MOP Environmental Solutions (MOPN)

[Helter Skelter]

"Yeah, the "possibilities" are great, but so is the risk."

Please explain to me, in detail, how the risk is great. Tia...

Current pps is $.13.

Keep in mind the following:

Capping, containment and cleanup of the Gulf spill will take months to years.

---[see the following quote in the company update below]---

"APD plans an aggressive distribution effort in Ecuador and Peru to clean up one of the world’s largest oil spills on land. The quantity of spilled oil exceeds the Exxon Valdez spill."

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We are very excited to share with you the latest developments regarding MOPN, all of which have occurred within just six months since MOPN reasserted its ownership.

Instrumental to our progress has been the exceptionally productive activity of retired Senator Wayne King of New Hampshire, who was also a former candidate for Governor of the State of New Hampshire. Wayne King has expanded our Distribution Network to include many strong new distributors who in turn have been successful in securing a number of impressive large accounts.

One of the largest automotive companies in the world has just confirmed by testing and use, that our MOP® sorbent product can result in significant benefits throughout all their automotive manufacturing plants. This very large automotive company is, with great enthusiasm, continuing to identify many additional in-house applications that are anticipated to provide them a wide range of similar cost saving applications. Additional applications for our MOP® products are in process at two separate plant locations. The implementation of any one application throughout all their plants in the U.S. would result in over one million dollars a year in sales. We believe the proven benefits to this one automotive company can be used to open the doors to the utilization of MOP® in automotive plants worldwide. This market by itself can pay for sufficient expansion of our manufacturing capabilities to stay ahead of the demand for MOP®.

Discussions with distributors have been underway to establish other MOP® manufacturing facilities in strategic locations close to specific large markets. In the meantime our present manufacturing facility has the capability to produce enough MOP® to fulfill the initial requirement of up to ten million in projected annual sales. The one application that has been successfully tested by this large automotive manufacturer would amount to one million in annual sales at a supply rate of $20,000 a week. A MOP® order of this size can be manufactured in just three hours a week at our present facility. Needless to say, we are very encouraged by this development.

MOPN is presently raising additional capital to help expand operations and to support an ambitious manufacturing, marketing and sales plan designed to demonstrate substantial growth during the next 12 months and beyond.

1. MOPN proposes to continue its 100% “green” hydroelectric power source presently used to power manufacturing. On March 5, 2010 the hydroelectric facility, Bath Electric Power Company (“BEPCO”), received notice from its purchasing utility that its future capacity payment rate will increase to 300% of its present monthly rate beginning on June 10, 2010 (monthly payments are on a 2 month lag and will begin on August 2010). This increase adds a strong financial incentive to expand the hydroelectric plant to its full potential. We have entered into an agreement with Bath Electric Power Company to support the construction of additional hydroelectric generation to triple its capacity.

2. MOPN has a growing product line of Patent Pending and patentable "cradle-to-cradle" green oil spill remediation solutions that will be added. These include MOP® deployment equipment and MOP® recovery equipment. We will offer different MOP® absorbents, further optimized to address requests we are receiving for specialized applications, indoors and outdoors, on land and water.

3. MOPN is in the process of developing a partnership with Bath Electric Power Company for producing a new Carbon Negative Biomass power plant. The partners have a design and knowledge base for implementation of a number of Carbon Negative Biomass power production plants that can be scaled for use in many sizes suitable for a range of applications from households and small businesses to large municipalities (plants ranging in size from 10 kW electrical production to 10 MW). These facilities would be carbon capturing, capable of helping to reverse Global Warming, producing both power and a soil amendment (fertilizer), which boosts agricultural yields from 200% to 400% over standard fertilizer while bringing multiple revenue streams to our company.

There is considerable Federal support for projects deploying this technology, which we intend to pursue. Oil soaked MOP® can be used as a fuel source, together with a full range of other recoverable raw materials available from the waste stream. Many of the waste sources will pay to have these materials accepted or removed. This means we can achieve efficiencies and economies within the manufacturing process that preclude ever having a surplus or deficiency of either raw materials or inadequate amounts of oil saturated MOP® to achieve energy independence for all our manufacturing needs. This also offers a surplus of clean energy to sell, that preserves the country’s fossil fuels. Any common biomass--from trash, to cow manure, to wood chips, to agricultural waste--can also be utilized as the fuel source for the proposed Negative Carbon Biomass Energy System.

4. MOP® sorbent’s inventor and CEO, Charles Diamond, continues to work on product development while managing the company. His plans are to focus more on product development in the future and to recruit a talented management team and CEO for MOP Environmental Solutions once additional funding is sufficiently in place.

5. A new Distributor is signed in South America: MOPN is aggressively seeking new avenues for distribution. Last month we finalized a contract with APDProyectos Cia Ltda. of Quito Ecuador and, as you noted at the beginning of this letter, we have just shipped our first container load to them. APD plans an aggressive distribution effort in Ecuador and Peru to clean up one of the world’s largest oil spills on land. The quantity of spilled oil exceeds the Exxon Valdez spill.

MOPN offers the unique solution that arguably may be the only practical answer. APD is already engaged with one of the regions most respected environmental consulting agencies to form a spill response partnership, anchored by the MOP® product and oil spill recovery technology.

