COMPANY OF THE YEAR. Sustainable Energy Founded in Agriculture

Transcription

1 COMPANY OF THE YEAR Sustainable Energy Founded in Agriculture

2 Agrisoma: We are a crop company that develops and sells seeds of Brassica carinata a new drop-in oilseed for agriculture We have commercialized Resonance Carinata - sustainable, non-food oilseed, high quality industrial oil We are scaling Carinata through leveraging the current agricultural value chain using well established partners and business models

3 Agriculture and Renewable Energy: A Growing Biofuels Industry Needs Renewable Oil Agriculture supplies the feedstock for biofuels Biodiesel growth significant: 0.7 B gal B gal is 7 B gal (key drivers sustainability, non-food, low carbon intensity) Emerging biojet = 30 B gal of demand (global mandate - no food crop use) Need to preserve food production capacity and make better use of marginal land Crops that offer rotation options and a good fit within farming are the winners

4 Brassica carinata ( Carinata ) An oilseed crop with high oil content (44 46%) Grows under tough conditions on marginal lands Tolerates heat and drought Established agronomic practices A drop-in product for farming

5 Agrisoma s Brand A cousin to Canola Thrives in heat and tolerates cold Disease and drought resistant Non-food oil superior cold flow biodiesel, bio-jet High protein meal excellent animal feed Certified sustainable under RSB

6 Our Business: Selling Resonance Seed Products Seed sold to farmers in 22.5 kg units (50 lb bags) Currently 2 registered commercial varieties (A100, A110) in Canadian and US Label registrations for multiple seed protection products Industry standard inventory production and management system

7 Sustainable One of four crops certified by RSB and only crop certified for North American Production

8 Resonance Crop Performance Commercial production over 2 years in diverse environments in both USA and Canada More than 10,000 acres of production to date Planted, harvested and transported with existing farm equipment Excellent yields in marginal soil zones under extreme environmental stress

9 Products from Resonance Grain

10 Making History: Resonance Carinata Powers World s First 100% Biojet Flight The world's first civilian flight powered by 100% biofuel made from Resonance took off over Canada's capital, with Popular Science showcasing this as the big story for sustainable biofuels

11 Resonance Carinata 100% Biojet Performance at 37,000 feet 1.5% Improvement in Fuel Consumption during steady state operation using 100% Biojet relative to Jet A1

12 100% Biojet Engine Performance No Differences in Engine Temperature Under Multiple Loads

13 100% Biojet: Burns Cleaner and More Efficiently without Modifications 100% Biojet provides a measurable increase in fuel economy Particulate and Black Carbon Reduced > 50% Significant reduction in CN and NO using Biojet relative to Jet A1 No modifications to fuel system, engine or maintenance

14 Carinata Oil: Low Saturates with Mid-Erucic Profile Biodiesel Renewable Diesel Biojet Oleochemicals

15 Delivering Oil at Scale: A Robust Commercial Value Chain Seed Farming Elevation Transport Processing Oil & Meal Fuel Manufacturing The Seed: High Commercial Margin Seed Production Business Grower Partnership Multiple Biodiesel Customers Farmer Contracting, Elevation, Processing Growing Customer List

16 Our Value Chain Partners: World-Class Scale 100 years of business 9 inland high throughput terminals 20 crop input locations Alliance Grain Terminal (Vancouver with 2.3 Million MT of capacity) Coverage of over 70 MM acres of farmland SMDC / M21: World s largest specialty production group for mustard crops Directly involved in Carinata production with levy rights, incentivizing production Access to all the growers in the 16 million acres of dry brown soil zone Since 1998, largest producer of OP Canola seeds Proven cost efficient management of seed production and inventory

17 Business Overview: Our Role in Farming to Feedstock Seed Sales: Revenue of $30/acre at 40-50% gross margin Contract production 2% royalty on grain purchase back to Agrisoma Farming: Conventional production approach on fallow acres & rotation Farmer returns with Resonance equal or better than other cropping options Logistics and Processing: Standard elevation and transportation to processor Conventional oilseed processing - existing large scale crush plant can process at scale Oil and Meal Sales: pricing based on biodiesel demand under RIN economics High protein meal priced between soy meal and canola meal Competitive pricing & capture of low carbon intensity Agrisoma Agrisoma and Partners

