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MARCH 2010

Money Really Does


Grow On Trees
Jatropha Green Oil Programme
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Contents – Jatropha Green Oil Programme


3. Introduction 25. Current Operations

4. What is Jatropha? 26. The Importance of Green Oil

7. What is Green Oil? 27. Green Oil as a Fuel


9. Green Oil Benefits
28 Green Oil From a Commercial Crop
10. Green Oil Programme
29. Poverty and CSR
12. Investing In The Green Oil Programme
31. Energy Independence
13. Green Oil Programme Investment Examples
32. Environment
14. Leasehold Programme
34. Future Growth
16. Investing In The Leasehold Programme
36. Support from the White House
17. Leasehold Programme Investment Examples
37. How do I Invest in Jatropha?
18. Security of Your Investment

20. The Programme Manager 38. Frequently Asked Questions

22. What is a SIPP? 44. Legal

24. Jatropha Tree Investment Via a SIPP 45. Contact Us

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Jatropha Green Oil - The Future of Power


We are pleased to introduce our Jatropha Green Oil Programme to you. This is
an ethical investment where you can profit from financial returns of up to 29%
per year, whilst helping eradicate third world poverty and to save the planet
from greenhouse gases.

We are using more oil than we are finding. Though experts disagree about the time scale, most
agree that the rate at which we are consuming oil is now greater than the rate at which new
reserves are being found, we have already entered the depletion phase and are on a downhill
slope of terminal decline. In short, the oil is running out.

Combine this with worries about greenhouse gases and global warming and you can understand
why governments throughout the world are urgently seeking alternative energy sources.

Jatropha Curcas is one of the front runners to replace crude oil in the world.

This where your investment in a renewable source of green oil could make a significant difference
for you and for the world.

There are two distinct programmes that you can invest in with Cash or via a SIPP:

• Green Oil Programme


• Leasehold Programme

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What is Jatropha?
Significant independent research on the qualities and benefits of Jatropha Curcas
Plantations can be found on the internet. There is no doubt at all about it doing
what it promises and governments throughout the world are planning enormous
plantations of Jatropha for biofuel use.

The great things about Jatropha are:


• Reduces carbon emissions by up to 80%.
• It can be used as a direct substitute to traditional fuel.
• It is a renewable and sustainable source of energy.
• It’s an oil seed tree.
• It produces very high quality green oil. Biofuel/Biodiesel.
• It has a very high yield – 1,000+ litres a year per acre.
• It can be grown in land that is unsuitable for food production.
• It produces conservatively one litre of green oil per year, per jatropha tree which can be
enhanced through fertilisation and biotechnology quite significantly.
• It can also (from the residues after crushing) produce nitrogen-rich fertiliser, medicines
and latex.
• It will only grow satisfactorily within the Tropics (+/- 30º latitude) so it is ideal for farming in
poverty-stricken regions.
• Propagates rapidly (reproduces).
• Is highly resistant to drought and poor soil conditions.
• Requires minimal maintenance and husbandry implementable without mechanisation and
capital equipment expense.

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The Power Plant


Programme Manager (PM) has developed a sustainable green oil feedstock
programme, designed to have minimal impact on the food chain, using Jatropha
Curcas Linn as the primary crop. Known as ‘The Power Plant’, it is an oil seed
tree which grows best within 20 degrees either side of the equator.

• Jatropha oil (green oil from the Jatropha plant) has a similar calorific value to crude oil so you
don’t have to burn more of it to produce the same energy output.
• The tree and its crop are considered inedible by humans and cattle alike and it will grow well
on marginal land not suitable for the cultivation of food crops.
• PM and its partners have proved their agricultural methods over many years.
• The company is now increasing its land mass to cultivate this crop on an industrial scale,
through direct plantation ownership, joint venture plantation development and out reach
farmer programmes.

The most amazing (and little-known) thing is the number of existing


biofuel users:
• You, because your car runs on biofuel, though you may not realise it! Since April 2008 all
petrol and diesel sold on forecourts in the UK has had at least 2.5% by volume of biofuel
included, and that increased to 3.25% for 2009/10. That was an EU directive which the UK
government never announced.
• Virgin trains ran a 6-month trial in 2007 using biodiesel. Although the test was considered
a success, Virgin has discontinued the use of biodiesel due to “difficulties in getting
sufficient supply”.

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What is Green Oil?


Derived from plants such as Jatropha Curcas, Palm and Oil nuts, and animals
such as fish and chickens, Green Oil can be vegetable or animal. It is a
renewable and sustainable fuel resource, which can be produced in large
volumes in any country in the world with a suitable climate and the agricultural
resources of land, labour and water.

It has been shown to stimulate local economies, replace imported fossil fuels in the power and
transport sectors, reduce the balance of payment deficits and improve the quality of life for many
Marginalised subsistence farmers.

Green Oil is:


• Environmentally friendly, bio-degradable, from petroleum-free sources.

• Grown above ground rather than recovered from underground.

• Almost carbon neutral when burned because of the carbon-absorbing effect of the trees and
soil on which it has grown

• Instrumental in reducing emissions by displacing the use of fossil fuels (coal, oil and gas) and
the cost of transporting them, as well as their associated greenhouse gases - a feature known
as avoided emission carbon credit generation

• Above all… renewable and sustainable

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What is Green Oil?


