v1.0Version 1.3

2012.

Aquaponics Production

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Our Miss ion

“To stimulate economic growth and development on the community level through creation of advanced biomass power plant projects in synergy with a variety of complementary businesses”

Ph.#: 604-755-9363Fax#: 604-357-1363

Stock Trading Symbol: (OTC:BB) ECTHECTH

Designers • Developers • Technologists

ecoGROW division of ecoTECH Energy Group, Inc. develops sustainable “Beyond Organic” state-of-the-art Aquaponic fresh food facilities to provide safe and healthy produce for communities.

ecoTECH uses its own and licensed technologies.

ecoTECH is the official developer for

HydroNov Inc.

(www.hydronov.com) for all projects in Western USA involving their commercial hydroponic fresh food cultivation and aquaculture.

ecoTECH is licensed by the Province of Alberta Ministry of Agriculture Crop Diversification Research Centre to utilize the aquaponic designs and expertise from their long running, all natural processes.

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prepared by ecoTECH Energy Group Incorporated. 2012© The logos, images, technical data and motifs are the property, intellectual and actual, of

ecoTECH Energy Group Incorporated, HydroNov Inc. and Dr Nick Savidov: all rights reserved.This document was created on behalf of the Project by

Document Contents

HydroNovWorld leaders in deep water

raft hydroponic horticulture technology.

Topic

Mission Statement page iiAdvisory & preface page ivIntroduction: communities emancipation strategy page 1Foreword and overall desription of Aquaponics page 2Vermiculture page 4Total Aquaponics environment management page 5ecoGROW 'beyond organic' natural food circle diagram page 6Example: First year of production typical production page 7Operational cost & Alberta CDC results page 8Greenhouse & fish facility information + costs guide page 9Example Project: Proforma performance projections:  

Energy use comparisons page 8Overall financial performance forecast first full year page 8Overall financial performance forecast first full year page 8

Forecast income statement page 10Forecast cash flow statement page 12

Estimated capital expenditure summary page 14Aquaculture capital requirement page 16

Horticulture products analysis page 18Schedules: Long term loan, escalation & depreciation page 19

Research Results (Alberta CDC) & ecoGROW innovations:Photographed performance of aquaponics page 10

Superior aquaponic nutrient cucumber example photo page 12Product variety & Illumitex LED lighting photos page 13

Aquaculture species examples page 15HydroNov plant built 1986 after 25 years full service page 20Herbs variety page 22Herbs variety  page 22Floating raft canal transportation system page 22Giant Malaysian Prawn  page 23Packing system page 23Contact ecoTECH Energy Group page 23

page 27illustrative topical diagrams and photographs appear throughout this book

"Aquaponics" is the co‐husbandry of fish and plants for higher yields, betterflavoured, zero toxin (no‐chemical component) products for healthy freshproduce and high protein natural healthy foods.

Aquaponics production with financial data

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Reader Advisory and Disclaimer

The statements made in this presentation may contain forward-looking statements that involve risks and uncertainties, which may prevent expected future

results from being achieved. Forward- looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain the words “believe”, “anticipate”, “expect”, “estimate”, “project”, “will be”, “will continue”, “will likely result” or similar words or phrases. Forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from the forward-looking statements.

The Company cautions that actual future performance could be affected by a number of factors, including technological change, competitive factors, the success of research and development programs, our future ability to fund our operations and become profitable, competition, securing and maintaining corporate alliances, our ability to increase our customer base, the services that we or our customers will introduce and the benefits that end users will receive from these services; the impact of entering new markets, market acceptance of the Company’s products, the strength of intellectual property, financing capability, reliance on subcontractors and key personnel and other risks detailed from time-to-time in the Company’s financial statements and other information provided to shareholders. Forward-looking statements are made as of the date hereof, and the Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Therefore, future events and results may vary substantially from what the Company currently foresees.

This document describes hydroponic horticulture and food fish aquaculture businesses heated and powered by an ecoTECH thermal electricity

CHP generating plant that uses sustainable, renewable biomass fuel.

The businesses are in the floating raft and flood pebble types of high yield greenhouse (natural nutrient hydroponic fresh produce), and indoor, land-based food fish aquaculture sectors. The on-site independent (off-grid) CHP power station and the ancillary businesses are developed by ecoTECH Energy Group Incorporated, (“ECTH”) a Nevada corporation, a fully reporting public company, traded on the OTC:BB exchange under US SEC rules.

ecoTECH subsidiary ecoGROW Corporation Inc. is the developer in the region.

Management, training and technologies will be provided by ECTH and its affiliates.

Preface & Document OutlineThe food and power businesses will provide staff training curricula in special arrangements with a local college. HydroNov and North American Energy Services and the fuel for the combined heat and power (CHP) facility is to be supplied by the local sawmill and Tribal forestry operations, building on the expertise from their

forest husbandry.

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Introduction to ecoTECH: turning philosophy into activity

Community emancipation (empowerment) strategy

ecoTECH Energy Group (Stock Symbol OTC: BB ECTH), designs and encapsulates various technologies, large manufacturing equipment, and abundant feedstock resources in each project plan that are necessary to achieve the objectives. This skill set is utilized with the most

important ingredient; community support and participation, to develop a socioeconomic revival matrix.

The Company looks for opportunities to provide a community with a combined heat and power, (“CHP”) clean, renewable and sustainable generation facility, or convert an existing fossil fuel power station to biomass fuel usage to provide enough energy to be able to array energy dependent, ecologically sound businesses around a central generator, such as hydroponic greenhouses, indoor aquaculture centres, or both combined as inter-dependant symbiotic aquaponics facilities, along with cold stores and other renewable component ventures that will qualify as both environmentally and socioeconomically desirable to a community in need of clean energy and employment.

Technology: During the past 30 years, ecoTECH has developed and refined its proprietary thermal sublimation technology to create clean-burning waste-to-energy cogeneration power stations which would provide optimal revenue performance, correct volumetric fuel flow systems and minimum environmental impact. This combined heat and power (CHP) technology produces electricity, which can be channelled to utilities and end-users via the grid, heat can be used to fuel a variety of manufacturing facilities allowing for additional revenue streams. Additionally, ecoTECH has acquired the licensing rights to adjunct technologies (eg. hydroponic production, aquaculture, cold storage, etc.) which can be combined with the power production to provide cost-effective, sustainable self-sufficiency solutions for community needs.

Equipment: The company’s technology has been developed and fine-tuned via initial prototypes created through private funding, tested in the company’s lab facilities in Langley, BC. Third party technology applications identified for use by ecoTECH have been tested and currently exist in commercial and government environments.

Biomass Resources: The company is established in the supply chain marketplace; securing long-term agreements for sources of biomass with land owners; tree farm license (“TFL”) holders; First Nations bands in British Columbia and Alberta, Canada; and in tribes of Montana, U.S.A.

