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Investment and Business SummaryMobile BioFuel Technologies Business Summary:Mobile BioFuel Technologies Inc. (MBT) has created an exciting new cutting edge product. MBT is unveiling the world’s firstand only industrial grade Mobile Biodiesel Refinery. The mission of MBT Inc. is to manufacture and distribute these MobileBiodiesel Trailers as well as other biofuel processing equipment to farms, cities, schools and businesses the world over, thusreducing our dependence on fossil fuels and encouraging environmental stewardship. We first introduced mobile biodieselrefineries in 2008. Early into the introduction phase we made the difficult decision to stop production and return to thedrawing board. The motivation to reengineer our mobile processors was twofold. First, we immediately realized that wehad discovered a profound niche in the biodiesel refining market that offered enormous global potential. This brought us tothe conclusion that it was in the best interest of MBT to create a safer, more user-friendly machine capable of producinglarger quantities of fuel. We decided to invest heavily into researching and developing the latest technologies andincorporating industrial quality components and construction throughout our top of the line Mobile Refineries. What wehave created simply has no peers. These units can produce vast amounts of premium biodiesel with very little labor and areengineered to handle even the heaviest of production demands and any business that spends money on diesel fuel forvehicles, equipment, heat or power is our potential customer.Recognizing the urgent demand and need for just such technology we are now offering these extraordinary machines to theworld market.Market - Business Development Target:Domestically the US potential markets for these processors are exceptional. WVO / FOG collection companies, Farmers andAgriculture, Restaurant Chains, Distribution Centers, Snack Food Companies, Food Service Delivery companies. Colleges,Prisons, Public Transportation, Cargo shipping and Marinas, and potential select distributors such as John Deer, Caterpillaretc. Our initial goal is to capture the very key restaurant oil collection companies market. By securing the oil collectionmarket we will achieve two important advantages. First it is beautiful synergy with this market segment because of theirunique abundance of the raw material (feedstock) needed to make biodiesel and the fact that their collection trucks
require diesel fuel. Second we will create strategic alliances with these companies thus contractually securing feedstock forour future customers. The oil collection companies will realize three distinct benefits in owning their own processingequipment. They will save extraordinary amounts of money in producing their own fuel from the feedstock they collect.Fuel cost for them will be about $0.90 per gallon down from a national average of $4.09 (a savings of $3.19 per gallon) as ofthis writing. They will also be able to market the fact that they are a green company leaving a reduced carbon footprint byrecycling the oil they collect. This will encourage more restaurants to do business with them thus increasing their marketshare. And last but definitely not least the increased lubricity of biodiesel over petroleum diesel reduces maintenance costwhile increasing engine life.Over the last two and a half years Verde BioFuel, a subsidiary of MBT, hasbeen in R&D developing our second generation biodiesel refineries. These mobile processors are industrial grade unitsdesigned for hard industrial scale use in the national and international markets.The scale of our international opportunities can hardly be measured. Initially: Jatropha, Palm, Milletia, and MaringaPlantation owners /managers in Central and South America. However we are getting inquiries from all over the globe.Because our processors are capable of refining all vegetable oils, rendered animal fats and recycled fryer grease intobiodiesel they have significant value in almost every country in the world. Many nations are ahead of the U.S. in biodieselawareness and production. Most foreign countries have an equal or larger number of diesel vehicles versus gasolinemodels. The price per gallon savings on biodiesel is usually higher internationally due to the fact that fuel is not as heavilysubsidized abroad. Countries like Indonesia for example have a tremendous need for our unique processors. Indonesia hasthe 4th largest population on earth. Comprised of over 14,000 separate islands they are now the world’s leader in biodieselfeedstock (raw oil) production. They harvest the oilseed, press the oil and sell this feedstock to China. China then refines itinto biodiesel for internal consumption or for sale to Europe, leaving Indonesia desperate for fuel to run the nations manyferries, bus lines, power generations and farm implements. Mobile refineries are the missing link in this chain. Feedstock +Mobile Refineries = Fuel. To construct a centralized large scale refinery on one of the 14,000 islands, then build thenecessary infrastructure to get the feedstock to said refinery and the infrastructure to distribute finished biodiesel back tothe islands is simply unfeasible. With our self-contained, mobile units these challenges disappear. This is but one case of
