Waste to Energy/BioDiesel Project Covering 30 Cities in Brazil

Opportunity Snapshot

Investment Opportunity

Waste-to-Energy (syn-diesel) project covering 30 cities in Brazil. Approx. project cost is $1.2B or $60M per plant in each city. Initial seed money is needed to get the project shovel ready for the first two cites.

Work accomplished:
1. 25-year feedstock agreements in place with the first two cities for approx. 500 tons per day per city
2. 25-year free land agreements in place with the first two cities
3. 25-year tipping fee agreement in place for the MSW collected and processed
4. Technology providers identified (pyrolysis/gasification + gas to liquefaction)

IRR 37% MSW IRR 109% Tires
ROI 1,60 MSW ROI 7,52 Tires
NPV $100,442,207 MSW NPV $53,238,859 Tires
Equipment Cost $62.7M MSW $2.3M Tires
Off taker selling price per liter syn-diesel $.98

We need to fund working capital for: permiting, environmental study, engineering study, finalization of the off taker agreement for diesel, company formation, etc. The working capital funding needed amounts to approx. $1M. We have several lenders willing to lend up to 100% of the total project cost once the project is shovel ready...if the investor wished to participate in the TOTAL project cost approx $1.6B they are welcome to do so.

Syn-diesel can be sold locally along with electricity to be sold back into the grid.

The matter is urgent due to world cup and Olympics in 2014 and 2016 to be hosted by Brazil.

Exec Summary + pro-forma financials are available for interested parties.

Competitive Advantage

• Local political connections with municipalities
• Local construction expertise
• Lenders identified that have expressed interest in funding the projects up to 100% once they are shovel ready

Rationale for the deal

Money will be made from multiple income streams:
1. Recycling materials
2. Tipping fees
3. Sales of bi-products such as syn-diesel, electricity, bio-char, syn-gas

Use of financing

Investment is needed to get the project shovel ready. There is an opportunity for the investor to provide a loan for the total project costs.

Opportunity for the investor

Both debt and equity investment is welcome. We have found interest rates in the order of 4.5% to 7% depending on the credit rating of the off taker. Equity shares in the company are negotiable. We want to be fair and there is plenty of profit to go around.

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