1095 Evergreen Circle, Ste. 200
The Woodlands, TX 77380
281-210-0063
www.benchmarkenergy.net
Who is Benchmark Energy?
• Publicly traded company
 Ticker symbol BMRK
• Trade glycerin into fuel markets
• How it started –
 Started by Ben Yantis and Mark Bateman in
2009 as Energy Partners LLC
Energy Partners LLC
• IRS 637 Registration
• Originates glycerin for Benchmark Energy
Corp.
• Completely merge with Benchmark
January 2012
BenchMark Energy Operations
• What we do
–What is a Bunker Fuel?
–Glycerin as a Bunker Fuel
Alternative Fuel Incentives
• The IRS 637 Registration
Glycerin
• Glycerin is a co-product from the
production of biodiesel.
• Industrial glycerin or glycerol
Advantages
Increase BTU at lower cost
Cleaner burning
Reduction in greenhouse gases
BIODIESEL PLANTS
Benchmark Energy
Future
Where are we
Going?
BenchMark Energy Corporation
and Energy Partners LLC
January 1, 2012 BenchMark Energy Corp
and
Energy Partners LLC merge into single entity
Refinement Plant
• 10 MGY Plant in Grand Forks, ND
• Unrefined Glycerin
– MONG
– Methanol
– Biodiesel
– Glycerin
– Water
Typical Breakdown of Crude Glycerin
Processed Glycerin Co-Products
Based on our research and analysis, 10 Million
Gallons a year (MGY) of industrial (crude) glycerin
will yield the following:
Refined Glycerin
6 MGY @ $.95
$
5,700,000
Biodiesel
1.45 MGY @ $3.50
$
5,075,000
MONG
1.45 MGY @ $3.50
$
5,075,000
Methanol
1 MGY @ $1.25
$
1,250,000
TOTAL Annual Revenue
$ 17,100,000
Refined Glycerin (95%)
• “Clean” or pure glycerin has more
than 1500 uses in day to day
living.
• 6 MGY from Grand Forks, ND
plant
Uses of Refined Glycerin
•
•
•
•
•
BTU Enhancement
Antifreeze
Dust Control
Plastics
Lubricants
•
•
•
•
Cosmetics
Soap
Skin Softener
Animal Feed
Gross Profit Margins
• Broker Crude Glycerin approximately 23%
• Sales of Processed Glycerin approximately
50%
Current Daily Operations
Energy Partners originates fuel for
BenchMark Energy
(IRS 637 Registration)
BenchMark Current Customers
of Unrefined Glycerin
•
•
•
•
•
•
UND – 1 million gallons next 8 months
Carmeuse – 4.5 million gallons per year
Behm Oil
TJ’s Oil
Eastside Oil
others
University of North Dakota
• Coal power generation concerns
• Glycerin
• Our Agreement
• Paid $3250 per semi load
• Baseline Costs $2300 per semi load
including trucking & purchase price
• Gross Profit $950 per truck
• Volume 75,000 gallons per month
EPA Regulations
EPA has determined that power plants that
burn 15% renewable fuels are EXEMPT
from
EPA Boiler House emission requirements
Current Operations
6 Million Gallons Glycerin for use on
coal as a BTU enhancement
Financial Projections
Gross Revenue
Sept. 30, 2011
(1.5 mos. )
Sept. 30, 2012
$
$
6,660,000 $
$
1,200,000
52,466
Sept. 30, 2013
Sept. 30, 2013
15,000,000
$ 40,000,000
5,390,000
$ 12,000,000
** EP FYE
$
234,195
EBITDA
($
EBITDA %
38,740)
N/A
18%
$
36%
**Benchmark acquired 49% of Energy Partners on August 12, 2011.
30%
Growth Company
Three year projections
Growth Company
Three Year Plan
Three Operational Plants
25 Million Gallon Year
Annual Refining Capacity
Adding Value
10 million gallons of Unrefined Crude Glycerin
Methanol
MONG
Biodiesel
Water
6 Million gallons Refined Glycerin
• 3 million gallons
Technical Grade
Glycerin
• 3 million gallons
“Bottoms”
Added Value Projections
3 Million Gallons
Technical Grade Glycerin
3 Million Gallons Glycerin
“Bottoms”
$2.45 per gallon
$0.95 per gallon
Business Plan Highlights
• Fiscal Year End is September 30
• Acquire remaining 51% of Energy Partners,
January 2012
• Raise $10 M by end of 1st calendar Quarter 2012
• Acquire an operational Biodiesel Plant
March/April 2012, capacity = 4MGY
• Build North Dakota Plant, operational 1st calendar
Quarter 2013, capacity = 10 MGY
• Build Houston Plant for medical grade Glycerin,
operational 3rd calendar Quarter, 2014
Capital Raising Campaign
$10 Million Goal
Use of Funds
Anticipated Use of Proceeds
•
•
•
•
•
Property
Plant
Equipment
Acquisition
Working Capital
$ 350,000
$3,500,000
$3,200,000
$1,500,000
$1,450,000
Financial Structure
• Authorized Common Stock 70,000,000 shares
• Current Shares Issued and Outstanding,
21, 298,121 shares
• Post – $10 M Funding 41,298,121 shares of
Common Stock Issued and Outstanding
• 100 Shares of Series A Preferred Stock Issued
and Outstanding
• 100 Shares of Series B Preferred Stock Issued
and Outstanding
Conclusion
• Benchmark is utilizing a co-product of Biodiesel
production as an alternative fuel
• The Company is operational and has existing
contracts
• Strategic Partnership with the University of North
Dakota, in discussions with North Dakota State
• Benchmark has retained Hinton, Kreditor and
Gronroos LLP as its SEC auditors
• The Company is moving forward with its business
plan