Blue Flint Ethanol

1
Blue Flint Ethanol

• Project Overview and Update
• Jeff Zueger General Manager
• Blue Flint Ethanol

2
Blue Flint Ethanol

• Partnership
• Headwaters Incorporated
• Great River Energy

3
Blue Flint Ethanol

• Located adjacent to Great River Energy, Coal
  Creek Station Underwood, ND
• 50 MGY Ethanol Production Facility
• Headwaters Inc. Operator / Manager
• 85M project
• Construction underway
• Operational 1st Quarter 2007

4
Project Overview

• Annual Utilization
• 18 million bushels of 2 yellow corn
• Energy Steam and electricity
• Chemicals
• Annual Production
• 50 million gallons Ethanol - (permit 65MGY)
• 160,000 tons dry, or 420,000 tons wet distillers
  grains

5
Interconnection between plants

• GRE provides services to Blue Flint Ethanol
• Steam for process and drying distiller grains
  Direct utilization of steam
• Process water
• Potable water
• Fire Protection water

6
Site Overview
7
Advantages Disadvantages of Co-locating

• Advantages
• No boiler and support infrastructure required for
  BFE Energy Costs
• No well, water treatment, or tanks
• Resources readily available
• Disadvantages
• Physical site layout restrictions
• Integration of services work within existing
• Environmental
• Effects on both parties business

8
Project Construction
9
Operational Items

• Service providers
• Ethanol Marketing Eco Energy
• Distillers Grains Marketing Commodity
  Specialties
• Corn Procurement Falkirk Merchandising Group
• BFE - 37 Employees
• Current Staff - 5

10
Summary

• Diversity in Energy Production
• Innovation in Ethanol production
• Annual Economic impact of 160 million
• Co-siting provides opportunities for plant to be
  a low cost Ethanol producer