Proposal for the production of Spirulina in Peru

We must present this year a concrete investment plan to the ... and Spirulina in particular ... German Companies interested in developing a profitable...

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Proposal Presented for the joint development of a microalgae project to produce Spirulina in the Piura region, north of Peru on 5000 hectares facing the Pacific Ocean Respectfully submitted by Ecoenergías del Perú, Piura, Perú

April 2011

The Spirulina Project •! Ecoenergias signed a Letter of Intent (LoI) with the President of the Regional Government of Piura to develop 5000 hectares (10 Km of beach front X 5 Km inland). We must present this year a concrete investment plan to the Regional authorities, this is a unique investment opportunity after many months of negotiations. •! The selected area is close to Ecuador, has intensive sunshine all year round, strong winds, easy access to the Panamerican highway and a 220 Kv transmission line. It is a flat desert and can be prepared for energy and industrial activities. •! The Spirulina project will cover Mass production of Spirulina using seawater. The value of the Spirulina is high in the international markets and the pilot tests made in the region of Piura show excellent results

Achievements to Date

•! Ecoenergias has this far: a) Built a pilot plant to produce microalgae in Piura and Spirulina in particular; b) Tested all kinds of microalgae to discover their behaviour in such a special high radiation climate and accumulated substantial know how; c) On-going research project with the Universidad de Piura (www.udep.edu.pe) to develop and engineer the most suitable photo bioreactor or raceways for the mass and profitable production of micro algae; d) Built an international network in Europe, USA, Latin America and Australia for information exchange and knowledge with state of the art for the production of microalgae. •! Established strong and professional relationships with the Piura Regional Government, National Government and scientific institutions of Peru interested in the development of renewable energies and biofuels.

Why German or European Companies?

•! Ecoenergias is looking for a European or German partner with the will, vision, entrepreneurial spirit and financial backing to jointly develop a 5000 hectare reserve and convert it into a center for mass production of Spirulina. •! The initial investment for the production of selected strains of Spirulina is in the order of US$ 6-7 million to obtain first rate Spirulina. Ecoenergias has invested close to US$ 1.00 million over the last three years in project development •! The investments will depend on the decisions of the Top Management of the German Companies interested in developing a profitable business in Latin America for the international markets. •! The area has almost 1,5 times more sunshine hours than central Europe. •! The possibility of planting Salicornia –which uses seawater for its development- is also real and intensive research is being done in Mexico and the USA.

First Steps

•! Evaluation by the Top Management of the German Companies, Ecoenergias´ proposal and determination if there is an in-principle interest on their behalf to pursue this project. •! Signature of a Confidentiality Agreement and presentation of all documents and details related to Ecoenergias´ proposal if the answer is positive. Decison to form a Joint Venture with Ecoenergias. •! Visit to Peru to talk to high ranking authorities of the Regional and National Governments, visit the site, research facilities in Piura, Lima and Los Organos and decide the critical issues of the project. Start the feasibility study. •! Negotiate the purchase of land and support of the Regional Government. •! Formulation of detailed Business Plans for the project. •! Start project implementation

The Pilot Plant at the Universidad de Piura (www.udep.edu.pe)

What is Spirulina about? •!

The term spirulina includes various species of primitive unicellular blue-green algae, most commonly Spirulina maxima and Spirulina platensis. These microscopic plants grow naturally in lakes rich in salt, particularly in Central and South America and in Africa. The bulk of these microscopic aquatic plants used in supplements are grown and harvested in outdoor tanks. Since ancient times, natives of Mexico and Africa have eaten spirulina for its nutritive value. More recently, scientific studies have supported its role as antiviral, anti-mutagenic, and cholesterol lowering agent-primarily due to the presence of carotenoids, and other nutrients/antioxidants in the tiny plants!"

How is it produced?

Advantages of the Spirulina Prevents and inhibits cancerous oral lesions Stimulates immune defenses and inhibits replication of certain viruses Prevents heart disease by lowering cholesterol Provides antioxidants and other nutrients Increases energy and mood Improves weight loss

Photos of the Selected Area

View from the Ocean of the Econergias Concession

Average Solar Radiation in the City of Piura, which is very high

Photobioreactors types under investigation and test

The Paita-Negritos Project Area as prescribed in the Letter of Intent signed between the President of the Region and Ecoenergias

Vertical view of the Project Area

Close up of the Project Area overlooking the Ocean

View from inland towards the Pacific Ocean

Contact in Lima, Peru

Diplom-Ing. Alfredo Novoa-Peña, Camino Real 725, Dept 5ª, San Isidro, Lima 27, Peru. [email protected] Tel +511 421 1393 Cel +51 997 573 506 Skype: alfredonovoap