BIO-CHAR FOR EUROPEAN POWER-PLANTS

BIO-CHAR AND BIO-OIL PRODUCTIONFOR AFRICA & EUROPE

via microfuel biomass depolymerisation using sustainable feedstock from

African biomass sources

© 2013 by Bionic Laboratories BLG GmbH

Bionic Laboratories BLG GmbHHelwigstr. 41

D- 64521 Gross-Gerau, Germanywww.bionic-world.net

© Revision 33, July 2013, patents pending

Bionic Palm LimitedPO Box 14916 GP

Accra, Ghanawww.bionic-palm.com

by

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BIONIC GROUP OVERVIEW

Bionic Fuel Technology Germany/Czech Republic Microfuel technologyConverting most carbon containing feedstock into synthetic oil and char

Biomass MSW Industrial waste Used tires Oil contaminated soil, tar sands

Using microwave and modern catalysts Carbon liquefaction

Fossil coal Bio-char

Bionic Palm Ghana/West Africa Agriculture

Contract services Jatropha breeding

(non-toxic, high yield, pest resistant)

Test farm 150ha food & fuel Sustainable poultry farm Sustainable biomass feedstock

concepts

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Bionic Fuel Knowledge PartnersUS based IP management holding

AMBITIOUS EU TARGETS FOR RENEWABLE ENERGY

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2005 required until 2020

0.085

0.2

contingent of renewable energy inside EU

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126

140

Available 2010

Max pellet capacity

Required ImportExpansion

estimated for 2020

70

670

400

80

320

1030

610

~ 550

~ 1.960

Biofuels

Heat

Power

2005 2020 2020

15% agricultural

75% Wood

High energy content Low ash High availability

10% Biowaste

growth of biomass requirement for power generation inside EU. Progression 27 [ Twhel ]

need for biopellet feedstock requires Import

11,5%

Mio t.

biomass plantations

usable light oil similar to Diesel ( D2 )

high calorific bio-char

water

BionicMicrofuel process

CO2 neutral power generation

soil amendment (terra preta)

FROM BIOMASS TO ENERGY WITH BIONIC MICROFUEL

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biomass preprocessingdrying, grinding and pelletizing

Bionic

ENERGY CONTENT OF BIONIC CHAR & OIL

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Unit Wood Pellets

Bionic- Char

Bionic -Oil

Anthracite

MJ/kg 14,4 19,9 26,8 42,2 30,0

kWh/kg 4,0 5,5 7,4 11,7 8,3

H2O 50,0 % 15,6% 3,4% < 0,1% < 10,0%

CO2 neutral neutral neutral neutral 949 g/kWh

Bionic-Char and Bionic-Oil has significantly higher calorific value and better qualitythan conventional pyrolysis or torrefaction products

MICROFUEL PROCESS

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Lignine

Cellulose

light oil

biochar

modulated pulsed microwave

zeolite catalyst

The complete process is contained in a single

high-tech reactor system with a capacity

of up to 80 TPD of feedstock.

Biomass

Biomass, containing mostly Lignine and Cellulosis, is converted by the

combination of a zeolithic catalyst and modulated microwave radiation to oil and

biochar in a specific reactor phase.

Hydrogen

The proprietary microfuel system has been developed in the Bionic Group since 2001 and is among the leading catalytic cracking technologies worldwide. (patents

pending)

Z

MASS BALANCE

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Gas 420 kg

Oil 990 kg

Char 1.470 kg

Water 120 kg

Heat

pre-processing conversion output

3.000 kg/h of

dry biomass pellets

~ 14,0%

~33,0%

~49,0%

~4,0%

Microfuel MF 480 B

1.500 kW CHP

Material flow per hour and reactor

600 kW (el)

250 kW (therm)

600 kW (el)

750 kW (therm)

for pre-processing offeedstock ~ 12-17%

of oil output usedfor internal power

production300 kW (el)

350 kW (therm)

for post-processingof bio-oil

~ 500 kW @ 90°C(through energy recovery)

