Direct Conversion of CO2 and Sunlight to Liquid Fuels, Joule Unlimited Technologies, Inc

Liquid fuel from the sun™

©2015 Joule. Rights Reserved.. www.jouleunlimited.com

Direct Conversion of CO2 and Sunlight to Liquid Fuels

13th International Conference on Carbon Dioxide Utilization (ICCDU XIII)

University Town, SingaporeKeith D. Patch

Process Engineering ManagerJoule Unlimited Technologies, Inc.July 6, 2015, 11:40 AM to 12:00 PM


Renewable Transportation Fuels are Needed

Large‐scale renewable ground transportation fuels are needed Battery electric vehicles (BEV) use current electric utility power supplies Current electric utility power supplies are primarily fossil fuel‐based

Hydrogen for fuel cell electric vehicles (FCEVs) is primarily from natural gas

Large‐scale renewable air transportation fuels are needed Commercial air transport with battery power is impractical Commercial air transport with hydrogen FCEV technology is impractical

Joule is developing large‐scale renewable transportation fuels Renewable ethanol is being produced at demonstration‐plant scale today Renewable diesel/jet fuel is being produced in the lab today Both use a one step, continuous carbon dioxide‐to‐fuel sequence

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Joule Summary

Joule is the most advanced and most scalable carbon‐neutral source of energy for the mobility sector Recycles CO2 emissions through biocatalyst to produce ethanol and diesel/jet fuels Also uses sunlight, non‐potable brackish water and non‐arable land

Protects existing assets from carbon taxes and emission caps through emissions reuse

Can benefit from incentives for advanced biofuels and low‐carbon fuel markets

Utilizes existing infrastructure, logistics, and service station networks

To date, the company has committed $200m to develop technology Proven field operations at demonstration‐plant facility in Hobbs, NM, USA

Produced independently‐validated US and EU fuel‐grade ethanol and diesel/jet blend stock

Currently rolling out the first phase of the industrialization process

Joule is assembling a strong network A coalition of a few large, international industrial companies to join Audi as strategic partners

All advancements support the industrialization process Commissioning of first commercial plant in 2019

Targeting full‐scale commercial rollout in 2020 3


Identified Over 1,000 Potential Locations for Joule Plants Globally

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Indicative selection of sites from Joule CO2 emitter database, with CO2 emissions >= 300 kton/year, maximum theoretical productivity >=18,000 gal/acre/yr, air temperature >= 0°C, wet‐bulb temperature <=25°C. Source: Team Analysis, NASA climate data. Not all locations adjusted for availability of land.


Channeling Photosynthesis to Convert Solar Power into Fuels

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Nature’s WaySunlight, CO2 and water enable trees’

growth and produces O2

95% of Energy to Product

5% of Energy for Cell

Maintenance

Fuel

Oxygen

Carbon Dioxide

Water

Sunlight

Joule’s WaySunlight, CO2 and water enable

biocatalytic conversion to secrete fuel (and produces O2)

100% for Maintenance &

Growth

Carbon Dioxide

Water

Sunlight

Oxygen


• Extremely amenable to genome engineering• No nucleus, chloroplast or mitochondial compartments• Rapid metabolism and cell division• Multiple CO2 concentrating mechanisms• No photorespiration or energy dissipation at high CO2• Can be engineered as a thermotolerant species for thermal management• No biofilm or fouling issues

• Many barriers to genome engineering• Nucleus, chloroplast and mitochondria are separate membrane‐bounded compartments• Each compartment has distinct chromosomes• Difficult to control the integration and segregation of DNA• Slow metabolism and cell division• Mitochondria contribute to energy cost of metabolism

ALGAECYANOBACTERIA OUTER MEMBRANE

THYLAKOID MEMBRANE

CHLOROPLAST

NUCLEUS

GENOME

MITOCHONDRION

Base Organism: Cyanobacteria vs. Algae


The Joule Process: Cellular‐Level Photosynthesis

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Either Ethanol or Diesel Pathway can be Implemented Metabolic Switch Disabling Biomass Creation is Used with Both Pathways

