Chemtex GroupGlobal Engineering and Project Solutions

July 2010

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

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Chemtex is a global and technology-oriented Engineering Company that delivers innovative and value-added project solutions for our clients.

Our mission is to help our customers realize the lowest Total Installed Costs for their projects. We want to add value through:

– “Smart Engineering” through our understanding of the process;– Aggressive procurement because we are prepared to take risks

based on an understanding of what we are doing; and,– Process development/optimization using our in-house R&D

centers.

We have a “can-do” attitude and will strive to meet and exceed customer expectations. We strive for excellence in our QHSE performance.

The Chemtex Mission

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• Founded in 1947 as Rayon Consultants

• Became Chemtex in 1958

• Acquired by Mitsubishi Corp in 1989

• Acquired by M&G Group in 2004– Privately held company with deep roots in manufacturing

(PET and Acetates)– 2600 Employees worldwide– A commitment to R&D (3 Centres) and Process– USD 2.5 billion annual revenue– Operations in the USA, Italy, Mexico and Brazil

Our History

Today’s Chemtex – a technology oriented global engineering organization with strong process and R&D competencies, part of aGroup with 70 years of excellence in manufacturing

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200620052004200320021970 200720001990198019601950

M&G was founded in 1953 by Vittorio Ghisolfi in Tortona, Italy

M&G offered customers packaging from HDPE and PVC

Packaging ManufacturingPhase

Packaging ManufacturingPhase

Chemical Specialty Manufacturing Phase

Chemical Specialty Manufacturing Phase

Acquisition of Shell’s PET business

Acquisition of Brazilian controlled Rhodia-ster from Rhone Poulenc

Start up of world’s largest PET production unit at Altamira(Mexico)

Acquisition of the world class engineering group Chemtex from Mitsubishi Corporation

Group activities were integrated upstream in the development and production of special resin (PET) for food packaging applications

PET Expansion PhasePET Expansion Phase

Start-up of highest capacity single line PET production plant in Suape, Brazil

A Chemtex EPC Project

Slide 5

Gruppo Mossi & Ghisolfi

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BangaloreChemtex

Apple GroveResin

WilmingtonChemtex

MilanGroup Head OfficeEurope Reg. Office

VerbaniaCellulose Acetate

RivaltaR&D PackagingR&D T. R. R.

TortonaHead OfficeChemtex

BeijingChemtex

HoustonNorth America Regional Office

Sharon CenterR&D Centre

AltamiraResin

Poços de CaldasResinFiberR&D Centre

IndaiatubaRecycle Paulínia

PTA

CaboFiber

Pignataro M.Film

PatricaResin

Sao PauloSouth America Regional Office

SuapeResin (on-stream in late 2006)

ShanghaiChemtex

MumbaiChemtex

YibinCellulose Acetate

RivaltaR&D Ethanol

M&G – Worldwide Locations

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Market and Technology Focus

Renewables

Fibers & Petrochemicals

Energy & Environmental

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We have been working together with clients and technology partners to deliver successful project solutions worldwide

for more than 50 years

Chemtex offers: • State-of-the-Art Technologies

• Technology development with in-house R&D facilities• Extensive Technology Transfer Expertise • Conceptual and Feasibility Studies• Process optimization and de-bottlenecking• Front-end and Basic Engineering• In-house Detailed Engineering• Global Strategic Sourcing• EPC capability and experience• Plant relocation expertise• Financial Engineering capability

Providing Project Solutions

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Chemtex India

Mumbai, Bangalore

Chemtex China

Shanghai, Beijing

Chemtex Offices

Annual Turnover:USD 300 MM

Employees: 1000

Chemtex Italy

Tortona, Rivalta

Chemtex USA

Wilmington (NC)

Sharon Center (OH)*

* In association with M&G Polymers

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Highlights:• Renewables: Bringing proven “bio and alternative” fuel

technologies and application learnings to the marketplace. • Energy and Environmental: Awarded 7 LNG projects in China in

the last 4 years- bring clean fuel to remote locations.• Polymers and Fibers: Installing more than 4 million TPA of

polyester capacity in the last 3 years (more than 12 million TPAtotal).

• Technology Providers: Helping partners bring their offering to the international marketplace.

• Alliance Partners: Providing cost-effective engineering services from Chemtex India to reduce project engineering costs.

Our Experience & Our Customers

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Selected Recent Projects

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• Chemtex offers more than 50 years experience in international technology transfer and has successfully implemented more than 100 of these projects.

• Chemtex offers expertise in managing and protecting IP with a carefully planned global sourcing strategy.

• With extensive Contracting and Marketing experience Chemtex offers support to commercialize technology worldwide.

• Chemtex can support technology provider through all the technology lifecycle from the idea, to pilot plant, extracting from the technology the maximum added value.

