1. The Commercial Development of Lignocellulosic Ethanol Mark D. Stowers, Ph.D. Senior Vice President of Science and Technology F.O. Lichts Developing and Commercialising Next Generation Biofuels London, UK 9-11 February 2010 © POET LLC

2. Ethanol Background Corn Ethanol and POET’s Approach POET’s Cellulosic Ethanol Activities Biomass Strategy Process Technology Corn-Cellulose Ethanol Integration Criteria for Success Vision for the Future Outline

3. Ethanol – Past, Present and Future 100 years ago Today Tomorrow © POET LLC

5. Ethanol Boost, Direct Injection

6. 3.2 L engine to replace 6.6 -7 L CI engine to deliver peak power

7. 450+ hp, 663 lb-ft torque at 3000 rpm

8. More horsepower and torque than gasoline

9. Diesel engine replacement

10. Closes the gap in fuel economy

11. Meets new US EPA emissions stds© POET LLC

12. Ethanol US Market Biofuels 36 Billion Potential >25% volumetric replacement National Security Cost of Oil (USD) Environment Total GHG Reduction Rural Development (Jobs) Green Jobs Waiver (E15) 136,000 new jobs US$24 billion/year to GDP One Time GDP Impact US$37 billion in capital projects 260,000 jobs RFS2 GHG Reduction © POET LLC Source: BESS version 2008.3.0, Liska and Cassman, 2009 GREET, Wang et al, 2007.

13. Corn Ethanol Process Biomass and LFG (Energy Supply) High Gravity Fermentation Reduced Water Usage Branded DDGS Branded DDGS Raw Starch Hydrolysis Corn Fractionation Implemented at 26 plants producing over 1.5 billion gallons and 4 million tons of distillers’ grains © POET LLC

14. Cellulosic Ethanol Activity in the US © POET LLC

15. Project BELL (Scotland, South Dakota) 1-2 tonnes biomass/day Biochemical Process Dilute Acid Pretreatment Anaerobic Digester for Waste Stream Processing Project LIBERTY (Emmetsburg, Iowa) 700 tonnes Loose and Baled Cobs/day Biochemical Process Co-located on Corn Ethanol Plant Site Significant Energy Supply to Corn Ethanol Plant POET’s Cellulosic Ethanol Plans © POET LLC

17. 385-472 MM ha of idled cropland (Campbell et al, 2008)

18. US

19. 1+ billion tons of available biomass (Perlack et al, 2005)© POET LLC

20. Biomass Collection: Challenges and Solutions © POET LLC

21. Biomass: Field to Plant Available Biomass 90+ million acres of corn Corn Stover (enriched with cobs) Multiple Models Loose and Baled Cobs Total Price Target US$30-60/ton delivered POET Strategies Leverage our existing footprint Work with our existing farmer investor group Created procurement and logistics entity Partnered with DOE and USDA Collaborate with National Labs and Universities ANNUAL LIBERTY TONS REQUIRED *estimated © POET LLC

22. Cellulosic Ethanol Process © POET LLC

24. Adaptable to MultipleFeedstocks

25. Optimize Solids Loading

26. Minimize Catalyst Costs

27. Minimize Energy UsageEnergy costs Solids Loading © POET LLC

28. Enzymes and Saccharification Process Multiple Strategies Highly Dependent on Pretreatment System Enzyme Availability Largely Limited to Cellulases Cost Reduction Requires a Close Collaboration with Enzyme Suppliers Ethanol Yield Enzyme Cost Enzyme Loading © POET LLC

29. Fermentation Multiple Options Feedstock Implications Biocatalysts Multiple Process Scenarios Yeast cell photo credit: http://www.sciencenews.net.au/ © POET LLC

30. POET’s Cellulosic Ethanol Process Today Process Improvements Achieved Streamlined Unit Operations Effective Lignin Removal Cost Reductions Realized Chemical Raw Materials Lower Energy Usage Energy Offset to Corn Ethanol Plant Enzyme Use Plant, Property and Equipment Continuing Challenges Enzyme Use Fermentation Efficiency Pretreatment Effectiveness © POET LLC

31. Co-Location with Existing Corn Ethanol Plant Shared Infrastructure Common Feedstock Suppliers Synergistic Energy and Natural Resources Strategies Corn and Cellulosic Ethanol Integration POET Biorefining -- Emmetsburg © POET LLC

32. Ethanol Market Continued Product Performance RFS2 Volumes E15, FFVs, New Engines Consistent Governmental Policies Feedstock Supply and Logistics System Cost Effective Cellulose Conversion Technology Value Capture Mechanism for Waste Streams Criteria for Success © POET LLC

33. Vision for the Future Roll out RFS2 -- Achievable in the US 90 billion gallons by 2030 (Sandia & GM, 2009) Potential for 100% Domestic Fuel Drivers National Security Environment Economic Development Global Impact Benefits are translatable. All biomass is local. Technology is transferrable. © POET LLC