C8,10,12 fatty acyl carrier protein (ACP)

Acetyl CoA

3‐Phosphoglycerate(3PG)

Pyruvate

Acetaldehyde Ethanol

NEW ETHANOL PATHWAY

Ethanol

C8,10,12fatty acid

C8,10,12aldehyde

C7,9,11alkane

Diesel Jet Fuel Gasoline

NEW ALKANE PATHWAY

EXISTING PATHWAY;OPTIMIZED CO2 UPTAKE

EXISTING PATHWAY;INCREASED FLUX

BIOMASS CREATION DISABLED

EXISTING PATHWAY

Biomass

Metabolic Switch

Metabolic Switch

Metabolic Switch

CO2


Joule’s Process is not Conventional Algal Biofuels

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Joule Uses Cyanobacteria in a Closed Photobioreactor

Ethanol or Diesel / Jet Fuel

Open Pond

Phototroph

ClosedBioreactor

AlgalOil

AlgalOil

Catalysis

Metathesis

Trans‐esterification

Catalysis

Diesel / Jet Fuel

Diesel / Jet Fuel

Biodiesel

Diesel / Jet Fuel

Closed Photobioreactor Ethanol or Diesel / Jet FuelCyanobacteria

Joule’s Process


Joule’s Process is not Conventional Algal Biofuels

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Conventional Algal Biomass: 1X Productivity

Conventional Algal Biomass is Grown, Harvested and Refined into Biofuels Joule’s Cyanobacterial Biocatalyst Continuously Secretes Biofuel

Joule’s Cyanobacterial Biocatalyst: 5X Productivity of Conventional Algal Biomass(No Harvesting or Refining Needed)

GrowAlgae Harvest Dry Break Cell

WallsSolvent

ExtractionRefine intoBiofuels

Repeat

GrowCyanobacteria

Repeat

Continuous Secretion


Joule’s Process has Much Higher Productivities

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Corn Starch Sugarcane (Brazilian) Cellulosic Switchgrass Conventional Algae Joule’s Liquid Fuel from the SunTM

Relative Annual Volumetric Production


Organism & Process Engineering Combine to Maximize Ethanol Production

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• Resistance to high levels of solar radiation

• Oxidation protection• Improved CO2 uptake• Improved metabolic pathways

GAINS FROM ORGANISM ENGINEERING

• Reactor depth• Medium optimization• Culture mixing• Gas mass transfer• Thermal management

GAINS FROM PROCESS ENGINEERING

Single random mutation

Mutant + process variables

Etha

nol Tite

r

Time

Biocatalyst 1, Optimized Reactor Design

Biocatalyst 1, Standard Reactor Design

Base Strain


Demo Plant Operating Today In Hobbs, NM, USA

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Engineered Catalyst

Ethanol

Diesel

Jet Fuel

Joule Demonstration Plant

A disruptive carbon‐neutral fuel technology based on superior biology & biotechnological competence Patented technology

SunlightCO2 Water


Production Unit 1: Hobbs, New Mexico, USA

• 0.1 acre, 4,500 liter total volume• Deployed with 6, 22‐channel capsules• Capsule length of 50 m; expandable to 100 m• Active area of 180 m2 – 360 m2

SPECIFICATIONS

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Reiner Mangold, AUDI AGHead of Sustainable Product Development and e-fuels

Hobbs, NM Plant Producing Ethanol

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Recent Progress

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Independent test results confirm that Joule’s Diesel (C11 alkane) meets ASTM diesel standard D975 when blended up to 50% with No. 2 diesel

Same C11 molecule can be blended up to 25% with commercial jet fuel

Provides additional benefit of lowering fuel sulfur levels

ASTMASTM

MCANMCAN

Joule's first Microbial Commercial Activity Notice (MCAN) for a direct fuel production biocatalyst favorably reviewed by U.S. EPA

