Food Waste to Energy Utilizing Anaerobic Digestion

Long Island Compost Overview 30-years as leader in the management of organic materials on Long Island Currently operate two of the nation’s largest yard-waste transfer stations in Westbury, NY and a 62-acre facility in Yaphank, NY (150 employees) Hundreds of thousands of tons of organic material processed per year sustainably (wind-row technology) into a range of mulches, nutrient-rich compost and engineered soil products.

Long Island Compost Impact Currently manage leaves, tree debris, grass clippings and other organic-materials being generated by Long Islanders. These organic materials are recycled for use in your local garden and also used in large scale landscape restorations projects.

Long Island Compost Impact 9/11 Memorial

Anaerobic Digester Project Formed American Organic Energy, LLC (“AOE”) to apply prior experience to a new organic material – food waste First project will be located at LI Compost’s 62 acre site in Yaphank, NY utilizing anaerobic digestion technology proven for decades in Europe and elsewhere Sources of waste to include Long Island based restaurants, institutions, and grocery chains Expect to begin construction in early 2015 and place the project in service first quarter 2016

AD Project Impact Enables waste stream that is currently transported to landfills 300-600 miles away to be treated locally Reduces fuel consumption associated with thousands of interstate tractor trailer trips per year – estimated to be 1.4 million miles/year Reduces emissions associated with the landfill process Represents a transformational method of handling solid waste, harvesting its latent energy content, and significantly reducing greenhouse gas emissions

Process Overview

Anaerobic Digester Project 180,000 tons of material annually to be processed at the facility 30,000 tons of contaminants to be removed Includes re-claimed recyclables 150,000 tons to go through anaerobic digestion process for energy generation 120,000 tons of food waste 30,000 tons of FOG (fats, oils and greases) Resulting biogas will be used to produce both electricity and RNG Solids fraction will be integrated into LI Compost’s existing wholesale and retail bag products

AD Project Timing Pre-Construction Activities to be complete end of 2014 Initial engineering design Permit submittals and review Final engineering design Feedstock and off-take agreements Finalize financing 1st Quarter 2015 NYSERDA $1.35 million funding in place, ESD awarded $400,000 Multiple funding sources with prior AD experience (debt and equity) have expressed interest in the project Likely will be participation from New York Green Bank Complete construction and commence operations early 2016

AD Project Energy Impact GHG emissions are expected to be reduced by a combined total of 40,626 tons of CO2 per year Energy generated by project will meet 100% of AD project’s requirements AND be used by Long Island Compost to offset current consumption Conversion of fleet (16 vehicles) and stationary equipment to CNG will offset 200,000+ gallons of diesel per year Existing electrical consumption of 455,000 kWh/year will be met by self generation from the AD project Expect to have approximately 50% of the total biogas production available for consumption by outside parties (approximately 1.0 million diesel gallon equivalents/year)

Questions & Contact: Long Island Compost Corp. Charles Vigliotti - President & CEO cvigliotti@licompost.com 100 Urban Avenue 445 Horseblock Road Westbury, NY 11590 Yaphank, NY 11980 Phone: 516.334.6600 Phone: 631.289.7260 www.licompost.com