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Aquaponics, an all-natural growing system

Aquaponics is a sustainable food production system that combines a traditional aquaculture (raising aquatic animals such as fish, crayfish or

prawns in tanks) with hydroponics (cultivating plants in water) in a symbiotic environment. In the aquaculture, effluents accumulate in the water, increasing toxicity for the fish. This water is led to a hydroponic system where the by-products from the aquaculture are filtered out by the plants as vital nutrients, after which the cleansed water is recirculated back to the animals. The term aquaponics is a portmanteau of the terms aquaculture and hydroponic.

Aquaponics is based on the symbolic relationships found in nature and can be loosely described as the combination of aquaculture and hydroponics. Fish effluent from traditional aquaculture systems is used to fertilize plants in a hydroponic system.

When the two practices are combined they work in a symbiotic relationship to create a natural growing system. The benefits of keeping fish in an indoor, pollution and parasite free aquaponic system include maximum efficiency of water.

University trials showed that growing plants in an aquaponic system used 90% less water than soil grown crops, as the only water lost is through evaporation and transpiration. In traditional aquaculture water is discharged regularly often 10-20% of the total water every day.

The high percentage of hormones, water “conditioners” decaying food etc. in that water is often pumped into open streams where it can pollute, or destroy the indigenous balance of the chemistry of waterways, endangering wild aquatic populations.

Recirculating Aquaculture Systems (RAS)

ecoGROW recirculating aquaculture systems utilize oval tanks, each with a perimeter deepwater raceway that emulates a flowing stream. The water temperature, salinity, flow rate and dissolved oxygen levels are modulated to be optimal for each cultured species. Species specific organic

diets, area and tank lighting are optimized to give high “healthy” growth rates with no carried fats, whilst the induced water current promotes healthy exercise and flesh tone, as in nature.

The central “island” houses the pumps, filtration and oxygenation equipment that maintains the water steam in ideal conditions of “living energy”

Tilapia

Red Claw Crayfish

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Provides: “Beyond Organic” Fresh Produce & Fish

Instead of discharging water, aquaponics recycles the water in a recirculating system. Water is pumped from the fish tank through

grow beds where the water is cleaned by the plants and media before being returned to the fish tank and providing the fish with freshly oxygenated clean water. Other forms of Horticulture rely on the addition of costly chemical nutrients that use valuable time, energy and money.

By combining the processes we can easily grow vegetables, herbs and fruits simply by feeding the fish. Best of all there is no need to use chemical fertilizers or pesticides. All ecoGROW facilities use naturally derived nutrients instead of fertilizers and natural predators instead of pesticides, plus fruit pollination is carried out by bees that inhabit the temperature, water and ambient air controlled environment.

In an aquaponic system the nutrients are supplied by the fish. They produce ammonia as they breathe and when they excrete waste, this ammonia is converted by beneficial bacteria into nutrients available to the plants.

The solids are broken down and filtered in the root matrix, effectively cleaning the water before returning it to the fish tank, via zeolitic and activated carbon filtration, oxygen sparging and UV treatment

units.

The good bacteria occur naturally in soil, air and water. They colonise the media and a healthy population is an essential ingredient of any aquaponic system. We can describe this simple process as the “nitrogen cycle” a term that many aquarists would be familiar with.

By studying and emulating nature’s systems, we are

encouraging natural processes that can be monitored and recorded for integrated science, biology, horticulture, health, society and the environment. Symbiosis, mutuality and effectiveness of beneficial fungi and bacteria to aid rhizospheric absorption of nutrients is an ongoing study at ecoGROW to ensure optimum vegetable and fruit growth results.

Bluegill

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Vermiculture, Aerobic Micro-defenders and Plant Nutrient Bio-processors

The essential link between aquaculture and horticulture in the ecoGROW Food Circle System.

In ecoGROW’s unique Aquaponic Food Circle System, we grow worms for 2 purposes:

1] To consume the organic off-cuts of leaves and roots from our aquaponic horticulture greenhouses to provide high protein organic live food for carnivorous food fish (trout etc.) that grow in the aquaculture sections of our facility.

2] To provide worm castings tea. Tea brewed in oxygen-sparged tanks from fine mesh bags filled with worm castings is high in aerobic bacteria. Oxygenated casting tea gives valuable water soluble nutrients from the worm and fish manure and we breed a larger population of beneficial aerobic bacteria and fungi in the tea by using our oxygen sparging technique. The tea provides full nutrient for the plants and proven disease resistance. Castings Tea is all about microbiology and the bacteria count is tested (measured and evaluated under a microscope), to ensure high aerobic bacteria numbers and dissolved oxygen content. Aerobically composted fish effluent and worm castings work together and are evaluated by this means also, before being bagged for the aerobic brewing of the tea.

It is the wide diversity and the large numbers of microbiology that define a good nutrient tea.

BenefitsThe major benefits of earthworm activities to ensure fertility and disease resistance can be summarized as:

* Biological. They come out of there holes (tunnels) mostly after a rain shower. In many soils, earthworms play a major role in converting large pieces of organic matter (e.g. dead leaves) into rich humus, and thus improving soil fertility. This is achieved by the worm’s actions of pulling down below any organic matter deposited on the dried dirt, such as leaf fall or manure, either for food or when it needs to plug its burrow. Once in the burrow, the worm will shred the leaf and partially digest it, then mingle it with the earth by saturating it with intestinal secretions. Worm casts can contain 40% more humus than the top 9” of soil in which the worm is living.

* Chemical. As well as dead organic matter, the earthworm also ingests any other soil particles that are small enough—including stones up to 1/20 of an inch (1.25 mm) across—into its gizzard wherein minute fragments of grit grind everything into a fine paste which is then digested in the intestine.

When the worm excretes this in the form of casts which are deposited on the surface or deeper in the soil, (or in our system, in the organic vegetation and sterilized peat compost) minerals and plant nutrients are made available in an accessible form. Investigations in the US show that fresh earthworm casts are 5 times richer in available nitrogen, 7 times richer in available phosphates and 11 times richer in available potash than the surrounding upper 6 inches (150 mm) of soil. In conditions where there is plenty of available humus, the weight of casts produced may be greater than 4.5 kg (10 lb) per worm per year, in itself an indicator of why it pays the gardener or soil based farmer to keep worm populations high.

Disease Protection:It’s long been recognized by organic growers and researchers that the use of compost can help prevent some plant diseases. So, it makes sense that liquids derived from compost could also have disease-suppressive characteristics. Besides stimulating growth, compost and compost ‘juice’ can also help fight off diseases by inoculating plants with beneficial organisms. Some of these good microbial benefactors are bacteria and some are yeasts or fungi. These organisms are beneficial if they form a physical barrier against pathogens, or if they effectively compete with or attack the plant pathogens.

Castings tea with a bacterial focus and trichoderma fungus to aid in the total microbial activity in the rhizosphere for nutrient cycling and possible disease avoidance is our target from the “nutrient nursery” section of the aquaponics facility.

Growth comparison chart Aquaponics all- natural vs hydroponic chemically fed plants.