Voluntary consent order enables commercial use of biocatalyst strain at Joule’s demonstration plant

Facilitates future regulatory compliance for Joule’scontinued strain improvements

Advanced Bioengineering

Advanced Bioengineering

Recent U.S. Patent for Joule Diesel/jet fuel (C11 alkane) Achieved multi‐week contamination‐free production runs in large‐scale outdoor system

ASTM & DIN ASTM & DIN Independent test results confirm that Joule’s ethanol meets U.S. and European specifications

ASTM D4806 – Denatured fuel ethanol for blending with gasolines for use as automotive spark‐ignition engine fuel

DIN EN 15376 – Ethanol as a blending component for petrol


Ecologically sound: conserves arable land, crops and fresh water (not food for fuel)Ecologically sound: conserves arable land, crops and fresh water (not food for fuel)

A CO2‐to‐Fuels Platform with Record‐Breaking Advantages

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Monetizes CO2: enabling new markets and revenues for industrial emittersMonetizes CO2: enabling new markets and revenues for industrial emitters

Infrastructure‐ready products: ethanol and diesel with no chemical processing

Competitive target costs: $1.30/gal, $50/barrel (in ideal locations)Competitive target costs: $1.30/gal, $50/barrel (in ideal locations)

Unrivaled target productivity: up to 25,000 gal/acre/year for ethanol and15,000 gal/acre/year dieselUnrivaled target productivity: up to 25,000 gal/acre/year for ethanol and15,000 gal/acre/year diesel

Infrastructure‐ready products: ethanol and diesel with no downstream processingInfrastructure‐ready products: ethanol and diesel with no downstream processing

Abundant inputs: sunlight, waste CO2 and non‐potable (brackish) waterAbundant inputs: sunlight, waste CO2 and non‐potable (brackish) water

Massive scale and supply: enables localized creation of above‐ground fuel reservesMassive scale and supply: enables localized creation of above‐ground fuel reserves


Summary

• Demonstrated end‐to‐end production of CO2‐recycled fuels

• Mitigates CO2 emissions, captures tax & carbon incentives

• A broad proprietary technology with strong IP

• Highly‐experienced management team in place

• Founded in 2007 & raised $200MM to date

• Main office in Bedford, MA, USA

• Demonstration facility in Hobbs, NM, USA

• 130 Employees, including 27 PhDs

• Industrialization process is underway

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References

Automotive fuels ‐ Ethanol as a blending component for petrol ‐ Requirements and test methods, DIN EN 15376:2014, 2014, http://www.beuth.de/en/standard/din‐en‐15376/205428341

D.E. Robertson et al, “A New Dawn for Industrial Photosynthesis,” Photosynthesis Research, March 2011, Volume 107, Issue 3, pp 269‐277, DOI 10.1007/s11120‐011‐9631‐7; http://link.springer.com/content/pdf/10.1007%2Fs11120‐011‐9631‐7.pdf

F.A. Skraly and N. Li, “Recombinant synthesis of medium chain‐length alkanes,” U.S. Patent 9,034,629, May 19, 2015

Standard Specification for Aviation Turbine Fuel Containing Synthesized Hydrocarbons, ASTM D7566 – 14c, 2014, http://www.astm.org/Standards/D7566.htm

Standard Specification for Denatured Fuel Ethanol for Blending with Gasolines for Use as Automotive Spark‐Ignition Engine Fuel, ASTM D4806 – 15, 2015, http://www.astm.org/Standards/D4806.htm

Standard Specification for Diesel Fuel Oils, ASTM D975 – 15a, 2015, http://www.astm.org/Standards/D975.htm

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Environment

Direct Conversion of CO2 and Sunlight to Liquid Fuels, Joule Unlimited Technologies, Inc