NEW Q&A with the CEO

The SkunK recently received the following answers to the questions he asked this morning:

1. The 1Q GERS stated the company's goal was to divest itself of the Seed Crushing plant in Montana and the Adrian Biodiesel plant in the 2Q. Has either or both of these been accomplished?

Answer:
One is complete. Our goal is to have both completed by the end of the quarter.


2. The typical Ethanol Plant is very close to profitability after a ten month dry spell. What effect will this have?

Answer:
Stronger clients equate to reduced credit risk.


3. The Department of Energy press release area on their web site does not yet seem full of grant money for biofuels. Do you expect that to change soon?

Answer:
Grants and other public financing can play an important role in our financing and technology development activities in the future but we are more likely to see more capital, more quickly from more conventional sources. For example, testing is currently underway with Tornado Generator technology to enhance the yield of ethanol and oil from corn. This testing is solely financed by a GreenShift early adopter.


4. Is venture capital and long term financing becoming more available in the biofuels market?

Answer:
Capital is starting to become more available but the fundamentals all need to be there. We have the business model (the feedstock ownership, the hedged margins, the backlog, the intellectual properties, the proven performance, and sheer scale of the market opportunity). Our balance sheet will remain challenged until we refinance our convertible debt, which remains a critical goal. We believe that our technology positioning has increased our options to achieve this, as well as to finance the completion of our previously-halted construction activities as well as new facilities out of our backlog.

5. It would seem that GreenShift's COES technology might be a way to satisfy the conflicting interests of two competing groups in Washington. The Ethanol Industry looking to secure its financial base and the environmentalist groups concerned about land use and carbon release. Did Dr. Krablin get any traction in Washington?

Answer:
EPA/RFS2
We were excited to participate and to have the continuing opportunity to provide the US EPA and other agencies with information pertaining to the many positive impacts of corn oil extraction. We have proven that we can extract upwards of 6.5 million gallons of corn oil per year for every 100 million gallons of ethanol produced. This corresponds to a 7% increase in the gallons of biofuel produced per bushel of corn from 2.8 to 3.0 gallons per bushel and about a 21% reduction in the energy utilization of ethanol production. And, by reducing the energy use at the ethanol plant and refining biofuel from the recovered corn oil, which would otherwise go to animal feed, not energy, the greenhouse gas emissions attributed to ethanol production are reduced by an incredible 29%. We believe that these data show that GreenShift's extraction technology is the Best Demonstrated Available Technology for GHG mitigation today.

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I would like to thank Mr. Kreisler for taking the time to answer these questions,

SkunK