karr group of companies

KARR GROUP OF
COMPANIES
SUSTAINING HUMAN LIFE WITH
BIOCHAR
[email protected]
805-340-2484/818-929-6332
ONALASKA, WA (ENERGY MILL)
PANORAMA CITY, CA (CORPORATE OFFICE)
Basic Needs for Sustaining Human Life
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• Air
– Global warming. 5 million acres of forest fires in 2015 emitted as much air
pollutants in he air as all industrial pollution combined
– Toxic air contaminants from chemical fertilizer usage
• Food (agriculture)
– Use of prolonged chemical fertilizers resulted in loss of soil carbon
– Life underneath the soil is all but dead (yes, there is life below the soil, worms,
microbes, fungi)
– Nitrates and phosphates run offs, in efficient absorption of fertilizers
– Compromise of plant immune system, plants more prone to disease and pests
attack
– Toxic chemicals being absorbed into our fruits and vegetables
• Water
– Loss of soil carbon results in water run off, water not being absorbed to charge
the aquafers
– Loss of underground water supply
– Chemical contamination form excessive chemical fertilizer usage
– Nitrates and phosphates run offs have created large dead zone water bodies in
Mississippi –Delta region and around the world
– Cancer trains in India – contaminated underground water supply
Do We have a Solution in Hand?
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• Yes, we do have a very low cost and workable
solution in hand……….Large scale costeffective biochar production and agriculture
application
• Nature produced biochar (carbon) over
thousands of year of processing, we produce
it in 40 minutes through our patented process
• Karr has an operating plant in Onalaska, WA
operating 24/7 producing 12,000 tons/yr
biochar from green waste derived from
sustainable forest residuals/waste wood
How Biochar addresses Human Existence
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Problems of Air, Food, and Water
• Air
– Biochar use in agriculture is carbon negative, each lb
of biochar applied to soil results in 3.67 tons of
reduction in green house gases (GHG), (almost equal
to GHG emissions from one car) which cause global
warming
– Biochar reduces chemical fertilizer intake by 50%
initially and ultimately eliminating it. Significant
reduction in toxic air contaminants caused by
chemicals spray
– Reduction in pesticides use, result sin reduction in air
borne pesticide chemicals
– Better quality of life for people around agriculture
fields
How Biochar addresses Human Existence
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Problems of Air, Food, and Water
• Food
– Biochar increases crop yield up to 30%
– Biochar increases plant immunity to fight
diseases…healthier plants
– Biochar results in reduced fertilizer and pesticides
usage, less toxins n the fruits and vegetables
– Biochar builds carbon and life back in the soil causing
crop residue to break down in to usable and digestible
carbon (food) for plants (we all intake carbon in our
food for energy and growth, plants do too)
– Biochar provides readily available food and water to
plants near its root on 24/7 basis, minimal run off
How Biochar addresses Human Existence
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Problems of Air, Food, and Water
• Water
– Biochar application results in 30-40% reduction in
irrigation water usage…..60% of water used in CA
goes to agriculture irrigation
– Biochar application results in substantially
reduced water run off and build the aquafer level
back up, providing long term water supply and
storage for agriculture and humans (loss of carbon
in soil result sin water run off and depletion of
water underground)
Where do we go from here?
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• It is abundantly clear that we have an immediately available, costeffective solution in hand to sustain human life on a long term basis
• 290 million acres of U.S. Crop Land
• 21.6 million tons/yr fertilizer usage
• 396 million tons of biomass from U.S. Forest land available for
biochar
• 132 million tons biochar possible (will reduce global warming gases
equal to 105 million cars)
• 61 million acres of crop land/yr can have biochar applied, in 5 years,
all crop land can be covered
• We have enough biomass to meet the demand and forever change
the way we as humans live
• Government and industry must get in sync and understand this
viable solution and put enough resources to make it happen as
soon as possible
• To utilize all biomass, 10,000 Karrbonizers will be needed nation
wide, at a total cost of $30 billion (0.8% of U.S. annual budget)
Is it Economically Sustainable?
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• Absolutely yes. Here is how the economic model works….
• Results:
– cut the fertilizer usage by 50% (NPK) resulting in savings of $100/acre,
$300,000 total
– Increased crop yield by 33% (20-30 bushels/acre increase in yield)
$600,000 increased revenue or $200/acre (pre application 35
bushels/acre)
– Total income: $900,000/year
– Total cost = $1.2 million
– Payback – 1.33 years
– If hypothetically, if it was applied to tomato field, income will be
$6,300,000/yr against an investment of $1.2 million (assuming
$10,000/acre production income)
– Increased production would also mean increased revenue from USDA
crop subsidies
– In CA, additional savings of $300/acre will result from the reduction in
irrigated water (basis $500/acre ft, 2 acre-ft/acre usage, 30%
reduction in water usage)
What is Biochar
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• Biochar is 80% carbon content derived from
wood without the addition of any external
chemicals
• Biochar has large number of cavities which take
in water, fertilizers, microbes for later use by
plants
• Biochar is applied approx. 4 inch below the soil
and closer to the root mass, where the life can be
found underneath the soil
• Biochar is not coal carbon which is totally non
porous and has not cavities
• Biochar is totally natural, organic, and completely
harmless to the soil and humans
Biomass Sources
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Forest slash piles
Forest tree tops
Forest thinnings
Forest dead or unhealthy trees
Agriculture residues, wheat straw, rice straw,
walnut shells, pistachio shells, macadamia nut
shells, oil seeds/fruits residue, corn husk,
bagasse, industrial biomass (agave, corn,
hops) other crop residues
• Sawmill residues
Karr Technology
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• Karrbonizer 6T System
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Karr Group has developed and is operating a unique and innovative closed
loop patent pending technology to process raw biomass into biochar with
high yields (Karrbonizer 6T System).
