Confidential

September 2011

Brought to you by:

Magnetic Ballast Clarification (MBC)

SSAMARITANAMARITAN W WATERATER

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1. History and accomplishments

2. Technology description

3. Technology advantages and comparisons

4. Business approach

5. Applications

6. Metal precipitants

7. Future developments

Table of Contents

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History

Company formed in 1995 Produced specialty metal precipitants Developed Magnetic Ballast Clarification (MBC) in 2002 Contracted with Siemens in 2005 Licensed technology to Veolia in 2007 Started developing distribution network in 2008 Holds six MBC water treatment patents

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Accomplishments

Nine years of industrial operation without any violations Siemens evaluated and offered to buy technology Veolia evaluated and purchased an exclusive license Manufactured a commercial unit and installed in an industrial

operation to remove phosphorus and algae Designing system for a cooling tower application at a

pharmaceutical plant Created network of distributors in twelve states

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What is MBC?

Same as ballast clarification but sand is replaced with magnetite.

Polymer attaches fine suspended solids to magnetite to form a magnetic floc.

The magnetic floc is removed from the water either by gravity or with powerful rare earth permanent magnets.

The magnetite is cleaned by a mechanical shearing action and returned to the system for reuse.

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What is Magnetite?

Magnetite is a fully oxidized form of iron (Fe304) Magnetite is very dense (Magnetite Sp.G.= 5.2; Sand Sp.G. =

2.7) Magnetite is ferromagnetic and strongly attracted to a magnet Magnetite is non-toxic and commonly found in the environment

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Proven Technology

Magnetic seeding and separation technology was developed over 30 years ago to treat drinking water in Australia and now is being used in Europe.

Magnetic seeding and separation technology is now being used to remove phosphorus from municipal wastewater in New England.

MBCTM : Has been used to remove heavy metals from an industrial

facility effluent for over eight years with not a single violation.

Has been field tested at a municipal WWTP to remove phosphorus and to increase treatment capacity

Is in operation at a non-woven plant owned by the largest non-woven company in the world to remove phosphorus

Has been selected by one of the largest pharmaceutical companies in the world to remove phosphorus from their cooling tower.

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Technology Description

Suspended solids are attached to magnetite with a flocculating polymer to form a magnetic floc.

The magnetic floc is removed by gravity or magnetically with permanent magnets.

The magnetite is cleaned and returned for reuse.

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Magnetic Ballast Clarifier

Floc

Mixer

Flocculation

Zone

Settling

Zone

Influent

Effluent

Magnetic Disk

Assembly Magnetic Drum

Trough

Waste

Water

Jet

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Metro Circuits Unit

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MagSep Advantages

Smallest size High water quality Low capital cost Low operating cost Less complicated design and operation Low maintenance Low electrical usage Low waste Rapid startup and shutdown No fouling or floating floc Full turndown capability Low pressure drop

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Size and Waste Advantage

Size Waste

GravityClarifer

Actiflo

MBC

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MagSep Test Results

WaterSource

Aluminum Anodizing

Metal Finishing

Metal Finishing

Surface Water

Surface Water

Phosphate Removal

Softening

Municipal Mixed Liquor

Initial TTS (ppm)

696

607

1177

150

151

350

850

3025

Final TTS (ppm)

