CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012

Carbon Conscious – Australasia’s leading developer of carbon forestry projects for Australian companies to offset their carbon emissions Provides the most attractive solution for major emitters at well under $23/tonne commencement price Contractually plants native trees on poor agricultural land for bio sequestration Strong track record having secured major transactions with Origin Energy & BP. Business model CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012

Strong growth CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 # Targeted Planted Hectares * Planting Underway

CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 Size of Australian Carbon Market Demand 346 Mt PA by 2020 CCF Supply 4 Mt PA Other Forestry 11 Mt PA

Earnings guidance Forecast profits based upon plantings completed in year FY Target # 2014 Target # Planted hectares 10,000 20,00030,000 Revenue $16 M $43 M$64 M EBITDA $4.6 M $22 M$34 M NPAT $3.5 M $14 M$23 M Shares on Issue 79 M Basic EPS 4c 16c26c Diluted EPS^ 3.6c 15c24c CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 #Projections assume additional contracts are executed at or about the approximate pricing levels of existing contracts. Costs, fees and other expenses related to the business remain within budget expectations. ^Based on fully diluted shares + fully exercised options.

Clean Energy Act 2011 (Carbon Tax) and Carbon Farming Initiative (CFI) are now law Increased certainty CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 Origin has exercised its 2012 planting options. $163 M remaining in options. 10,000 hectares of planting in 2012 planting season (5x increase on 2011) New Zealand plantings continuing

2009 Executed both major CPRS carbon forest sink trades (Origin Energy & BP Singapore) 2010 Australia’s first international carbon trade (Carbon Conscious Ltd – Perenia) Executed Australia’s first & only senior debt facility for carbon forestry with CBA 2011 Executed Australia’s first carbon trade post the Clean Energy Act (Origin Energy) First major carbon forest sink transaction in NZ with a major Australasian energy company. CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 Industry leading Carbon Conscious continues to lead the industry

Value proposition CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 $20 M – NPV of 15 year fee revenue $21 M – NPV of carbon Value of NZ timber or 20+ carbon is significant Free option on Mallee biomass

Profitable company in new and emerging industry Unprecedented deal size potential ($2 billion) to substantiate forecasts Demand seriously outstrips supply CCF is ideally positioned – substantial growth opportunities Secure revenue worth $43M over the next 15 years Significant re-rating is coming Understanding the opportunity CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012

Carbon Conscious at a glance ASX Code CCF Issued Capital FPO Shares 79.3 M Unlisted Options 9.6 M Market Cap $13 M Share price 28/5/12)$0.16 Tightly held stock CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 Major Shareholders Broadacre Asset Mgt 12 % Stoney Pastoral Co 7 % Yall Super 3 % Top 50 Holds 73 % Top 100 Holds 84 %

Our expertise Management Team: Peter Balsarini Executive Director, Chief Executive Officer Stephen Bodeker Chief Financial Officer Daniel Stevens Director, Business Development David Groom General Manager, Operations Jeff Douglas Land Manager Ric Collins Director, Carbon Estates CARBON CONSCIOUS LTD (CCF) : COMPANY UPDATE, MAY 2012 Board of Directors: Stephen Lowe Executive Chairman Trevor Stoney Non Executive Director Kent Hunter Non Executive Director Andrew McBain Non Executive Director