Latest Developments in DDGS Steven Moore Budapest November

Latest Developments in DDGS Steven Moore Budapest November 6, 2015

Pannonia Ethanol • Commissioned in 2012 • At full capacity, 450 million liters of ethanol production • Almost 300, 000 MT of Pannonia Gold® • Corn oil production • € 200 Million investment • No cash subsidies • Top 3 plant globally in temrs of yields • Continuous investments and improvements

Pannonia Gold DDGS (dry distillers grains and solubles) • • • Based on corn production High protein and energy level Higher xantophyll content is favourable for the yellow color of egg yolk and skin GMP+ certified GMO free product Antibiotic free Single source – small shipment sizes Close to the customer Branded product, not a commodity

Consistency DDGS 2014 2015

QUALITY ASSURANCE CORN ANALYSIS Corn: Every item on farm – HPLC analysis – 2500 ppb DON level; 6 ppb Aflatoxin B 1 level Quick test after every trucks – 3000 ppb DON level; 20 ppb total Aflatoxin level Production: After the grinding - every shift with quick test (DON, Afla total) Products – every batches - with quick test (DON, Afla total) Every batches – with accredited HPLC test ( SGS, Mertcontrol – DON, AFLA B 1, ZEA)

Markets – DDGS destinations HUNGARY AUSTRIA GERMANY SLOVAKIA NETHERLANDS CROATIA TURKEY SERBIA ISRAEL ITALY ENGLAND LATVIA IRELAND POLAND

Logistics • • High water / low water Winter and locks Scheduled river closure Yet cheap and environmentally sound Environmentally sound Trucks Rail

New used and applications • • Hi Protein DDGS Fiber extraction Phytate extraction 1+1 = 5 • Pairing with enzymes • Pairing with “nutraceuticals

Sustainability and Policy. Usability of DDGS • • Reducing the protein deficit in the EU Improving carbon footprint Global land us eimprovement GMO free animal feed

Going forward • China • Flat prices • Consumer pressure on feed • Anti biotics • GMO free • Labeling and certification • Maturing market • Value tied to local conditions • Industry attempting to drive value with innovation and technology • Growing part of revenue mix

Thank you for your attention! Please visit our new site www. pannoniagold. com Web: www. pannoniagold. com