Building a Greener World Rev 03 12 Fly

Building a Greener World… Rev 03 -12

Fly Ash Facts • Each year about 500 M tons of waste ash are produced by the world’s coal fired power plants. • Current solutions are inadequate and can lead to environmental disasters (ex. TVA spill). Remediation Solution Limitation Mines Access; Transportation costs Sludge Ponds Potential leaching into groundwater; phasing out Landfills NIMBY; require expensive protection devices Beneficial Use Supply outstrips demand

US EPA Calls Out Beneficial Use “EPA supports the legitimate beneficial use of coal combustion residuals. Environmentally sound beneficial uses of ash conserve resources, reduce greenhouse gas emissions, lessen the need for waste disposal units, and provide significant domestic economic benefits. This proposal will clearly differentiate these uses from coal ash disposal and assure that safe beneficial uses are not restricted and in fact are encouraged. ” --- Mathy Stanislaus, EPA • The US EPA is a strong supporter of beneficial uses of coal ash in which coal combustion residuals are recycled as components of products (ex. concrete, cement, wallboard, bricks) instead of placed in impoundments or landfills.

The Greenest Brick • Engineered to Use Fly Ash as Primary Source Material • Award Winning – Time Magazine Top 10 Invention of the Year (2007) – Popular Science Top 10 Products of the Year (2007) – C 2 P 2 Innovation Award (2008) – 2 nd Place in Brinks Innovation Competition (2011) • Announced in 2005 by Dr. Henry Liu – One of the University of Missouri’s most accomplished and distinguished researchers • U. S. Patent No. 7, 998, 268

Market Data • Worldwide brick demand is estimated to be over 1, 000 B units per year with China (700 B) and India (125 B) the largest markets • The majority of clay bricks are hand made using inefficient kilns and emitting large amounts of CO 2 into the air • GREEN products are expected to drive growth in the building materials sector • Fly ash shows much promise for use in related industries (ex. roofing tiles and wallboard) that are much bigger than brick

Green Brick Making Process

Vs. Clay Brick Making Process

Greenest Brick Economics UP TO 20% CHEAPER TO MAKE VS. CLAY • Lower Materials Cost - Uses power plant waste material versus mining it from the ground. • Lower Material Processing Cost - Standard clay needs to be processed before it can be used for making bricks. Fly ash needs no such processing. • Lower Manufacturing Costs - No need for hightemperature firing in kilns, which reduces equipment cost and saves energy. • Lower Installation Costs - Uniform size and shape (as well as interlocking option) can make these bricks easier to install. One of Time Magazine’s Inventions of The Year (2007)

Greenest Brick Eco-Benefits THE MOST ENVIRO-FRIENDLY MASONRY PRODUCT • Recycles waste product from power plants and reduces need for strip mining clay. • Conserves Energy – manufacturing uses only 10% the energy versus clay bricks. • Reduces greenhouse gases – each fly ash brick emits < 20% of the CO 2 versus clay • Qualifies as green building material and will result in increased LEED points. • Locks heavy metals into material matrix which prevents leaching. One of Time Magazine’s Inventions of The Year (2007)

Green Brick Tests MEETS U. S. PERFORMANCE STANDARDS Test Standard Meets Standard Freeze Thaw resistance ASTM C 62 (50 cycles) YES Compressive Strength ASTM C 62 (3000 psi) YES Heavy Metals Leaching EPA TCLP (method 1311) YES Efflorescence ASTM C 67 YES Initial water Absorption ASTM C 67 YES Size ASTM C 62 YES

Green Brick Vs. Competition FLY ASH BRICKS STACK UP EXTREMELY WELL Clay Brick (ASTM C 216) Concrete Brick (ASTM C 55) Fly Ash Brick 3, 000 2, 500 4, 700 YES n/a YES Initial Water Absorption* 5 - 12 g/min. n/a 6 g/min. Thermal Conductivity* K = 0. 4 K = 0. 6 K = 0. 3 Compressive Strength Severe Weather Graded? * - No ASTM standard for Water Absorption or Thermal Conductivity --- these values are what has been measured in our lab…

Energy Used in Manufacturing Fly Ash Bricks require little energy to make • Clay brick = 5, 210 Btu • Concrete brick = 3, 126 Btu • Fly ash brick = 294 Btu 294/5, 210 = 5%

Precisely Manufactured • Dimensional tolerances – FBX (± 5/32“) – No chipping – No warping – Uniform size every time

Clients AURORA ENERGY, LLC Fly Ash Technologies - SA

Partners/Supporters Wulff Brothers Masonry Peckham-Wright Architects

Greenest Brick Licensing

Ecologic Tech Business Model • Research and engineering firm that licenses its IP technology to 3 rd parties to bring to market • Patented process that works with Class C flyash and that can be modified for Class F flyash • Any ash that differs significantly from standard Class C ash will require research and modification of existing formula and process • Do not have a "one-size-fits all" process

Research & Licensing Process Provide Source Ash Chemical Analysis Provide Brick Marketing / Performance Criteria Prepare Research Proposal • The client is expected to perform all necessary market, financial, and sales analyses (Ecologic Tech can help with expected costs) • Ecologic Tech can assist with the basic design of the plant and the optimization of the manufacturing process • Research takes about 6 mths. to complete and costs $25 K-$100 K per • Licensing discussions can occur at any point in the process

Example Research Timeline

Licensing Fee Structure Oftentimes, a client will want to defer licensing discussions pending the results of the research. However for those who wish to move forward, the fees associated with a license include: • Licensing Rights – one time (negotiated) non-refundable payment to secure exclusive rights to the technology for a specific territory. • Royalties – ongoing payment that is a function of annual sales --- usually a negotiated % of revenues. • Tech Services – fees associated with developing the formula or adding features --- variable depending on size & scope of project.

Estimated Startup Costs (USA) • • Max. production of about 40 M units per year Equipment estimate were obtained from German and U. S. manufacturers All land, labor, and utility rates are Missouri-based Assumes that bricks require little or no color

Contact Information Jerry Liu * Bob Jenkins CEO - Ecologic Tech 2601 Maguire Blvd. Columbia, MO 65201 President - Addo. Tech 865. 238. 5790 bjenkins@addotech. com 573. 442. 0080 (O) 773. 412. 7518 (M) jbl@ecologic-tech. com * - Addo. Tech is the international business development partner for Ecologic Tech