9

1

5

2

5

3

7

6

% Reduction

98.7

99.8

99.6

98.7

96.7

99.1

99.2

99.8

Data Source: Siemens laboratory test results

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Competing Technologies

Sirofloc Comag Biomag

BioACTIFLO

Magnetic TechnologiesNon-Magnetic Technologies

Gravity clarifier/sand filter

Membranes Dissolved air flotation Ballast clarification

(Actiflo) High density clarifier

(Densadeg) Vortex separators

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MagSep

FlocMixer

Flocculation Zone

SettlingZone

Influent

Effluent

Magnetic Disk Assembly

Magnetic Drum

Trough

Waste

WaterJet

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Bio MagSep

Wastewater

Secondary

Effluent

Aeration Tank

Flocculant Coagulant

RAS WAS

Clarifier

Magnetite

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Sirofloc

Clarifier

Floc Tanks

Magnetite Cleaning

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CoMag

Air Water

Clarifier

ElectroMagnet

MagnetiteCleaner

Floc Tanks

Waste

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CoMag

Air Water

Clarifier

ElectroMagnet

MagnetiteCleaner

Floc Tanks

Waste

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BioMag

Aeration Tank

WAS

Clarifier

Magnetite Inline Shear

Drum Magnet

Secondary

Effluent

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BioMag Results

MLSS >10,000 mg/l

Clarifier Solids Loading >90lb/day-ft2

SVI < 40 mg/l

BOD5 <2 mg/l

TSS <5 mg/l

NH3-N ND

Total Nitrogen < 5mg/l

Total Phosphorus <0.1 mg/l

Ortho Phosphate <0.05 mg/l

Turbidity <0.5 NTU

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BioACTIFLO

WastewaterAeration

Tank

Secondary

Effluent

Clarifier

Mix Basin ActifloTM

WAS

WASCoagulant, flocculant, sand

RAS

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Advantages Over Sirofloc

Smaller size Lower capital cost Less complicated design and operation No use of cleaning chemicals Lower electrical usage Faster startup time Less waste

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Advantages Over CoMag

Smaller size Lower capital cost Less complicated design and operation Higher solids limits Lower electrical usage Less waste No chemical cleaning or flow interruption More rapid startup

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Advantages Over BioMag

Smaller size Lower capital cost Less complicated design and operation Higher solids limits Lower electrical usage Less waste No magnetite in aeration basin More rapid startup

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Advantages Over Gravity Clarifier/Sand Filter

Smaller size (one system replaces two) Lower capital cost No filter clogging or fouling Less complicated design and operation Lower maintenance Lower electrical usage No floc floating

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Advantages Over Membranes

Smaller size Lower capital cost No fouling or scaling Less complicated design and operation Lower maintenance Lower electrical usage No chemical cleaning More rapid startup time

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Advantages over DAF

Smaller size Better water quality Lower capital cost Less complicated design and operation Lower maintenance Lower electrical usage

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Advantages Over Actiflo

Smaller size Lower capital cost Lower chemical use Less complicated design and operation Lower maintenance Lower electrical usage Less waste More rapid startup time

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Actiflo

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Advantages Over Densadeg

Smaller size Lower capital cost Better water quality More rapid startup

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Densadeg

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Advantages Over Vortex Separators

Higher water quality Less space Higher solids loading

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Water Treatment Applications

Industrial wastewater Landfill leachate treatment Mining and hydrofracking Utilities Food industry Marine Cooling water Process water Groundwater Municipal

Wastewater Storm water/CSO Drinking water

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Industrial

Biological treatment Water clarification Cooling water applications Stormwater treatment Makeup process water Phosphorus removal

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Landfills

Onsite leachate treatment Increase methane production Speed landfill stabilization Manage water balance Treat stormwater Manage outlets for recyclables Use landfill to effectively treat:

Biowastes Industrial wastewater

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Mining and Hydrofracking

Acid mine drainage treatment Heavy metal removal Stormwater runoff treatment Mining water clarification Hydrofrack water treatment

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Utility

Cooling tower treatment Ash pond TSS and heavy metal treatment Coal pile and stormwater runoff treatment Flue gas desulfurization treatment Packaged biological treatment systems

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Food Industry

Wastewater biological treatment Cooling tower treatment Makeup water Sanitary waste treatment Drinking water

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Marine

Ballast treatment Bilge water treatment Dredge water treatment Sanitary waste treatment Shipyard stormwater

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Agriculture

Animal wastewater treatment Stormwater treatment

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Municipal WWTP

Double capacity without increasing footprint Reduce sludge quantities by over 50% Double methane production Remove sidestream nutrients Polish out phosphorus Upstream treatment to reduce plant load Clarifies filamentous and anaerobic bacteria

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Municipal Applications

1. An inline MBC is installed in the aeration basin and performs three functions which increases the treatment capacity 2-3 fold by reducing the solids loading on the clarifier, increasing the settling ability of the MLSS in the clarifier, and increasing the concentration of MLSS in the aeration basin to increase the biological treatment capacity of the system.