Trichoderma beneficialfungi

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Managing the growing environment: Ambient Air and Light

ecoGROW Aquaponics features its ecoTECH water make-up, pumping and oxygenation

systems, ambient air make-up, the analysis of primary water and the attention to sourcing criteria. Where ecoPHASER Green Thermal Energy Systems (near zero NOx) are deployed, carbon dioxide extracted in high purity from the flue gases is used in the air makeup. Carbon dioxide (CO2) is an essential component of photosynthesis (also called carbon assimilation). Plant leaves ingest the CO2 and release the oxygen from the molecule whilst retaining the carbon in a process called transpiration. In other words, carbon dioxide is an essential nutrient, just as important in the growth cycle as the root fed nourishment mix that the plant consumes.

CO2 increases productivity through improved plant growth and vigour. Some ways in which productivity is increased by CO2 include earlier flowering and higher fruit yields. Carbon dioxide enters into the plant through the stomatal openings by the process of diffusion. Stomata are specialized cells located mainly on the underside of the leaves in the epidermal layer.

The cells open and close allowing gas exchange to occur. The concentration of CO2 outside the leaf strongly influences the rate of CO2 uptake by the plant. The higher the CO2 concentration outside the leaf, the greater the uptake of CO2 by the plant.

Light levels, leaf and ambient air temperatures, relative humidity, water stress and the CO2 and oxygen (O2) concentration in the air and the leaf, are many of the key factors that determine the opening and closing of the stomata.

The ecoGROW System species-specific (LED) lighting is designed to maximize stomata stimulus, controlled with the same degree of precision as the other processes for optimum results. For the majority of greenhouse crops, net photosynthesis increases as CO2 levels increase from 340–1,000 p.p.m. (parts per million).

Most crops show that for any given level of photosynthetically active radiation (PAR), increasing the CO2 level to 1,000 parts per million (p.p.m. or 0.01%) will increase the photosynthesis by about 50% over ambient CO2 levels.

This is approximately 3 times the carbon dioxide content of ambient air and is essential to make-up and supplement the drop of CO2 from consumption by an actively growing crop that will cause a dramatic slow down in growth if levels drop below ambient norms.

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Fresh Tilapia 6 to 8 oz. finished fillet 5 lb. box (ice packed) 140,000 lbs. per year

Shrimp Frozen 30 to 40 count (head off) 454 gram bag

(12 bags in a box)150,000 lbs. per year

Romaine Lettuce 24 74,000 casesBunch Spinach 24 9,000 cases

Iceberg Lettuce 24 81,500 cases

Red Lettuce 24 19,500 cases

Butter Lettuce 12 11,000 cases

Cilantro 60 13,000 cases

Watercress 12 3,100 cases

Green Leaf 24 44,700 cases

Green Onions 48 82,000 cases

Long English Cucs 12 344,000 cases

Bean Sprouts 12/227g 42,500 cases

Bunch Radish 48 9,000 cases

Parsley 60 9,000 cases

Chinese Cabbage 50 lb. 600 cases

Basil 6/84g 5,100 cases

TOV’s 11 lb. 413,000 cases

Hothouse Tomatoes 15 lb. 90,000 cases

Roma Tomatoes 15 lb. 34,000 cases

Grape Tomatoes 12/340g 219,000 cases

First full year production: Targets (circa 23 million dollars)by year 3, output will double

Seafood target (more species years 2&3)

Vegetables & Tomatoes target year 1The Southern Alberta Crop Diversification Centre in Brooks, AB was for several years the research centre for Cold Climate Indoor Aquaponics, where Dr. Nick Savidov and his team proved the viability and the much higher performance, safety, nutrient value, taste and profitability of all natural products grown indoors. When coupled with the proven financial performance of HydroNov growing systems, CDC’s species mutuality methods enhance the systems even more, now further improved by ecoTECH vermiculture and species-specific lighting innovations.

CDC Alberta

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ecoTECH’s ecoGROW“Beyond Organic” Food Production

ROI 12%Based on Net Earnings

ROI 23%Based on EBITDA

EBITDA (year 1) 17,504,183$

NPV 49,005,323$ At 7% Discount Rate20 Years of Cashflow

ROE Based on Net Earnings 39%

ROE Based on EBITDA 75%

Performance Forecast*AquaPonics

* average performance is best estimate based on

HydroNov experience and blend of standard products

suggested by a client for presentation.

Total Usage Rate TotalMW 23,250 60.00$ 1,395,000$ Electricity

GJ 262,800 4.25$ 1,116,900$ Natural GasTotal 2,511,900$

MW 23,250 60.00$ 1,395,000$ ElectricityGJ 262,800 36.97$ 9,715,716$ Oil

Total 11,110,716$

Total 2,224,974$

88.58% Current Natural Gas Price20.03% Current Heating Oil Price

Traditional Energy use costs for equivalent Horticulture and Aquaculture facilities of this size

Biomass Energy use cost for ecoTECH Horticulture and

Aquaculture (ecoGROW Aquaponics) facilities.

Comparisons

Cost of biomass is

Alberta CDC spent several years and many growth cycles to ascertain the optimum formulae for aquacultured plants. Yields on these filtered fish manure nutrient-fed plants was 10-15% above industry normals, with healthier, stronger plants.

Cultivars varied in output due to light requirements, which in our facility is enhanced with spectrum balanced LED lighting. The species-specific wavelength LED Lighting, which gives no overspill light reflection (“light pollution”), usually cited as a public detractor for developing large rural greenhouses, enhances growth in both plants and fish/crustacea. It is thereby independent of outside weather and dark night sky requirements and is therefore deemed to be a conscientious neighbour.

Tilapia

Tomatoes grown in pebble hydroponics troughs at CDC Alberta,source: “Evaluation of Aquaponics Technologies in Alberta”

Dr. Nick Savidov, 2005.

Cilantro grown on floating raft

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GREENHOUSE & FISH FACILITYCanadian conditions: has double polyfilms hot air snow melt roof and double polycarbonate walls 8 mm with hot (or cold in cool sections) air circulation in cavities.Budget Prices:Leafy vegetables including LED & hot oil/air blown heating=

$4,500,000 per hectareVine crops section: As above=

$4,500,000 per hectareVine crops section: No LED=

$3,750,000 per hectarePer 1.4 hectare fish module=

$12,750,000 per moduleVermiculture & Cold Store modules=

$2,750,000 both modulesStand Alone CHP (site & location

variables): by custom quotation.

The hot air (thermal curtain) technology used in the double skinned greenhouse polythene roof melts snow, sleet and hail on contact. The melt is then captured and drained by the down tubes (pictured above) into a manifold pipe relay to the facility water make-up and filtration system, where it partly or wholly compensates for the water consumed by vegetable growth.

Basil grown on floating raft

ecoTECH’s ecoGROWThe Science of Aquaponic Greenhouse & Fish Facilities

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Forecast Income Statement

From:Evaluation and Development of Aquaponics Production and Product Market Capabilities in Alberta.Phase II.Alberta Government CDC. Dr. Savidov

Alberta Government Crop Diversification Centre.

