2. 21 st. Century Global Challenges. Global challenges in the 21 st Century Natural resources are being exhausted. Petroleum – instability/uncertainty with cost and supply Depletion/degradation of the Global environment Key values of BioEarth QES Technology Resource Recovery from waste. Energy Recovery from waste. Reduce some major threats to the environment. CO2 depletion

3. LEADING EDGE TECHNOLOGY BioEarth QES is the most advanced and unique system in the world designed to convert organic waste to fuel and valuable by-products such as activated carbon, fertilizer, producing no air pollution or ash to be land filled. It is designed to answer the global challenge of waste management of MSW (Municipal Solid Waste), which includes petrochemical compounds such as plastic waste, green waste, coal and tires while providing high recycled-content products and usable forms of power. Patent : TAIWAN Patent (pending): CHINA, USA

4. WHAT The BioEarth QES CAN DO ? Fuel Oil Gas Carbon/fertilizer BioEarth QES SYSTEM Recycling resource Organic Material Inputs: Output Products:

5. TYPICAL APPLICATION RANGE Used tires or waste rubber Waste plastic PP, PE, HDPE, PVC Waste plastic PP, PE, HDPE, PVC Agricultural waste Food waste Agricultural waste Food waste MSW* Removal of mercury from earth and sludge Removal of mercury from earth and sludge Organic sludge Removal of electrical wire insulation Removal of electrical wire insulation Landfill recovery Waste wax, Petroleum waste Waste wax, Petroleum waste Electronic Waste Organic waste Coal Hospital Waste Carbon black modification Re-treatment of Activated Carbon Re-treatment of Activated Carbon * Municipal Solid Waste

6. SPECIFICATIONS OF BioEarth QES SYSTEM –Power Consumption: < 10KWH, 220V 3Phase –Startup Diesel Oil Consumption: < 150L/2hr. –First Stage Operating Temperature: 200C ~ 450C, Adjustable –Second Stage Operating Temperature: 450C ~ 850C, Adjustable –Water Consumption: 100L/hr –Processing Rate: 1.5T/hr ~ 3T/hr –Dimensions (L X W X H): 12m x 2.3m x 2.3m –Maximum Condenser Processing Rate: 3000CMH –Maximum Chambers Volume of Reactor: 2.8m 3 –Maximum Size of Loading: D=300mm

7. BioEarth QES – Conversion Rate (Reference) APPLICATIONConverting RateComment ItemsOilCarbon 1. Used Tire Chips35%~55%42%Depends on flash point 2. PE, PP, HDPE (Polyethylene, Polypropylene, High-Density Polyethylene) 55%~75%< 5%Depends on flash point 3. PVC< 35%< 5%Depends on flash point 4. Oil Sludge15% ~ 45%< 45%Depends on oil content 5. Coal< 22%> 35%Depends on coal type 6. Waste Electronic Components< 35%< 10% 7. Organic Waste (eg.Wood, Agriculture Products or food waste) < 20%> 15%Depends on raw material 8. MSW/ Hospital Waste10%~45%< 30%

8. BioEarth QES – SYSTEM Conversion Rate (Reference) APPLICATIONConverting RateComment ItemsOilCarbon 9. Removes Hg (Mercury) from soilRemoval rate: 99.9% 10. Removes Dioxin from soilRemoval rate: 99.98% < 5% 11. Removes organic compounds from soil Removal rate: 99.98% < 5% 12. Waste palm, coconut, wheat chaff, corn chaff, rice chaff. < 10%< 45%Depends on oil content 13. Organic sludge (eg. leather industry) < 20%< 35% 14. Active carbon production 15. Carbon black production

9. PROCESS AND HEAT FLOW – DIAGRAM 1 BioEa rth QES BioEarth QES combines a two stage pyrolysis into one system. BioEarth QES is an advanced combination of thermal cracking and steam cracking technologies. The first stage deals with energy conversion. The second stage deals with the removal of mercury and activated carbon. The end products are: Fuel oil Carbon black / activated carbon Fuel gas

