The slides present an opportunity to enter the Russian market with new, modern technology for energy production, especially at smaller units.

1. The Future Today

2. Create a sustainable world
of affordable, safe, clean alternative
energy and offering the best technologies
and service, and engage in this world as
great number of people as possible.

3.  Geographic positions : “what regions we should focus our
attention on” ?
 Regions with law gasification :
 - No lobby of “Gasprom”” (not yet!), not of corrupted by
“Gasprom” clerks either.
 - No mental dependence on GAS- possibilities for
alternatives (Automatic boiler is associated only with GAS in
Russia).
 - Big forest areas (possibilities for alternative fuels
production).
 - There the market of individual heating by biomass is
existing.
 - The industrial heating plants (working on coal and diesel)
are used from 60% and up.

4. If to look at the table, we see :
1.The regions V;VI;VII are the most perspective for alternative energy implementation :
- Northern half of them - as a woodchips boiler s market .
- Pos.Southern half – is good for agricultural biomass boilers market.
Federal District Gasification volume
2. North-East of region III and South-East of region IV (North of NN region, East of Kostroma,
Vologda regions, Kirov region)- are very perspective for alternative energy implementation:
I Central 68,7 %
- as a woodchips boiler s market.
Comment : there is NO culture of preparing (production) of biomass 74,2% be more clear –
II Southern fuel, to
there is no woodchips , no correct for logistic packaging of agricultural biomass, no special
III Privolzhskiy 73,5%
trucks /trailers, no logistic .
3. All above IV
mentionedNorthwest very perspective for alternative energy implementation:
regions are 46,8%
- as industrial and municipal waste boilers market
V Uralian 46,6%
Comment: huge territory, and a very small , but very special group of owners of the
waste business. Very important to find right person and right4,1%to deal with.
VI Siberian way
Common comment : THERE IS NO ONE POSITIVE WORKING SAMPLE OF HEATING
VII Far Eastern 5,6%
PLANT ON BIOMASS IN RUSSIA. ONLY NEGATIVE EXPERIANCE.

5.  Proceeding from a matrix we note :
 Re. CUSTOMERS – the most needing in our boilers Customers are Municipals, but they have no money, so
they need Investor , who will change the old boilers into new, and supply their objects with
an effective heat and electro energies.
 The important Customer for us are Business Owners, but they never have money enough,
so they need financial tools, but they will be even happy if they get an Investor , who will
change the old boilers into new, and supply their objects with an effective heat and electro
energies.
 The very good Partner for us in Russia is a Foreign Investor (we do not see it from the
matrix, but is the reality)!!!
 The best Customers are Waste business owners (they need solutions, equipment and they
have money), you do not see this from the matrix because they keep in a very small range .

 Re. PRODUCT- 1. There is a big need of woodchips and pellets boilers in Russia.
 2. Because of lack of cash in small and medium business, very important products are
financial tools.
3. Because the market in Russia is very specific (big need, but no money and no state
support) – the most popular product , which comes out on top, is heat and electrical
energies, providing high-quality service and a guarantee including . engineering
services and certainly installation of a “turn-key” boiler rooms.
 4.The best product are waste boilers (you do not see this from the matrix because a
very small range of Customers) !

6. The are 2 problems for all above mentioned products :
-NO REFERENCE OF BOILERS with positive experience in Russia!
-NO PRODUCT AS WOOD CHIPS fuel (in the proper sense of the word)!
There is one way for development of alternative energies in Russia – establishment of
an investment holding company.

7.  1.ESTABLISHMENT OF a HOLDING COMPANY which will be destined to become
an investor into the “PROJECT (5 YEARS) BOILERS” (from harvesting, production
of wood chips and pellets, replacement of old boilers into boilers working on
renewable fuels, up to sale of an effective heat and electrical energies)
 2. The Holding company will sell the HEAT ENERGY form wood chips boilers and
pellets boilers, which at times will increase the profitability of business in
Russia, rather than just selling boilers! In addition the Holding company will
reimburse all the expenses invested in equipment (boilers) by selling units of
emissions savings.
 3. In order to attract as many as possible Customers for the heat energy, it is wise to
install one ore several REFERENCE BOILERS in Russia!

8. Wholesale- and
Investor in to heat
Customers Business owners Municipals –retail
industry business.
Products companies
ADMINISTRATIV
HOUSE BILDING
CALCULATION
LIVING HOUSE
AGRICULTURE
PULP-&PAPER
SLAUGHTERY
CONSUMERS
FURNITURE
HOSPITALS
COLLEGES
CHILDREN
E OFFICES
ALCOHOL
BUSINESS
GARDENS
DISTRCTS
CENTRAL
SCHOOLS
HEATING
TEXTILE
PLANTS
WASTE
MILLS
FOOD
Woodchips mobile
1 1 3 1 4 5 1 1 5 1 5 5 5 5 5 5 5 1 1 60
boiler-room
Co-generation plants 4 4 3 4 4 4 4 4 4 1 1 1 1 1 1 1 1 1 1 45
Waste burning plants 4 1 1 4 3 1 4 5 1 5 1 1 1 1 1 1 1 1 1 38
Woodchips and pellet
4 4 3 3 4 4 2 1 5 1 4 4 4 4 4 4 4 1 1 61
stationary heating plants
Agriculture biomass
1 5 1 3 1 4 3 1 1 4 3 3 3 3 3 3 3 1 1 47
boilers
Fuel :pellet, woodchips,
4 4 3 3 3 4 3 2 1 1 5 5 5 5 5 5 5 1 1 65
other biomass
Delivery of fuel 4 4 3 3 3 4 3 2 1 1 5 5 5 5 5 5 5 1 1 65
Heat and electric power 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 1 1 87
Solutions of problems
4 4 4 4 4 4 4 3 4 3 5 5 5 5 5 5 5 4 1 78
connected with heating
Financial instruments/
solutions of problems 5 5 5 5 5 5 5 5 5 4 5 5 5 5 5 5 5 3 1 88
connected with payment
Interest from sales or
bonuses for sale and
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 5 1 23
lobbying of our
equipment
Expansion of the range
1 1 1 1 1 1 1 1 1 4 1 1 1 1 1 1 1 5 5 30
and client base
Protection of
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 3 21
environment
Constant high income
and high liquidity from
1 1 1 1 1 1 1 1 1 5 1 1 1 1 1 1 1 1 5 27
the heat industry
business
High level of technical
and sales services, 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 95
guaranty
Back
Engineering service 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 1 5 91
Installation “ turn-key”
4 4 4 4 4 4 4 4 4 4 5 5 5 5 5 5 5 1 5 81
of boilers plants
54
55
49
53
54
58
52
47
50
51
58
58
58
58
58
58
58
34
39
CALCULATION