To make the world’s problem more acute, the supply of fossil fuels will one day
run out. Indeed, the remaining supply of crude oil is estimated to last just 42
years at current rates of depletion (Peter Sutherland, chairman of BP). And it’s
not just power.

Green Oil is also a direct (and higher quality) replacement for crude oil as a lubricant, producing
not just the environmental and sustainability benefits, but also better lubrication, allowing
machinery to run more efficiently and therefore last longer.

Green Oil - a commercially viable and


Sustainable alternative fuel

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Green Oil Benefits

For Investors For the Environment


• Annual returns of 29%+ • Carbon neutral fuel source
• Significant capital growth • Replacement for fossil fuels
• Tangible asset ownership • Reduces global warming
• No hidden costs • Does not displace food crops
• Liquidity – sell at any time • Safe to handle and transport
• Minimum purchase only £3,125

For Communities For Developing Countries


• Improved farming practices • Creates energy independence
• Grows on marginal land • Improves national balance of payments
• Value crop reduces poverty • Protects foreign currency reserves
• Stimulates local economy • Creates employment
• Guaranteed market for produce • Increases international stature
• Preserves family units

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Green Oil Programme


The Green Oil Trees programme is the entry level for individuals who want to
make a difference to the world as we know it and at the same time receive
a good return on their money. This programme should be for those investing
less than £15,625 (12,500 trees @ £1.25 each). Above this the recommended
investment should be a Green Oil Lease, as described later, which is the same
tree ownership but with the added benefit of a 99-year land lease.

Within the Green Oil Trees programme, you (as tree owner) receive 60% of the income for the
first 10 years, which amounts to 36.9p per tree per year - a 29.5% return on your £1.25 per tree
Investment. During the first two years there is a reduced level of return until the tree reaches full
maturity, but from year 3 onwards the full illustrated income is anticipated.

The oil yields may fluctuate, indeed we have biotechnology and best-practice methods to
potentially increase yields by as much as 40%, but for the purpose of these presentations we
have used The conservative average yields for average plants. These projections take no account
of oil price increases, however, so there may well be scope for further increased revenues.

From year 11, your revenue share becomes 30%. Although Your Initial investment has been repaid
with a handsome extra return, we want you to continue participating in our future success.

This equates to a 14.8% return every year for another 25 years.

Bear in mind, however, that the return is linked to crude oil prices and energy costs and is likely
therefore to be inflation beating.

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Green Oil Programme


There is one further consideration: you own the tree. Because this tree
generates revenue, it has greater value than the price you paid for it.

Should you wish or need to sell it at any time, PM operates a Secondary market to facilitate a
sale and thus provides you with liquidity for your asset. As you would expect, there are fees and
commissions associated with this sale, but they are not excessive.

Ownership is allocated to a specific tree in a specific plantation to which you will be given specific
title. The company decides on the location of the trees and these will be allocated on a first come,
first served basis.

Revenues are indicative and on a ‘best efforts’ basis. PM has structured the contract to reflect
a sensible and achievable Return on Investment. The additional benefits derived from the
considerable yield enhancement technologies and further product developments would be
expected to show increased revenues.

PM has been conservative in its revenue forecasts and, while there are no guarantees, historical
returns indicate that the investor returns quoted are achievable, sustainable and commercially
secure by agreeing in advance the off-take agreements for the produce.

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Investing in the Green Oil Programme


The Programme Manager’s Green Oil Programmes allow private individuals,
as well as corporations, banks and institutions, to participate financially in the
renewable energy sector in a commercial and sustainable way, while making
a significant difference to the environment and the alleviation of poverty.

Green Oil Programme

• In this programme, trees cost £1.25 ($2) each


• You can invest in this programme with Cash or via a SIPP
• You buy individual trees at £1.25 each, which are registered in your name.
You own specific trees to which you have full title.

The minimum investment is £3,125 ($5,000) for a 35 year term. Returns are:

Revenue return year 1 = 9.8%


Revenue return year 2 = 19.7%
Revenue return years 3-10 = 29.5%
Revenue return years 11-35 = 14.8%

The trees continue to earn until they die, which can be up to 50 years, though 35 is more
conservative. No capital appreciation is expected in this programme.

There are no maximum investments in the Oil Programme.


Return figures are no guarantee of future income, but are managements fair and conservative reflection of current yields and product values in today’s markets.

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Green Oil Programme Investment Examples


Sum No. of Year 1 Year 2 Years 3-10 Yrs 11-35
Invested Trees Return 9.8% Return 19.7% Return 29.5% Return 14.8%
£3,125 2,500 £307 £614 £922 per annum £461 per annum
£6,250 5,000 £613 £1,232 £1,844 per annum £925 per annum
£9,375 7,500 £919 £1,847 £2,766 per annum £1,388 per annum
£12,500 10,000 £1,225 £2,463 £3,688 per annum £1,850 per annum

The Programme Managers make a significant return during the entire term of your investment, as
the programme operates on a revenue shared scheme.

It is very important for the programme managers to keep your trees performing at their maximum
potential. The oil your trees produce will be purchased from you by the Programme Managers at a
fair market price.

