ZERE$Energy$and$Biofuels,$Inc.7

Novel$Flex$Fuel$Oxidation$for$Distributed$Generation7

77

ICEPAG$$2015$Conference7March$24,$2015$7

7Presented$by$Marisa$Zuzga7

ZERE$Mission*

! The$transformation$of$agricultural$based$commodities$into$economically$viable$and$environmentally$friendly$energy$products$through$the$application$of$ZERE$AIO$technology.7

The$ZERE$Solution*! Patented$air$independent$internal$oxidation7

Closed$system$$ZERO$emissions7 Low$$temperatures$prevent$thermal$NOx7 Sole$exhaust$is$oxygen$depleted$air7 CO2$capture7

! Product$options$7 Combined$heat$and$power7 Biofuel7 Syngas$production:$H2,$CO,$CO27

Commercialization$Timeline*

! 20152016:$Prototype$Fabrication$&$Testing7! 2016W2017:$Design,$Fabrication,$and$Operation$of$Demonstration$Project7

! 2017:$$Commercial$Scale$Up7

California$Energy$Commission$*! ZERE$research$is$currently$funded$by$a$Public$Interest$

Energy$Research$(PIER)$grant$through$the$CEC$Natural$Gas$Research,$Development$and$Demonstration$Program$(NG$RD&D)7

! The$purpose$of$NG$RD&D$is$to$benet$the$ratepayers$of$natural$gas$investor$owned$utilities.$$7

! NG$RD&D$funds$clean$energy$projects$that$promote$greater$natural$gas$reliability,$lower$costs,$and$increased$safety.7

! Funded$projects$must$lead$to$technological$advancement$and$breakthroughs$to$overcome$the$barriers$that$prevent$the$achievement$of$the$states$statutory$goals.7

! Annual$NG$RD&D$program$funds$total$$24M7

CEC$Project$Goals*! The$goal$of$this$project$is$to$produce$fuel$exible$combined$heat$

and$power$through$the$design,$construction,$operation,$and$testing$of$a$ZERE$Air$Independent$Internal$Oxidation$CHP$system$at$the$laboratory$and$prototype$scale.$$7

! The$ZERE$prototype$will$demonstrate$production$of$electric$power$and$heat$in$a$ZERE$system$fueled$with$untreated$biogases$(i.e.$dairy$digester,$waste$water$treatment),$natural$gas,$and$mixtures$thereof$while$exceeding$CARB$2007$emissions$standards.7

Major$Project$Milestones*

! Build$and$test$lab$scale$equipment7! Design$100kW$thermal$input$prototype7! Build$and$test$prototype7! Design$next$generation$ZERE$system7

ZERE$Technology*! Patented$air$independent$internal$oxidation7

ZEREs$proprietary$implementation$of$chemical$looping.7

Fuel$is$oxidized$internally$using$a$solid$stage$oxygen$carrier.$$The$spent$oxygen$carrier$is$regenerated$by$reacting$it$with$the$oxygen$in$air.$The$fuel$energy$is$converted$to$electric$power$and$heat$by$steam$and/or$gas$turbine$power$cycles.$7

! Prototype$Design7 Bubbling$uidized$beds7 Beds$switch$between$being$air$reactor$or$fuel$reactor7

Biomass'Waste'

Ash'Salts'Out' Copper'

Hot'Air'

Fuel'Reactor'Oxidize'Fuel'

Air'Reactor'Oxidize'Copper'

Copper'Oxide'

Air'

Mode'1''Steam'+'CO2'Mode'2''Syngas'

Heat''

Biofuel'''

Electricity''

ZERE$Second$Generation$Technology*

Project$Status*! Project$Milestones7

Preliminary$Testing$with$lab$scale$equipment$completed7! More$lab$scale$testing$will$be$done$to$determine$nal$design$parameters7

CFD$Analysis7! Preliminary$work$completed$and$moving$on$to$more$detailed$modeling$of$

design$elements.7 Thermodynamic$Analysis7

! Performed$analysis$of$multiple$design$options7! Working$on$rened$model$taking$into$account$recent$data$on$oxygen$carriers7