Floating Raft grown Basil

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11RevenueAquaculture 34,884,000$ 35,756,100$ 36,650,003$ 37,566,253$ 38,505,409$ 39,468,044$ 40,454,745$ 41,466,114$ 42,502,767$ 43,565,336$ 44,654,469$ Horticulture 3,396,785$ 3,481,705$ 3,568,747$ 3,657,966$ 3,749,415$ 3,843,150$ 3,939,229$ 4,037,710$ 4,138,653$ 4,242,119$ 4,348,172$ Electricity 8,238,780$ 8,444,750$ 8,655,868$ 8,872,265$ 9,094,072$ 9,321,423$ 9,554,459$ 9,793,320$ 10,038,153$ 10,289,107$ 10,546,335$ Heat -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Total Revenue 46,519,565$ 47,682,554$ 48,874,618$ 50,096,483$ 51,348,896$ 52,632,618$ 53,948,433$ 55,297,144$ 56,679,573$ 58,096,562$ 59,548,976$

Production CostsAquaculture 12,731,904$ 13,050,202$ 13,376,457$ 13,710,868$ 14,053,640$ 14,404,981$ 14,765,105$ 15,134,233$ 15,512,589$ 15,900,403$ 16,297,914$ Horticulture 2,592,674$ 2,657,491$ 2,723,928$ 2,792,026$ 2,861,827$ 2,933,373$ 3,006,707$ 3,081,875$ 3,158,922$ 3,237,895$ 3,318,842$ Electricity & Heat 1,703,227$ 1,745,807$ 1,789,452$ 1,834,189$ 1,880,043$ 1,927,045$ 1,975,221$ 2,024,601$ 2,075,216$ 2,127,097$ 2,180,274$

Total Production Costs 17,027,805$ 17,453,500$ 17,889,837$ 18,337,083$ 18,795,510$ 19,265,398$ 19,747,033$ 20,240,709$ 20,746,726$ 21,265,395$ 21,797,029$

Gross Margin 29,491,760$ 30,229,054$ 30,984,781$ 31,759,400$ 32,553,385$ 33,367,220$ 34,201,400$ 35,056,435$ 35,932,846$ 36,831,167$ 37,751,947$

Fixed Overhead 3,567,400$ 3,656,585$ 3,748,000$ 3,841,700$ 3,937,742$ 4,036,186$ 4,137,090$ 4,240,518$ 4,346,530$ 4,455,194$ 4,566,574$

Net Profit 25,924,360$ 26,572,469$ 27,236,781$ 27,917,701$ 28,615,643$ 29,331,034$ 30,064,310$ 30,815,918$ 31,586,316$ 32,375,974$ 33,185,373$

EBITDA 25,924,360$ 26,572,469$ 27,236,781$ 27,917,701$ 28,615,643$ 29,331,034$ 30,064,310$ 30,815,918$ 31,586,316$ 32,375,974$ 33,185,373$

Depreciation 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$

EBIT 22,781,524$ 23,429,633$ 24,093,945$ 24,774,864$ 25,472,807$ 26,188,198$ 26,921,474$ 27,673,082$ 28,443,479$ 29,233,137$ 30,042,537$

Interest Expense 5,133,299$ 4,876,634$ 4,619,969$ 4,363,304$ 4,106,639$ 3,849,975$ 3,593,310$ 3,336,645$ 3,079,980$ 2,823,315$ 2,566,650$

EBT 17,648,225$ 18,552,999$ 19,473,975$ 20,411,560$ 21,366,167$ 22,338,223$ 23,328,164$ 24,336,437$ 25,363,500$ 26,409,823$ 27,475,887$

Tax 3,529,645$ 3,710,600$ 3,894,795$ 4,082,312$ 4,273,233$ 4,467,645$ 4,665,633$ 4,867,287$ 5,072,700$ 5,281,965$ 5,495,177$

Net Earnings (Loss) 14,118,580$ 14,842,399$ 15,579,180$ 16,329,248$ 17,092,934$ 17,870,579$ 18,662,531$ 19,469,150$ 20,290,800$ 21,127,858$ 21,980,710$

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From:

Evaluation and Developmentof Aquaponics Productionand Product MarketCapabilities in Alberta.Phase II.Alberta Government CDC.Dr. Savidov

Alberta Government Crop Diversification Centre.

Raft Tank

Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21Revenue

45,770,831$ 46,915,102$ 48,087,979$ 49,290,179$ 50,522,433$ 51,785,494$ 53,080,131$ 54,407,135$ 55,767,313$ 57,161,496$ Aquaculture4,456,876$ 4,568,298$ 4,682,506$ 4,799,568$ 4,919,557$ 5,042,546$ 5,168,610$ 5,297,825$ 5,430,271$ 5,566,028$ Horticulture

10,809,993$ 11,080,243$ 11,357,249$ 11,641,180$ 11,932,210$ 12,230,515$ 12,536,278$ 12,849,685$ 13,170,927$ 13,500,200$ Electricity-$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Heat

61,037,701$ 62,563,643$ 64,127,734$ 65,730,928$ 67,374,201$ 69,058,556$ 70,785,020$ 72,554,645$ 74,368,511$ 76,227,724$ Total Revenue

Production Costs16,705,361$ 17,122,995$ 17,551,070$ 17,989,847$ 18,439,593$ 18,900,583$ 19,373,098$ 19,857,425$ 20,353,861$ 20,862,707$ Aquaculture

3,401,813$ 3,486,858$ 3,574,030$ 3,663,380$ 3,754,965$ 3,848,839$ 3,945,060$ 4,043,687$ 4,144,779$ 4,248,398$ Horticulture2,234,781$ 2,290,650$ 2,347,917$ 2,406,615$ 2,466,780$ 2,528,449$ 2,591,661$ 2,656,452$ 2,722,864$ 2,790,935$ Electricity & Heat

22,341,955$ 22,900,504$ 23,473,017$ 24,059,842$ 24,661,338$ 25,277,872$ 25,909,818$ 26,557,564$ 27,221,503$ 27,902,041$ Total Production Costs

38,695,745$ 39,663,139$ 40,654,717$ 41,671,085$ 42,712,863$ 43,780,684$ 44,875,201$ 45,997,081$ 47,147,008$ 48,325,683$ Gross Margin

4,680,738$ 4,797,756$ 4,917,700$ 5,040,643$ 5,166,659$ 5,295,825$ 5,428,221$ 5,563,927$ 5,703,025$ 5,845,600$ Fixed Overhead

34,015,007$ 34,865,383$ 35,737,017$ 36,630,443$ 37,546,204$ 38,484,859$ 39,446,980$ 40,433,155$ 41,443,984$ 42,480,083$ Net Profit

34,015,007$ 34,865,383$ 35,737,017$ 36,630,443$ 37,546,204$ 38,484,859$ 39,446,980$ 40,433,155$ 41,443,984$ 42,480,083$ EBITDA

3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ -$ Depreciation

30,872,171$ 31,722,546$ 32,594,181$ 33,487,606$ 34,403,367$ 35,342,022$ 36,304,144$ 37,290,318$ 38,301,147$ 42,480,083$ EBIT

