Caribbean Bio-Energy

Caribbean Bio-Energy Business Overview: Honduras Project September 2008 CONFIDENTIAL

Disclaimer This presentation contains certain statements, estimates and forecasts with respect to future performance and events. These statements, estimates and forecasts are "forward-looking statements". In some cases, forward-looking statements can be identified by the use of forward-looking terminology such as "may," "might," "will," "should," "expect," "plan," "intend," "estimate," "anticipate,“ "believe," "predict," "potential" or "continue" or the negatives thereof or variations thereon or similar terminology. All statements other than statements of historical fact included in this presentation are forward-looking statements and are based on various underlying assumptions and expectations and are subject to known and unknown risks, uncertainties and assumptions, and may include projections of our future financial performance based on our growth strategies and anticipated trends in our business. These statements are based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance, or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied in the forward-looking statements. These factors include, but are not limited to, (a) a decline in general economic conditions,(b) losses due to unidentified or unanticipated risks, (c) a lack of liquidity, i.e., ready access to funds for use in our businesses, and (d) competitive pressures. As a result, there can be no assurance that the forward-looking statements included in this presentation will prove to be accurate or correct. In light of these risks, uncertainties and assumptions, the future performance or events described in the forward-looking statements in this presentation might not occur. Accordingly, you should not rely upon forward-looking statements as a prediction of actual results and we do not assume any responsibility for the accuracy or completeness of any of these forward-looking statements. We do not undertake any obligation to, and will not update any forward-looking statements, whether as a result of new information, future events, or otherwise. CONFIDENTIAL

Presentation Outline • Purpose & Overview • Worldwide Ethanol Demand and Production • Location, Site Plan, & Site Photos • Flow Chart • Caribbean Bio-Energy’s Proforma and Cost Structure • DR-Cafta Trade Accord & Tariff Outlook • Honduran Demand & Political Outlook • Investment Structure • Key Risks • Key Highlights CONFIDENTIAL

Purpose & Overview • The purpose of this presentation is to introduce to potential investors the opportunity to be an owner in an ethanol dehydration plant in Honduras. The plant will be built in Puerto Castilla, an existing government port facility on the northeastern coast of Honduras, near the town of Trujillo. • The dehydration process provides for the final manufacturing and removal of the water from hydrous ethanol, converting it to fuel grade ethanol for use in transportation fuel markets. • The location of the dehydration plant in Central America exempts us from paying the $0.54 per gallon US import tariff on fuel-grade ethanol. • An approximate 15 acre plant site has been secured within the port with a 20 year lease. The port facility at Puerto Castilla is fully improved and is the deepest port in the Caribbean with over 16 meters in depth and existing dock design to accommodate ships up to 65,000 tons in dead weight capacity. • PRAJ, a worldwide leader in the ethanol industry, will design and construct the dehydration facility in their industrial complex, located in India. CONFIDENTIAL

Purpose & Overview (continued) • Caribbean Bio-Energy, Inc. (CBE) is a Honduras corporation formed in 2007 in compliance with local law to facilitate the ownership of the facility as proposed in this presentation. • The total turn key cost of the development at $34,800,000 includes the initial feedstock purchase of hydrous ethanol to start-up plant operations. Construction of the plant will be approximately 10 months with the plant at full capacity within one year from start of construction. • The plant design provides for an annual production capacity of up to 110 million gallons of dehydrated ethanol. This capacity is in concert with incorporating the use of 4 million gallon capacity tankers unloading hydrous ethanol and reloading anhydrous ethanol from the plant twice each month for delivery to the U.S. and other potential markets. On site storage capacity is 12.5 million gallons with an expansion area within the site for additional tank storage. • Future improvements to the site include increasing the number of storage tanks to facilitate a larger holding capacity and blending operations for distribution to countries in the Caribbean and Central America as they incorporate mandates for ethanol blending. • Honduras has already passed legislation for blending ethanol with substantial tax incentives to suppliers. • Further expansion could also include production of ethanol from locally grown sugar cane in the surrounding environs. CONFIDENTIAL

Project Overview • Construct and manage a 110 million gallon capacity ethanol dehydration plant in Puerto Castilla, Honduras at 1/4th the cost of a comparable corn based ethanol plant in the U.S. • Import feedstock (hydrous ethanol) from Brazilian strategic partners. • East Coast US distribution partner imports ethanol— avoiding the $0.54/gallon US import tariff through the CBI/CAFTA+DR trade accord. • Caribbean Ethanol competes by being the low-cost producer & strategic provider of fuel grade ethanol (other countries). CONFIDENTIAL