many, i.e. all of Southeast Asia, Africa, Haiti, Brazil, Australia………….Feedstock :The international feedstock market is massive one example specifically is GXEs Jatropha report focused solely on JatrophaCurcas. We can extrapolate from these reports that there are many strong indicators of a greater need for a small scalemid-market level refinery outside the US. Even if we ignore the fact that we have received unsolicited inquiries from 29countries, we can analyze the amount of existing oil crop plantations there are and take into consideration the projectedamount. There is a global "gold rush" happening to fulfill the worlds biodiesel demands especially with governmentmandates being implemented a very rapid rate. This rush started in Africa and Southeast Asia, according the GXE reportand is "making its way west" to Central and South American countries. According to the GXE report an estimated 49% ofplantations in 2013 will be under 1000 Hectares. (Ha) 21% of will be R&D/research plantations. These are prime targets forsmall scale refineries. This will make up 70% of the projected 13M Ha, (9.1 million Ha) If we multiply this by the averageyield of 800 gallons per Ha this mean there are an estimated 7.2 billion gallons of Jatropha Oil that will need refining fromplantations that are smaller than 1000 ha. each where our mobile unit is a perfect fit. (Please keep in mind that farms haveachieved as much as 2000 gallons per hectare on their plantations)If we look at the infrastructure of these plantations we can determine that:1.) A portion of these large plantations are either owned or managed by domestic entities, such as GFE Global, and GCEfarms. Steven Francis the CEO of McDonald Francis Farms, who is just now expanding into the Global Jatropha Market(they were mainly camelina) told me that, although they own a very large 2 million gallon year (mgy) refinery, most ofthese companies do not and cannot afford the 10+ million dollars it costs to build one. So they are forced to sell the Crudeoil.2.) The rest of these plantations appear to be made up of very small farms, some have formed co-ops, and these farmswould directly benefit from having a small scale refinery.Another interesting and still (relatively new) business model is the multi-purpose real estate market; micro investments in
land plots suitable for development years down the road. In the mean time Jatropha plantations are implemented and aportion of the proceeds go back to the investor. These companies are also expressing interest in refining their own fuel,since they receive double the return.If you look at the GXE report, the number of hectares planted is expected to grow from 5 million in 2010 to 13 million in2015. These are just the Jatropha based studies. There are many more opportunities with the rising popularity ofnumerous other plant / seed oil feedstocks and the monetization of WVO FOG in other countries as well.Competitive landscape: In our research we quickly understood a huge gap in competition. There are a few others that have made beta mobileshipping container platform but it is a one off unit, and not mobile. We have yet to find any other mobile industrial gradesolution. There are small inexpensive "garage" type systems using plastic tanks and parts. The market we are targeting isthe mid-scale industrial grade market, making 500 – 1000 gallons per day on site. MBT has all stainless steel tanks andplumbing, integrated methanol recovery, proprietary overlap batch process flow, and a new drywash system. From theconstruction, the fluid dynamics, motors, pumps, the batch speed and tank design, safety, fire suppression there are nopeers; all mounted in a spill proof vented mobile platform. We will always be pushing our R&D to stay ahead of the curveand our 2.0 models will seek IP patent protection as we refine and integrate new disruptive technology for refining oil’ssuch as algae. We think of our units as a mobile, low cost refinery. Our units are not just a processor, they are a completework environment that is also mobile. It is industrial equipment designed to run 24-7-365 with little or no maintenance.Bandwidth:We are developing a team that will build a lean j.i.t fully integrated manufacturing process that will be linked to inventoryre-order point, p.o. generation and accounting all of this will be linked to our CRM intranet communicating production andcost metrics with sales and accounting and allowing a customer to know the status of their construction. The front facinguser experience will be second to none in the industry as well. We know how to develop an amazing web presence with all
of the interactive tools, SEO, social networking and e-commerce engine. The interoffice productivity piece will also be anadvantage with robust customer relations tools integrated email, project, and deal management tracking tools, VOIP, livechat, video meeting/conferencing, facilitating a much faster cleaner ability to communicate with our customers. (especiallyinternationally)Threats:Certain threats exist. MBT inc. is aware of the great importance for us to be “first to market”. We are researching ourintellectual properties and patent protections and feel certain we will obtain credible domestic securities. Currently wehave no competitors in the market but this product is so revolutionary and advantageous that that is bound to change. Ourunits are engineered to be extremely user friendly with "fix in field" technologies. This makes our mobile refineriesvery attractive to the international markets. It does however compromise their complexities. Another concern of ours isthe potential for crude prices to fall. We believe that to continue to realize strong sales in the fuel market one mustmaintain a competitive price point with existing fossil fuel. Our price per gallon cost is significantly lower than petroleumdiesel as of this writing and it is our opinion that this gap will only increase.Investment Opportunity:Mobile Biofuel Technologies Inc. is seeking individual angel investment / early growth capital ranging toupgrade our manufacturing sales and distribution capability, launch our product to the national and international marketsand grow revenues for additional product development. We anticipate a strong rate of return to the investor after the 2ndyear with an option to hold a vested equity ownership position in the company.Initial investment capital expenditures include: (depending on investment: lease, purchase, or build) larger manufacturingand office space with demo floor and showroom. Process mapping for integrated manufacturing and engineering biodieselequipment and JIT inventory system development. Tooling fabrication equipment. I.P. Patent, legal and insurance. Webdevelopment, project and deal management, CRM intranet development with training, e-learning, safety and accounting.produce all 3 units for showroom, marketing and sales rollout; both nationally and internationally.
Full Strategic Business / Marketing Plan and Pro-forma Financials availableCONTACT: MR. BLAKE SNOWDEN EMAIL : BLAKE@MBT-INC.COM SKYPE: BLAKE.SNOWDEN1 US CELL: (720) 732-7626