Adding Cellulosic Ethanol (ACE) Quad County Corn Processors IRFA Summit January 28, 2014

What is Adding Cellulosic Ethanol (ACE)?  ACE gets more out of the kernel of corn you purchase/process  ACE bolts on to existing Dry Grind ethanol plants  ACE adds significant income to corn processing  Quad County Corn Processors will complete its full scale facility in April, 2014  Existing Dry Grind plants can provide significant cellulosic fuel for the RFS  Plans are being finalized to commercialize the patented process

ACE Process Schematic Beer Stripper Rectifier Side Stripper 2 nd Whole Stillage Centrifuge Thin Stillage Evapor- ators Syrup Wetcake Evap Condensate to Slurry Thin Stillage to Slurry Side Stripper Bottoms to Slurry Drying Dry Storage Whole Stillage PreTreatment Whole Stillage Fermentation Whole Stillage Distillation Beer from Beerwell Thin Stillage to Slurry 190 Proof to Mole Sieves

Process yield changes/bu. of corn  Additional 0.16(6%) gal of cellulosic ethanol  Additional 1.1#(220%) of corn oil  Decreased feed pounds by 15%

Bolt on ACE technology  Facility continues to operate throughout construction  Tie-ins to utilities take place during your planned shut-down

Corn Kernel Fiber industry implications  Cellulose, Hemicellulose, Lignin  Capable of generating 2 Billion gallons of cellulosic ethanol  EPA proposed rule clarification classifies as Ag Residue under RFS rules  When EPA proposed rule is final, ethanol will qualify for D3 RIN

ACE implementation  Quad County Corn Processors facility completion – April 2014  Quad County Corn Processors start-up – May 2014  Anticipate maximizing starch in fermentation after start-up  Higher alcohol levels will reduce energy  Additional capacity in base plant  Commercialization strategy is in final stages  Anticipate facility tours to be available summer/fall 2014

Quad County Corn Processors  Delayne Johnson  CEO  th St  Galva, Iowa  Ext 102 