CleanHydro Providing a real solution to the world’s energy needs

CleanHydroProviding a real solution

to the world’s energy needs

CleanHydro

1.1 Current status ofthe world’s energyneeds

I OIL - 37%

I COAL - 25%

I GAS - 23%

I NUCLEAR - 6%

I BIOMASS - 4%

I HYDRO - 3%

I SOLAR - 0.5%

I WIND - 0.3%

I OTHER - 1.2%Source: REN21 Global Status Report on Renewables

Together the fossilfuel is 85%

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1.2 Current status ofthe world’s energyneeds

More than half of the energy has beenconsumed in the last two decades sincethe industrial revolution, despite advances in efficiency and sustainability

According to IEA world statistics,between 2004 and 2008 the world’spopulation increased by 5%, our annualCO2 emissions went up by 10% and gross energy production increased 10% 3

3 IEA Key Energy Statistics, 2010

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3.0 Emissions Emissions are considered to be the mostserious global environmental problemfacing us today. As a result, manynations have signed the UN agreementto prevent a dangerous influence in theclimate system.

Limiting global temperature rise at 2%,(considered as a high risk level byStockholm Environmental Institute), willrequire a 75% decline in carbonemissions in the industrial countries by2050, assuming the population to be 10mrd by that time5.

75% in 40 years will requireapproximately a 2% decrease every year.

5 Energiläget 2050 by Professor Cristian Azar and Kristian Lindgren

CleanHydro

3.2 Emissions In 2011, the warming emissions of energyproduction continued rising regardless ofthe consensus of the basic problem.

It is estimated that human activityhas already created a rise of 1,5°Cin the temperature6.

According to Robert Engelman of theWorldwatch Institute, emissions must betotally stopped within a decaderegardless of economy and populationstate (2009)7.

6 Paul Brown, Global Warming, The last chance for change, 20067 State of the World 2009, Worldwatch Institute, 2009

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4.0 Carbon Credits

CleanHydro

4.1 Carbon Credits A carbon credit is a generic term forany tradable certificate or permitrepresenting the right to emit one ton ofcarbon or carbon dioxide equivalent.

Carbon credits and carbon markets are acomponent of national and internationalattempts to mitigate the growth inconcentrations of greenhouse gases.One carbon credit is equal to one ton ofcarbon dioxide, or in some markets,carbon dioxide equivalent gases.

Carbon trading is an application of anemissions trading approach. Greenhousegas emissions are capped and thenmarkets are used to allocate theemissions among the group of regulatedsources.

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4.2 Carbon Credits Formalized in the Kyoto Protocol, theconcept of carbon credits came intoexistence as a result of increasingawareness of the need for controllingemissions. The IPCC (IntergovernmentalPanel on Climate Change) has stated:

Policies that provide a real or implicitprice of carbon could create incentivesfor producers and consumers tosignificantly invest in low-GHG products,technologies and processes. Suchpolicies could include economicinstruments, government funding andregulation

,

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4.3 Carbon Credits

Managing emissions is one of thefastest-growing segments in financialservices in the City of London with amarket estimated to be worth about€30 billion in 2007. Louis Redshawhead of environmental markets atBarclays Capital predicted that“Carbon will be the world'sbiggest commodity market, andit could become the world'sbiggest market overall.”Energy use and emission levels arepredicted to keep rising over time.Therefore the number of companiesneeding to buy credits will increase,and the rules of supply and demandwill push up the market price,encouraging more groups to undertakeenvironmentally friendly activities thatcreate carbon credits to sell.

CleanHydroHydrogen Production

with zero carbon emissions

CleanHydro 5.0 Hydrogen:The fuel of the future

CleanHydro

5.1 Hydrogen:The fuel of the future

Current industrial production of hydrogengenerates several tonnes of carbon dioxidefor each tonne of hydrogen.

method that produces hydrogen with zerocarbon emission.

This is achieved by keeping all emissions(including that which provides the energy byburning coal or gas) together until the endstage of the series of reactions by a proper

engineering management of the endothermic(heat requiring) and exothermic (heatproducing) reactions. Little or no additionalenergy is required to run our reactors.

