Reactivation Facililty

FALSE

The companies with ownership are Norit, Clarimex and Tetrasolv.

• Norit Inc is the oldest activated carbon company in the world manufacturing carbon for over 100 years.
• Clarimex has produced Activated Carbon since 1960 and is nearing their 75th anniversary. Clarimex has been operating a carbon reactivation facility at their manufacturing facility in Tula, Mexico for over 15 years.
• Tetrasolv Inc has manufactured carbon filtration units and performed service work for over 25 years and is the oldest US Owned and operated company to do so. The COO of Tetrasolv has over 30 years of experience in the design and operation of reactivation facilities worldwide.

FALSE

Nava, Mexico is industrialized area with various global companies operating in the area including Coca Cola, Caterpillar and Constellation Brands for example. The Constellation Brands Brewery is the largest brewery in North America with over 2000 employees. This is a heavily invested area and has a large local and federal police presence. Nava has a low crime rate and is safer than most large US cities.

FALSE

Local, State and Federal environmental agencies are funded in part by fining commercial operations for being out of compliance. The plant is inspected on a monthly basis by those government agencies to ensure that the facility is operating under the consent decrees. The facility has not been out of compliance since start up.

FALSE

The US EPA has issued an EPA ID number to Clarinorit. In an agreement with the Mexican Federal Environmental agency, the US EPA has authorized RCRA hazardous wastes to be sent to the Nava Reactivation Plant. All spent carbon handling will be monitored and will be in compliance with the US EPA.

TRUE

Final Mexican permitting occurs after the plant is operational. Initial consent decrees are put in place during the construction phase. The permitting process did not create any delays in building the plant allowing the facility to be built in 1 year vs. an esƟmated 2 years build out if completed in the US.

FALSE

Tetrasolv will handle all freight and carbon shipments as a turnkey supplier from any of our service centers in the US. Tetrasolv will be the importer and exporter of record with no involvement by our customers. Tetrasolv will provide a Certificate of Reactivation to our customers for every pound of spent carbon shipped to Clarinorit.

FALSE

The Nava area has excellent natural gas and electrical supply for the area and can support some very large industrial operations. There have been no utility interruptions since startup.

TRUE

These lower labor costs allow the facility to have excess operators to ensure proper production while keeping the reactivated carbon costs low for our customers.

FALSE

The workforce at the Clarinorit facility was recruited from other manufacturing facilities in the area and was extensively trained by engineers and supervisors from Clarimex’s Tula manufacturing facility (which has been in operaƟon for almost 75 years).

FALSE

The Nava plant uses recycled water from a nearby Coca Cola plant for all process water, resulting in minimal ground water usage and zero water discharge. The facility uses solar power for ½ of its electrical consumption.

FALSE

1. All spent carbon is stored on concrete and under roof and has near zero probability of contaminating the soil.
2. All spent carbon is reactivated per the US EPA and Mexican environmental authorities
3. Mexican Environmental law is different from the US and would not litigate against our spent carbon generators.
4. The plant is profitable for all shareholders with plans for expansion.
5. This scenario has never happened in Mexico

FALSE

Clarinorit – the owner and operator of the plant is a Mexican company and has strong support from all government agencies. Clarinorit is recognized by the government as a good steward to the area an important company for job creation and stability.