Biomass & Zeolite

„FREE“ SOLID FUEL FOR EUROPEAN POWER PLANTS

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local markets

Export to Europe

revenues from oil sales will covercapital, production & transport costs

40 ton p.a. / ha fast growing biomass

CO2 neutralpower generation

from high calorific bio-char

1.000 t per day

500 t per day~ 75 MW per day

10.000 ha ++12 x MF480B reactors

300 to Diesel per day

PRINCIPAL PROCESS FLOW

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Dryer

Shredder

Pelletizer

Silo

Silo

catalyst mixer

Rotor feeder

Rotor feeder

Rotor feeder

Rotor feeder

Big Bag

exhaust gases

input conveyor

output screw

pressure tankfor exhaust gas

generator

heat-exchanger

nitrogentank

nitrogengenerator

fluidcirclesystem

separation tank

Distillationcolumn

fuel tank

PI

hydrotreatingsystem

No Date Rev Description

(c)2010 by BFT Bionic Fuel Technologies AG, Germany

mf480Prozess Flow Diagram

Classification: Reviewed:

Project ID : Drawing No: Rev. :

Sheet:

of :

1 2010/10/18 12 Overview single Unit

01

01

Draft

17/10

Pre-process Reactor Condensation/Distillation

thermaloil

inert gas

steam out

water out

coolingwater25 °C

outputconveyor

fuel output

gas in

uncondensableoutputto generator50 °CAir IN

securityvent

IN80 °C

OUT Rotor

Vacuum

nitrogen

condensers

ATEX Kat 3 Zone 22 T 1

Decagon

BIO-OIL UPGRADING PROCESS

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propane

butane

nafta

gasfuel

jet A-1

diesel /blender

blenderHS

visbreaker

cracker

HDS

HDS

Alkyl

gaswasher

reformer

atm. destillation

vac. destillation sulphur

nafta

OPTIONAL: COMBINED OIL&CHAR POWER GENERATION

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BIONIC-OIL

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Upgraded Bionic-oil produced by the microfuel process matches the ASTM specifications in most cases for transportation and generator low sulphur fuels. Blending with additives like cetane enhancers and hydrotreatment increases the energy content and quality parameters.

Bio-Oil Analyticscomparing to ASTM specifications for low-sulphur fuel

Parameter Method Unit eucalyptus wood chips Specification ASTM D975 1-D S500

Flash point ASTM D 93 / DIN 2719 °C 56,5 52,5 min 38Kin. Viscosity (40 °C) ASTM D 445 / DIN 3104 mm2/s 1,126 1,319 1.1 - 2.4Lubricity HFRR 60°C ASTM D 6079 µm 389 357 max 520Ash content ASTM D 482 / DIN 6245 % (m/m) < 0,005 < 0,005 max 0.01Sulfur content ASTM ASTM D 2622 % mass 0,044 0,007 max 0,05Density (15 °C) ASTM D 1298 kg/m3 832,9 852,6 820 - 845Distillation temp ASTM D 86 correlation °C 204,4 368,8 max 288Cetane index ASTM D 976 - 40,1 40,3 min 40Nitrogen content ASTM D 4629 mg/kg 2500 177 no specificationCooper strip corrosion ASTM D 130 Corr Degree 1A 1A max No 3PAH content (Aromates) ASTM D 1319 / DIN 12916 % (m/m) na 0,9 max 35Cloud point ASTM D 2500 / DIN 23015 °C -16 -16 < 35°CCFPP ASTM D 6371 / DIN 116 °C -49 -55 < - 20 °C for winter gasoilCalorific value, lower ASTM D 240 DIN 51900 J/g 39797 37158 -Calorific value, upper ASTM D 130 / DIN 51900 J/g 42053 39684 -

need to be adjusted by additives

BIONIC-CHAR

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Analytical Results for charcoalFeedstockcontent Unit raw material char raw material charHo wf kJ/kg 18720 24380 19970 26885Hu wf kJ/kg 17530 23990 18870 26485Cl wf Mass.-% 0,11 0,05 0,01 0,08Cr Mass.-% 0,15 0,04 0,14 0,032C wf Mass.-% 49,0 61,1 50,9 72,9F wf Mass.-% < 0,005 < 0,003 < 0,005 0,009H wf Mass.-% 5,8 2,3 5,9 2,2H2O Mass.-% 16,5 4,4 15,6 3,4K2O Mass.-% 14,96 5,68 10,13 3,85MgO Mass.-% 6,08 2,09 9,8 4,01Mn Mass.-% 0,21 0,06 0,17 0,02N wf Mass.-% 0,8 1,3 0,2 0,9O wf. Mass.-% 42,15 11,27 41,99 8,99P wf Mass.-% 0,065 0,275 0,007 0,111Pb wf Mass.-% 0,0022 0,0073 < 0,0005 0,0392SiO2 Mass.-% 13,5 40,2 14 30,5

Wood ChipsEucalypthus

The microfuel process enhances the calorific value of traditional charcoalsignificantly and allows for the use either as a soil enhancer or for combustionpurposes.

