Opportunities for CDM project financing

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• Opportunities for CDM project financing
• 20 August 2009

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THE FARMSECURE GROUP

• The Farmsecure Group of companies is a group of
• businesses involved in structured finance in
  primary
• agriculture, as well as hedging, trading,
  logistics and
• technological services related to the agriculture
  value
• chain.
• Geographically we operate in a number of
  sub-Saharan
• African countries

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THE FARMSECURE GROUP

• Our Vision is to facilitate profitable and
  sustainable, non-subsidized farming operations
  and agricultural value chains
• Our Core Strength and competencies
• The provision of timely and suitable working
  capital
• The provision of agronomical and agricultural
  services that manage risk, improve productivity
  output and reduce cost
• Innovative insurance that reduces risk
• The sale of grain at the best possible price

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THE FARMSECURE GROUP
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Agriculture
Structured Finance
Logistics / supply chain
Engineering / technology
Engineering/ technology
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FARMSECURE TECHNOLOGIES

• Fertilizer
• Farm Inputs
• Kompleet Organics
• Pro Gas Solutions
• Water desalination
• Carbon / Bio-energy

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CARBON / BIO-ENERGY

• The two trends driving the Carbon / bio-energy /
  green technology sector are
• A global realisation that human activities are
  having a profound effect on the earths climate,
  which may lead to unintended and possibly
  dramatic changes.
• Even if this were NOT the case, the world is
  running out of fossil fuels.

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CARBON / BIO-ENERGY

• People and organisations therefore get involved
  in emission reduction, green energy projects,
  etc. for three different reasons
• They are forced to do so by law.
• For instance, Annex 1 countries have carbon
  emission reduction targets and
• have to meet these targets or buy so-called
  carbon credits
• They are incentivised to do so
• In many countries today there are investment and
  tax incentives to develop and implement green
  technology or generate energy from renewable
  sources
• They do so from a moral obligation / image /
  branding point of view
• For instance, the UK government buys carbon
  offsets to offset the contribution caused by the
  air travel of its officials. Fruit and wine
  producers, particularly those exporting to
  European markets, are more and more interested to
  understand and improve their carbon footprints
  in order to differentiate themselves.

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Energy Conservation Scheme (ECS)

• Planned launch in 2010
• 10 Reduction in consumption
• Renewable energy feed-in tariffs

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FARMSECURE CARBON

• The vision of Farmsecure Carbon is to identify,
  design, finance, implement and operate
  economically viable projects under the Clean
  Development Mechanism (CDM) and in the areas of
  bio-energy and carbon footprint reduction.
• The provision of carbon-related services such as
  the compilation of carbon footprints, carbon
  reduction strategies and feasibility studies form
  part of this.

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BIOMASS / BIO-ENERGY

• The International Energy Agency (IEA) defines
  biomass as material of recent biological origin
  that can be used either as a source of energy of
  for its chemical components. As such it included
  trees, crops, algae and other plants, as well as
  agricultural and forest residue. It also includes
  many material considered as wastes by our society
  including effluents, sludges, manure,
  industrial(organic) by-products and the organic
  portion of household wastes.
• Bio-energy is energy from renewable sources and
  relates to biomass energy systems that produces
  heat, electricity and biofuels.

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BIOMASS / BIO-ENERGY
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BIOMASS / BIO-ENERGY

• Examples of projects
• Bio-gas Manure digestion
• Bio-gas Landfill sites
• Bio-coal Fuel switch
• Bio-char Pyrolysis / gasification
• No-till farming

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MANURE DIGESTION
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FARMSECURE CARBON

• Develop projects ourselves or in partnership
• with our clients
• Our services include
• Financial services (From feasibility to funding)
• Technical expertise (EPC)
• Regulatory services (EIAs, permits, wheeling,
  etc.)
• Guiding projects through UN regulatory process
  for CDM projects
• Project management (From PIN to issuing of CERs)
• Advisory services on trading of carbon credits

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• QUESTIONS ?