6. In January, Executives from APDProyectos Cia Ltda visited Bath, NH, where the MOPN plant is based. They observed our newest oil-contaminated-soil cleanup equipment in action. The MOP®-RESCUE™ equipment RAPIDLY, in one step, REMOVED the oil, CLEANED the soil, and RECOVERED the oil, from oil saturated soil in under 10 minutes, successfully demonstrating the new RESCUE™ application on the range of soil from coarse sand to heavily organic potting soil.

The MOP®-RESCUE™ (Rapid Environmental Spill Clean Up Equipment) demonstrated that it can rapidly remediate oil contaminated soil, to an apparently oil free state, quickly, easily, thoroughly and economically. This new process holds great promise as the most rapid, low cost method to remediate oil contaminated soil, completely restoring its value once again for agricultural or commercial use. Our MOP® sorbent product works together with our new MOP®-RESCUE™ (Provisional Patent Filed), technology.

By comparison, with conventional cleanup methods, oil still persists more than 20 years later from the EXXON VALDEZ oil spill, trapped in miles of gravel beaches from the tanker disaster on March 24, 1989, in Prince William Sound.

A Provisional Patent for the MOP®-RESCUE™ invention was filed on January 8th 2010. We are extremely excited about this new invention and the team from APDProyectos Cia Ltda clearly agreed as well because, before they left we began discussions about expanding their distributorship to as many as three additional countries. We believe this new technology will prove to be the most rapid, cost effective solution to removing oil from soil anywhere; furthermore, the process will not only remove oil from the soil, but offers the possibility and option to recover the spilled oil to be refined for use. The new application holds great promise for our company’s future and that of the planet. In addition to the established distributorship in Ecuador, we are also engaged in discussions with prospective distributors in Malaysia, England, Nigeria and Ghana.

7. MOP®-RESCUE™: We will soon release information for commercial licensing of the MOP®-RESCUE™ technology. Our plan is to identify a preferred group of spill response companies with whom we can create strategic alliances for licensing of this new technology. These alliances will create two new income streams for MOPN; from the sale of MOP® sorbent as well as royalties on the only process to offer rapid, thorough, low cost cleanup of major oil spills on land. Many oil spills on land have previously resisted effective cleanup attempts for decades, throughout the world. The oil spills of Azerbaijan, Kazakhstan and Nigeria are prime examples where billions of gallons of spilled oil still contaminate the soil. These and many other lesser sites must have the soil remediated and restored to agricultural or commercial use, and with the MOP®-RESCUE™ technology there even exists an option for the oil to be recovered. Royalties from cost savings for effective cleanup of oil spills of this magnitude worldwide, are huge beyond comprehension, as are the benefits to the localities. In the United States a 10,000 gallon spill averages $978,000 to clean up. A modest 10% royalty to reduce the existing cost by 80% is a genuine likelihood for the MOP®-RESCUE™ technology, and explains why we are so excited about its potential and value.

8. A specialty distributor focused on sales to the largest metallurgy companies in the U.S. has been signed. The signed agreement is with Starsant, LLC, a subsidiary of Star Tool and Die, one of the largest Tool and Die manufacturers in the U.S. and Canada. We have given them an exclusive contract to pursue companies engaged in Metallurgical Production. They have already placed product with the largest metallurgical company in the world, ArcelorMittal, and other large companies including U.S. Steel, Alcoa, and Steelscape. In less than one month Starsant is receiving reorders from some of their new accounts.

9. In September of 2009 we signed, as a regional distributor, FrederickSeal serving over 9,000 existing customers throughout New England and upstate New York. Their sales staff underwent our new training program at our plant on January 9th, 2010 and since the training, their average monthly sales increase on MOP products has been 550% a month.

Other Distributors for the following areas are in the final stages of development:
1. New York City and environs;
2. State of Vermont;
3. An exclusive agreement for Syria and Libya;
4. An international broker who will establish distribution channels within the European Common Market, who at this stage has received strong interest from test results on MOP® performed by a number of large international accounts on our product.

Beyond these relationships, we are also speaking with 4-6 potential distributors nationally and expect to add another 6 to the mix within the U.S. and Canada during the next 6 months.

Strategic Partnerships:
1. We are discussing with the largest manufacturer of clay-based spill cleanup products a strategic partnership to provide them with our MOP® Maximum Oil Pickup as a “green” product to include in their product line.
2. As of this week MOP® products are also available on Amazon.com and within a week or two we expect to begin offering ½ lb and 1 lb boxes of MOP® for the home market.

Licensing and Re-Branding:
1. We are in discussion with companies in both Michigan and Ohio to license the MOP® technology. They propose to purchase limited rights to use the MOP® formula and pay royalties on production.
2. We are engaged in discussions with a national auto parts company for a direct to consumer product line. This may be produced under the MOP® name or rebranded for the company.

MOP® Specialty Filtration Products:

We have developed a proprietary oil removal filter called “MOP®-FOIL™” (“Filter for Oil Infused Liquids”). MOP®-FOIL™ continuously removes oil contamination from water based liquids that move through pipelines. This application insures that piped water based liquids are maintained in a clean oil free state; thereby saving countless companies millions of dollars every year. The proprietary new MOP®-FOIL™ offers a new revenue stream for MOPN with benefits to companies throughout the U.S. and Canada, and ultimately throughout the world.

To Summarize:

The last quarter of 2009 set the groundwork for a significant turnaround. The first two months of 2010 have already surpassed total revenues for all of 2009, yielding further evidence that we are on the right track.

Good day.