• Returns are based on 1.5 litre of Jatropha oil per tree, per year
• For the first 10 years you will receive 60% of your tree’s annual revenue
• From years 11-35 you will receive 30% of your tree’s annual revenue

There are no set-up charges, no legal fees, and no annual maintenance


Return figures are no guarantee of future income, but are managements fair and conservative reflection of current yields and product values in today’s markets.

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Leasehold Programme
Within the Green Oil Lease programme, you (as lease owner) receive 50% of
the income for the 99-year life of the lease, amounting to £3,844 approximately
each year – a 24.6% revenue return on your £15,625 Investment.

The oil yields may fluctuate, indeed we have biotechnology and best-practice methods to potentially
increase yields by as much as 40%, but for the purpose of these presentations we have used the
conservative average yields for average plants to arrive at this return figure. As with Green Oil Trees,
Reduced yields of 8.2% in the first year and 16.4% in the second year are anticipated.

There are legal fees (about £500) for creating a lease and a small ground rent of £50 per lease per
year. There are no other costs and we undertake to keep healthy, producing plants on your lease
parcel for the full 99-year term of the lease. This will mean we replace all the trees on the lease
two times during the lease at no cost to you. The freehold of the land will be owned by either The
programme Manager, or a government where the land resides.

There is one other (extremely important) consideration. The Green Oil lease generates revenue,
which in itself creates value out of what was originally the marginal and in some cases valueless
land. Using simple, transparent accounting methodologies, the value of the lease will be seen to
increase over time – the result of capital appreciation.

Indeed, not only does this Green Oil Lease fit into a clear alternative asset class’, it quite likely
becomes an asset class in its own right.

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Leasehold Programme
It is in demand as a sustainable, renewable and environmentally friendly
‘Oil Reserve’ which has little risk to recovery of the oil and, through careful
application, reduces poverty considerably.

Should you wish or need to sell this lease at any time, PM operates a secondary market to
facilitate a sale and thus provides you with liquidity for your asset. As you would expect, there are
fees and commissions associated with this sale, but they are not excessive.

Ownership is allocated to a specific lease parcel with a defined number of trees incorporated into
the lease terms. This Green Oil Lease is then mapped by GPS and plantation grid references and
given specific detail within the freehold title.

PM defines the lease parcels available and the tree details therein.

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Investing in the Leasehold Programme


Leasehold Programme

•  In this programme you own not just the trees but also a 99 - year lease on the land where they
are growing.
• The minimum investment in the Leasehold Programme is £15,625 ($25,000).This buys a 99-
year Lease on a 5-hectare (approximately 12.5 acres) plot of land with 12.500 Jatropha trees
already planted.

You can invest in this programme with Cash or via a SIPP

Returns are: Year 1 = 8.2%, Year 2 = 16.4%, Years 3 – 99 = 24.6%

As well as income, it is expected that Green Oil Leases will produce capital appreciation, perhaps
as much as 200% within 3 years.

• T here is no limit to your investment, subject to availability.


• Although the typical life of a Jatropha tree is 35-50 years, the leaseholder will have all their
trees replaced at no cost to them, as and when necessary, to ensure a full 99 years’ return on
their investment.

Annual ground rent fee of £50 - One off lease initiation fee: £500

Return figures are no guarantee of future income, but are managements fair and conservative reflection of current yields and product values in today’s markets.

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Leasehold Programme Investment Examples


Sum No. of Years 1 Years 2 Years 3-99+
Invested Trees 8.2% 16.4% 24.6% per year
£15,625 12,500 £1,281 £2,562 £3,844
£31,250 25,000 £2,563 £5,125 £7,687
£45,750 37,500 £3,752 £7,503 £11,255
£62,500 50,000 £5,125 £10,250 £15,375
£78,125 62,500 £6,406 £12,812 £19,218
£93,750 75,000 £7,687 £15,375 £23,062

Because of the longer-term nature of this programme and the enormous potential for revenue
yield as well as capital growth, the minimum investment in the Leasehold Programme is £15,625.
This buys a 99 year lease on a 5-hectare (approximately 12.5 acres) plot of land with 12,500
Jatropha trees already planted. There is no limit to your investment, subject to availability.

The revenue share is clearly defined. What is not fixed or defined is how much green
oil your trees produce.

• As well as income, the leasehold investment can also produce capital growth. Indeed it is suggested
that (using the Crude Oil Lease Mineral Rights Model) the value of the lease could have trebled within
tree years. As well as oil, the trees produce fertiliser, latex and certain medicinal byproducts.
Return figures are no guarantee of future income, but are managements fair and conservative reflection of current yields and product values in today’s markets.

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Security of Your Investment


In the Green Oil programmes you are buying specific trees at £1.25 each and,
in the case of Green Oil Leases, you are also buying a 99-year lease on the
land in which those trees are growing (minimum 12,500 trees).

Long term off-take agreements ensure that every drop of oil produced by your trees has a willing
pre-contracted buyer.

You are not investing in equities, not looking for sales, not developing Intellectual Property rights:
You are buying specific assets, to which you have legal title, with a pre-determined role in a
successful, established business system.

