Renewable Drop-In Bio-Diesel & Bio-Jet Fuels Refined in the Central Pacific, by SPG

1. Executive Summary
ABSTRACT
Spicewind Pacific Group is a potential source of Bio-Diesel and Bio-Jet Fuels for the
U.S. Department of Defense. The DOD has mandated that all military aircraft must
be using 50% of renewable and sustainable Bio-Jet Fuels by the year 2016. We are
in an excellent strategic position to take advantage of this DOD Directive – as they
are also – able to take advantage of our future Bio-Jet Fuel supply potential.
Under the U.S. DOD the U.S. Army operates a major missile research and testing
facility in the center of the Marshall Islands on Kwajalein Atoll. It includes a large
active Air Base. Many U.S. Air Force and other military aircraft pass through this
facility when crossing the Central Pacific. Most of the aircraft must refuel at this
Air Base. It is our intent to implement our initial operations with a refining plant on
Kwajalein that will produce 10,000 to 25,000 gpd, by the 3rd year of operations.
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2. There will be severe shortages over the next few years, particularly for various
grades of certified Bio-Jet Fuels. The U.S. Air Force will feel it most with their 2016
deadline. Others will also feel the shortages due to stringent goals set by various
government agencies, and other diverse entities (commercial airlines) involved.
Kwajalein Missile Test Site and Air Base, which will require serious amounts of Bio-
Jet Fuel products, is virtually in our backyard, and very close to our initial
processing facility and refinery. Our 75-year renewable land lease agreement is in
place. In the near future, we expect to be one of the contractors chosen to supply this
DOD establishment with Bio-Jet Fuels through the DLA and DESC Pacific agencies.
Our Bio-Jet Fuels will be delivered via direct pipeline from our refinery storage to
the Air Base storage tanks. It will be fully blended to certified specifications at our
facilities, or at the tank storage facilities on the base.
ADVANTAGES
THE IMPORTANCE OF RENEWABLE SUSTAINABLE FEEDSTOCK
In order to provide a continuous supply of Bio-Jet, or Bio-Diesel Fuels, we must also
have a continuous (sustainable and renewable) feedstock having a chemical
structure/make-up that can be refined into various viable Bio-Fuels.
In the Marshall Islands, we are fortunate in having not one, but three major feed
stocks:
#1. Pure Coconut Oil, which provides us with over 20 million gpy. (1st yr.)
#2. Organic Waste Products (Biomass) over 850,000 tons per yr. (by 3rd yr.)
#3. Algae Oil (Macro algae) 320,000,000 gpy (by 5th yr.) of operations.
INITIAL PROCESSING / REFINING EQUIPMENT
#1. Bio-Jet Refining Plant: Designed, Fully Tested, and Proven out by Kajima
Corp., University of Tokyo. “Non-Catalytic Superheated Methanol Method,”
refining Bio-Diesel and Bio-Jet Fuels. Utilizes component oils from Feed Stocks, #1,
#2, and #3.
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3. #2. Our Biomass Feedstock processing plant involves a U.S. Patented (Mitchell
Technology) Plasma Arc Gasification Method that attains “Catalyzed Ionic Impact”
in sequential gasification and chemical transformation of the organic feedstock such
as Palm Fronds and other green organic waste on the Islands. Macro algae seaweed
pulp will also be utilized as a Biomass Feedstock, after the component oils have been
extracted. (Complete processing/refining data is available.)
BROAD BASED PRODUCTION SCHEDULE
TIMING: FROM START-UP TO INITIAL PRODUCTION
Our Pure Coconut Oil production will reach a scale of 16,000,000 gpy within 24
months of start-up. Start-up meaning when contracts are signed and funding is in
place. 350 days is used for one year. 10,000 gpd to 25,000 gpd production capability.
We expect that our Biomass Oil production will reach 220,000,000 gpy, or about
628,571 gpd within 4 years of start-up.
Macro algae oil production will reach one billion gpy in 8 years from start-up.
By the year 2020, we can expect to be producing a minimum of 3,510,714 gpd of
feedstock oil from our combined CNO, Biomass from green waste, and Algae pulp.
EXPENSES / REVENUES
First 2 years utilizing coconut oil only as Feedstock for refining into Bio-Jet Fuel.
One coconut costs $.06 – additional transportation/handling/refining, will bring the
cost to approximately $1.50 per gallon of Bio-Jet Fuel. Our present groves of
coconut trees situated on 1,200 Islands within the Marshall Islands will provide us
with 300,000,000 coconuts during our first full year of production. These coconuts
will provide 20,000,000 gallons of pure oil. When refined, this oil will produce about
16,000,000 gallons of certified JP-8 Bio-Jet Fuel. It will take a minimum of 2 years
from date of funding to achieve one full year of production of JP-8 Bio-Jet Fuel,
which will be sold at approximately $4.50 per gallon: $72,000,000 by 3rd yr.
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4. Over our first 5 years of operations, we can expect at least 10% increase in coconut
oil production per year.
3rd year provides revenue of: $72,000,000
4th year ……………………... $79,200,000
5th year ……………………... $88,400,000
Total Adjusted Gross Revenue: $239,600,000 Coconut Oil (CNO) only.
