Tree Global Mongolia Overview Presentation

prepared for

Business Council of Mongolia

26 August 2013

OVERVIEW OF TREE GLOBAL

2

1. Deployable nursery

service to grow trees for

large scale international

projects

2. Growing methodologies

that greatly increase

growth rates and survival

rates of native trees and

shrubs.

TREE GLOBAL IS THE FIRST

DEDICATED INTERNATIONAL

NURSERY SERVICE

TREE GLOBAL

HIGH PERFORMANCE TREES

3

Faster Growth Up to 3x faster

HPT vs. Traditional seedlings

Greater Survivability 95% vs.10%

Earlier Maturity 1.5x earlier

Faster Soil Restoration Due to

enhanced root mass

Greater Carbon Sequestration 2-4x more carbon sequestered

1-2 MILLION TREE NURSERY FACILITY at Dambadarjaa, UB

4

FULLY AUTOMATIC, RETRACTABLE GREENHOUSE

5

AMPLE SPACE TO EXPAND (60 hectares)

6

TGM RESULTS

7

In our planting on mine sites and reforestation sites, Tree Global

Mongolia has set new standards for planting success:

• Survival rates >90%

• Growth rates 2-4x faster

Larix sibirica, Siberian larch 1 yr old from seed, TG

Betula platyphylla, Asian white Birch 1 yr old from seed, TG

BOROO GOLD

8

The success ratio of the Boroo Gold program using Tree

Global trees and Tree Global planting supervision was

over 90 percent. This is an exceptional survival ratio

for this type of planting, and a far better result than we

had anticipated.

…At the end of last year I asked Tree Global if they could

choose some species that might grow on barren rocky

slopes. If the success was even 5% total survival I

would be surprised. Survival rates of the trees that

were planted in both areas exceed 90%. The trees are

very healthy and are obviously capable of lasting through

this season and into succeeding seasons. I fully expect

that in a few years these previously barren areas will be

covered by desirable tree species that will continue to be

productive for many years after the mine is gone.

Steve McIntosh

Director of Environment

What Boroo Gold had to say about Tree Global Mongolia:

Boroo - Area 4

Boroo - Area 4 (close-up)

MONGOLIA CURRENT

SITUATION

CURRENT SITUATION

10

Mongolia’s natural beauty and state of environment is threatened by

deforestation:

11

NORTHERN FORESTS

10,000

10,500

11,000

11,500

12,000

12,500

13,000

1990 1995* 2000 2005 2010

Mongolia Northern Forest Cover ('000 hectares) Rate of

Deforestation

Between 1990 – 2010, Mongolia has lost an average of 82,000

hectares each year in its northern forests.

Source: of data: Global Forests Resource Assessment 2010, Country Report

Mongolia, United Nations Food & Agriculture Organization

12

SAXAUL FORESTS (GOBI)

Rate of

Deforestation

Between 1990 – 2010, Mongolia has lost an average of

145,000 hectares each year of saxaul forests in the Gobi

region.

-

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

1990 1995* 2000 2005 2010

Mongolia Saxaul Forest Cover ('000 hectares)

Source: of data: Global Forests Resource Assessment 2010, Country Report

Mongolia, United Nations Food & Agriculture Organization

13

COMPARISONS

Country Sweden Germany Mongolia

Forest Cover

(hectares) 27,528,000 ha 10,700,000 ha 10,600,000 ha

Forest Cover

(%) 67% 31% 6.8%

Change in Forest

Cover since 1990

(%)

+3.4% +3.1% -13.1%

Number of

Container

Seedlings Planted

per Year

380,000,000 150,000,000

(estimate) ---

Export Value of

Wood Products $10.1 Billion $10.9 Billion ---

CORPORATE ENGAGEMENT

14

1 Commercial timber plantations

2 Company-sponsored forests

4 Environmental offsets

3 Carbon finance investment opportunities

5 Corporate Social Responsibility (CSR)

CONTACT INFORMATION

15

For more information or questions,

please contact:

Zorig Gongorjav

Country Manager

Tree Global Mongolia LLC

zorig@treeglobal.com

+976 9999 3755