Length of Ownership

The term of the Green Oil Trees programme is normally 35 years – The average life of a Jatropha
plant. Should any of your trees die before the end of the term, however, they will be replaced
free of charge so that a full 35-year term is achieved is as much in PM’s interest as it is in yours,
because we are developing a high-yielding oil asset where efficiency is critical.

Green Oil Leases are normally for 99 years, and throughout this period PM will maintain a stock
of 12,500 trees on each 5 hectare lease. This will require them to replace dead trees at least two
times during the lease term, which they will do at no cost to you, the leaseholder.

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Security of Your Investment


Location
PM has several plantations being developed at any one time. Your seedlings will be planted
within 30 days of your money clearing into the PM bank account and you will be notified of the
trees’ location, in the form of a title document (“Tree Certificate”) containing GPS references,
within three months of your purchase. In the case of Green Oil Leases, the formal Lease document
will contain all the appropriate details.

Ownership and Access


As the lease owner, you have full commercial and legal ownership of the lease and the associated
‘oil asset’ therein. Tree owners have ownership of just the oil asset – their trees. You will have,
within the Lease, the Purchase Agreement and Management Agreement documents, full access
rights to your trees. In addition, the company’s management will be available to you as required
during normal Working hours.

Should you wish to visit the region and see your trees for yourself, or If you have a friend in the
region and would like them to visit on your behalf, we would be delighted to arrange access. You
will also receive a physical certificate giving details of the trees you have purchased.

Why have private investors?


The company has achieved its current success without external capital. By inviting private
investors into the scheme it is able to grow quickly without diluting equity, broaden the
company’s marketing efforts through personal recommendation, and generate incremental profits
within the revenue share plan.

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The Programme Manager


Vision

• T o provide a sustainable, commercially viable alternative to fossil fuels that will benefit the
environment and can be produced in developing nations where energy demand and the
resulting pollution are at their highest but where the necessary financial resources do not
currently exist.

• To promote financial independence among marginal communities around the world by
supplying subsistence farmers with value crops that produce renewable energy from green oil.

• T o increase these communities’ standard of living, reduce outward migration and promote
entrepreneurship within a highly commercial, value adding and stature enhancing framework.

The Programme Manager (PM) is an English company.

It has joined with several other companies around the world, experts in the
biotech, plantation, power generation and biodiesel sectors, to lead the change
to Green Oil use.

Its current focus is on Jatropha Curcas plantations, growing and producing Green Oil. Plantations
have already been established in a number of countries Across Southeast Asia and Africa, and
new operations are constantly being added.

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The Programme Manager


• T hrough its group companies, PM has developed a viable value chain which extends from
initial seed planting through to power production, as well as use for transport, biodiesel
refining and bio plastics production.

• P
 M has also been instrumental in the creation of a global exchange – GREENDAQ ® – where
green commodities can be freely traded, adding liquidity to tree ownership.

• P
 M’s ‘Options and Choices’ programme, for CSR (corporate social responsibility) and
charitable donations, allows corporations and individuals to contribute to a poverty
reduction programme, where each £10 donated produces oil revenues of more than £200
for the charity over a 99-year period.

PM uses specialist plantation management companies to oversee their


local operations.

Using their experience and resources they provide PM with third party reporting on each
plantation, maintaining standards and preserving asset values.

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What is a SIPP?
You can transfer some or all of your existing personal pension funds into a SIPP.
It’s a simple process that can be done for you by an expert adviser and which
allows your investment in Jatropha trees to multiply tax-free within the fund,
should you choose to reinvest the revenues.

A SIPP – Self Invested Personal Pension – is a form of pension plan that allows you to
choose where your money is invested, rather than the more conventional type where a fund
manager invests it For you. You have total control. You can invest a lump sum, a regular sum
or transfer some or all of your existing plan(s), or a combination of some or all the above –
the choice is yours.

A SIPP is a defined contribution pension scheme. The amount of pension that is paid out to
the individual on retirement is dependent on the total value of money that has accrued from
contributions paid, whether by the individual or their employer, plus any returns gained from the
investments made with the contributions received under current UK Revenue Legislation.

As with all pensions, you get income tax relief at your highest rate for all contributions, so
that a higher rate taxpayer could invest £10,000 and get tax relief of £4,000 meaning that the
investment of £10,000 has only cost them £6,000. But all earnings within the fund are based on a
£10,000 investment. Not only are the contributions net of tax; all income and capital gains earned
by the fund are free of all taxes.

This makes the potential growth from compounding quite extraordinary.

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What is a SIPP?
And when you come to retire, aged 50 or more (55 from 2010 onwards), you can take out 25% of
your fund as a tax-free lump sum.

This is an ideal way to maximise your returns from Jatropha tree investments. Whether you have
one or more pension funds going back years from a previous employer, which can be transferred
into a SIPP, or whether you set up a new SIPP and make monthly, quarterly (or whatever)
contributions, you can re-invest each year’s returns to compound your gains.

Please ask your personal tax adviser or IFA to contact our suggested independent adviser who
knows our product well and can arrange the new and transferred SIPPS for pension customers.
PM does not offer or provide tax or investment advice. Please check with your local regulated
financial adviser or accountant.