10. PROCESS AND HEAT FLOW – DIAGRAM 2 Screw loading Stage I Pyrolysis Stage II Pyrolysis Condenser Heat Source Gas Treatment Mercury Removing Activated Carbon Filter Burner Oil/Water Separator Oil/Water Separator Oil Re-treatment Oil Storage tank Waste Water Treatment Super heater Steam Generato r Steam Generato r Screw unloading FUEL GAS CLEAN WATER OIL FOR SALE CARBON BY-PRODUCT Oil Reactor OFF GAS Hot Gas Oil & Gas & Steam FUEL OIL

11. PROCESS AND HEAT FLOW – DIAGRAM 3 Oil/Gas/Steam Screw Loading Stage I Pyrolysis Stage II Pyrolysis Screw Unloading Heat Generator Gas/ Oil Burner SuperHeater Heat Exchanger Pre-Heater Ventilator Waste Inlet Off Gas Fuel Gas From Condensers Fuel Oil Supply System Carbon Black For Sales Oil Gas Retreat

12. PROCESS AND HEAT FLOW – DIAGRAM 4 Special loading machine (3 ton/hour) Waste Received from client 1.Mixed Plastic 2.Used tire chips 3.….etc. conveyor Oil Storage Tank Oil sold to clients 1.textile industry 2.Fired Power station ECS2000C Waste Water treatment Tank Special unloading machine Magnetic Selector Steel Storage Tank Grinder and Selectors, 300M mesh, Carbon Black DryerOff gas from ECS2000S Carbon Black sold to 1.Rubber Companies 2.Plastic companies 3.Color material, like pigment Off gas exhauster Steel sold to 1.Steel Recycle Companies

13. Pyrolytic Gas /Oil Treatment – DIAGRAM 5 Stage I Condensing Stage II Condensing Cyclone Filter Scrubbing Cleaner Dehumidifier Activated Carbon Filter Water/Oil Tank Cooling Cooler De-Tar Oil Outlet Fuel Gas Pyrolytic Gas / Oil/ Steam

14. Water and Oil Treatment – DIAGRAM 6 Clean Water Tank Water/Oil Separator Oil Filter with Tank Oil Tank Oil Filter Waste Water Tank Water Treatment Oil Tank for Burner Water Supply Oil Inlet from Condensers Startup Oil To Burner Ext-Water Inlet Sludge Outlet Fuel Oil for Sale

15. Energy Recovery Efficiency Heat Source 1000C Pyrolytic Gas Off-Gas, 110C – 130C Efficiency > 85% Unique energy recovery and conversion technologies Energy efficiency as high as 85% Stage II pyrolysis Stage I pyrolysis Steam Generator Water Preheat

16. Environmental Impact Non-combustible waste. Free of air pollution. Free of secondary pollution. Free of dioxin. No burning and no landfill requirements. Lower environmental impact than any other re-cycling method.

17. Fuel Oil - Quality Ordinary diesel fuel specifications BioEarth QES - Oil analysis Flash Point > 60 100 ASTM D92 Mobile point -9 ASTM D97 Dynamic viscosity: Kinematic viscosity at 40 1.9 – 4.34.22ASTM D445 Density: / 25 0.887ASTM 4052 Sulfur wt%> 1%< 0.75ASTM D4294 Water and sediments< 0.1% ASTM D95 PS: (Cracking tires by BioEarth QES 500) 1. The results from the analysis of the SGS report 2. Flash point may be adjusted to meet local regulations. 3. Removes sulfur to less than 0.1% utilizing the desulfurization process.

