Zenergy International Inc. (ZENG)

[ctp93]

From the report:

"The Company will need to obtain significant equity and/debt financing to fund the build its own state-of- the-art ethanol and bio-diesel processing plants and bio-refineries in both the U.S. and the Caribbean, each with a capacity of 150-250 million gallons of ethanol and 50 million gallons of bio-diesel. Management anticipates the cost for our first project, a Bio-diesel plant in California, to be $37,500,000. The components of this investment are $9,000,000 for property and $28,500,000 for Machinery and
Information and Disclosure Statement Pursuant to Rule 15c2-11(a)(5) Page 24 of 26
Equipment. The Company has no commitments for debt or equity financing for the California plant or any other plant. The Company cannot assure that its operations will generate positive cash flow or that it will be able to obtain equity or debt financing necessary to complete, or even to start, plant construction projects on acceptable terms or at all. To the extent that the Company cannot obtain adequate financing, it will be unable to complete its current construction plans, which will cause the value of an investment in our company to decline."