CONFIDENTIAL TECHNOLOGY OVERVIEW January 2016 CONFIDENTIAL 1.0 Executive Summary International Remediation Technologies (“IRT” or the “Company”) is a leading technology provider in the renewable energy industry. IRT, working in joint venture with our manufacturing and technology partner represents the best in class proprietary technology which converts residential, commercial and industrial waste plastics into Renewable Diesel, which is comparable to ASTMD 396, commonly used as home heating or industrial use fuel, using its proprietary, patented process. Specific applications of the fuel include: A. Home heating oil (ASTM #2 diesel fuel) B. Office heating oil (ASTM #2 diesel fuel) C. Marine fuel D. Fuel for electric generators (ASTM #2 and #6) The finished fuel product, known as Renewable Diesel, meets or exceeds the chemical and performance characteristics of traditional petroleum based products. Using our renewable diesel requires no modifications to traditional diesel engines or heating oil equipment is necessary. In addition to liquid fuels, this technology creates synethic gas (aka “syngas” or “methane”) during the conversion process. This syngas is sequestered and re-routed into our patent pending pyrolysis heat exchanger, where it provides free heat in the conversion process. Currently fuel is already being produced at a NY facility and sold to one of the largest home heating fuel distributors in Westchester County, NY. Competitive Advantages The use of pyrolysis to crack carbon chains of certain feedstocks in order to make fuel is a proven technology. It is our belief that its application of this technology is unique in terms of its RFP(Renewable Fuel Processor) Unit and process. Specifically, IRT believes that it is a market leader for the following reasons: What is Pyrolysis? Pyrolysis can be defined as the thermal decomposition of organic and inorganic material through the application of heat without the presence of oxygen. Pyrolysis is a technology that has been used for a number of years (as part of a variety of processes) as a baseline method of cracking carbon chain based material into various formations, typically smaller chains. CONFIDENTIAL • Commerciality We are already producing saleable fuel and have already executed agreements to sell RFP Units to third parties. • Modular Design Each RFP Unit, with specifications to produce approximately 1.5mm to 2.0mm (dependent on feedstock) gallons of Renewable Diesel per year, can be placed in a footprint of approximately 2,500 sq. ft. including pre-processing equipment. This compactness allows for flexible installation options and an ability to place multiple RFP Units within limited spaces. Furthermore, customers are able to place RFP Units close to its source of feedstock. • Low Capital Requirement . Each RFP Unit costs a fraction of the large facilities using similar technologies recently financed and built by competitors. • Low conversion cost. low capital cost and efficient operation allows it to generate a substantial margin per gallon, even at todays fuel prices. Projects known to IRT have significantly higher conversion costs per gallon, making those technologies unprofitable at almost any historical price per gallon of fuel. • Short Implementation time. manufacturing time and installation requirements allow potential purchasers to be operational typically within six months. CONFIDENTIAL Feedstock This technology focuses primarily on using true non-commodity “waste” plastics. These waste plastics represent in many cases a burden for disposal for municipalities and private industry in the form of logistics costs and landfill charges. As a result, these waste products can be received at a minimal cost, making the costs of goods sold negligible. Environmental Impact This process is a closed-looped system when it comes to its operation. In addition to its renewable fuel, the process produces a syngas, comparable to methane, which is recycled back into the system to displace outside energy sources to run the unit itself. Its other by-product, char, is sold to third parties. Overall, the process creates emissions comparable to a large home furnace. Through our technology partner IRT is offering an environmental solution. Waste plastics represent a tremendous environmental burden to all of us. Every waste plastic ever produced and disposed of is still with us today. Adding to this is another 32 milllion tons of plastics produced annually, much of which will end up in landfills and bodies of water throughout the world. This technology, albeit relatively small in terms of global plastic waste, does its part to redirect some of this waste plastic stream, which today is either buried or incinerated as a means of disposal. If capacity were to be expanded so that all non-recycled waste (of which plastics represent approximately 20%) were to be converted into fuel instead of landfill, over 6,000 acres of open space would be preserved every year, saving 120 million tons of carbon dioxide emissions. 