1. Summary of the project of deep processing of wheat in Kostanay
August 2016
Нурханов Нурлан ( )

2. Main issues
Our region is a major exporter of high-quality grain which is sold as a raw material
The deep wheat processing improves economic efficiency of 5 times
Requested finished products: gluten, starches, feed additives
Fast return on investment 2

3. The favorable situation on the market
The global market for starch → over 60 million tons / year Wheat starch market → more than 4 million. Tons / year
The enormous demand for dry wheat gluten in Europe.
In CIS production is concentrated in the European part. There is no finished productions of gluten and modified starches from the Urals to the Far East yet.
No processing in Kazakhstan. Existing enterprises - LLP "Zharkent starch and syrup factory" t / d corn.
The market is developing dynamically. LLP "Verny Capital" confirmed the investment in the sector of processing corn of 100 million dollars.
It is planned to restore LLP "Biochim" (biofuel plant is idle 5 years) 3

4. The choice of equipment supplier
a preliminary analysis of the main European and Asian suppliers, in particular, Alfa Laval, GEA Westfalia Separator, Broadbent, various Chinese companies was made for purchase of equipment for the plant The choice fell on the South Korean proposal. Why?
Firstly, the technology used in progressive knowhow
Secondly -good price (around $ / t processed)
Third - offered an interesting circuit to further sale of products in the Asian market with full control of the quality of the buyer at the manufacturing stage. 4

5. Business Scale. Invest costs *
Title
The amount, estimated cost , $
The amount , estimated cost, $
The amount, estimated cost, $
Raw output tonnes / year
Raw output tonnes / year
Raw output tonnes / year
square
5ha
10ha
15ha
Starch and starch products
1,500㎡
5,000㎡
8,500㎡
Storage of raw materials
3,000㎡
10,000㎡
10,000㎡ Ｘ 2set
 Storage of ready materials
1,000㎡
2,000㎡
4,000㎡
office and lab
300㎡
800㎡
 additional rooms
equipment
1 LOT
Water treatment and purification
150 tn/day
250 tn/day
350 tn/day
 ELECTRIC POWER eQUIPMENT
400kw
600kw
1200kw
  gas supply system
10 cube. м/h
25 cube .м/h
40 cube.м/h
Special equipment, spare parts
  engineering works
total
Working capital
* - The exact amount possible after detailed engineering 5

6. The participation of the Project Executor
Business identification number
Title of the company
LLP “KazBioTech"
Address
Kostanai, Baimagambetov Str169
Name and surname of the director
Nurkhanov Nurlan
tel
Gasified production area on a plot of 10 hectares - *
Contracts of intention are concluded on the supply of raw materials from farms (Kostanay-largest raw material base, the order of 4-6 million tons of wheat per year).
It signed an agreement of intention with the South Korean company to transfer tadvanced technologies of grain processing to Kazakhstan
Ready manpower for the start of the project is almost 80%. Sufficient selection of qualified personnel (Kostanay agricultural processing center in the region)
Administrative resources are written confirmation of the regional administration in the provision of infrastructural assistance to the project.
Expressions of interest and willingness to purchase finished products from the Asian partners
* -up To 2021 on the sale of land to non-residents of Kazakhstan moratorium 6

7. Cost of the project and return
(30,000 tons / year) Total costs per ton of $ (raw wheat at the rate of $ 200 / t) + $ 92 (additional) $ (control) + $ (loan servicing) + 44 $ 82 (depreciation) = ⇒ approx. $ 500 / ton
(100,000 tons / year) Total costs per ton of $ (raw wheat at the rate of $ 200 / t) + $ 92 (additional) $ (control) + $ (loan servicing) + 31 $ 26 (depreciation) = ⇒ approx. $ 460 / ton
(200,000 tons / year) Total costs per ton of $ (raw wheat at the rate of $ 200 / t) + $ 92 (additional) $ (control) + $ (loan servicing) + 19 $ 11 (depreciation) = ⇒ approx. $ 420 / ton
Production
The sale price, $ / ton
Starch
F.O.B – 700
feed additives
F.O.B – 200
Glutin
F.O.B – 1,500
30000ton/year
100000tn/year
tn/year
Sum from selling
Cost price
Operating profit
Taxes*(15%) (app)
TOTAL, annual income
Payback (investment / profit) months 34 21 16 7

8. Implementation Schedule
Title
Period (months)
М+4
М+6
М+8
М+10
М+12
М+14
М+16
М+18
М+20
М+….
Preparation to the project
Manufacturing equipment
building installation work
Transportation
Installation and commissioning
Work regime
The payback period of the total investment will be months from the date of commissioning of the plant.
The construction period of months.
Project Indicators calculated excluding reimbursement of 30% of state expenditures in the form of grants or in-kind grant (according to the Republic of Kazakhstan "On investments" Law) 8

9. Production scheme
Scheme of production of wheat starch and by-products
<principal scheme>
Raw
Fresh water
chemicals
fiber material
45~55℃
Conveyor
10~15℃
(Mill feed)
Chilled air
waste Water
Vibrating sieve
Mill feed
Process
blowing
→ To waste water tank
water
cooling water
acid
From
Purifier
waste
process water
gluten milk
Fiber materials
◆ Gluten
◆ Комбикорм
◆ Starch
Milling separator
Magnetic separator
De-stoner
Measurement
Measurement conveyor
Wahsing
Rotary washer
Steeping
Steeping Tank
#1 De-watering
Peeler centrifuge
Purifictation
Grinding
Break Roller 6stage
Reduction
Smooth Roller 6stage
Buffer Tank
→ To Mill feed supply tank
Starch extraction
Extraction Tank
Pre-heating
Heat exchanger
Cooling
Steam
heavy solution
Starch separation
3Phase-nozzle decanter
Fine sieving
Conical strainer
#2 De-watering
3P-Decanter
Filtering
Screen centrifuge
De-hydration
Drying
Hot-air flash dryer
Giuten filter
Packer
De-watering
2-phase decanter
Ring dryer
Starch filter
Starch Tank
Storage
conveyor
Mill Feed supply 9

10. Thank you for your attention!