Sustainable production of

cellulosic ethanol from

agricultural residues

Advanced Biofuels Leadership Conference 2012

April 3, 2012

Washington, D.C. – U.S.A.

Martin A. Mitchell

Business Development Manager, Americas

Süd-Chemie AG – A Clariant Group Company

®

Agenda

- Süd-Chemie Introduction

- Green Strategy of Süd-Chemie

- Technology and Development Status

- Cellulosic ethanol and beyond

®

Entry into pharmaceutical protection packaging

and water treatment business

Süd-Chemie: developing future-oriented products for more than 150 years

Founding of BAG (now Süd-Chemie AG) in

Heufeld; founding shareholder: Justus von Liebig

Bleaching earth and

bentonite products

1962: Start of catalyst business

Manufacturer of Cleantech products:

– Biocatalysts

– Exhaust gas purification catalysts

– Lithium ion battery materials

– CTL/GTL catalysts

1857:

1906:

1970: Production of foundry chemicals

based on bentonite

1857 1890 1930 1970 2010

Catalysts

Foundry chemicals

1996:

Fertiliser

Bleaching earth/bentonite

Süd-Chemie Worldwide

Sales: USD$1.8 billion Employees: 6,400

• Süd-Chemie AG is a worldwide operating company with over 80 sites on all continents and major

markets of the world

• With over 30 research facilities worldwide, Süd-Chemie commits major resources for research and

development for new innovative technologies

• All biotechnology activities are currently based in Germany (Munich and Straubing)

• Clariant (Basel, Swizerland) a top 50 world chemical company aquired Sud-Chemie in 1Q 2011

Rationale for Cellulosic Biofuels and Biorenewable Chemicals Market needs and limitation of fossil resources

The world is just at the beginning of a dramatic turn of the petroleum era!

Peak-oil predictions:

The green strategy of Süd-Chemie

• Renewable feedstocks are the basis for a bio-based economy

• Biocatalysis offers sustainable conversion to biofuels and bio-based chemicals

• Süd-Chemie’s technology know how for turn-key bioprocesses for bio-refineries

• Süd-Chemie is one of the few technology development companies in the industry with

process & enzyme development under one roof

The way to competitive cellulosic ethanol ®

Key Technology Features

• On-site integrated enzyme production

• Feedstock specific enzyme development

• C6 and C5 fermentation

• Energy saving ethanol separation

From one company the customer receives a

complete integrated process manufacturing

solution from pre-treatment to final product

World Class Screening Technology

>90% conversion of cellulose by proprietary enzymes

Own enzyme production and own enzyme optimization

Enzymes are optimized for specific reaction conditions and feedstock

Throughput of several 100,000 samples per day

®

Utilities

Process integrated enzymes production are key for low production costs

Off-site, At-Site or Hub-solution:

Feedstock Ethanol Fermentation Product

Isolation

Cellulase

Production

Pretreatment Hydrolysis

Feedstock Ethanol Fermentation Product

Isolation

Cellulase

Production

Pretreatment Hydrolysis

Process integrated:

C- source

minerals, etc.

minerals, etc.

Handling, Storage?

Purification, Stabilization, Storage?

®

• Higher yields with optimized enzymes

• Feedstock specific enzymes

• Optimized enzymes

• Lowest enzyme costs

• Process integrated enzyme production

• Independent from third party enzyme suppliers

Feedstock specific enzymes

Advantages:

®

Cellulose

Hemi-

cellulose Lignin

Rest

50% higher product yield Cellulosic Ethanol

• Proprietary yeast developed by Süd-Chemie

• Simultaneous conversion of all sugars to ethanol

• One-Pot-Reaction, patented process

Energie

®

Biogas

Ethanol

C6 and C5 fermentation - conversion of all sugars

to ethanol

Low energy consumption in DSP

With the innovative Süd-Chemie separation process up to 50% of energy

can be saved in DSP.

• New ethanol separation process with

very low energy consumption.

• Based on Süd-Chemie technology

• Patented process and material

0%

20%

40%

60%

80%

100%

120%

Standard DSP 2G SC Technology SC Technology optimized

En

erg

y c

on

su

mp

tio

n

Challenges for Cellulosic Ethanol Production

Technology challenges

High process yields

Low operating costs

Low investment costs

Sustainable process

All sugars to ethanol

Feedstock specific reaction conditions

Feedstock optimized enzymes

Integrated enzyme production

No external energy required

Proprietary ethanol separation process

Proven (bio)chemical process technology

All scalable to production scale

No Food-or-Feed issue

Ethanol is nearly Carbon neutral

Process is energy self sufficient

Challenges addressed with

Commercial development and status ®

• Pilot Plant: In operation since 1Q 2009

• Demonstration Plant: In commissioning. Begin operation 2Q 2012 (330,000 gal/yr)

• Production Plant: Partnering is on-going Production Plant Engineering studies completed: process integration in production scale, equipment design & specification, energy integration

Süd-Chemie will offer sunliquid®-process licenses to interested parties. A

sunliquid® license includes:

• Integrated process technology package including proprietary, energy

saving ethanol separation technology

• Starter cultures for process integrated production of enzymes

• Starter cultures for the proprietary fermentation organism which converts

C5 and C6 to ethanol

Business model of Süd-Chemie AG for

commercialization

®

Next steps: There‘s more! -> C2 Platform

Ethylene Oxide/Ethylene Glycol Technology

Awarded ~ 80% of non-captive licenses since 1980 (30 awards since 1990)

Licenses other EO derivative technologies

Alcohol Dehydration Technology

Awarded 2 ethanol-to-ethylene and 6 ethanol to EO/EG licenses since 2006

Expanding technology to butanols

®

Next steps: There‘s more! Cn-platform concept

Lignin

Hemicellulose

Cellulose

Energy

Lignocellulose

Feedstock

Cn-Chemistry

Process and product examples, conceptual presentation

For further information please contact:

Martin A. Mitchell

Business Development Manager, Americas

Süd-Chemie AG – a Clariant Group Company

309 Court Avenue, Suite 205

Des Moines, Iowa 50309

U.S.A.

Phone: + 515.699.8518

E-mail: martin.mitchell@clariant.com