18. Carbon - Quality General carbon black of tires BioEarth QES - Analysis of the results of carbon black Surface area m 2 /g 10 - 70> 84ASTM D3663 Iodine value mg/g10 - 40> 156.8 ASTM 3495 oil % > 5%< 0.1% ASTM D3495 sulfur wt%< 1.5 – 3% ASTM D4294 P.S: (Cracking tires) 1. Iodine value of the carbon black surface area, increases with processing time this may be adjusted by increasing process time and temperature. 2. Cracker project to test the processing time is 22min 3. The processing does not remove Sulfur.

19. OVERVIEW OF THE SYSTEM FACTORY BUILDING REQUIREMENTS SPACE (W x L x H): Min: 10m x 20m x 7m (not including the office and storage room) Water Supply: 10 ton/per day Electricity: 45KW / 220V

20. Comparative Advantages and Analysis of the BioEarth QES System – Table 1 Ref No. BioEarth QES SYSTEMOther Systems in Europe and the United States 1.Feedstock inputs and methodology ContinuousBatchContinuous Free of explosion. Most safety than other system Explosion and security concerns, air pollution concern Built in safety precautions to prevent explosion or spontaneous combustion. Explosion and safety concerns 2.Heat sourcesMixed heat sourcesSingle heat source Gas, diesel, steamGas, diesel, infrared, microwave, electric wire 3.Pyrolysis and Heating Process Indirect + direct steam heating Two stage process with steam activated. The max process temperature of second stage is up to 850C Indirect heating One stage process Process temperature lower than 450C 4.Cracking time for tire Chips < 10-15 min>1.2hr>35min 5.Energy efficiency> 85%<30%< 50%

21. Comparative Advantages and Analysis of the BioEarth QES System – Table 2 Ref No. BioEarth QES SYSTEMOther Systems in Europe and the United States 6.Product Quality 1. Light fuel oil like diesel oil 2. High quality carbon black 1. Heavy oil 2. bad quality carbon black (a) Oil, sulfur content Low sulfur content, better quality, high price High sulfur content, low quality, low price < 1%, can reach to 0.3% without catalyst > 2% (b) Carbon quality High quality, no oil content, high iodine absorption rate, high surface area, Low quality, high oil content, low iodine absorption, low surface area, BET 120~800, Oil content <0.1% meet N220 standard BET 1%, second waste BET 1% Second waste 7.Operating Efficiency1. Complete cracking 2. High-quality carbon black and high prices for sale 3. Fast cracking time in 15 minutes 4. No need complete vacuum, the system safe 1. Cracking incomplete 2. low-quality carbon black oil, can not be sold 3. Cracking requires longer time 4. Must be complete vacuum, as there are safety concerns 8.Application rangeMulti-purpose, any kind of organic material, mercury removing, coal … etc. Single purpose.

22. Ref No. BioEarth QES SYSTEMOther Systems in Europe and the United States 9.Environmental ImpactNo burning of waste – free of air-pollution, free of dioxin, No secondary pollution. A high degree of air pollution, dioxin pollution. Landfill required for waste carbon, some systems without gas treatment cause air pollution. Secondary pollution by slag – dust. 10.By-productsGas, oil, steam recovery, power, carbon black / fertilizer, metal recovery Power / steam only for large system 11.Operating cost (US$/ton)Below 30 dollars Produce fuel oil, fuel gas. No energy cost Energy efficiency over 85% No catalyst required, the lowest operating cost Over 150 dollars Energy Efficiency lower than 50%, has more energy cost. Some of system need catalyst. The operating cost is very high. 12.Extra environmental costs Free of air-pollution, no landfill required High cost for air-pollution control, and landfill 13.Investment costModule design, low cost of investment including installation, land space etc. Build a plant In 6 months Higher than ECS. Take large space and long time to installation. At least 11 months to build a plant 14.Projected pay back on investment Less than 2 years after commencement of production The competitors high capital cost (exceeding $5,000,000USD) and higher operating costs result in a Pay-back period exceeding 7 years from the commencement of production. Comparative Advantages and Analysis of the BioEarth QES System – Table 3

23. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES System Competitor Pyrolysis Systems 1. Feedstock Inputs and methodology The leading edge BioEarth QES system is a continuous feedstock system which operates under normal pressures making it easier to control the explosive fuel gas containing hydrogen and which is discharged during the pyrolysis process. This makes the BioEarth QES system much safer than the traditional systems used by BioEarth QESs competitors which operate under high pressures. Further since the BioEarth QES system is continuous, it does not have to be shut down to cool the rising temperatures and reduce the high pressures that are incurred by the competitors who use the traditional pyrolysis systems. Also since the BioEarth QES system operates continuously, it does not have to be shut down and therefore is much more energy efficient than the batch system used by some of BioEarth QESs competitors. The Competitors use a batch system (earliest developed pyrolysis system) or a different version of the continuous system which both operate under high pressures. This increases the danger of leakage in the explosive fuel gas created in the pyrolysis process, which increases the risk and danger of explosion. Further under the batch system the operator can only reload the feedstock once the pressures are reduced and the high temperature is cooled. This process of shutting down the pyrolysis operation to accommodate the cooling of temperatures and reducing of pressures the results in energy loss and operation time, thereby making it a much less efficient pyrolysis system.

24. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES SystemCompetitor Pyrolysis Systems 2. Heat SourcesThe BioEarth QES system uses a mixed heat source incorporating the uses of gas, or diesel together with steam. By incorporating the use of steam the feedstock materials are heated uniformly throughout as the steam penetrates into the center of the feedstock materials creating a more uniform heated feedstock rather than the single heat source used by BioEarth QESs competitors. Further, once the pyrolysis process is initiated in the BioEarth QES system, fuel gas is created in the combustion chamber which is captured, and the dioxins, sulfur and other toxic materials removed and the clean fuel gas is reused as a fuel source for the combustion chamber. In essence the BioEarth QES system, once started, creates its own fuel, thereby eliminating the need for an external fuel source. The competitors use a single heat source which chars the surface of the feedstock, but does not penetrate effectively below the surface of the feedstock material resulting in the internal portions of the feedstock materials remaining significantly cooler than the surface. This results in incomplete cracking (the breakdown of complex substances into smaller molecules using heat) of the feedstock material. This process results in a lower quality of carbon black, making it unsalable. The conventional competitor pyrolysis systems simply burn off the fuel gas released, thereby releasing dioxins and sulfur into the atmosphere, creating an environmental hazard.

25. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES System Competitor Pyrolysis Systems 3. Pyrolysis and Heating Process The BioEarth QES System uses a Two stage process which is steam activated and uses an indirect heating system incorporating direct steam heating. This system results in a fast pyrolysis, short processing time, minimal energy consumption, complete treatment of the organic material, high quality by-products and a safer pyrolysis process through the use of steam. The BioEarth QES System can operate at a temperate up to 850C in its second Stage. The reason a Two stage process is required is that different organic waste materials require different temperatures to treat them. It is impossible to treat a wide range of organic compounds in the stage One process. Although most organic compounds can be cracked between 350C and 420C and 95% of organic compounds will be decomposed to become fuel oil and fuel gas under 450C leaving 5% of the organic material unprocessed. To treat the remaining 5% of organic material a higher temperate is required, so a Two stage process is used which can operate at temperatures up to 850C. To crack used tires a suggested The competitors use indirect heating systems which operate at processing temperature less than 450C. As this method does not effectively penetrate heat into the internal feedstock materials, a longer processing time is required. Further, it often results in an incomplete treatment which results in a lower quality of by-products. Also the poor thermal conductivity of this process requires more energy consumption and reduces the safety of pyrolysis process.

26. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES SystemCompetitor Pyrolysis Systems 3. Pyrolysis and Heating Process (continued) temperature of 500C and 600C for coal is required in the Second Stage of the BioEarth QES system. These are temperatures that the competitors single heat source systems do not achieve. 4. Cracking Time for Tire ChipsThe BioEarth QES system takes approximately 2 minutes to completely decompose 10cm2 of used tire chips to fuel oil and fuel gas at 400C. The standard cracking time for tire chips is less than 10 – 15 minutes. The traditional indirect heat system alone used by the competitors takes in excess of 8 minutes to decompose 10cm2 of used tire chips. The standard cracking time for the conventional batch system is greater than 1.2 hours and greater than 35 minutes for the conventional continuous system for each ton of feedstock inputs. 5. Energy Efficiency The BioEarth QES system operates at an energy efficiency exceeding 85% The competitor batch systems operate at an efficiency level of less than 30%. The traditional continuous competitor systems operate at an efficiency level of less than 50%.

27. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES System Competitor Pyrolysis Systems 6. Product Quality (a) Oil, sulfur content (b) Carbon Quality The BioEarth QES system uses steam to produce a light fuel oil similar to diesel fuel containing less than 1% sulfur and can achieve sulfur content as low as 0.3% without the use of a catalyst. This lower sulfur content oil commands a higher selling price. Further the BioEarth QES system produces less Tar sand than the competitors systems making BioEarth QESs products more attractive to the Buyers. The BioEarth QES system produces a carbon black with less than 0.1% oil content which meets the N220 or N330 carbon black specifications and has a BET rating or 120-800 (Adsorption Surface Area). The resulting carbon black has a high iodine absorption rate and high surface area making it a desirable By- product. The fact that there is indiscernible amount of oil is significant because carbon black cannot have oil content as the oil will cause a chemical reaction and affect the process in plastic or rubber production. If carbon black contains an oil compound it will burn and cannot be sold. The competitors using the traditional pyrolysis systems cannot normally produce oil having a sulfur content of less than 2 % without the use of catalysts. Further the competitors traditional pyrolysis systems cause a tar sand problem and produce dirty oil. The competitors using the traditional systems cannot produce a carbon black having less than 1% oil content which makes for a non saleable carbon waste with a BET rating of less than 60. Further the iodine absorption and surface area are low.

28. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES SystemCompetitor Pyrolysis Systems 7. Operating EfficienciesThe BioEarth QES system is a total cracking system producing a high quality carbon black for sale which is in high demand. Further the fast cracking time of less than 15 minutes increases the efficiency of operation over that of the competitors. Further the BioEarth QES system does not require a total vacuum like that of our competitors which makes the BioEarth QES system a safer operating system than that of our competitors. The competitors using the traditional pyrolysis systems result in an incomplete cracking of feedstock. This produces a low quality of carbon black which contains an unacceptable level of oil, with a low iodine absorption surface area such that this product cannot be sold. Further the cracking times for the traditional systems are greater than 30 minutes and require a total vacuum during the cracking process. As a result these systems have more safety concerns than the BioEarth QES system. 8. Application RangeThe BioEarth QES system is multi- purpose using any kind of organic material, coal etc, and can remove mercury and other toxic substances. The competition using the traditional pyrolysis systems are single purpose and lack the flexibility of the BioEarth QES system. 9. Environmental ImpactThe BioEarth QES system requires no waste burning and is free of air- pollution and carcinogenic dioxins. There are no secondary pollutants. The competition requires a landfill for the waste carbon and some traditional systems have a high degree of air and dioxin pollution. Further a secondary pollutant resulting from the traditional pyrolysis systems is slag-dust.

29. Comparative Advantages and Analysis of the BioEarth QES System Pyrolysis Methodology (The process of using heat to break down complex substances into simpler substances by the use of heat) BioEarth QES SystemCompetitor Pyrolysis Systems 10. By ProductsThe By-products of the BioEarth QES system are gas, oil, steam recovery, power, carbon black, fertilizer and metal recovery depending on the feedstock input materials used. The traditional pyrolysis systems only have Power and steam as By-products and these are only generated from large scale pyrolysis systems. 11. Operating cost (US$/ton) The operating cost of the BioEarth QES system is below 30 dollars per ton. The competitors using the traditional pyrolysis systems have operating costs in excess of 150 dollars per ton. 12. Extra Environmental CostsThe pyrolysis operations of the BioEarth QES system produce no air pollution and require no land fill for disposable of waste materials. The competitors using the traditional pyrolysis systems incur high costs for air pollution control and land fill charges for disposal of waste materials. 13. Projected Pay Back on Investment Less than 2 years after commencement of production. The Competitors high capital cost (exceeding $5,000,000 USD) and higher operating costs result in a Pay-back period exceeding 7 years from the commencement of production.