Technology Transfer Capabilities

Idea Commercial-ization

Specialty Differentiated Commodity

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Chemtex Technology Relationships

Bio - Ethanol from Biomass, Cassava and othersBio – Ethylene & Bio-GlycolsBio – Diesel & Glycerine PurificationBiomass GasificationLNG Plants and Storage TanksCombined Heat & Power GenerationMechanical Biological Treatment for SRFBiogas recovery solutionsSpecialized Waste Water Treatment for heavy

metals, high COD and Oil & Gas process water

Renewables

Energy & Environmental

Polyester / PET, NGSS, Horizontal SSPCarbon Fiber Pre-CursorAcrylic FiberAcetic Anhydride, Cellulose Acetate

Fibers and Petrochemicals

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CommercialFacility

Pilot Plant

Design SupportProcurement

Data collection with aim to

commercialize

Identify markets & key CustomersContinue Scale up

IP ProtectionOptimize design - Localization

Improve efficienciesSustained Revenues (Projects &

Licensing)

Develop Project EconomicsSite selection

Technical Support for EIAIdentify Key suppliers (Global)

Partnerships with OEMDevelop Basic Design Package

Design & Supply Commercial FacilityTech. Support (Construction & S/U)

IP protection Extensive experience in 1st generation biofuels technologies

Extensive experience supporting technology licensors and R&D

Supporting Technology Development

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Locations:• Rivalta, Italy• Sharon Center, Ohio

Scope of Activities:• R&D on biofuel and renewable resources• Operational pilot plant for bio-ethanol

from ligno-cellulosic feedstocks• Product Applications Support

Slide 15

Chemtex R&D

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• Global sourcing and logistics staff of 25 people located across the globe securing cost and delivery advantages for our clients.

• Over 50 years experience in global procurement and supply of equipment and materials.

• Review key equipment strategies for the projects and identify potential approaches to lowering overall cost

• Continuously develop, maintain and audit relationships with key suppliers to ensure best overall value and service.

• Utilize the in-house global network to identify best solutions considering multiple project opportunities, foreign exchange rates, logistics, duties, vendor capacity, service, etc.).

Chemtex Strategic Sourcing

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• Expertise to develop technology and produce FS, PDPs, FEL and BE packages.

• Process expertise and experienced execution teams to implement project solutions.

• In-house high value engineering center in India.

• Global sourcing network.

• International construction management.

• Ability to leverage strategic partnerships throughout the world.

Chemtex EPC Capabilities

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Estrella Project, Brazil

Suape Brazil: World’s Largest Polyester 1,500 TPD PET Plant

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

– Biofuels - Are they worth it?

– Technology, Agronomy and Logistic

– Pretreatment, Hydrolysis and Fermentation

– Demonstration Plant - 40ktpa

– PROESATM Technology Key Features

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When:

• The CO2 sequestered per hectare by the biomass used to produce them is high;

• They are economically convenient even with oil at 50-60 US$/barrel;

• The production of biomass is eco-sustainable and convenient for the farmer.

Biofuels – Are they worth it?

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Main objective:

Developing a complete crop-to-ethanol value chain through a conversion technology able to transform selected ligno-cellulosic material into bio-ethanol in a sustainable way.

Timeframe:

5 years (2007 - 2011)

The PROESA Objective

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3000 m2 dedicated to chemistry and technology from Renewable Resources

Fully equippedanalytical and fermentation laboratories

50 staff dedicated to R&D activities

Pilot Plant

Center for Renewable Resources

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

– Biofuels - Are they worth it?

– Technology, Agronomy and Logistic

– Pretreatment, Hydrolysis and Fermentation

– Demonstration Plant - 40ktpa

– PROESATM Technology Key Features

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Biomass

Main section developed in R&D:

• Experimentation on field and selection of best energy crops.

• Pretreatment developing and testing.

• High solid content enzymatic hydrolysis reactor design.

• Test of enzymes with industrial partner.

• Fermentation test with industrial partner.

• Process Integration and basic Package definition.

SteamSteam

Technology & Process Achievements

Patent Applications Filed: Eleven (11)

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Biomass

Biomass:

• Experimentation on field done selected Arundo Donax and Fiber Sorghum as best energy crops candidate for ethanol production;

• Results up to 40 t/ha of dry matter;

• Low input in terms of irrigation and fertilization;

• Developed model for logistic of biomasses.

SteamSteam

Agronomy and Logistics

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• Availability of 60 hectares for R&D related to energy crops

• R&D activities done in order to find the best energy crop for ethanol production.

Agronomy and Logistics

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• No food competition.

• Relatively cheap compared to corn or other cereals.

• High cellulose and hemi-cellulose content.

• Can be intensively grown with high yield per hectare.

• Use of less water and fertilizers respect to cereals.

• Can be grown on marginal land.

Why Energy Crops?

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

– Biofuels - Are they worth it?

