Zeons Corporation (ZEON)

[Bart Williams]

Even if Dynamotive could produce 10 gallons of bio oil from a bushel of soy, none of it will go into a diesel engine, and it would still have half the energy content of USSE's 5 gallons.

Conventional pyrolysis oil a low btu, corrosive heating oil that can only be economically used on site where it is produced. For a ethanol producer that want to use DDGS for process heat, it is the best solution. USSE cannot compete with the affordable, simple design the Dynamotive uses.

USSE's biofuel can be used in anything from tractors to aircraft, transported by pipeline, mixed with diesel or 100% pure.

This year there is a corn boom to meet new ethanol demand. Farmers planted corn 2 years in a row. To maintain soil quality, they must rotate their corn with soy, since legumes naturally create nitrogen. Next year will be a soy boom, and USSE will then be ready to leverage huge profit margins off the new crop.

Many mult-national oil companies, research firms, trading agencies, national banks etc are predicting $100 / barrel oil in 2008. We are not that far today at $70. Diesel could reach $4/gallon assuming we dont have a refining shortage, and untold levels if we have disruptive events like a hurrican, mideast war or perhaps accelerated oil production declines. Some estimate that it will take $5-10/gallon to create significant demand destruction.

The market for USSE's biofuel is only going to get better. At $9 bushel soy, $3 diesel and $100/ton fertilizer, USSE will enjoy a 78% gross margin. This will pay for a lot of lawyer's fees to protect their assets.