Please note that UK Tax Laws may be subject to change and it is recommended that if in doubt
you should take independent financial advice.

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Jatropha Tree Investment Via A SIPP


Did you realise that you can transfer some or all of your existing personal pension funds into a
SIPP? It’s a Simple process that can be done for you by our expert advisers and which allows your
investment in Jatropha trees to multiply tax-free within the fund.

We have gone to great lengths to find an Independent Financial Adviser who is qualified
to set up SIPP investments.

He has a ready made and FSA-approved SIPP


structure in place.

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Current Operations
The company is already established in a number of locations with 32 million
trees either in Nursery operations (producing seedlings) or in full time oil
production.

Current operations include:

Asia
Thailand
Laos
Cambodia
Philippines

Africa
Senegal
Mali
Guinea

South America and Pacific


Honduras

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The Importance of Green Oil


Fossil fuels (coal, gas, petrol/oil) create greenhouse gases when burnt and this
is causing irreparable damage to our planet and its environment.

• T he supply of fossil fuels could one day run out: we Should be urgently looking for
replacement fuels from renewable power sources.

• W
 e are constantly held to ransom by politically unstable governments who just happen to
have huge reserves of fossil fuels under their ground.

• G
 iving money to the governments of poor countries, Then walking away, is an irresponsible
and ineffective way to eradicate poverty.

• W
 orld demand for energy (from whatever source) is forecast to increase by 65% between now
and 2030. But on a more positive note…

The technology to run transport and power generation on green oil already exists. Green oil from
the Jatropha Curcas plant is a direct replacement for crude oil products (specifically heavy fuel
oils) and has a very similar calorific content, better lubricating properties and produces vastly
reduced emissions.

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Green Oil as a Fuel


If all cars, lorries and trains ran on green oil, most of the problems listed on
the previous page could be eradicated. If a sufficient supply of green oil were
available, this could be done – the technology already exists.

Old negatives about the performance of green oil powered vehicles have been well and truly
swept away. The Lola entry into the 2007 Le Mans 24 hour race was powered by a Jatropha green
oil blend.

In the newspapers last month was a new British sports car, the Trident Iceni. Running on Pure
biodiesel it is capable of 200 mph and can go 2,000 miles on a tankful of fuel at 100 mpg. Clearly,
the technology already exists to build powerful motor vehicles which perform well on undiluted
biofuel.

Green oil is a biofuel which can produce energy without releasing a net increase of carbon into the
atmosphere, because the plants used to produce the fuel have previously removed CO2 from the
atmosphere.

In contrast, fossil fuels return carbon back into the atmosphere, having stored it underground for
millions of years. Biofuels are more nearly carbon neutral and therefore less likely to Increase
atmospheric concentrations of greenhouse gases.

Green Oil - vegetable oil harvested from plants – could play a crucial role in solving
many of the economic, ecological and political problems currently facing mankind.

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Green Oil from a Commercial Crop


The potential demand for green oil is beyond imagination. To replace coal, gas,
oil/petrol and nuclear as power sources would demand a supply volume that
could take generations to achieve. But that shouldn’t stop us making a start:
indeed, the process is already under way.

Many governments worldwide have set ambitious targets for green oil usage. The EU, for
instance, has a target of 10% of all diesel fuel sold at the pumps to be biodiesel by 2020.
To put that in perspective, their target for 2010 is 5.75% and current achievement close to
zero, so there’s still a massive opportunity.

There are a good few sources of green oil. It can be found in animals, such as fish and
chicken, and in plants such as Palm Oil and Jatropha Curcas Linn. The moral dilemma for world
governments, however, is that some plant sources will only grow in fertile soil, meaning that land
must be taken out of food production in order to grow green oil producing plants.

On a planet which has huge (though admittedly localised) food shortages, that
really is a dilemma. Food or money?

1. Jatropha Curcas Linn produces lower profits per acre than foodstuffs, so
farmers are not tempted to switch.

2. It grows best on soil which is not good enough to grow foodstuffs.

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Poverty and CSR


The target market for the PM Green Oil programmes is subsistence farmers,
those who have a pressing need to improve their quality of life and maintain
their family units. Even working on marginal land, they can benefit from the
Green Oil business and help provide solutions to their country’s energy needs.
Not only does this bring them significant financial rewards, it also confers on
them considerable social standing within their communities, some of which have
never before received any value-added farming support or investment.

The PM programme to help eradicate poverty and promote CSR (corporate social responsibility) is
known as Options and Choices.

As a PM Tree Owner (either in the Green Oil Trees or Green Oil Lease programmes) you will make a
difference to these people’s lives, perhaps even help to keep family units together.

By providing farmers in poor countries with seedlings, showing them how to tend them then
guaranteeing to buy the produce at a fair price, you enable them to literally grow themselves out
of poverty. With no hint of charity or hand outs, their self respect is greatly enhanced.

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Poverty and CSR


PM works closely with the Commonwealth Development Trust (CDT), a charity whose aim is to
reduce poverty through entrepreneurial schemes.

Our Corporate Social Responsibility programme (CSR) is a result of this collaboration.

PM can offer help to companies wishing to build their own CSR programme:

• It will have tangible value from the outset and make an immediate difference.

• It will be measurable and revenue generating.