– Technology, Agronomy and Logistic

– Pretreatment, Hydrolysis and Fermentation

– Demonstration Plant - 40ktpa

– PROESATM Technology Key Features

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Biomass

Pretreatment:

• Technical/economical evaluation and comparison of different existing pretreatments on selected biomass species.

• Lab and/or pilot scale tests on existing pretreatments on selected biomass species.

• New pretreatment process has been developed.

SteamSteam

Pre-Treatment Technology

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Pre-Treatment

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Advantages of Chemtex’s Pre-treatment Process:

• Minimal request of feedstock size reduction.

• High flexibility towards different feedstock.

• Possibility to reduce energy consumption.

• No chemical addition - no special construction materials required.

• Easy to scale up.

New Pretreatment Process has been developed at batch scale.

Engineering of continuous pretreatment 20 Kg/hr plant has been completed and started up.

Pre-Treatment

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Biomass

Enzymatic hydrolysis:

• Defined best enzyme package for selected and pre-treated biomass.

• Modeling and development of high solid concentration enzymatic hydrolysis.

• Novel Hydrolysis Set Up.

• Hydrolysis reactor design and scale-up.

• Defined MO for high ethanol conversion.

SteamSteam

Hydrolysis and Fermentation

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

– Biofuels - Are they worth it?

– Technology, Agronomy and Logistic

– Pretreatment, Hydrolysis and Fermentation

– Demonstration Plant - 40ktpa

– PROESATM Technology Key Features

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• Production capacity: 40 ktpa.

• Production based locally available Arundo Donax and Wheat Straw.

• Plant will incorporate all technology features developed during the R&D project phases.

• Plant will demonstrate at commercial scale the new pre-treatment technology (PRIT).

• Plant will incorporate innovative Hydrolisis and fermentation step as part of the BIOLYFE FP7 Project.

• Plant will sell Dry Ethanol to major oil companies.

Demonstration Plant – Key Features

Topics

1. Chemtex Overview

2. Cellulosic Ethanol Technology

– Biofuels - Are they worth it?

– Technology, Agronomy and Logistic

– Pretreatment, Hydrolysis and Fermentation

– Demonstration Plant - 40ktpa

– PROESATM Technology Key Features

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Unique Pre-Treatment Process producing high quality, low cost sugar from cellulosic bio-mass

• Flexibility to use different kinds of biomass without hardware changes.

• High recovery yield for Cellulose and Hemi-cellulose.

• Only steam used - No chemicals.

• Low cost operation - capex and opex.

• Low sugar degradation and low level of contaminants (furfural, HMF) and possibility to reduce acetic acid concentration via state of the art technology.

• High quality low cost sugar released.

PROESA™ – Key Features

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Energy integration through high efficiency burning of Lignin

• Lignin from from the process has sufficient fuel value to supply all plant energy requirements.

• The design of each plant includes a power generation unit.

• Lignin coming from the PROESATM

technology is free of sulfur, chlorine and ammonia and can constitute an unique base for producing chemicals from biomass.

PROESA™ – Key Features

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2006 - 2008 2009 2010

Construction and tests on continuous

pilot plant

Scouting, testing and development of

technology on lab scale

Construction of Demonstration Plant

40 ktpa

Key Features:• Capability to use a large variety of biomass as collected• Unique Pretreatment producing high quality & low cost sugar from

cellulosic biomass• High efficiency in viscosity reduction enzymatic hydrolysis• Simultaneous fermentation of C5 and C6 sugars• Energy integration with high efficiency burning of lignin

PROESA™ – Summary

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A superior technology offering:• Cost competitiveness – low capex (simplified flow schemes and

no special materials of construction) and opex (no chemicals required in pre-treatment and energy integration).

• Feedstock flexibility – energy crops or agricultural wastes.• Uniqueness – IP protection through 11 patent filings.

• Experience – Continuous pilot facility in operation since June 2009 and demonstration plant targeted for start-up in Q4, ‘11.

• Commitment – by Chemtex, M&G and its partners to continuous development/improvement.

Extensive experience with technology transfer.

Flexible project solutions based on client needs.

Capability to support client also in the development of the agronomic supply chain.

Why Chemtex

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Copyright and Disclaimer

CopyrightCopyright of all published material including photographs, drawings and images in this document remains vested in Chemtex and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without express prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction.

DisclaimerThis Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Chemtex and Chemtex’s (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as “expects”, “believes”, “estimates” or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Chemtex’s businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Presentation. Although Chemtex believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation. Chemtex is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Chemtex nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.The Chemtex group consists of legally independent entities, constituting their own separate identities. Chemtex is used as the common brand or trade mark for most of these entities. In this presentation we may sometimes use “Chemtex Global”, “Chemtex Group”, “we” or “us” when we refer to Chemtex companies in general or where no useful purpose is served by identifying any particular Chemtex company.