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BIOFLOC BY THE TRUCKLOAD: A NEW AQUAFEED INGREDIENT FROM OBERON FMR, INC. Andy Logan VP of Research and Development Oberon FMR, Inc. Idaho Springs, CO www.oberonfmr.com

San Diego, California March 4, 2010

Biofloc Requires growth substrate (carbohydrates) Requires nutrients (C:N ratio) Requires aeration Result: food for aquaculture animals Protein Fatty acids Nutrients 2 Page 2

Biofloc problems Limited production capability Animals are priority!

Requirements of farm and personnel Carbohydrate addition C:N ratio monitoring Nitrogen addition

Aeration Equipment and energy cost Proprietary and Confidential Page 3

What if… We could employ this strategy: Locally Using existing production infrastructure Utilizing food-grade substrates While producing many tons per day/plant And dewater, dry, and transport to feed companies

Proprietary and Confidential

Oberon FMR can!

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Solution: Shift the Paradigm… Traditional Food Manufacturing Wastes Valuable Nutrients MFG plants discharge foodgrade byproducts in wastewater Treatment process cleans water, but makes waste sludge

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Solution: The Paradigm Shift Re-tuned Operation Converts Food-Grade Waste into SCP Oberon captures byproduct value Piggy-backs existing resources Produces SCP Oberon Controls •Bacterial community •Nutrients •Water chemistry •Drying process •Moisture content and storability

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Example Commercial Facility

Aerated reactors

Gravity separators

Soy protein concentrate meal

Fish meal

SCP

Salmon Page 7

Example Commercial Facility Aerobic fermentation basin scale

Soy protein concentrate meal

Fish meal

SCP

Salmon Page 8

Oberon SCP

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Oberon Product vs Fish Meal Oberon’s SCP compares favorably with fish meal Price < $1,000 per ton

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Tilapia Feeding Trial Increasing content of SCP led to increased growth rate and decreased production costs

Commercial aquafeed (0% SCP) Diet #1 (21.5% SCP) Diet #2 (43% SCP)

No adverse effects in fish receiving SCP

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Shrimp Trial Results

Confidential

12 Page 12

Other Trial Successes >90% digestible in rainbow trout Outperforms fish meal in poultry feeds at 5% inclusion Palatable to salmon and swine (Salmon and swine feeding trials ongoing)

Proprietary and Confidential Page 13

Commercialization Plan Oberon’s SCP ingredient will be commercially available in September of 2011 Sold to feed manufacturers

Oberon is currently working with several large aquafeed manufacturers To use this ingredient in your feeds, talk to your feed supplier!! Proprietary and Confidential Page 14

Sustainable Protein for Aquaculture

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