Nexterra’s Future with RDFGasification and Syngas Technologies Conference Vancouver BC

October 2016

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Business Overview

Founded in 2003,

Built nine plants

Two plants under construction

Systems operating on hog fuel,

forest residuals, and construction

and demolition (C&D) waste wood

Business Description North American Projects

Prince George, BC

UNBC

Heffley Creek, BC

Tolko Plywood MillVancouver, BC

UBC

Victoria, BC

Dockside Green

New Westminster, BC

Kruger

Battle Creek, MI

VA Battle Creek

Columbia, SC

USC

Oak Ridge, TN

Oak Ridge Nat’l Lab

UK Projects

Built

Under Construction

Commissioning

Tyseley, UK

Birmingham Bio Power

Northamptonshire, UK

Welland Waste Wood

Plymouth, UK

Dartmoor Bio Power

Built

Under Construction

Commissioning

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zFirst CHP Plant with IC Engine

2012

Robust Roadmap and a History of Firsts

First Plant, Pilot Plant (8’ Gasifier)

2004

First Project with Ownership

2015

First 16’ Gasifier at Institutional Site

2007

First Commercial Plant (14’ Gasifier)

2006

Key Milestones

First 20’ Gasifier Operational

2014

2013First Bankable, Power to the Grid Project

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Current Market Focus - UK

Nexterra qualifies for ACT

Landfill tax

High power prices

Plentiful feedstock

Nexterra track record

Nexterra right sized

capacity

Partnerships with

developers, EPCs and

investors

Closed three waste wood

projects

More to come

Market Drivers Initial Market Success

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Industry Trends – A Drive to RDF Feedstocks

RDF is the next feedstock for Nexterra

Key drivers promoting gasification of RDF using Nexterra technology:

Growth in circular economy making incineration and landfilling less desirable

Transition towards community scale plants (volumes of waste decreasing)

Rising tipping fees for waste

Tightening air emission guidelines

Growing need for baseload renewable power

Nexterra believes that with current UK tipping fees, RDF projects can be viable without

subsidy

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Technical Evaluation of RDF vs. Waste Wood

Class A – C Waste Wood RDF

Consistency Homogenous Heterogeneous

Components Wood Plastic, organics, fabric,

paper, wood etc.

Moisture Content 15 – 30% 10 – 40%

Average NCV (MJ/kg) 14 - 18 9 - 20

Chlorine 0.01 - 0.25% Up to 1.8%

Sulfur 0.01 – 0.25% Up to 0.9%

Ash 0 – 5% 5 – 30%

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Key Technical Questions with RDF

Objective is to process RDF in Nexterra gasifier with few changes to proven

gasification platform.

Key technology questions for RDF gasification include:

Can feed system deliver RDF into gasifier?

Will critical pile geometry be maintained?

Will ash clinker and plug gasifier?

Can system handle contaminants in feedstock (eg chlorine)?

Can we meet UK/Euro emission regulations (IED)?

Any restraint on design capacity?

Only way to answer questions is with testing and demonstration

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Nexterra Product Development Centre (PDC)

Nexterra PDC

Commissioned in 2004

~16,000 hours of operation

Waste wood, virgin wood and chips

Plant Modes of Operation

Indirect Fired (ie. UK configuration)

Direct Fired (Lime Kiln or Boiler burners)

Gas Cleanup (engine or remote burners)

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Testing Program

Phase 1 - Feed Table Testing (2 Weeks) - Complete

Successful transport and feeding of RDF fuel

Good cold pile formation

Phase 2 – Gasification Trials (2 Weeks) – Oct 17

Successful gasification and ash flow

Target system output (PAHRR)

Verify emissions (without abatement)

Phase 3 – Optimization (2 – 4 Weeks)

Process Optimization

Stakeholder monitoring, investigation and evaluation

Phase 4 – Reporting and Commercial Analysis

3rd party emission test results

Recommendations for commercial plant design

Feed Table Test

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Commercialization Plan

Extensive 3rd party validation of RDF trials

Focus on feedstock preparation required to meet gasification system

specification

Build first system with dual fuel capability. Finance on waste wood. Waste wood

guarantees.

Focus on UK market with existing partners and supply chain. Lower risk. Expand

later

Replicate with partners

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RDF Testing

Testing apparatus for new feedstock

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RDF Testing

Feeding RDF to full scale horizontal feed screw

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RDF Testing

Feeding RDF to full scale horizontal feed screw

13 │ Private &

Confidential

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RDF Test Results

RDF emerging from top of full scale cone

14 │ Private &

Confidential

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RDF Test Results

RDF forming correct pile shape for optimum gasification

15 │ Private &

Confidential

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RDF Testing to do

Gasification trials on now, completing end of October

So far so good: feeding, gasification, and ash removal

More run time and analysis required

Trials being witnessed by three engineering firms, two EPC contractors, others

Nexterra expects clear validation of its technology on RDF

16 │ Private &

Confidential

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Summary

Compelling business case to prove out technology on RDF

Physical and chemical properties are similar to waste wood

Nexterra systems operate on waste wood

Test results promising for RDF

Ready to build first dual fuel plant

17 │ Private &

Confidential

1818 │ Private &

Confidential

Thank You

Please visit our website: www.nexterra.ca