User:NadirMinhas/Abundant Biofuels Corporation

Abundant Biofuels Corporation is a vertically-integrated, sustainable, and renewable energy company. Its mission is to produce and market biofuels (initially biodiesel), together with other end--products derived from non-food vegetable oils.

Abundant Biofuels will become the dominant producer of biodiesel from non-food vegetable oils in underdeveloped countries throughout the world that must import the majority of their diesel oil.

Abundant Biofuels enjoys several competitive advantages:

The Company operates in several countries, each of which requires that petrol-diesel companies to blend 3 – 5% biodiesel as an additive, thereby making these buyers less price-sensitive. Abundant Biofuels controls its feedstock --- thereby controlling its costs Joint venturing with and providing technical advice to experienced farmers / farming organizations Plantation management where appropriate Feedstock production does not divert agricultural production or cause deforestation Ability to work closely with government, NGOs, large landowners, and tribal structures ABC Philippines’ operations includes five distinct business models Development and operational know-how and trade secrets derived from academic and practical experience The Company is building energy projects in the Philippines, Peru, India, and the Dominican Republic.

Assuming funding, Abundant Biofuels Corporation

will be able to produce 550 million gallons (about 13 million bbls) by 2013 in the Philippines, alone.

Similar production will be possible in Peru and the

Dominican Republic.

.

BioJet Corporation and Abundant Biofuels recently executed a 10-year supply contract for 5 million bbls. beginning in 2013. Abundant is a founding member of the World BioJet Alliance

Market Opportunity

Most of Abundant Biofuels’ competitors either focus solely on refining or, alternatively only on production of feedstock. Abundant Biofuels is believed to be the one of the only (if not the only) biodiesel refining company that controls all of its feedstock. This provides Abundant Biofuels with the ability to control its internal allocation of resources for a significant cost control advantage. Other companies are subject to severe fluctuations in cost and availability of feedstock.

Most of Abundant Biofuels’ sales will be in the host-country where a larger percentage of vehicles are powered by diesel engines than here in the United States - and oil companies are mandated to blend biodiesel into petrol--diesel. The governments in each of the countries in which Abundant Biofuels operates have mandated blending of 3 – 5% biodiesel into each gallon of petrol-diesel sold. Biodiesel is a mandated additive in these countries. None of Abundant Biofuels’ host-countries is expected to be able to produce enough biodiesel from non-food feedstocks to satisfy domestic demand within the next 5 – 10 year. As a result, biodiesel in the host-countries sell at the same price as or, in some instances, at a premium over petrol-diesel.

Case Study: Philippines

342,000 barrels1 of oil/day consumption $7 billion of oil and petroleum products - 25% diesel 1% biodiesel government mandate in 2008 = 476,000 barrels2 2% biodiesel government mandate in 2009 = 1.2 million barrels3 (5% thereafter) Current diesel pricing of biodiesel = petrol-diesel The Philippines has limited oil and natural gas resources.4  Consumption is more than 342,000 bbls/day5 --- about $7 billion worth of oil and petroleum products (25 percent of which is diesel). Locally--refined biodiesel can translate to a savings for the host--country government (import substitution) of $1.75 billion. The magnitude of this import substitution enhances the Company’s ability to work closely with government, large landowners, and tribal structures

U.S. / European Refinery Problems. As of April 2009, there were about 150 biodiesel U.S. refineries, and 47 refineries (31%) are idle, largely because of feedstock supply problems. With industry capacity of 2.2 billion gallons, production was only 450 million gallons in 2007 (barely 20% of capacity).

While Abundant’s primary focus is refining and sale of biodiesel in country, it can use some of its oil to provide the U.S. biodiesel market with non-food feedstock.

Byproducts. It is positioned to produce substantial revenues from commercialization of byproducts (the chart has been deliberately blurred because some of the byproducts are proprietary to Abundant Biofuels). Abundant’s team has identified more than 50 by-products from Jatropha. The aggregate revenue streams will generate more than 2 times the revenue from refining biodiesel alone.