2.0 Current Operations and Techology NY Facility The technology is currently fully operational in New York, producing saleable Renewable Diesel. Presently waste plastics are received from the municipality owned Westchester County Material Recovery Facility (aka “MRF”). The MRF is essentially a collection and sorting facility. There it receives CONFIDENTIAL plastic and other recyclable material from independent “carters.” The MRF uses a variety of pneumatic and manual processes to isolate the high value materials such as Polyethylene Terepthalate “PET” (water bottles, soft drink bottles, containers, and other plastic material marked with #1), ferrous and non-ferrous metals, and pulp. The remaining waste plastics, referred to as #3 through #7 waste plastics, represent a negative cost to this and most other MRF’s, since there is no real market for these plastics as a commodity. Our group purchases these plastics at minimal cost, since it is not commercially saleable and would normally be sent to landfills. This ability by our group to receive waste plastics at minimal cost represents a significant advantage over biodiesel or ethanol based technologies. These industries pay for commodity based inputs/feedstocks which vary on a spot market and often depend on government subsidies in order to make a profit. Technology Description The Company’s core strategy is to continue to build an operation that produces a high quality renewable fuel product at the lowest possible cost. Our technology utilizes a pyrolytic thermal depolymerization process that reduces and converts end of life residential, commercial and industrial waste plastics into Renewable Diesel. The production process throughout the RFP Unit was designed for maximum efficiency. Our production line operates in an oxygen free closed loop environment. The oxygen free environment prevents combustion from occurring. All byproducts are either recycled back into the system and used or later sold (such as the char created and sold to asphalt/cement industry). By altering the states of matter (i.e. solid, liquid, gas) of the original plastic feedstock, our proprietary process is able to convert 75% (by weight) of the solid waste plastic into a liquid hydrocarbon product. An additional 20% (by weight) of the solid waste plastic remains in a non-condensable, but high energy density gaseous hydrocarbon. This gaseous high energy density hydrocarbon (syngas) is redirected to the modulating burners and a proprietary heat exchange system, thereby directly offsetting energy/thermal input requirements. The RFP unit utilizes a proprietary process that essentially “cracks” the carbon chain molecules of the plastic products, CONFIDENTIAL converting them to their original form. Our RFP operation consists of one Process Patent (62097332) and two Utility Patents (62090628, 62089617) and the Company has filed for 4 additional provisional patents. The RFP technology uses an advanced heat exchanger design that optimizes the heating process, reaching temperatures up to 1500 degrees fahrenheit. It is imperative in pyrolyis to maintain an oxygen free environment at all times. Alternative technologies often employ a strong vacuum to maintain the oxygen free environment and create negative pressure. IRT believes this has adverse effects on both the fuel quality and technical operation. The vacuum creates an environment where product is transferred throughout the system with such force that the proper “cracking” is unable to occur, leading to a thicker and inferior product. The vacuum system is also an expensive process to run. Rather, IRT designed the RFP Unit to use a series of air locks that continuously monitor the presence of oxygen in the system. Once the plastics pass through these series of air locks they enter the patent pending IRT Feeding Reactor. The Feeding Reactor is a heating mechanism that uses a dual burner heater and low torque motor which pushes the shredded plastic product to a constantly maintained plug. The feeding reactor heats the plastics up to 1200 degrees Fahrenheit before the plastics are pushed to the other reactors. The cooling process is termed “Passive Fractionalization.” The vapor stream created throughout the heating process is converted to a liquid fuel using the Company’s patent pending cooling process. Competitors often use large and energy intensive glycol chilling systems to power the conversion process. This Technologys passive fractionalization design uses ambient air to convert the high temperature vapors to a low temperature liquid fuel using almost no moving parts. A series of cyclones and chillers selectively target desired liquid carbon chains. The condensing system essentially extracts all potentially condensible carbon chains, leaving a clean but energy intensive non-condensible syngas. The syngas produced is used to displace the majority of the external heating requirements during full production. The operator is able to direct and route the produced syngas to the desired burners through the RFP’s syngas control system . The remaining compounds in the solid state exit through a solid ash conveyor. The remaining product is a high energy density char. The remaining char has a low surface area and absortive CONFIDENTIAL capabilities, however, it has a high BTU content, ranging from 13,000 to 15,000 BTU/lb, representing a higher energy value than coal. All areas of the process are automated, including: the reactor, feedstock delivery, ash removal, fuel condensation and fuel storage. These processes are controlled via an Opto-22 industrial automation computer control package. The RFP units entire automation system and mechanical process is covered under the patents filed. The RFP Unit in Yonkers, NY Facility Modular Design CONFIDENTIAL Each RFP Unit, with specifications to produce approximately 1.5mm to 2.0mm gallons of Renewable Diesel per year, can be placed in a footprint of approximately 2,500 sq. ft. including pre- processing equipment. This compactness allows for flexible installation options and an ability to place multiple RFP Units within limited spaces. This advanced technology has modular construction allowing for strategic installation of production facilities located near to its primary feedstock source. This strategy has separated this proprietary technology from many of its closest competitors, who continue to focus on large scale production facilities, incurring significant construction completion timelines, state and local permitting, and downtime due to operational