But CleanHydro have now developed a

Hydrogen production companies all over theworld will benefit by modifying their existingplants using the method developed byCleanHydro. They will be producinghydrogen without carbon emission, earningcarbon credits (where available) andincreasing their profit margins.

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Our reactors will not only provide hydrogenand carbonate but also relatively pure

nitrogen. The mixed gases (N2+H2) can bedirectly used in ammonia plants, or the gases

Most contaminants occurring in coal or gasare removed in the final reactor as solids.The carbonate may be recrystallized forpurification.

To date, nobody has seen the potential of

combining the two methods, namely the

carbonation of CO2 and the production ofhydrogen by the steam-methane-reformationtechnique.

can be separated for selling as needed.At present, there is no competitive process to

achieve what we are proposing. And there areno full-scale plants in operation that canproduce hydrogen without carbon emission

and, at the same time, sequester CO2.

CleanHydro


Although there are a few comparabletechnologies on the horizon, technologies toproduce hydrogen without carbons are non-existent or, at best in infancy without proofof a final product.

The carbon sequestration technologies arepractically in the same stages of developmentas our reactor technology, but without manyof the benefits our reactors offer.

future but, thanks to CleanHydro and our

modified steam-methane-reformation (SMR)reaction, the future is available to us all, now!

There are many hydrogen production plantsall over the world who may opt to modifytheir plants or build new ones as the demandfor hydrogen grows.

The commercial potential around the worldfor hydrogen produced using our method isalready massive, and is growing daily.

Hydrogen is considered as the fuel of theCan you afford to ignore it?



CleanHydro

6.0 Science thatworks

CleanHydro


CleanHydro offer three types of reactors:

I CLEANHYDRO REACTOR IHydrogen production with zeroemission using coal or methane(natural gas).

This reactor type requires easyaccess to caustic soda, coal* ormethane and water,

*Coal may be replaced by otherforms of fossil fuel

CleanHydro Reactor I produceshydrogen without any carbonemission, as well as otherindustrially useful products whichcan then be sold on for additionalprofit.

Coal to hydrogen

5.6 N2 + 2.5 C+H2O+1.5 CO2

1.5 C + 5.6 N2 + 1.5 O2

8 NaOH+ H2+ 4 CO + 5.6 N2= 4 Na2CO3 +5 H2

5.6 N2 + 5 H2

T=925 CH2+ 4 CO+ 5.6

N2

Heat = -590 kJ

Heat = 662kJ

T = 925 C

1.5 CO

2

Heat

1.5 C

Heat = -614kJ

Heat to other applications

Soda for purification

T= 425 C

4 atm

Cooling hydrogen -59 kJCooling carbonate -231 kJCooling notrogen -67 kJ

Heat recovery

CleanHydro


CleanHydro offer four types of reactors:

I CLEANHYDRO REACTOR IIHydrogen production with zeroemission using methane (requiresnatural gas and a proprietaryreactant).

Heat produced

CH4+air

Heat evolved

NaOH+H2+CO+N2= Na2CO3+N2+H2

Soda forpurification

N2+H2

Heat to otherapplications

Heat recovery fromCooling hydrogenCooling sodaCooling nitrogen

Heat recovery

Heat required

CH4+CO2+N2+H20High pressure and

temperature

Steam

+CO2+N2Heat

CH4

CleanHydro

6.6 Science that works:CleanHydroReactor II

H2

N2

Toammonia

plant

CleanHydro



I CLEANHYDRO REACTOR IIIHydrogen production combiningcarbon sequestration

Similar to Reactor I, this process

requires CO2/CO from any plantburning fossil fuel and caustic soda,coal or methane and water.

This reactor is not a zero emissionsplant, but will dramatically reduce

the CO2 emission from industrialplants currently releasing CO2 intothe atmosphere; the use of hydrogenas an energy source further helps inreducing carbon emissions.