ORGANIC WASTE PRODUCTS BIOMASS FEEDSTOCK
Note: Capacity of initial refinery will be upgraded to 25,000 gpd during the 3rd year, and up to 75,000
gpd by the end of fifth year of production.
Initial Biomass Plasma Arc Regenerator for processing Green Waste from our
Organic Waste Feedstock will go on line during 2nd year of operations.
2nd year thru 5th year utilizing Green Waste Biomass Feedstock providing
component oils for the Bio-Jet Refinery, in addition to Coconut Oil.
Throughout one full year we will amass a minimal average of 825,000 tons of
Biomass Feedstock for our waste products processing facility.
Costs of waste, handling, transportation will approximate $10,000,000. One ton of
waste Product provides 116 gallons of component oil for the Bio-Jet Fuel Refinery.
First full year of Biomass production (3rd year) will provide approximately 825,000
tons of Biomass Feedstock that will in turn provide 95,700,000 gallons of
component oil for our Bio-Jet Fuel Refinery which will produce 76,560,000 of JP-8
Bio-Jet Fuel. Material difference is made up of Hot Gas, Fertilizer, Chemicals.
4th year revenues ……………………………. $344,520,000
Less Direct Costs ……. $10,000,000 …….$334,520,000
5 year revenues (plus 10% over 4th year)….$367,972,000
th
Less Direct Costs ……..$10,000,000 …….$367,797,200
Total Adjusted Gross Revenue $702, 317,200 Biomass Only
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5. ALGAE OIL / MACRO ALGAE
We have noted that many proposals forecast production levels from 1,000 to 13,000
gallons per liquid acre of algae oil produced through many diverse methods of
growing and extracting oil from algae. We will use a minimal figure of 1,000 gpa.
Throughout our domain of operations, we control over 4,000 sq. miles, or 2,560,000
acres of protected tropical saltwater lagoons. Using a minimal figure of 1,000 gpa
provides production of 2,560,000,000 gpy. We expect we will have at least half of this
liquid acreage in growing condition for various Macro algae (Seaweed) by our 8th
year of operations. In this proposal, we will estimate that we will have planted, are
growing, and extracting oil from at least 320,000 acres during our 5 th year of
successful operations. We can expect 320,000,000 gpy of Macro algae oil by the end
of our fifth year. We estimate initial costs will be high during this period, about $100
per acre, or $32,000,000. We further expect to increase our production capability to
a minimum of 1,500,000,000 gpy with up to five separate processing and refining
facilities in full production by 2025.
5th year revenues …………………………. $1,440,000,000
Less Direct Costs …………………………. 32,000,000
Total Adjusted Gross Revenues …………. $1,408,000,000 Algae Oil / Biomass
Only.
Five year Revenues:
Coconut Oil Only ………$ 239,600,000
Biomass Only ………….. 702,317,200
Algae Oil Only ………… 1,408,000,000
Total 5 year …………… $2,156,615,272
PRODUCTION STAGE FUNDING REQUIRED
$5,500,000 Required for initial costs related to procurement of
necessary basic equipment, and coordination of land and growers.
$1,500,000: Two used twin turbo prop aircraft for basic transportation.
$2,500,000: Three small (450 ton) used Inter-Island Cargo Vessel.
$1,057,000: Refinery, Ancillary Equip. Basic expenses, travel, wages, etc.
Reserves: $433,000 (placed in escrow account for 5 years.) PP5

6. Gunther W. Mothes
Spicewind Pacific Group
240 Suffolk Street
Corona, CA 92882
Tel: 951 737- 4577 E-mail: smokeytuna@gmail.com
Iroij Laplap/Senator/Speaker/President Litokwa Tomeing
P.O. Box 417, Majuro, MH 96960 (Spicewind Pacific Group)
Tel: 011 692 625 5318 E-mail: litokwatomeing@gmail.com
Kinichi Mizutani (Spicewind Pacific Group)
Tel: 310-704-0891 (U.S.A.) Tel: 011-81-90-8118-7466 (Japan)
E-mail: kinichi@gmail.com
Gunther(Smokey) Mothes Gen. Mgr
Dr. Ken Mitchell Ph.D. (Mitchell Technology)
7428 Edgewater Ave., Las Vegas, NV 89123
Tel: 1 702 540 0217
E-mail: ckennethmitchell@yahoo.com
Greg Krochmal MS. (Mitchell Technology)
Tel: 1 503 516 7167
E-mail: g.krochmal@comcast.net
Prof. Rainer Busch Ph.D. (Spicewind Pacific Group)
U. Nevada, Reno, Tel: 415-320-1252 E-mail: rbusch@pcfpp.com
Michael Green BS/Design Engineering, MS/Mechanical Engineering
Bio Tech Research, Engineering SRL Labs., CTO
5236 Pacheco Blvd., Pacheco, CA 94553 (Spicewind Pacific Group)
Tel: 1-925-858-4874 E-mail: sheldust1@yahoo.com
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7. Marshall Islands Coconut Tree