AGENDA

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AGENDA

• Intro on Bioethanol
• Wessex Grain and Bioethanol
• Contracts
• Green Spirit Fuels Wessex Biofuels
• Future developments for Wheat

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Intro to Bioethanol

• Proven Fuel
• used in Brazil USA for more than 25 years
• Proven Technology
• Over 100 plants in USA
• Plentiful UK Feedstocks
• 3-4 million tonne annual wheat exportable surplus

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Intro to Bioethanol

• Uses for bioethanol
• 5 blend in standard petrol
• Feedstock for the fuel oxygenate ETBE
• 85 blend for flexi-fuel cars such as the Ford
  Focus and Saab 9-5
• 100 fuel in modified diesel engines
• 7 blend in e-diesel for existing engines

UK Potential Bioethanol Market _at_ 5 1 million
tonnes
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Its all about sugar !

• Sugars come in three main forms
• Simple sugar
• from Sugar Beet, Sugar Cane etc
• Starch
• from Wheat, Maize, Rice, etc
• Cellulose
• from Straw, Miscanthus, Switchgrass, etc

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Processing technologies cost
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Ethanol processes
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UK Market developments

• Jan 05
• fuel tax reduction of 20p/litre commenced
• Tesco and others start selling 5 bioethanol
  blends in SE England
• large scale importation of Brazilian bioethanol
  starts
• Sep 05
• GSF BS submit planning applications to build
  the UKs first bioethanol plants
• Nov 05
• Dft announces RTFO from 2008
• Obligation for 5 biofuel inclusion by 2010
• Chancellor announce Enhanced Capital Allowances

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RD Project Partners
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- the parent of GSF

• Working on bioethanol projects since 2000
• UK Green Fuels Challenge 2001 2002 for both
  cereal ligno-cellulosic processes
• e-diesel E85 initiatives (Somerset BEST
  project)
• First UK set-aside contracts for wheat barley
  for bioethanol
• Supplier of cereals to EU bioethanol producers
• Involved in many bioethanol lobbying exercises in
  UK and EU

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Company Structure
Equity Structure Wessex Grain Credit Suisse Tudor
Capital
GSF aims to be the leading bioethanol developer
and operator in the UK
Wessex Biofuels
2 Humber
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5
O M
Special Purpose Vehicles Specific to project
location with local grain and offtake partners
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GSF Timetable
Jul 05 - Launch of Green Spirit Fuels Ltd Sep 05
- Development Funding from City Nov 05 -
Announcement of the RTFO Dec 05 - Supply
agreement with Wessex Grain Jan 06 - Planning
consent for Wessex Biofuels May 06 - Conditional
offtake contracts in place Sep 06 - Project
Funding (equity debt) Sep 06 - Commencement of
plant build Mar 07 - Commence bioethanol
production
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1. South West (100 kt) Wessex Biofuels Option
to buy site with outline planning permission,
adjacent to 50 kt grain store, excellent grain
supply infrastructure, excellent DDGS market and
near to export terminal and major oil
refinery. 2. (200 kt) Sites with excellent
infrastructure, Government Grants and massive
wheat availability. Near to major feed market
oil refiners local partners 3. (100 kt) Sites
with excellent infrastructure, Government grants
and a local market for CO2 local partners 4.
(200 kt) Excellent sites with access to large
volumes of wheat supplies and near to major feed
market local partners 5. (200 kt) Major grain
growing area grain partner local government
support
Plant Locations
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Wessex Biofuels

• OUTPUT
• 130 million litres of bioethanol
• 125,000 t protein feed
• 97,000 t CO2

• REQUIREMENTS
• 330,000 t wheat
• Enzymes
• Chemicals

LOCAL EXPENDITURE 45 MILLION
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Wessex Grain. Genisis 2yr min-max contract.
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Wessex Grain. Set-aside contracts
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Future Developments

• Technological advancement
• Improved starch levels in wheat
• Wheat that needs less nitrogen for same yields
• new enzyme technologies to reduce process energy
• vehicles designed to optimise bioethanol fuel
• biorefineries that obtain income from non-starch
  fractions of cereals
• waste to bioethanol technology

In other words the New Green Industrial
Revolution !
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Products
..cereals contain a greater variety
functionality of macromolecules than oil.
Novel Uses of Wheat Campbell, Webb McKee of
University of Manchester
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WHEAT (whole)
Wheat Grain
Mills
Hydrolysis
Fermentation
Flours
Distillation
Vinasses
Ethanol
Purification
DDGS Extraction
Feedstuffs
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WHEAT (whole)
Wheat Grain
Purification
Raw Juice
Mills
Acid Pytic
Cosmetics
Hydrolysis
Fermentation
Flours
Brans
Disamination
Bran Fibres
Distillation
Dietetics
Vinasses
Ethanol
Purification
Etoh/Acide
DDGS Extraction
Antioxidants
Thickenings (Brans)
Cosmetics Nutrasweet
Feedstocks
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IENICA Report
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Summary

• UK Bioethanol production will create a market for
  gt 3 million tonnes of UK wheat
• Biorefineries will evolve from the bioethanol
  industry to supply a wide range of industrial
  chemicals, cosmetics and pharmaceuticals
• To make it happen UK farmers will need to commit
  to long term agreements to encourage investors to
  establish the new infrastructure

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Wheat vs Crude Oil /tonne
63/bbl
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Wessex Grain
The Grain marketing company
Creating new opportunities
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• Ethanol, the environmentally friendly fuel!