18 Critical Milestones Achieved Commercial: From Farming to Fuel Two years of commercial seed sales with marketing and customer support Grain management program in place including sales and delivery of carinata oil and meal Carinata biodiesel in retail pumps with biodiesel manufacturers in USA Regulatory: Multiple Regulatory Approvals in Place Regulatory meal approval protein by-product certified for feed use Sustainability certification RSB awarded certification, only one of four crops certified globally, EPA RFS 2 petition pending, AB, BC and CA certifications underway Scaling: Partners and Support for Global Scaling Commercial partnerships for Carinata production - Northern Tier, Australia & Southeastern USA, France, Uruguay

19 Our Goal: To be the Largest Source of Sustainable, Non-Food Oil for Biofuels Canada USA Europe Southeastern USA Canola Pricing Displace Canola makes better biodiesel for Northern USA and EU So. America Certified sustainable biodiesel Displace Soybean opens entire USA and broader global biodiesel market Certified sustainable and higher quality biodiesel Displace Palm opens global markets for renewable diesel and biojet A economic and sustainable replacement for palm oil in global biofuel markets Focus on Commercialization in Low-Cost Production Regions (Hot, Dry, Second Crop Options) to Drive Economics and Scale Australia

20 Why Resonance Carinata Works: Familiar, Proven and Backed by an Established Value Chain Familiar: Unlike other new energy crops, Carinata leverages the Canola experience to enable rapid scaling we are the cousin to Canada s most successful recent crop Proven: Over 10,000 acres with US and Canadian growers, oil being used by largest biodiesel manufacturer in the USA, meal sold into beef markets, proven sustainable and low carbon footprint the only crop in this elite class that is the new standard for sustainable biofuel feedstock Backed by Value Chain Investment: using the commitment of established commercial partners (Canterra, Paterson) and grower organizations (SMDC / M21) Carinata is a profitable crop of choice for all of the value chain participants

21 The Competition Why Carinata is the Crop of Choice for Non-Food Oil Carinata is an oilseed that fits into an existing, scalable value chain Other new oilseeds like Camelina, Jatropha have no value chain or established agronomics, hence no ability to attract growers or to scale Algae platforms require massive new infrastructure and capital to achieve their claimed scale and performance Cellulosic biomass crops have limited appeal to farmers, lack both logistical scale and efficient conversion technologies

22 Our Dominant Position in Carinata Our Exclusive IP Position Control world s largest collection of Carinata genetic resources Exclusive commercial license for Resonance varieties and rights from Agriculture and Agri-Food Canada (AAFC Ministry of Agriculture) Proprietary & patented advanced crop improvement technologies Exclusive rights to National Research Council technologies for oilseeds (NRC) Part of Government of Canada s multi-million dollar investment in Carinata: GFI, GFII, SDTC, ADF, IRAP Key and exclusive expansion relationships in place: EU, South America, Australia, USA including USDA, University & State Ag Departments

23 Differentiating Factors: Why Carinata offers a secure and scalable supply for the industry 1. We know our crop and pay our farmers our primary customer is the farmer, we make sure they like our product and get fairly compensated on time 2. We provide the value chain our model understand the complexities and needs of value chain partners to ensure the business is sustainable and scalable 3. We provide a better and competitive product for end markets carinata biodiesel has better cloud point, has biojet conversion benefits and is competitive with other feedstock choices 4. We are able to rely on current value chain technologies our product needs no new infrastructure or technologies to be successful, it seamlessly integrates into the infrastructure in place 5. We bring experience to bear the team is experienced in agriculture, renewable oils, finance and the seeds and oils business

24 Highlights A winning product: Carinata is scalable, sustainable and economic Security of Supply: Carinata is a product in demand from growers, leveraging their asset base for sustainable on farm returns Key global partnerships in place for scaling: Value chain relationships ensure scalability and robust supply chain from seed sales to end users Dominant proprietary position and domain expertise: Leading edge crop and improvement technologies are targeted to the expanding market for advanced agriculture products