Converting Environmental Waste Into Clean Water & Energy

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy

This document contains confidential and proprietary information of Energy And Environmental Technologies, LLC (EET). This document, its concepts and all intellectual material contained within it, is protected by United States and international law, and is intended for the addressed parties only. Any copying, distribution, retransmission, modification of information or materials within this presentation are prohibited without the express written permission of EET. ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Converting Environmental Waste Into Clean Water & Energy Energy and Environmental Technologies, LLC (“EET”) is a privately owned emerging operator of new technologies that facilitate hazardous waste disposal. We currently hold several patents encompassing processes to de-list hazardous waste material and convert it to a safe, solid, high-BTU Biomass that we can dispose of without special treatment. Our patented processes allow us to immediately eliminate hazardous waste material both on-site and off-site. Our primary focus is in the oil & gas drilling industry with subsequent attention to the petroleum refining, animal waste, food processing, mining, and water treatment and wastewater treatment markets. ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

What EET Technology Can Do • Patented, proprietary system that facilitates the processing and disposal of Waste Streams consisting of emulsified mixtures of solids, semi‑solids and liquids • Milled core of the kenaf plant used as a catalytic bonding agent to absorb and chemically bond with hydrocarbons, chemicals, heavy metals and other organic and non-organic substances in the waste stream, while repelling water • Separated water is reusable as clean “industrial” water ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

What EET Technology Can Do (Continued) • Catalytic process encapsulates and dilutes hydrocarbons, chemicals, heavy metals, etc., allowing them to be “delisted” as hazardous wastes for EPA purposes • Process has been verified by the ATO FINA refinery tests • All equipment components to mix and process wastes using milled kenaf core and to separate water are commercially available/adaptable/customizable and fully functional for EET applications ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

EET Patents EET holds three active U.S. patents encompassing various apparatus, methods and processes to catalytically encapsulate hydrocarbon-based hazardous waste streams into milled kenaf core, separate water from the waste stream, and convert the resultant secondary waste stream into a solid high-BTU Biomass • Filtration and Transportable Container for Processing Waste into Fuel U.S. Patent No. 5,782,265 • Catalytic Vacuum Distillation Process U.S. Patent No. 6,273,923 • Catalytic Bioconversion of Petroleum-Contaminated Wastes/Wastewaters Using Kenaf Core U.S. Patent No. 7,157,000 ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ATO FINA Tests • Validated ability of EET’s technologies and systems to convert constituent chemicals and metals from petroleum waste streams generated by petroleum refining into delistable substances • Verified constituent chemicals and metals were delistable using the EPA Delisting Risk Assessment Software (“DRAS”) program to assess the results • Verified constituent chemicals and metals were substantially less toxic than same constituent elements from a waste stream processed using thermal desorption set forth in an EPA approved delisting application ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy ISSUES AND OBJECTIVES For DRILLING OPERATOR

Water Acquisition for Hydro-Fracing • Resources - Diversion of large quantities of water resources away from agricultural, industrial and residential purposes • Environment - Increased tanker truck traffic causes wear and tear on roads, increased dust and air pollution, and public concerns about accidents • Expense - Costs associated with purchasing and hauling water to drilling site • Governmental Action - Potential closing of disposal well sites ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Disposal of Hydro-Fracing Flowback and Pit Water • Hazardous Waste - Due to hydrocarbon and hazardous chemical content, must be appropriately handled and disposed as “hazardous wastes” under EPA rules • Pollution of Drinking Water - Disposition by injection into disposal wells raises concerns that injected hydrocarbons and chemicals may contaminate water aquifers • Environment - Increased tanker truck traffic causes wear and tear on roads, increased dust and air pollution, and public concerns about accidents and environmental releases • Expense - Costs associated with hauling hydro-fracingflowback and pit water to disposal well sites, and disposal well injection fees ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Disposal of Cuttings • Hazardous Wastes - Due to hydrocarbon and hazardous chemical content, must be appropriately handled and disposed as “hazardous wastes” under EPA rules • Costs - Significant disposal costs, including both transportation and burial fees at specialized landfills • Environmental – Concerns about potential leakage into drinking water sources ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Objectives • Conserve and reuse water on-site to be used for future hydro-fracing fluid. If hydro-fracing flowback recovery is about 70% of hydro-fracing fluids originally injected, only need to purchase 30% of water requirements for the next hydro-fracing job • Minimize trucking issues, both in delivery of water onsite for hydro-fracing and disposing of hydro-fracing flowback and pit water • Dispose of hazardous substances and other materials from hydro-fracing flowback, pit water, and run-off water in an environmentally clean manner other than injection in disposal wells • Dispose of cuttings in an environmentally clean manner other than burial if possible ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy “FRONT-END” PROCESS Separating Water from Hydro-fracing Flowback and Pit Water and Converting Remaining Hazardous Waste into Usable Biomass