• For every £1.25 invested, it will create £25 of oil revenue.

• US companies can invest tax-efficiently through the CDT 501(C)(3) programme.

• Bespoke programmes can be created to fulfill companies’ individual requirements.

Farmers now have the option - to make choices for themselves about how to build
their future life. The ability to make choices, to have choices to make, creates hope
for the future – a proud future based on work and enterprise.

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30 Sceptre

Energy Independence
PM works closely with a number of governments to implement
‘energy independence’ plans.

• M
 any of the countries with available agricultural resources are those most in need of a
renewable energy source – because they are the least able to afford current oil prices.

• M
 any of these countries have to pay premium prices to import and supply this key resource to
their economies; prices which are out of all proportion to their ability to pay.

• R
 e-direction of this large outflow of currency reserves into a domestically originated,
renewable fuel resource makes considerable financial and political sense. It will add
substantially to both the development of the nation as a whole and also to the building of
individual independence, as a result of this programme reaching the most needy –
The subsistence farmers.

Community revenues and economic stimulus are perhaps the most important issues for PM –
demonstrating the core values of this programme. The farmers make this happen by cultivating
a value added crop on their lands (or on our lands which they work for us) which ultimately
increases their income.
This improves their quality of life, producing a knock-on effect on the communities and therefore
the economy as a whole. If Tree Ownership were undertaken solely for a philanthropic reason,
this would be it – helping the less fortunate people of the world improve their standard of living
by sustainable, value-added farming.

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31 Sceptre

Environment
The demand for fuels in both the transport and power generation sectors is
growing significantly.

Forecasts of a 65% increase in energy demand by 2030, driven predominantly by developing


countries, are quite alarming (Source: International Energy Agency).

Governments throughout the world are setting targets for the reduction of fossil fuel use. The
European Union, for instance, is pushing for a 5.75% biodiesel content in all diesel fuels sold at
the pumps, by 2010, and 10% by 2020. This latter is linked to a target to have 20% of all energy
coming From renewable sources by 2020.

Crude Jatropha Oil (CJO) can be used directly to power agricultural machinery, and
to produce energy, without being refined.

The use of biodiesel or CJO reduces emissions by as much as 85%.

Arguably one of the greatest polluters is the airline industry. An initiative by IATA (International Air
Transport Association) is requesting a 10% biofuel content in jet fuel by 2017 which amounts to
200 million barrels a year. To grow that amount of Jatropha would require more than 10 million
hectares: and that’s just for a 10% content.

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32 Sceptre

Environment
Another factor in Jatropha’s favour is that it is a marginal-land crop: it can
grow on poorer quality soils which are less suitable for farming and should
not therefore displace food crops. This is reinforced by keeping the farmer’s
financial returns at or below that of the lower-yielding food crops available
to them.

This gives an incentive to retain their existing food crops and use Jatropha on the peripheral,
lower quality land and hedges as a revenue enhancement, not a replacement. Soil quality and
stability improves considerably as a result of using this tough plant, resulting in less erosion
and higher yields from inter cropping practices.

There is a further benefit for local farmers, in applying to their food crops the semi-intensive
farming practices used with oil crops. This technology transfer increases their food crop yields in
what has traditionally been a very low intensity farming regime, with no crop rotation and poor
fertiliser and pesticide applications.

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33 Sceptre

Future Growth
PM is growing at a considerable speed, and so is the demand for Jatropha. As you
would expect, PM has geared up for this. In Thailand alone there is more than
140,000 Rai (22,400 hectares) of land being made available to PM operations,
and in Cambodia our available land mass is more than 250,000 hectares. The
Philippines and just three of the African operations bring this total to almost
1million further hectares (2.5 million acres) for development with appropriate
approvals at the highest levels.

In reality, the land bank for the company provides for potentially decades of planting and
development and growing green oil resources. The economic and community benefits of this
programme are significant and meet the criteria for Socially Responsible Investments. The Green
Oil programmes create additional income for the farmers, thus raising their standard of living,
while the plantations are a high-volume employer creating more revenue in what is normally a low
income, marginalised sector of society. The UN calls this a ‘trickle down’ effect where the financial
rewards get to the people who most need them - the people on the poverty line.

PM has realised this goal of significant poverty reduction while creating a renewable energy
source for both power and transport sectors. This energy is, importantly for a developing nation,
domestically produced rather than imported, so there are significant balance of payments
benefits at a national level.

The Green Oil and by-products are pre-sold, through an off-take agreement, to Universal Green Oil
Limited (UGO), an international company in the Green Oil sector, so the exit is already assured.

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34 Sceptre

Future Growth
The price is linked to the Crude Oil prices, as the end products are replacing fossil
fuels which are a benchmark guide price. It is likely that price fluctuations will
benefit the returns already projected.

Whilst 1 million hectares sounds like a lot of land – in fact it will carry 2.5 billion trees – it needs
to be viewed in context. Everything to do with oil and power is huge; and difficult for us to
comprehend.