Combining hydrogen production with carbon sequestration

PurificationSoda ash + other solids

Hydrogen

2 NaOH (c) + CO(g) = Na2CO3 (c) + 2 H2(g)

NaOH +H2O

CO2

Coke

C + CO2 = 2CO

CO

Heat exchanger

Membrane

CleanHydro



I SOLAR HYDRODistributed energy based on hydrogenstorage and solar heating

Finally we have planned the use ofhydrogen with a hydrogen storagematerial that can be distributed toremote areas and used with solarheating to generate hydrogen for anyenergy use anywhere (such as theBloom energy fuel cell box)

0.40.4 cubic3 meter

Dailyhydride

Recycle

H2

CatalystCatalyst

ProtonExchangeMembrane

CleanHydro

6.8 Science that works:CleanHydroSolarHydro

Oxygenfrom air

Hydridecontainer

ExhaustElectricalCurrent

NB Any fuel stack (such as theBloom Energy Box) can be used

Fig.2. A solar-hydro house with a hydride container of 0.4x0.4x0.4 meter which would accommodate hydride for a week’s supply. Portion of this hydride is fed into a smaller container for daily release of hydrogen which may be fed to a fuel cell for use in the non sunshine hours. Hydrogen may also be used for many other house-hold uses.



CleanHydro

7.0 Reaping therewards

The rewards of installing a CleanHydroreactor, both environmentally andcommercially, are substantial.

Environmentally, by reducing carbonemissions we reduce greenhouse gasesand slow down global warming.

Commercially, hydrogen can be producedat competitive rates with plants thatretrofit a CleanHydro reactor reclaimingtheir costs – and increasing their profits– within twelve months. The long termprofit figures could potentially be$millions. Carbon credits alone couldgenerate $billions, with current levels inteh US being taxed at $30 per ton ofcarbon.

CleanHydro


The opportunity is currently open to allinvestors and fossil fuel based plants ofany type (power plants, cement plants,steel plants).

Chlor-alkali plant owners will benefit bythe profitable sale of the products fromthe retrofitted reactors and bysignificant reduction in carbon emission.

Those who wish to build hydrogen gasplants may use the Cleanhydro Reactor Ior Cleanhydro Reactor III.

Hydrogen can produced for the sameprice (or less) as the techniquescurrently used by coal gasification andthe steam-methane-reformation (SMR),

but without any CO2 emission.

CleanHydro


By embracing the Cleanhydro technologyyou will give yourself a competitiveadvantage.

Our reactors are of a flexible design suchthat the amount of products can beadjusted to market conditions.

An investment in CleanHydro™ ReactorTechnology will quickly result in aprofitable and scalable business that willproduce low-cost and emission-freehydrogen, pervasively, through a modularapproach.

CleanHydro


In addition, our CleanHydro reactorssequester carbon dioxide into safe andenvironmentally friendly byproducts thatare currently in great demand aroundthe world in the industrial marketplace.

The reactor can use the reactionsflexibly and produce hydrogen with orwithout carbonate or carbonate andbicarbonate without hydrogen.

Currently, the production of caustic sodais very energy intensive, producingemissions if fossil fuels are involved.Our reactors convert already producedcaustic soda into carbonate – an idealsolution for many of the world’s existingpower plants.

CleanHydro


Currently, to achieve 9102kWh of energywe must burn 1 tonne of coal, producing3.7million tonnes of CO2.

This much energy can be produced withjust 0.23 tonnes of hydrogen.

By replacing a tonne of coal withhydrogen, we can save 16 tonnes ofcarbon emission.

A CleanHydro reactor producing 4tonnes of hydrogen each hour willtherefore avoid producing an annualemission of 560,460 tonnes per year.

At today’s rate of $30 carbon credit,that will generate an income for theplant owner of $16,819,200 – each year.

CleanHydro


I Low capital expenditure to convertexisting infrastructure

I High profit margins

I Additional revenue stream throughselling existing waste products

I Carbon credits traded on commoditymarkets

I Additional source of revenue throughgrowth potential of hydrogen as a realalternative, green fuel

I Quick return on investment throughreactor income sources with fulloutlay recovered within 24 months.

