVER 90%• GRAS - PRESENT MARKET IS IN FLAVORS AND

FRAGRANCES • SAFE - HIGH FLASH POINT TEMPERATURE• LOW FREEZING POINT• CLEAN COMBUSTION (HIGH EFFIC, LOW PARTICULATE)• ROUTE FOR METHANOL OR ETHANOL INTO HEAVY FUELS• REASONABLE ENERGY DENSITY (100,000 BTU PER

GALLON)• LOW VISCOSITY, HIGH LUBRICITY• BLENDS WITH BIODIESEL IN ALL PROPORTIONS• MUTUAL SOLVENCY WITH BIODIESEL IN DIESEL AND

H.O.• EXTENDS AVAILABILITY OF FAME TO MEET DEMAND

LEVUINATE ESTER FUEL TESTING PROGRAM AT BNL

• LEVULINIC ESTER BLENDS WITH BIODIESEL AND No. 2 HEATING OILFUNDED BY NORA, BIOFINE AND BNL

• OXIDATIVE STABILITY (RANCIMAT)• ELASTOMER TESTING (NITRILE, VITON, TEFLON) (IN-PROGRESS)• COMBUSTION TESTING (EFFICIENCY AND EMISSIONS)• BLEND MISCIBILITY ESTERS WITH BIODIESEL AND No.2 H.O.• COLD TEMPERATURE BEHAVIOUR (CLOUD/POUR) (IN PROGRESS)• WATER ABSORPTION• BURNER CLEANING EFFECT FOR GUM DEPOSITION (IN-

PROGRESS)

BIODIESEL OXIDATIVE STABILITY – EFFECT OF LEVULINATE ESTERS

BNL DATA

COMBUSTION QUALITY RESULTS

• SUMMARY (Operational data from oil-fired test boiler at BNL)

CO CO2 % SO2 EFF% NOx(ppm) (ppm) (ppm)

No. 2 Oil 6.6 13% 61 86.6% 119

Levulinate Ester 2.1 10% 2 86.2% 39

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LEVULINATE ESTER COMBUSTION IN OIL BURNER B.N.L. Photos 100% E.L. and No. 2 Heating Oil

(B.N.L. notes lean burn of E.L. and less excess air required)

Ethyl Levulinate EL-100 No. 2 Home Heating Oil

LSRD 1 LE Blend LSRD 20

0.5

1

1.5

2

2.5

3

3.5

GENERATOR TESTING - 35% LESS SMOKE WITH LEVULINATE ESTER BLEND

Texaco R&D funded by NYSERDA

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LEVULINATE ESTER USE WITHBIODIESEL (FAME) - MISCIBILITY

B.N.L. Photo of 50% Levulinate Ester and 50% Biodiesel

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LEVULINATE ESTER USE WITHBIODIESEL (FAME) - MISCIBILITY

B.N.L. Photo of 5% Ester, 5% Biodiesel, 90% heating Oil

LOW TEMPERATURE BEHAVIOUR OF ESTER BLENDS

• TESTING IN PROGRESS PER ASTM D-5771 AND D-5950

• INITIAL QUALITATIVE TESTING CONFIRM SIGNIFICANT LOW TEMPERATURE BENEFITS ON CLOUD POINT AND CFPP

WATER ABSORPTION WITH ESTER BLENDS

• HEATING OIL/BIODIESEL/ESTER BLENDS REJECT WATER

• BLENDS ARE STABLE IN PRESENCE OF WATER

• NO MEASURABLE CHANGE IN SEPARATED WATER VOLUME

• SUPPORTED BY PREVIOUS TEST WORK (PER ASTM D-1094)

GREENHOUSE GAS LIFE CYCLE ANALYSES FOR LEVULINATES

• FUNDED BY BIOFINE

• CARRIED OUT INDEPENDENTLY BY EARTHSHIFT LLC (VERMONT/N.H.)

• “GREET” MODEL (ANL)

• ASSESSMENT OF THE SUSTAINABILITY OF BIOMASS-DERIVED FUELS

• COMPARED LEVULINATE ESTER TO BIODIESEL AND GASOLINE/DIESEL

Urban Solid Waste

BIOFINE

Material and Energy Flows forProduction and Utilization of

Chemicals & Fuels from Biomass

LEVUNIATE ESTERS VERSUS FOSSIL FUEL

GASOLINE DIESEL LEVULINATE ESTER0

100

200

300

400

500

600

GHG EMISSIONS FROM LEVULINATE ESTERS VS CONVENTIONAL FOSSIL FUELS

GRAMS GHG PER MILE

GHG EMISSIONS FROM LEVULINATE ESTERS AND SOY BIODIESEL

REGULAR DIESEL SOY BIODIESEL LEVULINATE ESTER

-20

0

20

40

60

80

100

GHG EMISSIONS FROM REGULAR DIESEL, SOY BIODIESEL AND LEVULINATE ESTER

Kg per million BTU

SIGNIFICANCE FOR HEATING OIL EMISSIONS

BLENDING REQUIREMENT WITH HEATING OIL TO ACHIEVE GHG PARITY WITH NATURAL GAS HEAT

SOY BIODIESEL – 12%

LEVULINATE ESTER – 6%

50/50 BIODIESEL/LEVULINATE ESTER BLEND – 9%

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ECONOMIC IMPACT OF LARGE SCALE COMMERCIAL APPLICATION

Facility Feedstock Capacity 1,000 dry tonnes per dayDirect jobs created 90 full time equivalents Supply jobs created 58 full time equivalentsInduced jobs 337 full time equivalents

TOTAL JOBS CREATED 486 full time equivalents

Construction jobs created 565 job years (250 per year)Petroleum Displacement 1,000,000 barrels/yr

Innovative Natural Resource Solutions LLC

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Co-location Pulp and/or paper mill Power Plants Waste Recycling Plants

Saves capital and operating costs

Leverages existing infrastructure and resources

PROCESS ECONOMICS:BIOREFINERY CAPITAL, OPERATING COST and PROFITABILITY

Facility type Large Scale Brown Field

Dry woody biomass (forest residues) 1000 Dry Metric Ton/day

Capacity – (Ester: Metric Ton /yr) 145,000

ISBL Capital $MM (incl. power island) $200 million

Feedstock Cost $70/dry Metric Ton

Manufacturing cost($/MT of EL) $606/metric ton

By Product Credit ($/MT of EL) $180 per metric ton

Total Production Cost $/MT ($/gallon) $426 ($1.63)

Total Projected Revenues (with byproduct credits) $142 million per year

Total Projected Earnings (EBIDTA) $64 million per year per plant

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Biomass Conversion CostLarge Scale Operation

Biomass delivered $70 per dry tonne$4 per GJ

Fuel Production Cost $ 426 per tonne$17 per GJ

Compare: Gasoline at $2.15/gallon $740 per tonne

$17 per GJ

BIOFINE

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Biofine Technology, LLCStephen W. Fitzpatrick Ph.D.

(508) 532 6760 extn 11

WWW.BIOFINETECHNOLOGY.COM