2. A MBC is installed after the secondary clarifier to remove phosphate that is precipitated by the addition of an aluminum or iron salt. Multipoint addition of the metal salts will improve the removal of phosphate to meet the strictest limits (0.1-0.5 ppm) presently being enforced. The optimum addition points are after the aeration basin and before the MBC.

3. In extreme wet weather conditions where CSO or SSO flow exceeds the capacity of the plant, the MBC can be placed in a position to clarify bypassed flow with clarification followed by disinfection. It can also be used to provide redundant capacity for MBC.

4. The anaerobic treatment of sludge releases large amounts of nitrogen and phosphorus that has to be returned to the treatment works for processing. This places a large load on the treatment works. This load can be reduced by the addition of magnesium to recipitate struvite. This requires the use of a MBC to remove the struvite.

3

Primary

Clarifier

Secondary

Clarifier

Sand

FilterUV1 2

Aeration

Basin

Sludge

Treatment4

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Stormwater

High flow rates Inline urban water treatment Rapid startup and shutdown CSO/SSO treatment Heavy metal removal Low chemical usage Oil and grease removal Floatable solids separation SMART pond treatment

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Drinking Water

Emergency response mobile units Small community systems Arsenic and heavy metal removal Home systems Reduced chemical usage Minimum waste generation

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Business Advantages

Comprehensive business offering Specialty chemicals Proprietary treatment technology Operating services Engineering and consulting Sludge management

Low cost technology Smallest footprint for retrofit Exceptional customer service Favorable lease arrangement

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Business Opportunity for MBC

Technology is new and innovative Highly profitable lease model Significant technological advantages Right time for green technologies Few market barriers Residual income from multiple profit centers Proven technology with 9 years experience Large diverse market

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Comprehensive Program

Loyal

Customer

Specialty

Chemicals

Operations

Sludge

Management

Engineering

Consulting

Leased

Equipment

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Sludge Management

Sludge minimization Resource recovery Sludge quality improvement Hazardous waste exemption

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Proprietary Metal Precipitants

Low cost Low heavy metals levels Low toxic gas emissions Wide pH application Low sludge generation Low toxicity Low fouling to membranes

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Future Developments

Magnetic adsorbents to remove endocrine disrupting compounds, disinfection byproducts, pharmaceuticals, and toxic organics

System to remove nutrients from municipal WWTP side-streams through struvite precipitation

Sludge processing system to replace expensive carbon sources for BNR wastewater treatment systems

Inline system to treat high flow rates in a pipeline Landfill leachate treatment system using MBCTM to enhance

biological treatment Scaled up unit to treat 2000-3000 gpm in a single mobile unit

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MBC InlineMagnetic

DisksMagnetic

Drum

Waste

WaterJet

Static Mixing

Polymer

Magnetite

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High Rate MBC

Effluent

Floc

Mixer

Magnetic Disk Assembly

Magnetic Drum

Waste

Influent

Effluent

Water

Jet

Flocculation

Zone

Settling

Zone

Flocculation

Zone

Settling

Zone

Waste

Trough

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Videos – MBC in Action

MBC - Algae Clarification demonstrated in Lab Test MBC – Stormwater Clarification demonstrated in Lab Test MBC - Coal Mine Wastewater Clarification in the Field MBC - Stormwater Clarification in the Field

To access above videos, highlight text, right click and open hyperlink.