The Dawn of a New Industrial Revolution -- A Multi-billion Dollar Opportunity

Markets exist worldwide for Klean Industries' environmental solutions and the recovered commodities or clean energy that they produce. Every industrialized country is trying to sustainably deal with their wastes without resorting to landfill or mass burn incineration. As waste increasingly becomes a resource that can potentially produce fuels, minerals and commodities, Klean Industries is ideally placed to offer the solutions that can meet these needs and has identified a number of industries who can benefit from the advanced technologies the Company proposes:

• Commercial consumers of scrap tires and waste plastics as fuel
• Large commercial users of fossil fuels seeking to offset costs using alternative energies and green commodities
• Industrial commodity end users and commercial producers looking for more cost effective feedstocks that have better environmental profiles and lower emission footprints

The market for clean energy and green fuels will expand exponentially as society and industry attempts to rapidly de-carbonize. In addition to the drive for cleaner energy, there will be a shift away from resources and commodities that have a high environmental impact and carbon footprint to alternative, recycled and sustainable materials that can be utilised directly into the supply chain. Globally there are increasing legislative, environmental and social drivers relating to the recycling of different wastes that are often backed with financial incentives (and/or penalties) to manage these wastes.

North & South America, Europe and parts of Asia all provide excellent opportunities for Klean Industries, the technologies they offer and the recovered commodities that can be produced. Klean will initially focus on North America and Europe for the first phase of the Company's roll-out. These facilities will process scrap tires and besides the energy or fuels, Klean Industries will be producing a high-quality, general purpose carbon black, for which the Company has identified four quite different end markets:

• Industrial rubber product manufacturers looking for cost effective, environmentally friendly alternatives to traditional feedstock suppliers.
• Plastic manufacturers also looking for cost effective green alternatives to conventional feed stocks.
• Toner and printing ink manufacturers in need of enhanced formulations and broader flexibility in production materials.
• Coatings suppliers in search of product flexibly in fillers for better pigmentation, conductivity and UV protection for a wide variety of applications in automotive (primer basecoats and clear coats), marine, aerospace, decorative, wood, and industrial coatings.

Klean Industries will build, own and operate these facilities or, in certain territories, will look joint venture with established industrial companies who have some or all of the components necessary for a successful recycling or recovery operation. This can allow for a swift roll out of multiple Klean facilities, for which demand is expected to grow year on year.