challenges. When working with waste products such as plastics, the expansion methodology is simple - build multiple lines close to the feedstock source. Logistics, defined as the cost of transporting the plastics to the facility that processes them, is a major cost of goods sold item. Many facilities, under the auspices of economies to scale, build large scale processing lines. The RFP Unit can produce upwards of 2.0mm gallons per year depending on the type of plastics being processed, and can be placed side by side, limited only by the size of the facility as a whole. CONFIDENTIAL 3.0 Business Model IRT is currently executing a three revenue stream business model: 1. Joint Venture Partner: In certain parts of the world and in certain circumstances, partnering with a local partner may simplify and accelerate IRT’s ability to ramp up a waste plastics to energy project. The Company will continue to identify potential partners that have an ability to secure a steady feedstock stream, identify and build out a suitable facility sites and streamiline the local permitting processes in order to further build out IRT’s footprint in the sector. 3. Sale and License model: IRT believes there is a significant market of potential purchasers of its RFP Units globally. These potential purchasers including but not limited to: • Municipal recycling facilities • Privately owned recycling facilities • Corporate customers with substantial plastic waste by-products • Fuel Distributors • Fuel Consumers (re. Transportation Companies) • Industrial suppliers of electricity • Medical Waste Disposal Companies Municipal Recycling Facilities There are currently over 650 publicly owned MRF’s in the U.S. These facilities process/recycle both residential and commercial/industrial plastics and have different levels of competency when it comes to sorting technology, therefore varying the ability to sell the output as a commodity, which directly affects their cost of disposal. The RFP Units, installed onsite, will allow the MRF to not only eliminate costs related to the disposal of these non-saleable waste plastics, in the form of logistics and tipping/disposal fees, but allows the facility to CONFIDENTIAL use the Renewable Diesel to sell to third parties, use for their own fleet of trucks, after further distallation, or for the creation of electricity, using a generator, to offset facility energy costs. Privately Owned Recycling Facilities There are currently over 300 privately owned MRF’s in the U.S. These MRF’s tend to have more advanced sorting equipment, allowing them to more efficiently sort plastics, allowing for the sale of #1 and #2 plastics, but still burdening the MRF with #3-#7 waste plastics, which are not a saleable commodity. They too consider these waste plastics a negative cost, creating both logistic and disposal fees. Their potential use of plastics is consistent with the use options mentioned above. Corporate Customers with Substantial Plastic Waste By-Products There are a variety of industrial/manufacturing processes & operations and wholesale/retail corporations that create a large volume of plastic waste. From pulp and paper manufacturers to large retail operations, plastics tend to be either a direct result of a manufacturing process, or raw materials or products are packaged in plastics, creating a single stream of consistent types of plastics. This homogenous stream of products is an ideal feedstock for the RFP Unit as no sorting would be required for processing. Working with industrial sites makes for turnkey projects, easing regulatory permits and requirements as a waste management permit would not need to be acquired. The RFP Units create Renewable Diesel or electricity for internal use or distribution for revenue. Fuel Distributors An owner of an RFP unit intending to primarily produce fuel for sale will likely already have an established source of fuel that can be supplemented with our Renewable Diesel. The current conversion cost per gallon of Renewable Diesel in the NY facility is approximately 0.85 cents CONFIDENTIAL per gallon, and currently sells for approximately $1.98 per gallon (as of May 5, 2015 – Wholesale, NY Harbor pricing). A distributor of fuel that can establish a secure supply of waste plastics can build an owned and operated source of fuel to suplement third party supplies, significantly increasing sales margins. Furthermore, the fuel, after further distallation, can be used for its own fleet of trucks, significantly reducing logistics costs. Fuel Consumers Operators of on the road or on the water transportation companies are constantly searching for ways to reduce their operating costs, a large part of which comes in the form of fuel costs. Furthermore, certain industries, such as shipping, are looking for ways to meet new regulatory standards as the environment changes towards more restrictive emissions limits. Once waste plastics are secured, the RFP Unit can be used to produce IRT Renewable Diesel that can be used in conjunction with traditional fuels to lower costs and reduce emissions (sulfur related). This business line generates an attractive manufacturing profit as well as continuing reoccurring revenues through license fees and maintenance/service contracts each year these facilities operate the technology. Eventually, IRT believes there is an opportunity to develop a fourth revenue stream driven by the leasing and/or financing of the RFP Units for third party purchaser. CONFIDENTIAL 395 Broadway, New York City, NY 10013 Tel: + 1-973-679-4050 www.internationalremediation.com For further information, please contact: Barnette Suskind Kyle Barnette Managing Partner Managing Partner Tel: (917) 604-2030 Tel: (603) 369-2959 Barnett@internationalremediation.com Kyle@internationalremediation.com