CREA Energy Innovations Summit

1. CREA Energy Innovations Summit Coal Mine Methane Electric Power Generation Julian Huzyk Project Manager Vessels Coal Gas, Inc. 3MW LLC & North Fork Energy LLC

2. Vessels Coal Gas, Inc. Coal Mine Methane Capture Operations: Pennsylvania, Illinois & Colorado Products: Natural Gas Electric Power Carbon Offsets Alternative Energy Credits Regulatory: Verified Carbon Standard California Air Resources Board CPUC RPS Qualification

3. Cambria 33 Resources LLC Abandoned coalmine in PA Methane recovery commenced in 2008 Natural gas sales Electric generation 30% CH4 inlet gas Vessels Coal Gas Inc™

4. 3MW LLC & North Fork Energy LLC Oxbow Mining LLC’s Elk Creek Mine Somerset, CO Vessels Coal Gas Inc™

5. 3MW LLC PROJECT SCOPING AND PARTNERING ™

6. Methane Drainage System Vessels Coal Gas Inc™

7. Methane Drainage System Vessels Coal Gas Inc™

8. MDS Modification & Inlet Gas Piping Vessels Coal Gas Inc™

9. Thermal Oxidizer • Surveyed OEM’s • Selection • Price • Schedule • Operational range • PLC Vessels Coal Gas Inc™

10. Thermal Oxidizer • Combusts Methane Drainage System gas • Enclosed open top cylinder • Sized to allow sufficient residence time to ensure efficient destruction of methane • 2 burner rings with multiple vortex inducing nozzles • High turn-down ratio • transition to beneficial use • back-up combustion Vessels Coal Gas Inc™

11. Vessels Coal Gas Inc™

12. MCC & SCADA Buildings Vessels Coal Gas Inc™

13. Gas Conditioning Receive gas at 150 ⁰F Split stream between Thermal Oxidizer & Electric Generators Monitor methane concentration Compress & condition for delivery to generators Vessels Coal Gas Inc™

14. Electric Generation Equipment • Reviewed OEM engines capable of combusting low CH4 concentrations • Competitive bid evaluation • < 25% CH4 design basis for fuel gas • Selected 1.0 MW units • Operational flexibility • Portability Vessels Coal Gas Inc™

15. Electric Generation 1500 hp engines each consume 220 mmbtu/d 1800 rpm Each generator nominal 1.1 MW of power at 4160 volts Vessels Coal Gas Inc™

16. 7,500 KVA Transformer Vessels Coal Gas Inc™

17. Electric Substation Steps 4160 volts up to 46 kV 7,500 KVA base rated transformer Electric metering Spare switchgear Ready expansion capability to 9,300 KVA Vessels Coal Gas Inc™

18. High Voltage Utility Tie Vessels Coal Gas Inc™

19. Exhaust Heat Recovery Vessels Coal Gas Inc™

20. 3MW LLC & North Fork Energy LLC • Oxbow Mining LLC - Elk Creek Mine • Somerset, CO • Vessels Coal Gas Inc™

21. 2011 Pennsylvania Governor’s Environmental Excellence Award Cambria 33 Project NFRIA-WSERC Conservation Achievement Award Vessels Coal Gas Inc™

22. Wind 4% of U.S. 10% of Colorado $100 B in past decade 20% someday? Vessels Coal Gas INC™

23. It’s Time to Get Real About Climate Protection “Since 1997 Colorado has installed nearly $4 billion worth of wind turbines and solar panels. These investments in a clean energy economy are a tremendous accomplishment.” “But you will know we are serious about tackling climate change when we begin focusing on reducing METHANE emissions, not just on carbon dioxide.” Randy Udall

24. GLOBAL WARMING POTENTIAL 2012: Hottest Year Ever for Lower 48 Science Magazine recently published a study showing that methane and soot reduction would have the most significant, immediate, and cost effective impact on global warming. Vessels Coal Gas INC™

25. Waste Methane from 3MW LLCSaves 100,000 Tons CO2 each year PLANTING 75,000 ACRES REMOVING 17,000 CARS Vessels Coal Gas INC™

27. Best Buys First: Waste Methane is one of Colorado’s most cost effective Climate Investments Vessels Coal Gas INC™

28. Best Buys First: Waste Methane is one of Colorado’s most cost effective energy investments. Vessels Coal Gas INC™

29. 3MW LLC & North Fork Energy LLC Oxbow Mining LLC Elk Creek Mine Somerset, CO Vessels Coal Gas Inc™