Feedstock

Abundant Biofuels refines non-food feedstocks into biodiesel. Abundant is working with several such feedstocks (e.g., jatropha curcas, camelina, castor, pongamia, and algae).

As a vertically-integrated biofuels company, Abundant Biofuels controls its feedstock --- thereby controlling its costs by joint venturing with and providing technical advice to experienced farmers / farming organizations and plantation management where appropriate.

Abundant Biofuels’ feedstock production does not divert agricultural production or cause deforestation

Many persons believe that commercialization of algae will take 5 – 10 years. When cost-effective commercialization is achieved, algae will produce more than 10,000 gallons of biodiesel per hectare. Abundant Biofuels believes that algae promises to be the way forward in developed countries such as the U.S., Europe, and Japan.

Abundant Biofuels views algae as an opportunity --- not a threat. The Company has allied itself with engineering resources that have experience producing oil from algae. When commercialization is timely, Abundant Biofuels will be competitive in the U.S., Europe, and Japan.

Financial Projections

As noted, Abundant’s success is based upon control of its feedstock. The financial projections are for one plantation of 10,000 ha (25,000 acres) of non-food feedstock. By the fifth year, Abundant Biofuels will produce 10.5 million gallons of neat oil or biodiesel annually.

The following financial projections include revenue from biodiesel at $1.90 per gallon (prices are likely to rise as crude oil prices increase). It does not include byproducts expected to be more than twice as profitable as the oil, itself.

FY:	1	2	3	4	5 Revenues	$5,036,953	$13,687,367	$14,964,856	$17,337,329	$18,837,329 Net Profit (Loss)	($4,667,923)	$2,298,958	$3,511,707	$5,694,469	$7,353,480 In the Philippines, alone, Abundant Biofuels can develop more than 100 similar feedstock plantations.

Management Team

Dr. Charles Fishel (CEO & President) - Founding CEO and Director of Gold Star Biodiesel with a 40-year career in senior management, finance and legal roles in domestic and international entrepreneurship as well as multinational industrial ventures.

James Love (President) - Founding Vice President of Gold Star Financial LLC with more than 30 years of managing companies through all phases of development including concept, development, commercial growth, and maturity (United States and internationally). He was vice president of the U.S. Company that pioneered and developed jojoba.

Dr. Rene Lacsina (Vice President – Global Farming Operations; President – Abundant Biofuels Philippines Inc.) is a results-oriented international agricultural development specialist with demonstrated expertise in sustainable agriculture in tropical, subtropical, temperate, and arid land production systems. He is a Certified Professional Agronomist (CPAg), and a member of the American Registry of Certified Professionals in Agronomy, Crops and Soils.

Don Harcum, CPA (CFO and Controller) - More than 30 years of farming and financial management experience, a degree in agronomy, and experience in forensic accounting.

Kevin C. Smith (Vice President Latin America) has more than 30 years of experience in the energy and environmental sector involving project development and financing. Since 1992, he has worked in Latin America for several companies and public agencies where he managed development of cogeneration and renewable projects in Mexico, Colombia, Brazil, and Peru. Primary efforts have been in the areas of natural gas and biomass cogeneration, methane recovery from landfills, ethanol and bio-diesel fuels and wind energy projects.

Hans Edsinger (Vice President Europe) has been interested in the production of biodiesel from Jatropha with special focus on Africa for production and European markets for off-take of neat oil or biodiesel. His business ventures provided him with experience in international trading and finance, production in emerging economies, global supply chain solutions and international brand building.

Gary L. Toms – (VP – Post Harvest Production; Chief Administrative Officer) - Mr. Toms has over 30 years of experience in treasury, risk and insurance management. He established the Risk Management Departments at the “Fortune 500” companies such as Intel Corporation, Amdahl Corporation, and Anthem Insurance Companies, Inc. Under his guidance, these departments grew to be contributing business partners to the overall success and profitability of these organizations. Previously Mr. Toms was at Aerojet General in rocket propellants R&D, where he improved the properties and blending methods of experimental propellants for the company’s future products. --NadirMinhas (talk) 08:07, 17 December 2009 (UTC)