Worldwide Ethanol Demand • Ethanol use in the U.S. is projected at 36 billion gallons by 2022. Current U.S. production is projected at 8 billion gallons. • Ethanol use is increasing dramatically as industrial and emerging nations worldwide struggle with the high cost and availability of refined petroleum products. • Several countries in the world have mandated ethanol blend levels or use targets -- including the U.S. Use of ethanol as a blending agent and -- in some cases -- an independent fuel will rise dramatically. • Several Central American and Caribbean countries have passed ethanol blend mandates and have written or writing enabling legislation -- including Honduras. • Flex-fuel vehicle (FFV) production has increased dramatically in Brazil & the US by all major automotive manufacturers. Gradually these FFVs will displace the existing fleet of gasoline only vehicles. • Infrastructure for distribution and blending facilities are under construction to accommodate consumer demand and convenience. • Increasing production of ethanol in Brazil provides for a larger surplus in Brazil for export to other countries. CONFIDENTIAL

Worldwide Ethanol Production CONFIDENTIAL

Worldwide Ethanol Demand CONFIDENTIAL

US Ethanol Demand • Passage of 2007 EISA will push ethanol demand to 36 billion gallons by 2022. CONFIDENTIAL

Brazilian Supply & Demand CONFIDENTIAL

Brazilian Ethanol Production CONFIDENTIAL

Brazilian Sugarcane & Ethanol Production CONFIDENTIAL

Puerto Castillas, Honduras CONFIDENTIAL

Site Location in Port CONFIDENTIAL

PICTURES OF THE SITE Area inside secured port facility where ethanol dehydration facility will be located. Area inside secured port facility where ethanol dehydration facility will be located. CONFIDENTIAL

PICTURES OF THE SITE Container storage on paved dock facility. Entire dock area has a security fence with a guard at the main gate. CONFIDENTIAL

PICTURES OF THE SITE Part of existing tank farm at the port. CONFIDENTIAL

PICTURES OF THE SITE View to dock facilities from outside secured area; ship at port. CONFIDENTIAL

PICTURES OF THE SITE Extensive docking space; container ship docked. Dock capacity 65,000 tons dead weight. Extensive docking space; container ship docked. Dock capacity 65,000 tons dead weight. Extensive docking space at port; container ship docked. CONFIDENTIAL

Flow Chart: Brazil-Honduras-US Transportation $0.16/gallon Brazil Hydrous Ethanol $1.20/gallon US Refinery $1.90/gallon Transportation $0.09/gallon Honduras Processing $0.19/gallon CONFIDENTIAL

Transportation Route CONFIDENTIAL

CBE Revenue & Profit Forecast CONFIDENTIAL

Notes to Revenue & Profit Forecast Income Note: Ethanol is a commodity and the price per gallon fluctuates in both the acquisition price of hydrous ethanol from Brazil & the wholesale sales price of ethanol based on actual or perceived supply & demand in U.S. & European markets. The costs of production are relatively consistent and shipping costs vary slightly. The two major variables are feedstock pricing and market value. As a result of the above ethanol would only be processed when the spreads are advantageous and advance sales contracts provide a profit incentive for dehydration. This could result in periods of idle production at the plant. Notes to 5 Year Projection 1. This is dehydrated anhydrous ethanol Gulf Coast U.S. 2. This cost is for the hydrous or wet ethanol @ 105% of anhydrous amounts to account for 5% water content from Brazil. 3. Production costs per Praj estimate using current costs & quantities of fuel oil, utilities, water, labor, etc. this location @ $0.19 per gallon. 4. Estimated annual expense and excutive compensaton. 5. Interest calculated at 8% on debt of $22,200,000 through construction and initial re-payment period. 6. Estimated principle payments for retirement of construction debt financing. 7. Preferred return paid to investors on investment equity prior to re-payment of original investment capital @ 7%. 8. Re-payment of equity investment capital principle amount in years one and two. Development fee paid year three. 9. Retained earnings is 10% of annual net income per year. (see note below) 10. Earnings distribution. Available for distribution to owners on a percentage ownership basis. 11. Shipping costs @ $0.25 per gallon. General Notes: - Retained earnings held for working capital and reserves. - Plant capacity is 110,000,000 gallons per year. Storage capacity 12,500,000 gallons. - Ethanol revenues projected @ $1.90 per gallon. - Hydrous ethanol from Brazil at a cost of $1.20 per gallon. - Construction period is 10 months construction, 2 months production. - Debt repayment period is over first 3 years of operation. Income Note: The prices, as used in this proforma, reflect general market pricing in June 2009. CONFIDENTIAL

CBE Cost Structure CONFIDENTIAL

CBE Production Costs CONFIDENTIAL

Market Opportunity Through the CBI CONFIDENTIAL

Ethanol Exports to US under CBI/CAFTA CONFIDENTIAL

Honduran Demand & Political Outlook • Honduras has a coveted location, being on the Atlantic side of the Isthmus and having deep water ports with direct shipping routes to U.S. markets on the Gulf Coast and East Coast. • Puerto Castilla area has 200,000 acres or more of land available for local feedstock production. [Need 42,000 acres to support a typical sugar-cane based sugar/ethanol plant.] • New Honduran ethanol legislation encourages the production of local feedstock and substantial monetary incentives for use of ethanol in local market. CONFIDENTIAL