One million hectares will have the potential to produce 19.6 million barrels of oil a year.
But remember that the market for green oil comes from at least two different (and massive)
directions. First is the Kyoto environmental commitment where Countries have signed up to
reducing various polluting emissions by 2020. Second is the need to replace oil as it runs out: it is
claimed there is only 42 years’ supply remaining. Kyoto first. A 10% biofuel content in all fuel oils
would require 8.4 million barrels a day, amounting to 3,066 million barrels a year. 19.6 million is
just 0.6% share of that oil replacement.

The 10% target is fine, but in 42 years there could be no oil at all so the equivalent of 84.5 million
barrels a day will need to come from somewhere.

By having the land available for Jatropha plantations, CCF will be extremely well placed to satisfy
some of this demand.

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35 Sceptre

Support from the White House


Barack Obama, US president, brings a welcome breath of fresh air (literally) to
the international arena. His country’s somewhat dilatory approach to the global
warming issue has made it precious few friends in the recent past.

Specific Obama policies, which will raise international awareness as well as


tackling the USA’s problems include:

• R
 educe Carbon Emissions to halt climate change Global climate change is the most important
environmental issue facing the planet today. Obama supports Implementation of a market-
based cap-and-trade system to effectively reduce carbon emissions 80% by 2050.

• L ower the amount of carbon in our fuels Obama will establish a national low carbon fuel
standard requiring petrol companies to reduce the carbon in motor vehicle fuels 10% by 2020.

• I nvest in Renewable Technology Barack Obama will require that 20% of the electricity
consumed in the US is derived from clean, sustainable energy sources.

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36 Sceptre

How do I Invest In Jatropha?


Once you have decided to invest in Jatropha, just contact us with the
programme you wish to invest, the amount and the method. Please remember
you can invest with cash or via a SIPP for Tax Free returns. We will send you the
Purchase Contract and Terms and Conditions so you can read, sign and send it
back to us.

Funds will be sent directly to the Programme Manager’s account. Once funds have been received,
your trees will be identified and allocated to you within 30 days. You will receive a certificate of
ownership with the GPS location of your trees.

Your income is then paid to you twelve months later and every twelve months thereafter during
the currency of your agreement.

In the Leasehold programme, you will be asked to complete some forms and send a cheque for
your investment. The legal formalities of creating a lease and assigning it to you take about 5 – 6
weeks, whereupon your documents will be issued to you.

You should allow £500 for one-off legal fees to create the 99-year lease Income is paid to you in
arrears every twelve months, though it may be possible with the Leasehold programme to pay
this half-yearly once the tree has reached full maturity.

Call +44 (0) 845 229 4646 today or go to www.SceptreInternational.com

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37 Sceptre

Frequently Asked Questions


1. What happens if my trees die, or are ravaged by disease or an act of God?
All trees will be replaced up to the minimum term of 35 years at no charge to the tree owner.
The programme manager will replace all dead or low yielding trees and any which become
unproductive due to factors beyond normal control, including but not limited to political,
agricultural and weather risk.

2. Who buys the end product?


The programme manager has established and developed the markets so they sell energy and not
oil. The energy is usually sold to the grid, principal outlets, blue chip and established companies
(if they manage energy distribution) or in some cases, governments.

3. What happens when I have completed the application form and purchased
my trees?
You will be required to complete a Purchase Management Agreement and this, along with your
application form and investment amount, will be forwarded to the programme manager. You will
be allocated a Tree Account Number and, within 30 days of receipt of cleared funds and signed
Purchase Management Agreement, you will be issued with a Tree Certificate which recognises the
trees’ birthday. Newsletters and updates will be provided regularly and your revenues will be paid
to you at the end of each year, following your trees’ birthday.

4. Can we choose which country we have our trees in?


This isn’t possible as some of the programmes are fully subscribed.
Returns are similar throughout the plantations.

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38 Sceptre

Frequently Asked Questions


5. How likely is it that I will be able to re-invest my returns in the future?
The programme managers are constantly scouring the world for land which will be suitable for the
Jatropha programmes. There will be availability in the future but it is difficult to set timeframes
due to the ever growing popularity of the programmes.

6. How does the programme benefit local populations?


It is very empowering for local farmers as there is no sense of charity. They are given the
seedlings, shown how to look after them and the programme managers agree to purchase the
fruit produce from them at the end of the year. The pricing element is critical. The programme
managers pay less than food crop returns so they don’t displace these primary food crops.
Jatropha is placed as fencing or peripheral land crops.

7. What is the background of the programme managers?


The Executive Chairman and Co-Founder has built several multi million dollar sales operations
including the design, implementation and roll out of a webbased, multi-outlet international on-
line brokerage operation which was sold into a US small-cap public company for which he was
a CEO and director. This public company had an independent subsidiary oil company of which
he was also CEO for a period and upon this industry knowledge was founded the Green Oil
operations. He has worked as an independent business consultant for the last three years.

The principal role has been the commercialisation of companies within the emerging carbon
markets and renewable energy sectors including plantation management, carbon consultancies,
and biodiesel and bio-plastic processing.

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39 Sceptre

Frequently Asked Questions


It is through the shop floor experience and detailed financial, market and product analysis and
comprehension that this business has been built and driven forward into the market, allowing an
entry point and solid career path for the public, corporations and institutions into the renewable
energy sector and emerging markets – a truly commercial and sustainable business which
positively impacts on the environment, people less fortunate than us and
everyone working with us.