2,309,985$ 2,053,320$ 1,796,655$ 1,539,990$ 1,283,325$ 1,026,660$ 769,995$ 513,330$ 256,665$ 0-$ Interest Expense

28,562,186$ 29,669,226$ 30,797,526$ 31,947,616$ 33,120,042$ 34,315,363$ 35,534,149$ 36,776,988$ 38,044,482$ 42,480,083$ EBT

5,712,437$ 5,933,845$ 6,159,505$ 6,389,523$ 6,624,008$ 6,863,073$ 7,106,830$ 7,355,398$ 7,608,896$ 8,496,017$ Tax

22,849,749$ 23,735,381$ 24,638,021$ 25,558,093$ 26,496,034$ 27,452,290$ 28,427,319$ 29,421,591$ 30,435,586$ 33,984,067$ Net Earnings (Loss)

Forecast Cash Flow Statement

From:

Evaluation and Developmentof Aquaponics Productionand Product MarketCapabilities in Alberta.Phase II.Alberta Government CDC.Dr. Savidov

Cashflow StatementYr 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11

Cashflows Provided (used by):

OperationsNet Earnings (Loss) 0 14,118,580$ 14,842,399$ 15,579,180$ 16,329,248$ 17,092,934$ 17,870,579$ 18,662,531$ 19,469,150$ 20,290,800$ 21,127,858$ 21,980,710$ Items Not Requiring (Providing) CashDepreciation 0 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$

Net Cashflows Provided (used by) Operations 0 17,261,416$ 17,985,235$ 18,722,017$ 19,472,084$ 20,235,770$ 21,013,415$ 21,805,368$ 22,611,986$ 23,433,636$ 24,270,695$ 25,123,546$

Investing

Net Cashflows Provided (used by) Investing 0

Financing

Loan Repayment 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ Loan - Cash In

Net Cashflows Provided (used by) Financing 0 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$

Cash and cash equivalents, increase (decrease) in the period 0 $ 13,594,774 $ 14,318,593 $ 15,055,374 $ 15,805,442 $ 16,569,128 $ 17,346,773 $ 18,138,725 $ 18,945,344 $ 19,766,994 $ 20,604,052 $ 21,456,904

Cash and cash equivalents, beginning of period 0 -$ 13,594,774$ 27,913,367$ 42,968,741$ 58,774,183$ 75,343,310$ 92,690,083$ 110,828,808$ 129,774,152$ 149,541,146$ 170,145,198$

Cash and cash equivalents, end of period 0 13,594,774$ 27,913,367$ 42,968,741$ 58,774,183$ 75,343,310$ 92,690,083$ 110,828,808$ 129,774,152$ 149,541,146$ 170,145,198$ 191,602,102$

page 12

Variety:• Floating raft hydroponic short greens and mixed salads:• Pebble grown hydroponic “tall” vegetables: (tomatoes etc.)• Indigenous cold freshwater, “sea-run” and arctic species -including

anadromous species (salmon family types).• Warm water and exotic types in separate on-site facility, (tilapia,

barramundi etc.).• All grown on and in super-filtered water at optimum

temperatures, fed with all natural rich nutrients and grown in optimum plant and fish species-specific, balanced spectrum lighting.

Species-specific high yield LEDsystems with no “light pollution”.

Illumitex USA

Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21

Cashflows Provided (used by):

Operations22,849,749$ 23,735,381$ 24,638,021$ 25,558,093$ 26,496,034$ 27,452,290$ 28,427,319$ 29,421,591$ 30,435,586$ 33,984,067$ Net Earnings (Loss)

Items Not Requiring (Providing) Cash3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ -$ Depreciation

25,992,585$ 26,878,218$ 27,780,857$ 28,700,929$ 29,638,870$ 30,595,126$ 31,570,156$ 32,564,427$ 33,578,422$ 33,984,067$ Net Cashflows Provided (used by) Operations

Investing

Net Cashflows Provided (used by) Investing

Financing

3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ Loan RepaymentLoan - Cash In

3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ 3,666,642-$ Net Cashflows Provided (used by) Financing

$ 22,325,943 $ 23,211,575 $ 24,114,215 $ 25,034,287 $ 25,972,228 $ 26,928,484 $ 27,903,513 $ 28,897,785 $ 29,911,780 $ 30,317,424 Cash and cash equivalents, increase (decrease) in the period

191,602,102$ 213,928,045$ 237,139,620$ 261,253,834$ 286,288,121$ 312,260,349$ 339,188,833$ 367,092,346$ 395,990,131$ 425,901,911$ Cash and cash equivalents, beginning of period

213,928,045$ 237,139,620$ 261,253,834$ 286,288,121$ 312,260,349$ 339,188,833$ 367,092,346$ 395,990,131$ 425,901,911$ 456,219,335$ Cash and cash equivalents, end of period

page 13

page 14

Example Capital Expenditure Summary (conversion of existing coal-fired power station to ecoTECH CHP + Aquaponics)

HydoNovWorldwide

has built over 20 successful hydroponic facilities and three aquaculture co-sited facilities. HydroNov’s new Tennessee USA facility is

AQUAPONIC

Location Size Production Year

Abidjan, Ivory Coast 1.0 Hectares Tilapia, Catfish 2010Beijing, China 1.0 Hectares Arctic Char, Barramundi 2009Shanghai, China 1.0 Hectares Tilapia & Others 2010Shenyang, China 1.0 Hectares Boston Lettuce 2010

Tomatoes: Aquaponic flow-pebble grown with species-specific wavelength LED lighting

Horticulture 3 HectaresLand and Services 500,000$ Greenhouse Building 1,642,368$ Greenhouse Equipment 1,980,160$ Services Building 150,000$ Cold Storage Staging 100,800$ Floating Raft 2,167,603$ Production Equipment 1,455,200$ Delivery and Insurance 114,464$ Installation and Concrete 1,119,480$ Follow-up and Production Supplies 420,000$ Total Horticulture 9,650,075$

Aquaculture 3 Modules

Total Aquaculture 34,007,290$

ecoTECH Thermal 16.5MWInitial Plant Purchase 12,500,000$ Engineering and Construction 9,864,000$ Buildings and Structures 5,500,000$ Site Utilities 2,900,750$ Material Handling and Combustion 2,468,500$ Power Generation 8,485,600$ Electrical, Plumbing and Control 886,750$ Total ecoTECH Thermal 42,605,600$

Site InfrastructureDemolition / Grading 1,913,000$ Zoning 20,000$ Highway Adjustments TBDGeotechnical Survey 8,000$ Fencing 221,000$ Roads 2,000,000$ Landscaping 248,000$ Concrete 2,422,500$ Total Site Infrastructure 6,832,500$

Project Capital 93,095,465$ Capital Contingency 9,309,547$ Project Soft Costs 2,356,200$ Total Project Costs 104,761,212$

page 15

Aquacultured Barramundi

page 16page 16

Product Breakdown

Tilapia (500 Grams) Tilapia Module Staffing No. Of Staff

Salary / Month

Total Benefits

Total Salary / Year

12%Water Per Pool 180 m3 Production Manager 1 7,000$ 840$ 94,080$ Productivity/M3 500 KG Hatchery Supervisor 1 4,000$ 480$ 53,760$ Pools 24

