Development of Improved Chemicals and Plastics from Oilseeds, Award DE-FC36-01ID14213 DOE Products Platform Stage G

1. Development of Improved Chemicals and Plastics from Oilseeds,Award # DE-FC36-01ID14213 DOE � Products Platform Stage Gate Review Meeting August <9, 10>, 2005 Zenon Lysenko (PI) Pat Nugent (Project Director) Paul Roessler (PI) The Dow Chemical Company

3. Develop new, commercially viable chemical processes and enabling catalyst technologies to convert seed oils to novel materials and polymers End result will be the identification and commercialization of new plastics and performance chemicals from oleochemical-based renewable resources The American farming community, the chemical industry, the consumer and the environment will all benefit Substantial energy savings and reduced greenhouse gas emissions over incumbent technologies Strategic development of a broadly enabling catalyst technology suitable for the transformation of BOTH oil and hemicellulose* feedstocks to economically advantaged products * This work will be extended hemicellulose utilization consistent with Biorefinery metrics in 2006 pending DOE award # DE-FG36-05GO15157 Overall Project Goals & Objectives

4. Development of genetic tools to alter the lipid profiles and add new chemical functionality Enhanced understanding of lipid biochemistry and molecular biology, harvesting and agronomics Acceptance of renewable feedstocks in the petroleum-based chemical industry Development of competitive products with enhanced performance Improved Catalyst performance (Discovery and development of high-performance catalysts) New process development Market definition Organization/Approach

5. Task 1:Plant Science: USDA-ARS WRRC and Dow Development of genetic tools to alter the lipid profile of castor seeds and add new chemical functionality to the oil Enhanced understanding of castor lipid biochemistry and molecular biology Patent applications and manuscripts have been submitted Task2: Production: Castor Agronomics and Crop Processing � Castor Oil Inc Improve agronomic properties such as reduced ricin, uniform plant size and reduced need for water Improve oil extraction and harvesting technology Organization/Approach

6. Organization/Approach Molecular Modeling � Understand elementary steps and related equilibrium, the predicted modes of catalyst deactivation, the factors effecting competing reactions, and identify catalyst targets. Kinetic Model Development - Understand elementary steps and related equilibrium, competing reactions, and degree of catalyst deactivation using an experimentally driven modeling approach based on fitting of lab batch reactor data. New Catalyst Synthesis and Screening - Improve activity/stability of potential candidates using traditional and high throughput approaches. Process Chemistry Studies - Develop correlation between process changes with catalyst lifetime, recovery and recycle. Patents filed, numerous internal reports written and a manuscript accepted to Journal of Organometallics

7. Organization/Approach Life Cycle Analysis Identified target product for the life cycle analysis (LCA) polyols for use in polymer foams. The LCA compare the product made from either fossil or renewable feedstocks. Preliminary energy analysis shows a potential 10 fold reduction in energy needed per pound of material produced Strong market focus to insure technology has a foundation in the marketplace External market exploration study done to determine potential new uses

8. Task � Objective Detail Milestones Task 1 Plant Science: (USDA, Dow). castor metabolic pathways, gene sequencing, expression studies, transformation and metabolic engineering Program funding was redirected toward tasks 3&4 early in 2005. Milestone delivery was on track until that time Task 2 Production: (Castor Oil Inc.) castor agronomics� crop testing, breeding, harvesting, seed crushing technologies Milestones all completed on schedule Task 3 Processing: (Dow) catalyst discovery, development, reaction engineering, kinetics, process development, product performance evaluation, scaleup Milestones on track for completion � 1st Q �06 Task 4 Utilization: (Dow) lifecycle analyses, market definition, customer validation and economic evaluation Milestones all completed on schedule

9. Go / no GO decisions Go/No Go Decisions were based on hallmarks in the areas: Environmental impact, greenhouse gas emissions, Energy savings and reduction in production costs Material performance Process economics and product market acceptance Project is nearing completion nearly all decision points were navigated and work continued on task Catalyst issues dictated alternative approaches Castor lipid biochemistry was de-emphasized in 2004 and resources were redirected toward the completion of task 3.

10. Potential Customers Dow and other chemical and plastics manufacturers Costs of production are linked to commodity pricing and vary by application Current or future market shifts on commodity products are tied to hydrocarbon feedstocks Seed oil based products tied to commodity seed oils are considered advantageous Favorable raw material positions Market & Customers

11. Market & Customers

12. Disconnection from petrochemical availability and price volatility Products will be direct replacement and have comparable or better properties at competitive cost Time frame is 3 to 5 years Lifecycle analysis determined a significant reduction in energy of production and green house gas emissions Fully synergistic with biodeisel production, producing value�added materials directly from biodeisel. Economic analyses towards commercial targets show we are 60% of the way there Competitive Advantage

13. Milestone Fit

14. What Stage is the project in? Stage Gate Fit

15. Technical Barriers Addressed:Chemicals and Materials

16. Affords Dow alternative feedstock that fit its strategic objectives Project integrates well into an Oleochemical Biorefinery and Project milestones are consistent with Biorefinery milestones 3.1 and 3.3 of the Vegetable oil biorefinery map (Milestone 3.2 is being pursued outside the scope of this grant) Project is in stage gates 2 and 3, Detailed Investigation and Development Technical barriers addressed were in tier 2 and tier 3: Product yield, catalyst development and separations. Strategic Fit and Summary

17. Personnel USDA Tom Mckeon Castor Oil Inc. Rick Graves, Lee Browning Dow Ken Burdett Rich Helling Zenon Lysenko (PI) Peter Margl Pat Nugent (Project Manager) Tezi Mokhtar-Zadeh Jason Patton Paul Roessler (PI) Francis Timmers Keith Watson