August 2010

“Turning Arizona’s Green Waste into Renewable, Reliable Baseload Electricity”

Project Overview

30MW electric generation facility - Biomass fueled

46 acre site – 30 miles south of Phoenix within City of Maricopa, Pinal County

$92 million initial capital investment

Primary Fuel Source: landscape/crop waste

Secondary Fuel Source: high BTU crops from local farms

Electrical interconnection at Kelly Substation (Electrical District-3)

FAQ’s 30 megawatts renewable electricity = 35,000 homes Fuel: 300,000 tons/year of green waste (currently goes to landfills) All fuel from within 50-75 mile radius Permitted to combust landscape waste (tree trimmings, logs, etc),

farm crop waste (orchard trimmings, stalks, etc), untreated wood (pallets, construction waste, etc) and bio-energy crops

Not permitted to burn garbage, sewage, manure, treated wood (plywood, railroad ties, etc), or tires.

Facility will operate 24 hours/day, approx 350 days/year Water rights leased/supplied from Pinal Feeding Ash removed as composting filler and/or applied to local farm

acreage

Artist Rendering

Local Fuel SourcesPhoenix Green Landfill Waste

Processing Green Waste at Landfill

Bio-Crop (Sorghum) ready for harvest

Arizona Bio-Crops Planted (Sorghum)Tohono O’Odham Farms – Pinal County

Overall Benefits

Renewable electricity: helps utilities meet ‘Renewable Energy Standard’

Reliable electricity: serves annual baseload demand 24 hours/day Increased stability/reliability to local electric grid (ED3) Reduces landfill burden: diverts nearly 30% landscape waste Lessens reliance on fossil fuels, increases energy independence Reduces greenhouse gas emissions, carbon-neutral Construction and full-time jobs to help AZ economy State and local tax revenue Utilizes local farmers/Native Americans (secondary fuel source)

Local Benefits

20-25 full-time jobs after commissioning (2013) 110-120 construction jobs (starting 2011) 100+ indirect jobs created for fuels delivery, maintenance, etc Boost to City of Maricopa tax base Estimated local/AZ impact: $15,000,000+ annually Renewable Energy “Campus” (area visibility, attract industry) ED-3 increased revenues from “wheeling” power Ability for local residents to drop-off acceptable green waste

TechnologyWood-based feedstock directly burned to produce steam - steam drives turbine, which turns generator creating electricity sent to grid - spent steam condensed back to water and recycled into process. In principle, functions like a natural gas-fired power station, except burning renewable fuel.

Existing Biomass Power Facilities

- 208 Biomass power facilities* (primarily wood burning)- Represents approximately 4GW of power- *Excludes thermal, landfill gas, municipal solid waste facilities

PP

Site Location

SITE LAYOUT

Pinal I 30MW Biomass

Generation

Truck Dumps

Scales

Primary Fuel Yard

Aux. Fuel

Processing

Office

Substation

(Initial 45 Acres)

(Additional 30+

Acres)

Nat Gas

Water Well

N

ED-3

Railroad

Roadway Easement

Scales

FUTURE RENEWABLE ENERGY DEVELOPMENT

Who is Pinal Power?

Pinal Power, LLC owned by Phoenix-based Arbutus Bio-Energy, LLC

Arbutus develops, constructs, manages, and operates renewable energy facilities, primarily biomass generation.

Investment / Development partners: Elemental Energy, Inc and Western Bio-Energy, Inc.

Development team has 40+ years experience in field with 20+ biomass power plants developed, constructed and commissioned since early '80s.

Project financing will be US-based

Arbutus Bio-Energy

Western Bio-Energy

Elemental Energy

Permits & Timeline

Permits required

Title V air quality permit FEMA flood plain control Local zoning, construction, safety

Contact Info

38743 W. Cowtown Road, Maricopa, AZ 85238

602-363-8441www.PinalPowerLLC.com