Productivity/Pool90,000 KG

Pre-Production Supervisor 13,000$ 360$ 40,320$

Total Per 1 Hectare Module 2,160,000 KG

Production Supervisor 14,000$ 480$ 53,760$

Inputs Per Pool Unit Cost Quantity Total Cost Harvest Supervisor 1 3,000$ 360$ 40,320$ Fingerlings 0.02$ 198,000 3,960$ Workers 15 2,500$ 4,500$ 504,000$ Feed (KG) 1.00$ 112,500 112,500$ Electricity & Oxygen (MW/Hr) 130.00$ 251 32,608$

Laboratory Assistant 13,000$ 360$ 40,320$

Heating (GJ) 9.50$ 2,930 27,835$ Consumables 0.45$ 11,167 5,025$ Engineer 0 3,000$ -$ -$ Total Direct Cost Per Pool Per Year 181,928$

Technicians 01,200$ -$ -$

Total COGS Per Module (24 Pools) 4,366,283$

Mechanics 13,000$ 360$ 40,320$

Total Labour Per Module 934,080$

Security / Cleaning 22,500$ 600$ 67,200$

Total Operation Costs Per Module 5,300,363$ Sales Price 5.07$ KG Total 24 69,500.00$ 8,340$ 934,080$ Total Revenue 24 Pools 10,951,200$

Total Gross Profit 24 Pools 5,650,837$ 52%Rainbow Trout Module Staffing

No. Of Staff

Salary / Month

Total Benefits

Total Salary / Year

12%Production Manager 1

7,000$ 840$ 94,080$ Water Per Pool 180 m3 Hatchery Supervisor 1 4,000$ 480$ 53,760$ Productivity/M3 400 KG

Pools24

Pre-Production Supervisor 13,000$ 360$ 40,320$

Productivity/Pool 72,000 KG Production Supervisor 1 4,000$ 480$ 53,760$ Total Per 1 Hectare Module 1,728,000 KG

Harvest Supervisor 1 3,000$ 360$ 40,320$ Inputs Per Pool Unit Cost Quantity Total Cost Workers 10 2,500$ 3,000$ 336,000$ Fingerlings 0.04$ 158,400 6,336$ Feed (KG) 1.25$ 90,000 112,500$ Laboratory Assistant 1 3,000$ 360$ 40,320$ Electricity & Oxygen (MW/Hr) 130.00$ 341 44,308$ Heating (GJ) 9.50$ 1,452 13,794$ Engineer 0 3,000$ -$ -$ Consumables 0.45$ 11,167 5,025$ Technicians 0 1,200$ -$ -$ Total Direct Cost Per Pool Per Year 181,963$

Mechanics 13,000$ 360$ 40,320$

Total COGS Per Module (24 Pools) 4,367,123$

Security / Cleaning 22,500$ 600$ 67,200$

Total Labour Per Module 766,080$ Total Operation Costs Per Module 5,133,203$

Total 1957,000.00$ 6,840$ 766,080$

Sales Price 7.10$ KGTotal Revenue 24 Pools 12,268,800$

Total Gross Profit 24 Pools 7,135,597$ 58%

Catfish Module Staffing No. Of Staff

Salary / Month

Total Benefits

Total Salary / Year

Catfish (1 KG) 12%Production Manager 1 7,000$ 840$ 94,080$

Water Per Pool 180 m3 Hatchery Supervisor 1 4,000$ 480$ 53,760$ Productivity/M3 750 KG

Pools24

Pre-Production Supervisor 13,000$ 360$ 40,320$

Productivity/Pool 135,000 KG Production Supervisor 1 4,000$ 480$ 53,760$ Total Per 1 Hectare Module 3,240,000 KG

Harvest Supervisor 1 3,000$ 360$ 40,320$ Inputs Per Pool Unit Cost Quantity Total Cost Workers 15 2,500$ 4,500$ 504,000$ Fingerlings 0.02$ 148,500 2,970$ Feed (KG) 1.00$ 168,750 168,750$ Laboratory Assistant 1 3,000$ 360$ 40,320$ Electricity & Oxygen (MW/Hr) 130.00$ 271 35,208$ Heating (GJ) 9.50$ 2,930 27,835$ Engineer 0 3,000$ -$ -$ Consumables 0.45$ 11,167 5,025$ Technicians 0 1,200$ -$ -$ Total Direct Cost Per Pool Per Year 239,788$

Mechanics 13,000$ 360$ 40,320$

Total COGS Per Module (24 Pools) 5,754,923$

Security / Cleaning 22,500$ 600$ 67,200$

Total Labour Per Module 934,080$ Total Operation Costs Per Module 6,689,003$

Total 2469,500.00$ 8,340$ 934,080$

Sales Price 3.60$ KGTotal Revenue 24 Pools 11,664,000$

Total Gross Profit 24 Pools 4,974,997$ 43% General Admin & FinanceNo. Of Staff

Salary / Month

Total benefits

Total Salaray / Year

12%Accountant 1 3,500$ 420 47,040$ Accountant Assistant 2 2,500$ 600 67,200$ HR Assistant 1 3,000$ 360 40,320$ Admin Assistant 2 2,500$ 600 67,200$ General Manager 1 8,000$ 960 107,520$

Total 7 24,500$ 2,940$ 329,280$

Rainbow Trout (500 Grams)

Aquaculture Forecast Analysis

Aquaculture Forecast Analysis

Natural Pollination

The Enemy

page 17page 17

Aquaculture CapitalExpenses 1 Module 3 Modules Pre-Production 187,500$ 543,750$ Break Down Sub-system Sub-total Total Pre-Production Tanks 187,500$ 543,750$ General Layout 495,000$ 783,000$ Pre-Production Filtration EquipmentSurveying / Implantation/Drawings 300,000$ 435,000$ Pre-Production CST (Swirl Sep., Vortex, Fecal Trap)Leveling & Landfill Pre-Production Biofilters / Bacteria SystemTemporary Services & Site Security 60,000$ 116,000$ Pre-Production PumpsSite Office & Storage Area 60,000$ 87,000$ Pre-Production Piping / Valves / FittingsTools & Construction Supplies 75,000$ 145,000$ Pre- Production Structure - GatesParking Lot & LandscapingSoil / Land Analysis Production 2,221,200$ 6,441,480$

Production Tanks 300,000$ 870,000$ Drainage 180,000$ 427,750$ Production Filtration Equipment (Drum Filter, UV, Ozone) 1,312,500$ 3,806,250$ Roof & Floor Drainage 45,000$ 130,500$ Production CST (Swirl Sep., Vortex, Fecal Trap) 48,000$ 139,200$ Fish Tanks Drainage 37,500$ 108,750$ Production Biofilters / Bacteria System 262,500$ 761,250$ Domestic Water Treatment / Septic Tank 37,500$ 72,500$ Production Pumps 225,000$ 652,500$ Outside Works / Ditches & Canals 60,000$ 116,000$ Production Piping / Valves / Fittings 30,000$ 87,000$