! Prototype$design7 2$bubbling$uidized$beds$switching$between$being$air$reactor$or$fuel$

reactor7 Bed$design$~$3m$tall$with$internal$baing$and$heat$exchange$7

Current$Experimental$Work*! Lab$scale$

equipment$7 Phase$I$of$CEC$grant$work7

Particle$characterization7

Lab$Scale$Experiments*Cold Flow vs. dP

0.000

0.100

0.200

0.300

0.400

0.500

0.600

0.700

0.000 2.000 4.000 6.000 8.000 10.000 12.000 14.000 16.000 18.000 20.000

Flow (lpm)

dP (V

)

! Particle$ow$characteristics7 Determine$minimum$uidization7

Lab$Scale$Experiments*

! High$temperature$7 Minimum$uidization7

Oxidation$performance7

Regeneration$performance7

Fuel, Air and Bed Temp

600

620

640

660

680

700

720

740

2500 3000 3500 4000 4500 5000 5500 6000 6500 7000

Time (sec)

Bed

Tem

p (d

eg. C

)

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

2

Bed Temp (deg.C)Air Flow (lpm)CH4 Flow (lpm)

System$Design*

! Two$reactor$design7 Internal$baes7 Internal$cyclone7 Distributor$plate7 Steam$piping7

! Bae7 Prevents$bubble$formation7 3/8$(.94$cm)$plate7 .8$(2.0$cm)$holes7

! Distirbutor7 Tuyere$system7

! Distributes$gas$ow7! Flexible$design7! Good$uidization7

The$U.S.$Market*! Introductory$market$$systems$with$anearobic$digester$gas.7

ZERE*

CUSTOMER

Multi-year PPA Monthly energy payments

LENDERS

INVESTORS

Stock Purchase Equity / Dividend

Debt Funds

Interest / Equipment Recourse Owner/Operator of

Modular Power Unit Supplier of Prime Power (kW/h) + Heat

ZERE Competitive AdvantageEmissions,*Waste$produced*

Other$*Details*

Capital$Cost*

Other$*Revenue*

Products*

ZERE* No7 Low$footprint,$Size$of$twoWcar$garage,$onWsite$anywhere$with$95%$availabity7

$0.07W$0.09/kWh777

CO2$$sold,7Minerals$sold7Uses$waste:$avoid$dump$fees,7Biofuel7

Power7Heat7Syngas$to7Biofuels7

Distributed$$Solar$*/$Wind*

No7 Huge$footprint,725$W$40%$available7

$0.10$W$$0.30/kWh7

Government7Incentives7

Power7

Gasier* Low7 MediumWsized7Industrial$site$7

$0.07$7$0.09/kWh7

Syngas7

Boilers,*Incinerators*

Yes$W$emissions7

MediumWsized7Industrial$site$7

$0.07$7$0.09/kWh7

Power7Heat7

Competitive$Analysis*

Team*! CEO:$$Andre$Raiche*

Senior$executive$with$over$30$years$experience$in$public$and$private$companies$developing$software$and$nancial$innovation7

7

! Chief$Engineer:$$Marisa$Zuzga* 20$years$engineering$and$project$management$experience$in$the$aerospace$

and$clean$tech$industries.77

! Development$Team7 Prof.$Charles$Coronella$$University$of$Nevada,$Reno7 Prof.$Mingheng$Li$$Cal$Poly$Pomona7 Evan$Hughes,$PhD$$Consultant$(formerly$at$EPRI)7

$Business$Milestones*

! 2008$$Received$California$Energy$Commission,$Energy$Innovation$Small$Grant$7

! 2009$$Cleantech$Open$RunnerWUp$Renewable$Energy7! 2010$$Selected$for$NREL$commercialization$assistance7! 2011$$NREL$NCAP$contract$for$cellulosic$biorenery$

modeling$of$ZERE$process7! 2011$$Received$grant$from$Copper$Alliance7! 2012$$Received$California$Energy$Commission$Public$

Interest$Energy$Research$Grant7