Focus on Honduras: Domestic Sales • Congress recently passed the President’s biofuels law for ethanol blending at 10%. • Government is now writing enabling legislation to to implement biofuels law. • Local blender receives substantial tax benefits on ethanol under new biofuels law. • E-10 mandate to be met by locally produced ethanol -- via dehydration facilities or a local ethanol plant. CONFIDENTIAL

Honduran Demand & Political Outlook Honduran ethanol demand will be roughly 10 million gallons a year when the country goes to E-10, which is expected in the near future. CAFTA+DR FUEL DEMAND Regional demand, if Central America goes FFV, could surpass 1.3 billion gallons on an energy equivalent basis. Costa Rica 19% Rep. Dom 29% El Salvador 14% Nicaragua 5% Honduras Guatemala 8% 25% CONFIDENTIAL

Investment Structure Debt and Equity Ownership Development Cost: $33,450,000 100% Developer 40% Development Loan $21,700,000 64% Investor(s) 60% Investment Equity: $11,750,000 36% CONFIDENTIAL

Caribbean Bio-Energy Management Team Dan E. Christensen: President of Caribbean Bio-Energy, a Honduras corporation. Co-founder and former C.O.O and C.F.O, and board member for Green Plains Renewable Energy (GPRE) and construction manager for two 50 million gallon GPRE ethanol plants. Moises Starkman: Honduran citizen. Former Honduran ambassador to Israel and Greece. A former Government minister and currently adviser to the President of Honduras. Authored the biofuels legislation in Honduras. Works closely with the private and public sector for Caribbean Bio-Energy Project. Other Local Owner: Commitment from local Honduran sugar cane mill owner to invest in 5% to 10% ownership of Caribbean Bio-Energy. Contractor & Process Provider: Preliminary plant design and construction contract proposals in place from Praj Industries and Menalco Construction for project construction. CONFIDENTIAL

Key Risks • Removal (or significant reduction) of US ethanol import tariff -- UNLIKELY, SEE ANNEX SLIDE • Elimination of ethanol tariff reduction in CAFTA+DR -- UNLIKEY. • Brazilian feedstock prices rise or not available -- UNLIKELY, UNLESS THERE IS DROUGHT. • Brazilian currency appreciates, thereby reducing profit margins -- CURRENCY HAS DEPRECIATED FROM 1.60 to 2.30/US$! • US ethanol prices fall below $1.80/gal. -- UNLIKELY, US CORN ETHANOL PRODUCERS WILL BE AT BREAK EVEN. • Local environment becomes politicized, raising costs -- UNLIKELY DUE TO LOCAL PARTNERS & BACKING WITH LEAST TERMS AND TAX INCENTIVES IN PLACE. CONFIDENTIAL

Key Highlights • Deepest port in the Caribbean, which is accommodates large ships. • Strategic location in Central America with direct shipping routes to U.S., Brazil, and Europe. • Large area for storage tank construction for future blending or increased storage capacity. Expansion area to increase size of operations or incorporate local production. • Fully automated plant design and construction by PRAJ Industries provides for less labor and smooth operations. • Low cost at $0.32 a gallon in construction cost for 110 million gallon capacity plant. • Plant site has free trade zone status and no Honduran income taxes for first 10 years of operation. Government costs of operation regulated to lowest charges available as part of lease negotiation. • New 150 MW electric power plant to be built in same port location for unlimited electric power availability. CONFIDENTIAL

Competitive Advantages • Local connections: excellent relations with the Honduran government and port authority. Local partner is a sugarcane grower and mill owner. • Low feedstock cost: using Brazilian sugarcane avoids food versus fuel controversy, keeps pricing low for feedstock given land availability. • Lower operating costs: long-term deferment and/or elimination of local Honduras taxes with free trade zone status. • High oil/gasoline prices: coupled with U.S. corn feedstock costs, sky-high oil prices give competitive advantage to cane-based ethanol prices. • Experience: management team has several years of biofuels & automotive technology experience in the US and Latin American markets. • Easy access to markets: Southeastern and eastern United States represent a large ethanol market with easily access by tanker transportation. • Strategic location: for worldwide access to European and U.S. markets and feedstock supply from Brazil and Caribbean. CONFIDENTIAL

ANNEX 1: US Politics & Ethanol US politics - both state and federal - will continue to support the ethanol industry as the swing states have been in the corn belt. [$0.54/gallon tariff has been extended to at least 31 December 2010.] CONFIDENTIAL

Caribbean Bio-Energy