Overview Of Processing Set-up • EET to process clean-up of hydro-fracingflowback and pit water • EET to place multiple mobile mixing, processing and water separation units at either on-site drilling locations or off-site processing locations, at Drilling Operator’s discretion depending upon its needs • For multiple-well drilling sites, location at site may be best • For all other purposes, a single stationary offsite processing center can be established for all additional needs, including emergency processing and continual contaminated water production from operating wells ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview Of Processing Set-up (Continued) • Drilling Operator places one or more ‘sets’ of transportable holding tanks or pools at selected on-site and/or off-site locations. Tanks are adjacent to EET’s mobile mixing, processing and water separation units. EET anticipates the tanks will hold about 1-4 million gallons • First transportable holding tank/pool in each set holds hydro-fracing flowback and pit water for processing by EET • Second transportable holding tank/pool in each set holds separated water after processing by EET. Separated water available to Drilling Operator for reuse for future hydro‑fracing applications ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview Of Processing Set-up (Continued) • The number of EET mixing-processing units will depend on the volume of flow. If placed on a drilling site, there would be more mixing-processing units for the first 2-3 days of flowback when volumes are greater, and a single mixing-processing unit at the tail-end when the volume is smallest • The number and processing volume of units will be scaled to ensure that flowback volume never exceeds the maximum volume of the first holding tank or pool ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview Of Processing Set-up (Continued) • To the extent necessary to reduce salinity of separated water, EET will incorporate a mobile desalinization or reverse osmosis unit • The secondary waste stream, Biomass, is a dense, dry, solid substance. A “briquetting” component will be included to put the Biomass into an easily transportable and processable form for further disposition (“Back-End” processing) ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview Of Processing Set-up (Continued) HYDRO-FRACING FLOWBACK AND PIT WATER TANKS OIL SEPARATION TANKS MIXED SLURRY TO EET MOBILE PROCESSING MIXING TANKS Milled kenaf added using blower or conveyor ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview Of Processing Set-up (Continued) EET Mobile Processing Unit SLURRY FROM MIXING TANKS PRIMARY WATER SEPARATION CATALYTIC DRYING AND SECONDARY WATER SEPARATION BRIQUETTE MAKER BIOMASS BRIQUETTES SECONDARY PROCESS WATER PRIMARY PROCESS WATER HOLDING TANK ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy “BACK-END” PROCESS Use or Disposal of Biomass

Use Or Disposal Of Biomass • EET to dispose of Biomass • Several EET alternatives depending upon Drilling Operator’s preferences relating to site locations (on-site or off-site) and volumes to be processed • High BTU-content of Biomass, from organic kenaf core and encapsulated carbonaceous materials, makes an ideal fuel • Short-term plan - gasify Biomass at processing location, and burn off Syngas similar to natural gas • Gasification is chemical conversion process using heat and pressure to breakdown wastes into ash and a mixture of methane gas, hydrogen, carbon monoxide and carbon dioxide known as “Syngas” ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Use Or Disposal Of Biomass (Continue) • No combustion involved • Exceeds toughest California air quality standards • For multiple-well drilling sites, location at site may be best • Longer-term plan - use or sell Biomass or Syngas in a variety of industrial or commercial settings • Syngas can be used by EET as on-site fuel to create electricity or steam for EET’s own process • Syngas can be used by EET to generate electricity to be added to the grid ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Use Or Disposal Of Biomass (Continued) • Syngas can be compressed, bottled and sold as a fuel • Biomass briquettes saleable as fuel source for various industrial or commercial operations, such as concrete and asphalts plants, power plants or industrial or commercial use • All longer-term applications have various cost, engineering and contractual considerations that are dependent upon volumes to be processed, and decision as to ‘best’ end use alternative cannot be made until longer-term information and volume and composition variables are provided by Drilling Operator and are evaluated ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Use Or Disposal Of Biomass (Continued) ASH ELECTRICITY SYNGAS HEAT EXCHANGER & STEAM TURBINE GASIFICATION UNIT ELECTRIC GENERATOR BIOMASS BRIQUETTES EET Mobile Gasification & Power Unit ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy PROCESSING AND DISPOSAL OF CUTTINGS

Processing and Disposal of Cuttings • Cuttings handled on the ‘front end’ in same “manner” as hydro-fracing flowback and pit water, with some equipment changes • Due to high rock and dirt content, treatment of choice is gasification, eliminating all hazardous substances • Ash, dirt and rock would then be used as fill material • Little or no process water • Processing of cuttings will be conducted entirely separate from that of hydro-fracing flowback and pit water ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Processing and Disposal of Cuttings (Continued) CUTTINGS CONVEYOR MILLED KENAF CONVEYER ASH ROCK DIRT CATALYTIC DRYING AND WATER SEPARATION UNIT CATALYTIC MIXING UNIT GASIFICATION UNIT EET Mobile Cuttings Processing Unit ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy OVERVIEW OF EQUIPMENT

EET Catalytic Processor (used for hydro-fracing flowback and pit water processing unit) EET Catalytic Mixer and Processor (used for cuttings processing unit) ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview of Equipment • Most equipment components are commercially available/adaptable/customizable and fully functional for EET applications, and easily integrate for both mobile on-site and stationary off-site configurations • All configurations modular, leading to ability to “mix and match” for best solution at each location • All configurations scalable to adjust to differing volumes • All equipment easy to operate and will not require more than basic operator skills ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

Overview of Equipment (Continued) • Equipment has minimum of moving parts, with low maintenance and superior reliability • On demand 24/7/365 processing • Modular set-up allows quick replacement of units in case of mechanical difficulty which cannot be quickly repaired ENEGY AND ENVIRONMENTAL TECHNOLOGIES, LLC ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC

ENERGY AND ENVIRONMENTAL TECHNOLOGIES, LLC Converting Environmental Waste Into Clean Water & Energy Dr. Larry Bosma Co-Manager and President Cell (661) 917-2189 drbosma@eetechnologies.com Richard Jones Director of Technology Cell (661) 433-7572 richard@eetechnologies.com Arvid Orbeck Co-Manager, Chairman and Founder Cell (310) 598-6490 arvid@eetechnologies.com 755 Grand Boulevard, Suite B-105 Box 150 Miramar Beach, FL 32550 850.677.1007 www.eetechnologies.com

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Converting Environmental Waste Into Clean Water & Energy