Barley Protein Concentrate and Ethanol M ontana M icrobial P roducts Fuel and Food

Opportunity  MMP developed barley protein concentrate, ethanol co-product  60% high quality protein product  Demonstrated as a replacement for fishmeal in aquaculture feed  Potential markets in poultry, hog, and specialty feeds  Very Profitable, high value products

Aquaculture Market Replacing Fishmeal  The fastest growing sector of agriculture  Fishmeal $3 billion market for protein ingredient in feeds for farmed fish,  Need for alternatives  Supply, price will limit aquaculture growth  Depletion of ocean fisheries  Organic toxins, and phosphorus pollution  Major research effort to develop plant based protein sources to replace fishmeal

Barley Protein Concentrate “ The first plant protein to replace 100% of fishmeal in trout diets” USDA The first plant protein with the:  Nutritional Quality  Competitive Cost  Potential Volume To replace fish meal in feeds for high value farmed fish

Trout Growth Studies

Market Entry  First Market US Trout  27,500 tons 75% in South Idaho, Customers 3 feed manufacturers  First production plant Montana  5,300 tons BPC, 1.7 million gallons ethanol, 800,000 bu barley  Profitable in the first full year of operation

BPC Competitive Advantage  MMP will sell BPC based on three compelling advantages  Lower, stable price  Equivalent or better feed conversion efficiency  Zero Phosphorus discharge from BPC

Market Opportunity  Trout – 511,00 metric tons  US Trout -27,500 tons  Salmon – 1,409,000 metric tons Norway – 600,000Australia – 16,000 Chile – 485,000Ireland – 15,000 UK – 125,000New Zealand – 10,000 Canada – 125,000US – 10,000  Shrimp – 3,200,000 metric tons Fishmeal >1.5 million tons in these markets

Expansion Strategy  Expand Montana Production, North American Salmon  30,000 tons BPC, Replace 1/3 of N.A. protein  12 million gallons ethanol  Use 6 million bushels barley  License Technology into International Markets  Salmon trout: Europe, South America  Shrimp: Asia, South America  Other species:

Status  Independent testing and commercial trials with trout completed, willing buyers  Good results in other species of fish. Salmon trials on-going.  Pilot plant operated at commercial flow rates but batch vs continuous operation- no scale-up issues.  Engineering complete for commercial plant  Conditional purchase orders for BPC and ethanol

Financing Requirements $12M project produces 5,300 tons of BPC, approximately 2M gallons of ethanol, and 19 high paying jobs:  Cash positive in second month of operation.  EBTDA $2.8M first year opeation  Have commitment of $5.0M from VC firm, need additional equity or bank loan

Win, Win, Win  Solutions for sustainable aquaculture  Improved aquaculture economics  Value-added products from low input crop  Renewable fuels  Rural jobs  Higher farm incomes  Solves environmental issues  Good profitability

Good Project for Montana, Good Project for Agriculture, Good Project for Aquaculture How do we get it done?