Karr’s technology is the only of its kind that does not produce harmful
byproducts and is safe for the environment. Karr’s patent pending technology
crack bio oil in its Karrbonizer and convert it into syngas
Biochar in the soil remains for many years
Continuous process, 24/7 operation
High yields and process efficiencies
Zero discharge, closed loop. No waste bio oil production
Ability to handle moist material up to 55% moisture in input
Finer grade compost made with small amount of biochar added to biochar
Three products: Karrchar – IBI certified , Karr Vinegar (pesticide and
microbial food, wood preservative), Karrgas (thermal or electrical use)
Karr’s Production Facility (Onalaska, WA)
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Biochar Spec Sheet
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IBI Certification
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• International Biochar Initiative Certified (IBI)
– Merit given to biochar producers who exceed rigorous
quality standards
– Karr is currently the only commercial producer with this
certification
Management Team
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Mahesh Talwar – Chief Executive Officer
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Designed, built, owned, and operated Nation’s first biodiesel plant in yr 2001 and successfully ran it for three years before selling it. Now there are over 1000 biodiesel plants in
the country.
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Award from U.S. President Bill Clinton and California Governor, Pete Wilson for “Environmental and Economic Balance”.
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Sr. Design Engineer with Parsons Corporation designing oil & Gas production plants, refineries, and implementation. Currently owns an engineering, environmental, and
manufacturing business focused on clean fuel and diesel engine emissions reduction technologies.
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M.S. in Chemical Engineering
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Specializes in building commercially successful products from innovative ideas
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Worldwide implementation of conversion of diesel engines to run on natural gas
Ajay Keshap, Manager, Business Development and Strategic Planning
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Sales and Marketing professional worked at Hewlett Packard and Oracle in Sales Management, 15 years
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Holds patent on MIDI guitar technology, 1987
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Designed, invented, and implemented an efficient back office management software and ISO 9001 2008 certified Hospitality system to manage 26 Denny’s restaurant assets
resulting in substantial cost savings
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Senior Executive at ISO 9001 2008 certified company E2 Solutions
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Specializes in turnaround of marginal companies to profitable ventures. Strong management and team building skills
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Within a span of two years, successfully expanded from owning a franchise of five Denny’s to 26 Denny’s in the State of Washington with annual revenue of over $37 million
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Excellent financial management to assure cost controls and profitability
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Worked with major financial institutions, high net worth individuals, and venture capital firms to raise $13 million in financing for the acquisition of 18 new Denny’s restaurants
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Accountability and motivation of employees a key strength as well as delivering regulatory compliance in a tough industry like food service
Anuj Wadhawan – Chief Financial Officer
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Extensive experience in managing global business models to increase value, maximize investment return and operational performance for public and private companies.
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Key areas of expertize; Strategic planning, Cash management, Budgeting/Forecasting, Financial / Cost accounting, Internal Financial Controls, Mergers and Acquisitions, Investor
& Banking Relations, Public/Private Equity & Debt Financing (IPO/PIPE), SEC Relations, Sarbanes-Oxley Compliance and Information System Design and Implementation.
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Led broad based teams for due diligence and participated in successful negotiation of over 22 acquisitions in various parts of the world ranging from $2.0 million to $150.0
million.
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Successfully negotiated and raised over $150 million in private placements and in public offerings of common stock
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Successfully scaled up companies from $10.0 million to $600 million + delivering increased profitability.
Kevin Talwar – Chief Trader
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Worked as clean fuels trader with Chemoil Corporation
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Owned and operated several new business ventures before joining Chemoil Corporation
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Traveled worldwide to learn different cultures
James Brown, COO
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18 years working in Timber Mills.
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14 years working in wood pellet mills.
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Director of Operations for three pellet mills
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Excellent knowledge of mill residuals and forest products
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Worldwide contacts in sales
Karr Capabilities
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• Karr currently owns and operates a commercial 12,000 tons/yr biochar
production facility in Onalaska, WA, utilizing biomass waste from timber mills
as feed stock
• Karr funded the entire development utilizing its own funds (over $6 million to
date), with no government grants
• Can handle all types of biomass waste
• Each Karr’s Karrbonizer can remove 66,000 tons of GHG which equates to GHG
emissions of over 16,000 cars
• Very low footprint of production process
• Continuous process, 24/7 operation
• No other technology in the world can claim production of biochar without
waste bio oil co product (Bio oil produced gets converted to Karrgas through
our patented process)
• Developed, designed, and built right here in the U.S.A.