30. Thermal radiation Comparative Analysis Traditional cracking technology ( Thermal radiation ) Disadvantages : Cracking a long time (10 – 30min, 10cm 2 tire chips) Cracking incomplete Tar sand problem Low-quality carbon black and dirty oil Iodine absorption surface area low High vacuum required Steam intrusion initiative BioEarth QES System ( Thermal radiation and Steam ) Advantages: Complete cracking Less Tar sand produced than all other systems High surface area and iodine absorption rate Oil without carbon dust Cracking time (2 - 5min) Minimal vacuum required

31. Comparative Analysis (Continued) Fuel Gas (C 1 – C 4 ), about 15% to 18% Fuel Oil vapor (C 5 – C 40 ), 80% H2, about 3.5% Traditional cracking technology Reaction of oil and gas composition before condensing BioEarth QES Energy conversion technology Reaction of oil and gas composition before condensing Fuel Gas (C 1 – C 4 ), about 8% - 10% Fuel Oil vapor (C 5 – C 22 ), 50% H2, about 2% Water Steam H2O, up to 40% AIR Must be high vacuum, explosion concerns Steam protection Built in safety – No risk of combustion

32. Anticipated Gross Margin from a variety of products PERFORMANCE OF One BioEarth QES2000S System In Waste Treatment (10,000 Tons per year) ItemCountry Expense per ton (US$)Income per ton (US$) Net Profit (per ton) Net Profit (per year) Profit Margin Raw MaterialOperatingFuel Oil Carbon Black Waste Rubber Used Tire Chips China$155$12$150$195$179$1,785,34451.7% Taiwan$47$30$150$195$269$2,686,25077.8% Waste Misc. Plastic China$47$12$225$0$166$1,661,12573.8% Taiwan($38)$30$225$0$233$2,327,65688.7% Oil Sludge China($56)$12$150$78$272$2,723,62595.8% Taiwan($156)$30$94 $314$3,140,15691.4% Sludge (Hg)Taiwan($313)$51$0 $262$2,618,86583.8% MSW China($2)$12$60$0$50$495,50080.5% Taiwan($47)$30$105($6)$116$1,158,90676.3% Sludge (leather) China($4)$12$135$0$127$1,267,37591.3% Taiwan($109)$30$135($6)$208$2,083,90685.3% Carbon ActivatedTaiwan($63)$30$0 $33$327,65652.4% Hospital Waste China($469)$47$90$0$ 541$5,407,31396.8% Taiwan($313)$82$90($11)$347$3,469,60986.2% Coal to OilChina$98$12$68$94$51$508,00031.5% E-Waste China($2)$12$225$156$371$3,708,00096.9% Taiwan($94)$30$225$156$445$4,452,65693.7% Food Waste China($1)$3$45$6$49$1,480,21994.3% Taiwan($47)$7$38$19$96$2,870,74292.8%

33. SUMMARY Two stage process in one system. Fully integrated system Modular design facilitates easy installation and mass production. Combination of thermal cracking and steam cracking in one system. Steam heat and radial heat applies in the pyrolysis process. Built-in safety. The high quality by-products. BioEarth QES is a continuous loading system BioEarth QES is a multi-purpose system which handles a wide variety of organic waste items. Lower capital requirements than competitive systems Above normal rate of return on investment Patented: Taiwan Patent pending: China - USA

34. Video of Existing Operating Plant