Production Structure - Gates 43,200$ 125,280$ Concrete Works 1,046,250$ 3,034,125$ Foundation / Floors 506,250$ 1,468,125$ Purification 75,000$ 217,500$ Production Tanks Steel Structure 540,000$ 1,566,000$ purification Tanks 75,000$ 217,500$ Concrete - Outside Works Purification Equipment (Drum Filter, UV, Ozone)

Purification CST (Swirl Sep., Vortex, Fecal Trap)Services Building 732,000$ 1,342,700$ Purification Biofilters / Bacteria SystemStructure 162,000$ 313,200$ Purification PumpsOutside Walls / Roof Purification Piping / Valves / FittingsDoors & Openings 150,000$ 217,500$ Purification Structure - GatesEquipmentInterior Layout & Furnishings 300,000$ 580,000$ Fish Processing & Manutention 502,500$ 1,238,500$ Cold Room / Insulated Walls 120,000$ 232,000$ Nets 15,000$ 43,500$ Compressor Building Fish Graders 150,000$ 435,000$

Fish Pump 150,000$ 435,000$ Warehouse Production 745,500$ 2,161,950$ Preliminary Processing Line 187,500$ 325,000$ GH - Building 648,000$ 1,879,200$ Processing Line BuildingGH - RoofingGH - Shading System Oxygen / Aeration 330,000$ 913,500$ GH - Fans 60,000$ 174,000$ Oxygen Source / Generator 30,000$ 43,500$ GH - Piperack 37,500$ 108,750$ Oxygen Distribution 45,000$ 130,500$ GH - Interior Maintenance Cart Oxygen Diffusors / Stones 90,000$ 261,000$ GH - Roof Maintenance Cart Oxygen Saturators 90,000$ 261,000$

Regenerative Blowers 75,000$ 217,500$ Heating 675,000$ 1,667,500$ Degassing ColumnFish Pool Water Conditioning Syste 225,000$ 652,500$ Air Heating Piping System 150,000$ 435,000$ Water Supply 60,000$ 137,750$ Gas Source / Tanks Water Source / WellsGas Distribution System First Stage Water FiltrationCo2 Generator / Tanks Water Accumulation TankGas Heater Pumping Station 37,500$ 72,500$ Boiler Room System 300,000$ 580,000$ Water Distribution 22,500$ 65,250$ SB - Heating System Water Heater

Cooling 1,200,000$ 2,247,500$ Waste Water Management 660,000$ 1,276,000$ Air Recirculation System (HAF) PH Water Treatment Plan 60,000$ 116,000$ Water Cooling System 1,050,000$ 2,030,000$ Water Recuperation System 600,000$ 1,160,000$ Coldroom Cooling EquipmentPre-Cooling Feeds / Treatments 337,500$ 855,500$ SB - Ventilation / Air Conditioning 150,000$ 217,500$ Fish Food

Feeders 225,000$ 652,500$ Electrical 1,612,500$ 4,676,250$ Water Analysis Equipments 30,000$ 43,500$ Main Input Cables & Transformer ChemicalsMain Distribution Panels 300,000$ 870,000$ Cleaning (Rakes, Brush, …) 7,500$ 14,500$ Emergency Supply & Automatic Transfer Switch 300,000$ 870,000$ Stock Management Software 60,000$ 116,000$ Electrical / Lighting & Outlets 37,500$ 108,750$ Curative / Prevention Treatments Equipments 15,000$ 29,000$ Electrical Materials & Installation 900,000$ 2,610,000$ Climate Control System Direct Labor / Project 1,341,900$ 3,389,760$ Photoperiodic Lighting 75,000$ 217,500$ Site Management Salaries 150,000$ 290,000$

Sub-Contractors ( Polyurea) 225,000$ 652,500$ Incubation / Laboratory 189,750$ 550,275$ GH & Shading System 194,400$ 563,760$ Incubators 165,000$ 478,500$ Growing System Installation 450,000$ 1,305,000$ Hatchery Tanks 2,250$ 6,525$ SB Installation 225,000$ 390,000$ Laboratory Equipment 15,000$ 43,500$ Living Expenses 60,000$ 116,000$ Eggs / Fingerlings & Egg Production System Travelling Expenses 37,500$ 72,500$ Hatchery Accessories & Supplies 7,500$ 21,750$

Delivery & Miscellaneous / Project 555,000$ 1,276,000$ Stabulation / Hatchery 112,500$ 326,250$ Insurance 75,000$ 145,000$ Hatchery Tanks 112,500$ 326,250$ Equipment RentalsStabulation Filtration (Drum Filter, UV, Ozone) Misc Supplies & Equipments 75,000$ 145,000$ Stabulation CST ( Swirl Sep., Vortex, Fecal Trap) Office Supplies 30,000$ 43,500$ Stabulation Biofilters / Bacteria System Tax & PermitsStabulation Pumps Delivery Costs; Freight & Parcels 225,000$ 652,500$ Stabulation Piping / Valves / Fittings Duty / BrokerageStabulation Structure - Gates Professionals Services 150,000$ 290,000$

Project Design, Drawings & Planning 270,000$ 500,250$

1 Module 3 ModulesTotal Capital 13,529,100$ 34,007,290$

Aquaculture Capital

Aquaculture CapitalOur Army

page 18

Horticulture ProductsProduction

Quantity (cases/yr)

Sales Price (Case) Revenue

Mini Romaine 73,925 16$ 1,182,800$ Mini Spinach 9,045 16$ 144,720$ Green Leaf 22,560 14$ 315,840$ Red Lettuce 62,700 14$ 877,800$ Butterhead in Clamshell 14,060 14$ 196,840$ Cilantro 9,740 13$ 126,620$ Watercress 6,126 14$ 85,764$ Parsely 11,898 12$ 142,776$ Basil 3,975 15$ 59,625$ Arugula -$ Tomatoes (KG) 60,000 4.4$ 264,000$ Total 214,029 3,396,785$

Raw Materials1,216,775$

Direct Labour993,549$

DimensionsBlock Identification 1 Length 150 mWidth 154 m

Covered Area 23,040 m2

Growing Area 19,833 m2

Production Boards 26,096

Nursery AreaLength 150 mWidth 48 m

Covered Area 7,200 m2

Growing Area 4,958 m2

Nursery Boards 6,524

Summary

Total Project Area 31,315 m2

Total Greenhouse Area 24,791 m2

Total Growing Area 5,449 m2

Working & Transportation Area 5,449 m2

Nethouse Circulation Area - m2

Packing & Warehouse Area 1,075 m2

Capacity of Production

Density 24 plants /m2

Annual Crop Rotation 17 / yearTotal Harvest / m2 408Marketable Plants 85%

Potential Harvest

Per Square Meter 347 /m2/yearFor Growing Area 6,878,071 plants / yearFor Sale 573,173 dozens /year

