Transcript Jonathan Madgwick - Chairman

Annual General Meeting
2007
Ethanol Technologies
Limited
13 November 2007
Update
• Government liaison/funding (Federal and State)
• Second generation ethanol production project
• Environmentally sensitive, resource and energy
efficient
• Cost efficient
• Enables production from a wide range of feedstock’s
- sugar and timber industry wastes are major examples
- will not divert crops from food supply (note the American
experience with maize)
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Jonathan Madgwick - Chairman
Ethtec Corporate
Structure
Board
Ethtec Ltd
($5.3m cap)
51%
Timber
Industry
Jonathan Madgwick (Chair) – Director, WFL
Russell Reeves – APACE Research Ltd
Robert Carey – Public Practice Accountant
Marcus Derham – CEO, WFL
John Rutledge – Senior Executive, WFL
49%
Sugar
Industry
Expenditure to date….
Willmott Forests
Limited
(ASX Code: WFL)
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Jonathan Madgwick - Chairman
Cane Farmers
$3.5m development
$5.3m capital injection
Stakeholders
Licence Agreements
(USM/TVA/Apace)
Shareholders
Board
Federal Gov’t Support
Management &
Technical Teams
Ethtec
State Gov’t Support
Consultants
Pilot Plant
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Jonathan Madgwick - Chairman
Site Selection
Pilot plant site – Harwood, northern NSW
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Jonathan Madgwick - Chairman
Project Plan
• Project will occur in 4 phases (1 & 4 may be in parallel)
• Viability of the technology will be tested in a pilot plant
• Construction to commence in late 2007
• Potentially permits licensing opportunities domestically
and overseas of Australian (NSW) generated intellectual
property
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Jonathan Madgwick - Chairman
4-Phase Process/Project
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Acid Hydrolysis
Acid Recovery
Ethanol Recovery
Fermentation
Jonathan Madgwick - Chairman
Timing
1
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Outcomes
Timing
• Acid impregnation
• Hydrolysis of lignocellulosics
Late 2008
2A • Lignin filtration
• Acid and sugar separation
Mid 2009
2B • Sulfuric acid recovery
Late 2009
3
• Fermentation
Early 2010
4
• Simultaneous ethanol recovery
and liquid effluent treatment
• Late 2008 (with capital support), or
• Early 2010
Jonathan Madgwick - Chairman
Risks
• Profit
• Failure of Phase One
• Competition
• Liquidity
• Key Personnel and Management
• Operational Issues
• General
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Jonathan Madgwick - Chairman
Technical Team
• Technical Director - Dr Russell Reeves: Research scientist involved for the last thirty years in
Australian and foreign government funded research projects on the development of new technologies for the
production and use of ethanol as fuel
• Chief Engineer - Mr Ernest Lom: Mechanical research engineer with over fifty years experience, the
last twenty five years relating to alternative fuels projects conducted in association with Dr Reeves
• Senior Project Engineer - Mr Daniel Negus: Mechanical research engineer with over ten years
experience, including a three year project on use of ethanol fuel in vehicles conducted in association with Dr
Reeves
• Analytical Chemist - Dr Tony Banks: Doctorate in organic chemistry from University of New England
• Consulting Engineers
Mr Robert Tubman - process plant design, process optimisation and project management specialist with
over thirty years local and international experience
Mr Dennis Forte - extrusion processing, process modelling and process optimisation specialist with over
twenty years experience
• Manager General Operations - Mr Lance Rodman: Cane farmer from Babinda with over twenty
years practical engineering experience
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Dr Russell Reeves – Managing Director
Technical Update
• Harwood Sugar Mill selected as site for pilot plant
Pilot plant site – Harwood, northern NSW
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Dr Russell Reeves – Managing Director
Technical Update
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Dr Russell Reeves – Managing Director
Technical Update
• Installation of required services to pilot plant site
underway
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Dr Russell Reeves – Managing Director
Technical Update
• Chemical analysis of representative feedstock's underway (with
cooperation from NSW DPI)
• Installation of feedstock pre-treatment equipment and intermediate scale
extruder underway
• Intermediate scale extruder will be used to confirm specification of pilot
plant extruder
• Confidentiality agreements with two international extruder manufacturers
• Tests will be conducted with extruder manufacturer(s) to also confirm
specification of pilot plant extruder
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Dr Russell Reeves – Managing Director
Technical Update
Clextral BC 72 H
Co-rotating Twin Screw Extruder
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Dr Russell Reeves – Managing Director
“An integrated forest business
with a focus on quality.”
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Marcus Derham – Director
Willmott Forests –
Overview
• ASX Listed (Code: WFL)
• Sound growth over 25 years
• Australia’s largest developer of new softwood plantations
• 35,000 ha established since 1980
- Bombala / Braidwood (WFL, Export Markets)
- Murray Valley (Visy, Hyne & Son, Weyerhaeuser)
- HVP 2R sites (CHH, Paperlinx, Hyne & Sons)
• Timber processing operations
• Long-term supply agreements
• State of the art management systems
• Actively engaged in regional communities
• Entered renewable fuel/energy market
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Marcus Derham – Director
Quality Focus
• Independent Research
• Corporate Governance and Compliance
• AFG Disclosure Code
• ISO 9001 – Quality Endorsed Company
• Highly rated Woodlot project
• Premium timber products
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Marcus Derham – Director
Lismore
The Regions
B
Woodburn
Yam
Grafton
Tweed Heads
Tweed Heads
Byron Bay
Lismore
North
North
ern Ri
ern Ri
vers Reg ion
vers Reg ion
NT
QLD
Ballina
Newcastle
Woodburn
WA
SA
Lismore
Grafton
NSW
Newcastle
TAS
Newcastle
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Ballina
Woodburn
Grafton
VIC
Byron Bay
Yamba
Yamba
Announcement
COMPANY ANNOUNCEMENT
16 March 2007
WFL takes strategic stake in Ethanol Technologies
• Commercialising new technology for the production
of ‘cellulosic ethanol’…
- technology is expected to have world-wide
application
- enormous potential for the timber industry
- solves the emerging ‘fuel vs food’ dilemma
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Marcus Derham – Director
Announcement
Marcus Derham, Willmott Forests CEO, said…
“… whilst it is not without its risks, they are risks that we
understand. When it is all said and done, this is an exciting
project that has the potential to change the structure and pricing
of pulp, chip and mill residue markets across the whole forest
industry, and we are pleased to be involved.”
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Marcus Derham – Director
Ethanol Technologies
Limited
13 November 2007
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Jonathan Madgwick - Chairman