PLANT DESIGN (1.000 TPD CAPACITY)

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PLANT LAYOUT

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MODULAR DESIGN

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CALCULATION OVERVIEW

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Input Capacity 1.000 ton per day / 10.000 ha plantation

Investment ~ 300 MM Euro

Total annual cost(including depreciation and interest)

~ 78 MM Euro

Annual revenue from oil ~ 85 MM Euro

Annual profit from oil alone ~ 7 MM Euro

Remaining biochar for FREE! 500 tons per day

Comparable value in Europe ~ 35 MM Euro p.a.

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Production330 to/day Oil D2 800 € to 264,000 € 320 days 84,480,000 € 500 to/day Char - € to - € 320 days - €

Revenue (oil only) 84,480,000 € CAPEXreactors 12 reactors 6,900,000 € 82,800,000 € feedstock preparation 12 lines 5,500,000 € 66,000,000 € oil upgrading 3 lines 12,000,000 € 36,000,000 € 184,800,000 €

trucks 150 units 110,000 € 16,500,000 € harvesting 12 units 1,100,000 € 13,200,000 € pruning 12 lines 440,000 € 5,280,000 € misc 10 1,000,000 € 10,000,000 € 44,980,000 €

land preparation 10,000 ha 1,500 € 15,000,000 € seedlings & planting 10,000 ha 1,000 € 10,000,000 € other inputs 10,000 ha 1,500 € 15,000,000 € 40,000,000 €

Total Investment 269,780,000 € depreciation 12 years 22,481,667 € interest (avg) 9.00% p.a. 12,140,100 € annual capital costs 34,621,767 €

OPEXcapital cost 34,621,767 € staff 350 workers 500 € 2,100,000 € recultivation 10000 ha p.a. 1,200 € 12,000,000 € fuel 2500 to p.a. 800 € 2,000,000 € catalyst 1600 to p.a. 4,400 € 7,040,000 € maintenance 6.5% average 229,780,000 € 14,935,700 € lease of land 10000 ha p.a. 100 € 1,000,000 € overhead 1,500,000 € 1,500,000 € management 2,500,000 € 2,500,000 €

77,697,467 € Net profit from oil only 6,782,533 €

Biochar to Europe from Bionic plantations in Africa (1000 to/day dry Biomass)

microfuel BTL

plant

farming equipment

planting

Comparing Cost of Fossile Coal to Biochar for an Industrial User in Europe

Cost of Coal from Canada or Australia500 tons/day 220.00 € 320.00 days 35,200,000.00 € 500 CO2 certificates 13.00 € 320.00 days 2,080,000.00 €

Total Cost 37,280,000.00 €

Cost of Biochar from Africa500 tons/day - € 320.00 days - € 500 to transport 40.00 € 320.00 days 6,400,000.00 €

./. Net profit from oil sales 6,931,433.33 €- Total Cost 531,433.33 €-

Annual Savings 37,811,433.33 €

COST COMPARISON

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BIONIC TESTFARM IN GHANA

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ENVIRONMENT & RESOURCES

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Integrated farming concept

e.g. Jatropha double hedge

Hedge roots stabilize soiland prevent erosion

Eucalypthus, Miscanthus(elephant gras)Bamboo , Castor are possible energy crops

Change of agricultural cropon a regular basis reducesdecrease of nutrients insoil like in a monocropping

Natural pollinationthrough bees

changing crops

Oil extraction

Jatropha Seeds

Jatropha oil

Local soap productionBiojetfuelBiochemicalsand more

presscake

fertilizer

Food and honeyfor local markets

Harvested biomass from fields

biochar

soil improvement

Synthetic Fuel

Biochar

Zero w

aste approach

any waste biomassValue food and energy products

CONTINUOUS SOIL IMPROVEMENT

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Eroded savanna soil

Soil stabilization through agroforestry

Growing maize and othergrains between hedges

Growing morevaluable foodbetween hedges

The continuous improvement of land from eroded soil to valuable farmland instead of radical change of land use saves resources and preserves the environment

By improving soil all climate advantagesof tropical farming can be used:• 5 time faster growth of bio mass• up to 4 planting seasons under irrigation

Steps of s

oil improve

ment

DECREASING CO² FOOTPRINT

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Raising the amount of plants the CO² absorption volume will be increased from the first moment of farming

