CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012

CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012

• Carbon Conscious – Australasia’s leading developer of carbon forestry projects for Australian companies to offset their carbon emissions

• Provides the most attractive solution for major emitters at well under $23/tonne commencement price

• Contractually plants native trees on poor agricultural land for bio sequestration

• Strong track record having secured major transactions with Origin Energy & BP.

Business model


Strong growth


# Targeted Planted Hectares * Planting Underway


Size of Australian Carbon Market

Demand

346 Mt PA by 2020

Demand

346 Mt PA by 2020

CCF Supply 4 Mt PA

Other Forestry 11 Mt PA

Earnings guidance

Forecast profits based upon plantings completed in year

FY 2012 2013 Target#

2014 Target#

Planted hectares 10,000 20,000 30,000

Revenue $16 M $43 M $64 M

EBITDA $4.6 M $22 M $34 M

NPAT $3.5 M $14 M $23 M

Shares on Issue 79 M 79 M 79 M

Basic EPS 4c 16c 26c

Diluted EPS^ 3.6c 15c 24c


• #Projections assume additional contracts are executed at or about the approximate pricing levels of existing contracts. Costs, fees and other expenses related to the business remain within budget expectations.• ^Based on fully diluted shares + fully exercised options.

• Clean Energy Act 2011 (Carbon Tax) and Carbon Farming Initiative (CFI) are now law

Increased certainty


• Origin has exercised its 2012 planting options. $163 M remaining in options.

• 10,000 hectares of planting in 2012 planting season (5x increase on 2011)

• New Zealand plantings continuing

2009Executed both major CPRS carbon forest sink trades (Origin Energy & BP Singapore)

2010Australia’s first international carbon trade(Carbon Conscious Ltd – Perenia)

Executed Australia’s first & only senior debt facility for carbon forestry with CBA

2011Executed Australia’s first carbon trade post the Clean Energy Act (Origin Energy)

First major carbon forest sink transaction in NZ with a major Australasian energy company

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Industry leading

Carbon Conscious continues to lead the industry

Value proposition


• $20 M – NPV of 15 year fee revenue

• $21 M – NPV of 15-30 carbon

• Value of NZ timber or 20+carbon is significant

• Free option on Mallee biomass

• Profitable company in new andemerging industry

• Unprecedented deal size potential ($2 billion) to substantiate forecasts

• Demand seriously outstrips supply

• CCF is ideally positioned – substantial growth opportunities

• Secure revenue worth $43M over the next 15 years

• Significant re-rating is coming

Understanding the opportunity


Carbon Conscious at a glance

ASX Code CCF

Issued Capital FPO Shares 79.3 M Unlisted Options 9.6 M Market Cap $13 MShare price (@ 28/5/12) $0.16

Tightly held stock


Major Shareholders

Broadacre Asset Mgt 12 %Stoney Pastoral Co 7 %Yall Super 3 %

Top 50 Holds 73 %Top 100 Holds 84 %

Our expertise

Management Team:

Peter BalsariniExecutive Director, Chief Executive Officer

Stephen BodekerChief Financial Officer

Daniel StevensDirector, Business Development

David GroomGeneral Manager, Operations

Jeff DouglasLand Manager

Ric CollinsDirector, Carbon Estates


Board of Directors:

Stephen LoweExecutive Chairman

Trevor StoneyNon Executive Director

Kent HunterNon Executive Director

Andrew McBainNon Executive Director

Documents

CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012