8. What would happen if the programme managers were made bankrupt?


The purchase of trees is an ‘Alternative Asset’ class purchase: the tree owner literally owns the
tree which is oil producing and therefore valuable. The programme manager works alongside two
other project management companies who are positioned to not only Bring their expertise to bear
but are also ideally positioned to continue to manage operations should the programme manager
become insolvent. In reality, the critical question is whether they will go bust. Every part of the
business generates revenue and all the overheads, except for a small proportion, are performance
related. Let’s take the oil tree for instance.

We know from the Nursery Programme that the seedling has a value of 4p. The programme
manager charges £1,25 for this and gives a very secure return of 20%, with the balance of the
money being used for sales fees, irrigation, fertilisation and operations including farmer costs for
the first two years while the crop comes to capacity.

This means they have almost no risk on execution of business plan and more than sufficient
revenue to meet overheads as it is all pre paid.

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40 Sceptre

Frequently Asked Questions


They also have security through the farm exit price for the Green Oil as the programme manager
owns the value chain through the biodiesel and power production processes which significantly
enhances the revenue per litre. They have a target production of about 9 to 10m litres this year,
which is more than D1 Oils.

Every part of their business runs like this with carefully budgeted operations and lots of ‘concrete
wellies’ – conservatism. It is also important to reiterate that they do not sell Green Oil, they sell
energy, be it Biodiesel or electricity, which clearly has a huge market and considerable demand to
sell into.

9. Some of the plantations are not in the most politically stable areas. What
safeguards are in place to ensure the local Populations reap the financial rewards
as opposed to the governments?
The UNFCC call this the trickle down effect – how do you get the money to the farmer! Simply
put, we pay the farmer for the fruit. Issue solved. We control the profitability of each plantation
(operational costs vary obviously between countries) and one of our drivers is to ensure some of
this profit is fed back into the communities. We control all of this.

10. This scheme appears to be the ‘perfect’ investment, but what guarantee do I
have that my pension will be safe if I invest it in Jatropha trees?
If we were to analyse the word ‘safe’ today, I suspect we would come up with a very different
descriptive to one only a few months ago, particularly if we banked with an Icelandic bank.

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41 Sceptre

Frequently Asked Questions


Are the Project Managers professional and serious – yes; Is the Product being sold into a market
with considerable demand – yes; Is there Considerable political, commercial and environmental
support for the product – yes; Is there an alternative to undermine the compelling commercial
story for Jatropha – no. We guess the 64 million dollar question is ‘will this change’ – and destroy
the value in the pension? We believe not. We believe this is a ‘core wealth’ opportunity. Why?
Because crude Oil mineral rights have considerable value and this will continue as long as heat
engines or plastics, paints etc are used.

Green Oil mineral rights – Jatropha plantations – are equally if not more valuable as they have
really no declining oil reserves, are renewable and are attached to considerable community,
commercial and political reasons for continued use. But we think the clincher for us is that this
Green Oil is really the driver to the energy value chain which we create.

We sell energy, not oil. And energy demand is on the up. Not only that, point us to any energy
source that can create electric, lubricate and power transport and power production or even
produce oil based plastics? How much, assuming there is one, would this cost to replace an
energy resource that is almost self funding?

The biggest risk to your money is the failure of The Project Managers or the failure of the country
within which your plantation trees are held. Dealing with this in reverse order, if your trees die,
drop in yield or there is a ‘force majeur’, we replace them or transfer ownership to other trees
in other countries if necessary. The Programme Managers failure is very unlikely: we have a
growing base of oil trees ourselves and operate on costs being met from production with very

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42 Sceptre

Frequently Asked Questions


few fixed costs. However, should we fail, the plantation management companies who operate
our plantations can step in to take over the management and continue generating revenues for a
green oil product with a global market demand.

Additionally all the refineries are operated on a ring fenced BOO (Build,Own and Operate) basis,
so are independent from any commercial failures within the value chain.

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43 Sceptre

Legal Disclaimer
Sceptre Group Ltd is a company offering trees for sale in its Green Oil Programme. It is offering
these trees on a ‘best efforts’ basis and the information supplied within this proposal reflects
management’s fair judgment of the returns, the mechanics and the commercial markets of the
project at the time of writing.

All tree owners should undertake their own independent market and opportunity due diligence as
no warranties or guarantees are implied, stated or in any other way put forward by the company.

As with all purchases, there are risks and these risks are at the sole risk of the purchaser of
the trees.

The Programme Manager is a company of Good Standing and with a management team with many
years of expertise in this new energy sector. This does not warrant that the company will be a
success or that any investment is not liable to loss.

Management will undertake wherever possible, best business practices to ensure that any initial
purchase capital is protected and that the income from the sale of the produce is forthcoming in
the agreed time frames and under the agreed terms.

Any purchaser shall hold harmless the directors and management of except in the case of
gross negligence.

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Contact us for more information

Sceptre is the trading name for Sceptre Group Ltd, a Gibraltan registered company 100855
Suites 2 & 3, 1st & 2nd Floor, ICOM House, 1/5 Irish Town, Gibraltar.
Tel: + 350 200 428 66 Fax: +350 200 428 67
www.SceptreInternational.com

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