• World wide application – can address palm plantation fires in Indonesia (some
estimates put it as contributing a good portion of global green house gases
emission), can end deforestation in many African countries by utilizing
agriculture waste. Karr has received interest from eight countries so far.
https://www.americanforests.org/a-carbon-conundrum/
U.S. Locations for Large Scale Rollout of Karrbonizers
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Current Situation
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• Forest Fires
- Forest fires are caused by drought, overgrowth, pest infestation, burning
of slash piles, etc.
- In 2015, over 10 million acres of forest land burned due to forest fires
(primarily in Alaska, CA, OR, WA), which resulted in $2.1 billion worth of
fire suppression costs
- Green House Gases (GHG) per acre of wildfire equate to: 75 tons/acre;
total GHG emitted due to forest fire in 2015: 750 million tons, equates to
annual emissions produced by 180 million cars (average 4.16 tons of CO2
per year emitted per car)
– Average 5 million acres burned per year (primarily in Alaska, CA, OR, WA),
costing $1.8 billion in fire suppression costs and emitting 376 million tons
of GHG, equate to annual emission produced by 90 million cars
https://www.nifc.gov/fireInfo/fireInfo_documents/SuppCosts.pdf
http://www.predictiveservices.nifc.gov/intelligence/2015_Statssumm/fires_acres15.pdf
http://www.farmlandinfo.org/statistics/california
https://www.americanforests.org/a-carbon-conundrum/
https://www.safnet.org/fp/documents/helms_questions.pdf
https://www.nifc.gov/fireInfo/fireInfo_statistics.html
Current Situation cont’d
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• California drought, classified as “Exceptional”
– In 2015, California drought impacted 25 million acres of farmland,
resulting in a $1.5 billion in loss of crop, and loss of nearly 19,000
jobs due to rising costs of farming.
• Use of chemical fertilizers
– Over decades with the use of chemical fertilizers, soil organic
matter (SOM) has depleted as high as 50% in agricultural land
– 1% drop in SOM reduces 20,000 gallons/acre of water retention
capacity in soil, 50% reduction in SOM reduces 1,000,000
gallons/acre of water retention capacity in soil
– California has 25 million acres of farm land. A 50% reduction in
SOM reduces 25 giga gallons of water retention capacity
– Over a period of time with the loss of aquifers, irrigation wells
depth is 1,000 ft from 300 ft
http://www.carbonbrief.org/paris-2015-tracking-country-climate-pledges
https://www.safnet.org/fp/documents/helms_questions.pdf
http://www.capradio.org/articles/2015/06/02/california-drought-harsherimpacts-for-ag-industry-in-2015/
2015 Fire Data
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• Acres of wildfire
burned:
 Oregon,
Washington, and
Idaho - 3 million
 California - 1
million
 Alaska - 5 million
 U.S.A. Total - 10
million
http://www.predictiveservices.nifc.gov/intelligence/2015
_Statssumm/fires_acres15.pdf
Karrbonizer System Benefits
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• 2015 Fire suppression costs - $2.1 billion
• 2015 Drought related costs (in California alone) - $2.7
billion
• 2015 Job loss related to drought (in California alone) –
19,000
• Significant improvement in soil condition resulting in
increased water retention and yields
• Biochar will reduce the need for chemical fertilizer use
therefore promoting organic farming
• Cost per Karrbonizer system - $3.5 million
• Cost of 569 Karrbonizers - $2 billion
Biochar Trials in Agriculture Application
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• Applied supercharged biochar to soybean,
corn, and Milo field, 3,000 acres in Midwest
• Biochar was inoculated with microbes and
fungi mix at the production line
• Soil has almost extremely low carbon, mostly
chemical fertilizer fed like hydroponic
• Much lower application rates of biochar
possible when inoculated, 1 ton/acre instead
of 8-12 tons/acre commonly published, easily
affordable
Biochar in Agriculture Application
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• Results:
– cut the fertilizer usage by 50% (NPK)
– Increased crop yield by 33% (20-30 bushels/acre
increase in yield)
Summary
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• We are headed in the wrong direction as a society
– Nitrates and phosphates run off have created dead water zones of
over 100 sq miles in Mississippi-Delta – Loss of SOM
– Climate shifts, fires, and drought are real and measurable for our
country
– We need large scale commercial production of good quality biochar
that is highly active, to reduce water usage, cut down chemical
fertilizer usage, and build life in the soil for healthy agriculture and
reduced run off
– Karr solution provides this in a tested and proven model
– Financial economic model prove that the operation can be self
sustained
– Large scale demonstrations through out the country will need
Government-industry partnership initially
– Need all agencies to work together to figure out the best way for a
public private partnership
Karr Group of Companies
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• Website: www.karrgroupco.com
• Contact: Mahesh Talwar 360-978-4449 or
805-340-2484
• Email: [email protected]