Significantly positive CO² life-cycle balance

Eroded savanna soil depleted through unsustainable farming

Soil stabilization through agroforestry

Growing high value foods between hedges

Growing maize and othergrains between hedges

Steps of d

ecreasin

g CO² fo

otprint

Low impact clearing

Low till farming

Organic fertilizer, bio-char

ZERO WASTE INTERNAL CYCLES

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Jatropha Seeds

Oil extractionOil extraction

Press Cake

Continuousfertilization and soil improvement

Energy CropsWaste Biomass

Microfuel plant

BiocharPower

Generation

Export

5-10%

Export

EconomicProsperity &Continuity

EconomicProsperity &Continuity

Poverty reductionDomestic workforce

National food securityBuilding up a sustainablenational food production

Healthy economyImproving nationaltrade balance

Integrated Product Mix Zero waste approach

Low impact farming methods Innovative tropical farming concept

Economic SustainabilityPostive cash flows generated byselling maize and Jatropha oil

Production of bio-char & bio-oilProduction of high calorific bio-char and bio-oil under sustainable conditions

Carbon negative footprint Sequestration of biochar

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SOCIAL RESPONSIBILITY & ENVIRONMENT

LOCAL SOCIAL RESPONSIBILITY & EQUITY

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Fully localvalue chainD

omestic

workforce

Domestic

markets

Internationalmarkets

Satisfy domestic food demand with domestic production

Raising food security Reducing food imports

Import Export

- +

Better living conditions for local population

More jobs Increased prosperity Supply of health services Improve level of training and

education on the job Social innovation through

spillover effects

Improved trade balance

Dom

estic

processing

Healthy EconomyNational Food SecurityPoverty Reduction

Domestic

farming

AFFORDABLE ENERGY - THE BASIS OF PUBLIC PROSPERITY

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Public prosperity requires economic growth, which in turn requires sufficient energy availability.

Rising production requires more automation and mechanization

More production requires more goods to be moved from production sites to markets

More economic growth requires more people to be moved from home to work

More personal prosperity raises private expectations on quality of life

Increasing energy demands from machines

Increasing energy demands of logistic operations

Increasing energy demands of public transportation

Increasing energy demands of private transportationIncreasing energy for private housekeeping

Without enough affordable energy national economic growth is highly limited. The right sources of energy must be found for each national economy.

Solar energy

Wind energy

Water energy

Energy from

biomass

Energy based on

fossil fuels

To expensive at this time for emerging countries, cannot be used for all national energy demands

Favorable, but requires back up source of energy depending on weather. Not sufficient for all national energy demands

Favorable, but requires appropriate rivers, cannot be used for all national energy demands

A clear option for the future

High and unstable prices at world markets, continually increasing prices in the future

BIONIC‘S LASTING ENGAGMENT IN AFRICA• The Bionic Group has dedicated major portions of its future royalty

income to philanthropic activities. Development support for the African people plays a key role in that context.

• At Bionic we believe in accelerating human development through sustainable business projects that create a lasting change for as many people as possible. This applies to the local community level as much as to the national and regional levels.

• Bionic Palm has been living up to those standards in Ghana since 2007. We are working on completely new models to drive innovative agricultural for food and bioenergy sectors adapted to African requirements.

• Bionic Palm currently operates a 150ha testfarm developing an approach that reclaims formerly depleted and eroded soils for agricultural use. The concept combines food and fuel at a 70/30 ratio, as Africans need both, food and energy.

• In the same context Bionic Palm runs development programs for better seeds for the region and a Jatropha breeding program that aims to bring non-toxic Jatropha hybrids to the market at least doubling current yields at the same time

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A TRUE WIN-WIN SITUATION

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Europe AfricaSignificant reduction of carbon footprint for coal fired power-plants

Production of a biofuel from local resources

Independence from fossile feedstock

Reduced import cost, increased exports

Independence from market developments

Creation of hundreds of lasting jobs for local workforce

Predictable, stable pricing Improvements on food security

Tropical climate accelerates feedstock growth

Poverty reduction

Significantly lower cost than fossile coal and cheaper than use of wood pellets

Technology transfer

Improved competitiveness at a lower risk

Supporting REDD & CDM programs

THANKS FOR LISTENING

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Bionic Laboratories BLG GmbHHelwigstr. 41

D- 64521 Gross-Gerau, Germanywww.bionic-world.net

Bionic Palm LtdPO Box 14916 GP

Accra, Ghanawww.bionic-palm.com

info@bionic-lab.de