Total 1,432,931 KG / year

Horticulture ProductsAnalysis

page 19

Long Term Loan Schedule

Depreciation Schedule

Escalation Schedule

Long-Term Loan Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10Principal 73,332,848$ 69,666,206$ 65,999,563$ 62,332,921$ 58,666,278$ 54,999,636$ 51,332,994$ 47,666,351$ 43,999,709$ 40,333,066$ Interest 5,133,299$ 4,876,634$ 4,619,969$ 4,363,304$ 4,106,639$ 3,849,975$ 3,593,310$ 3,336,645$ 3,079,980$ 2,823,315$ Payment 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ Annual Interest Expense 8,799,942$ 8,543,277$ 8,286,612$ 8,029,947$ 7,773,282$ 7,516,617$ 7,259,952$ 7,003,287$ 6,746,622$ 6,489,957$ Principal Balance 69,666,206$ 65,999,563$ 62,332,921$ 58,666,278$ 54,999,636$ 51,332,994$ 47,666,351$ 43,999,709$ 40,333,066$ 36,666,424$

Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21Principal 36,666,424$ 32,999,782$ 29,333,139$ 25,666,497$ 21,999,854$ 18,333,212$ 14,666,570$ 10,999,927$ 7,333,285$ 3,666,642$ 0-$ Interest 2,566,650$ 2,309,985$ 2,053,320$ 1,796,655$ 1,539,990$ 1,283,325$ 1,026,660$ 769,995$ 513,330$ 256,665$ 0-$ Payment 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ 3,666,642$ Annual Interest Expense 6,233,292$ 5,976,627$ 5,719,962$ 5,463,297$ 5,206,632$ 4,949,967$ 4,693,302$ 4,436,637$ 4,179,972$ 3,923,307$ 3,666,642$ Principal Balance 32,999,782$ 29,333,139$ 25,666,497$ 21,999,854$ 18,333,212$ 14,666,570$ 10,999,927$ 7,333,285$ 3,666,642$ 0-$ 3,666,642-$

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Revenue2.5% Aquaculture 34,884,000$ 35,756,100$ 36,650,003$ 37,566,253$ 38,505,409$ 39,468,044$ 40,454,745$ 41,466,114$ 42,502,767$ 43,565,336$ 2.5% Horticulture 3,396,785$ 3,481,705$ 3,568,747$ 3,657,966$ 3,749,415$ 3,843,150$ 3,939,229$ 4,037,710$ 4,138,653$ 4,242,119$ 2.5% Electricity 8,238,780$ 8,444,750$ 8,655,868$ 8,872,265$ 9,094,072$ 9,321,423$ 9,554,459$ 9,793,320$ 10,038,153$ 10,289,107$ 2.5% Heat -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Costs2.5% Aquaculture 12,731,904$ 13,050,202$ 13,376,457$ 13,710,868$ 14,053,640$ 14,404,981$ 14,765,105$ 15,134,233$ 15,512,589$ 15,900,403$ 2.5% Horticulture 2,592,674$ 2,657,491$ 2,723,928$ 2,792,026$ 2,861,827$ 2,933,373$ 3,006,707$ 3,081,875$ 3,158,922$ 3,237,895$ 2.5% Electricty & Heat 1,703,227$ 1,745,807$ 1,789,452$ 1,834,189$ 1,880,043$ 1,927,045$ 1,975,221$ 2,024,601$ 2,075,216$ 2,127,097$

2.5% Fixed Overhead 3,567,400$ 3,656,585$ 3,748,000$ 3,841,700$ 3,937,742$ 4,036,186$ 4,137,090$ 4,240,518$ 4,346,530$ 4,455,194$ Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21

Revenue2.5% Aquaculture 44,654,469$ 45,770,831$ 46,915,102$ 48,087,979$ 49,290,179$ 50,522,433$ 51,785,494$ 53,080,131$ 54,407,135$ 55,767,313$ 57,161,496$ 2.5% Horticulture 4,348,172$ 4,456,876$ 4,568,298$ 4,682,506$ 4,799,568$ 4,919,557$ 5,042,546$ 5,168,610$ 5,297,825$ 5,430,271$ 5,566,028$ 2.5% Electricity 10,546,335$ 10,809,993$ 11,080,243$ 11,357,249$ 11,641,180$ 11,932,210$ 12,230,515$ 12,536,278$ 12,849,685$ 13,170,927$ 13,500,200$ 2.5% Heat -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Costs2.5% Aquaculture 16,297,914$ 16,705,361$ 17,122,995$ 17,551,070$ 17,989,847$ 18,439,593$ 18,900,583$ 19,373,098$ 19,857,425$ 20,353,861$ 20,862,707$ 2.5% Horticulture 3,318,842$ 3,401,813$ 3,486,858$ 3,574,030$ 3,663,380$ 3,754,965$ 3,848,839$ 3,945,060$ 4,043,687$ 4,144,779$ 4,248,398$ 2.5% Electricty & Heat 2,180,274$ 2,234,781$ 2,290,650$ 2,347,917$ 2,406,615$ 2,466,780$ 2,528,449$ 2,591,661$ 2,656,452$ 2,722,864$ 2,790,935$

2.5% Fixed Overhead 4,566,574$ 4,680,738$ 4,797,756$ 4,917,700$ 5,040,643$ 5,166,659$ 5,295,825$ 5,428,221$ 5,563,927$ 5,703,025$ 5,845,600$

Escalation Rate

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10Depreciable Value 62,856,727$ 59,713,891$ 56,571,054$ 53,428,218$ 50,285,382$ 47,142,545$ 43,999,709$ 40,856,872$ 37,714,036$ 34,571,200$ Depreciation Amount 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$

Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21Depreciable Value 31,428,363$ 28,285,527$ 25,142,691$ 21,999,854$ 18,857,018$ 15,714,182$ 12,571,345$ 9,428,509$ 6,285,673$ 3,142,836$ 0$ Depreciation Amount 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$ 3,142,836$

Depreciation (Straight Line)

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Although HydroNov will provide the commercial production technology and equipment, ecoTECH design changes will be made to allow for the ecoTECH Food Circle system to be deployed utilizing Dr Nick Savidov’s techniques and counsel. Apart from worms and shrimp home grown at the facility to provide “worm tea” nutrients and food for carnivorous species, a percentage of Arctic and Antarctic Krill will be used as top up for the natural food circle for salmonids and trout, cod, Murray cod, perch and barramundi (sea bass), along with organic kelp powder.

Oldest Hydronov facility (1986) Hydroserre Mirabel Quebec: Photographed December 2011

Bumble Bees are our pollinators

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An earlier photograph. The area behind the facility is now an urban townhouse community.

Nick Savidov, Ph.D.Chief Research ScientistCDC Aquaponics Project

Bio-IndustrialTechnology Branch

Agriculture and Rural Development, Ministry of

Agriculture, AB.

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ecoGROWis a division of

ecoTECHenergy group inc

page 23page 23

ecoTECH Energy Group Incorporated.

tel: +1 604 755 9363

e-mail: cvh@ecth.ca

www.ecotechenergygroup.com & www.ecogrow.ca