CleanHydro

A partnership that works8.0 CleanHydro

Cleanhydro Inc. is a company founded by Prof.S.K. Saxena Ph.D. in co-operation with theCenter for the Study of Matter at ExtremeConditions at the Florida InternationalUniversity. Prof. Saxena is the technologycreator and patent holder of CleanHydro™.He currently holds the position of Professor andDirector, Center for the Study of Matter atExtreme Conditions, College of Engineering &Computing, Florida International University.Dr. Saxena has been driving the CleanHydro™project for over five years.

Prof. Saxena’s experienced and dedicated teaminclude Andriy Durygin, Ph.D. (Chief Physicist),

Vadym Drozd, Ph.D. (Chief Chemist); Dr. HariAbarjith (Chemical Engineer), S. Kumar: BE(Chemical Engineer) and R. Hrubiak: BE(Electrical Engineer).

The Board of Advisors include Dr. A. Mirmiran,Dean, College of Engineering, FloridaInternational University; Dr. Tom Breslin,Professor and University Senate Chair, FloridaInternational University; Dr. V. Prasad,VicePresident for Research and Development,University of North Texas, Denton, TX; J.White, Esqr Attorney, Boca Raton; GeorgeFantazopoulos, Titan America, Florida.

CleanHydro

6.0 CleanHydroA partnership that works

CleanHydro’s dedicated team of scientists andspecialists will work with all hydrogen plantowners or others who may be interested incarbon emission free hydrogen production.

Once CleanHydro has shown proof ofconcept we will begin marketing thehydrogen production with CCS technology tomajor hydrogen producers as well as auto-makers and home and industrial users thatsee hydrogen as an alternative to currentfossil fuels.

Our strategy is to license the technology tocompanies for a flat fee of $1.2 million perreactor. Based on our projections this shouldprovide a payback of around two years forplant owners. As we move closer to out-licensing technology we will hire experiencedexperts and contacts to sell the technology.

To show proof we need to build a demo plantat an estimated cost of $3 million. This willbe the world’s first, out-of-the-lab reactor todemonstrate commercial application of ourpatented technology.

CleanHydro


Once the Demo Plant has been built and thepilot step completed, CleanHydro willproceed to the development of an IndustrialSized Pilot Plant, producing 9,000 tonnes ofHydrogen annually.

The reactor cost is estimated at between$20-$30 million. With gross profits withinthe first year alone estimated at beingbetween $17-$30 million the initial outlaywill be recouped within 24 months. Thiswill be achieved by the sale of hydrogen, itsby-products and the value of carbon credits.

Our projections confidently predict thatinvestors and plant owners will see a returnwithin a very short time frame, withCleanHydro licensing its technology to end-user industrial plants.

With annual licensing fees, brokerage ofhydrogen, carbonate byproducts and carboncredits, annual operations and consultancyfees, there has never been such a goodopportunity to become involved with acompany that is set to revolutionise the waywe produce and supply the world’s energy.

CleanHydro


Investment opportunityDemo Plant • $3 tp $5 million to complete the design and the assembly of a compact

CleanHydro™ out-of-the-lab reactor to demonstrate commercial application of the technology as the first (Pilot Plant) step to an industrial sized system and a scalable business model.

Industrial Size Pilot Plant: (produces 35.000 tonnes H2 annually)• The average CleanHydro industrial system will produce approximately

35,000 tonness of hydrogen annually with the following financial results:

• Reactor Cost: $30 Million (1 yr payback) (includes coal contaminant separator)

• Gross Profit: $41,000,000 (annual sale of hydrogen, byproducts & carbon credits)

Expenses: $ 2,500,000 – maintenance

$ 2,000,000 – labor + burden

$ 1,750,000 – G&A and other• Annual EBITDA: $82,000,000

Cleanhydro

CleanHydroQ&A Session

with Professor Surendra Saxena Ph.D.

Center for the Study of Matter at Extreme Conditions,College of Engineering & Computing,Florida International University,

Miami, FL 33199,USA

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CleanHydro Providing a real solution to the world’s energy needs