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Gasoline from Wood Waste Gasoline from Wood Waste A Year in Review Presented by: George Stanko, President June, 2012
Gasoline from Wood Waste
Gasoline from Wood Waste
A Year in ReviewPresented by: George Stanko, President
June, 2012
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Recap of CORE BioFuel CORE’s mission: develop chemical products from biomass
feedstock without fossil fuels Our first project will develop a patent-pending process to
produce carbon neutral 92 octane gasoline from wood feedstock
Gasoline from wood is a well-timed solution: need to reduce fossil carbon emissions;
crude oil is scarce and becoming difficult to extract,
motor vehicle industry is geared to produce combustion engines which burn gasoline
We planned to build our first commercial plant in B.C and are evaluating other sites in Canada
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Technology: status update
In 2011 Technip, Inc., a global engineering firm, completed a 3rd party technical review and engineering feasibility of the process
The Report was favorable and Technip has since been engaged by CORE in a Service Agreement
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Update on Promotion
CORE has a new logo We have a revised process diagram (see next
slide) Our website has been improved and updated
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Canadian Gasoline Market
Gasoline and diesel are the most widely used transportation fuels
Infrastructure, supply & distribution is complex and extensive
Nearly 200 million litres a day of petroleum-based fuels are pumped into Canadian cars and trucks
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Update on Financing
CORE Investment Investment through CORE Limited Partnership has
been successful - the 2nd offering has not yet been filled
CORE continues to pursue funding sources -- government and the private sector
CORE is seeking a Strategic Partner
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Update on Intellectual Property
Patents are pending in Canada, the U.S., European Union, and India
All applications are waiting for prosecution
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Comments on Competition
CORE is not aware of other attempts to produce gasoline from DME
Several companies have stated intent to produce gasoline from “bio-crude” (KiOR, Licella (Australia))
Others claim to produce fuels from syngas generation (Cool Planet Biofuels, Primus Green Energy)
Volvo and Chemrec have teamed up to construct a commercial plant to produce DME from synthesis gas generated from the gasification of black liquor
Haldor-Topsoe is developing their TIGAS process which closely resembles the MTG process (methanol-to-gasoline)
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Bankable, Insurable and Marketable
Through Stern Brothers, The Export Import Bank of America has given CORE a letter of interest for biorefinery debt financing
AON will place Risk Mitigation insurance for the biorefinery, featuring Performance Guarantee insurance
Off-take agreement: Elbow River Marketing will purchase 100% of the output of the CORE green gasoline biorefineries
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Update on Timeline
Timeline assumes funding is acquired by Q3 of 2012
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4Pre FEED and FEED Construction EngineeringPlant ConstructionPlant Commissioning
2012 2013 2014 2015
Fixed Price
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CORE’s Competitive Advantage
$CDN / litreCORE’s production cost 0.39Canadian 2011 average wholesale* 0.87
*According to Natural Resources Canada, refinery shutdowns in eastern US and pipeline bottlenecks for
western crude will cause supply issues which will increase wholesale prices in Canada starting in August, 2012
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Capex and Profitability
Capital Cost of the 1st Plant $ 110.9 millionCapex per litre $ 1.63
Revenue from Sales $ 53.4 millionCost of Wood $ 13.6 million
EBITDA $ 24.7 million
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Visualized Progress
Construction Engineering with Technip - EPC Fixed Price
Contract $ 12,000,000 Build, Own, Operate$ 25 MM Equity$ 74 MM Debt
Plant Licensing“Construction ready license” OPTIONS
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CORE BioFuel Inc.
Questions or comments ?Visit our website:
www.corebiofuel.com
