Add your company slogan Heating longer

“ Add your company slogan ” “Heating longer for less” AQUAESTUS www. aquaestus. com ® info@aquaestus. com LOGO

Outline Your Investment: £ 250 k with 30% equity in Aqua. Estus Return: You will recieve an 11 fold return of £ 2. 8 m after 3 years Our product, Bio-Ad Latest in energy conservation technology Easy to use Only product of its type in the market Savings: reduce your utility bills up to 37% In accordance with legislation concerning energy efficiency IP protected Field tested CE Marked The market Potential market of £ 2. 7 bn in the UK alone

Aqua. Estus – The Team Dr. Jennifer Hannant Dr. Jonathan Pate Mr. Andrew Pike Mr. Miguel Galindo Dr. Jennifer Hannant Dr. Jonathan Pate Mr. Joe Hedley Marketing Director Mr. Miguel Galindo Technical Advisor Mr. Andrew Pike Marketing Director Operations Director Managing Director Financial Ph. D Law Director Technical Advisor MSc Chemical Engineering BMA Award 2008 Best Marketing Project 6 Years Experience in SME Investment Newcastle University in Process 7 Years Estate Development and Real Experiencein Industry Development 5 Years Experience Senior Lecturer in Biochemistry Production Director Operations Director Financial Advisor

Product Concept: BIO-AD Biodegradable Oscillating biochemical HOT COLD IP position easy to add Radiator cooling curves BIO-AD AQUAESTUS Noncorrosive Durable for approximately of 2 years No need to drain the system

Market Opportunity £ 7 k installation BIO-AD PRO £ 150 installation £ 25 installation £ 5 k installation £ 150 installation Cost – over £ 12 k to install Savings ~ £ 950 a year AQUAESTUS Price - £ 45 every 2 years Savings ~ £ 400 a year

Primary Market Size In 2008, housing accounted for 30. 23% of all energy use in the UK 20 million homes Target market <1% Market size 90% contain central heating systems through residential alone True market opportunity is 18 million home owners 18 million homes at £ 45 per unit = £ 810 million

Route to Market Commercial and Public Sectors • The UK’s 2 nd largest supplier of heating and renewable energy. £ 2. 7 bn Builders Merchants • Based in Newcastle they fit more than 50, 000 energy efficient central heating systems across the country every year. £ 810 M Residential • A wide range of clients. • AQUAESTUS have a 1 year exclusive pre-contract £ 8. 1 M agreement. Year 1 Year 2 Year 3

Finance: Equity Share At year 3 annual profit = £ 1. 9 m Aqua. Estus valuation = £ 9. 5 m Exit : Trade Sale Your return on £ 250 k = £ 2. 8 m

Aqua. Estus Next Step Production of 10. 000 units of Bio-Ad £ 300 k Securing IP £ 15 k Salary of 3 full time staff Establishing distribution network £ 15 k Overheads Market Assessment / Consultancy £ 50 k £ 650 k Sales = £ 450 k 1 st year £ 100 k £ 30 k Development £ 140 k Debt = £ 200 k 1 st year YOUR INVESTMENT £ 250 K

Pounds (£k’s) Projected Profit vs. Sales 10, 000 units 40, 000 units 90, 000 units

Pounds (£k’s) Projected Profit / Loss Scenario

Shoe String Testing BIO-AD Independent Test (CIM) in 150 houses voluntarily over a period of 1 year; • Results confirmed savings up to 37% on utility bills • The case study also showed ease of use and installation • 93 % tested houses would buy it Accelerated tests indicated that BIO-AD life cycle is 2 years for optimum performance

Cost of Production / Distribution COST (£) Warehouse distribution centre in UK Local Production UK Transfer Period 1 1 L cost = £ 30 Production overseas Germany / Romania 2 1 L cost = £ 15 3 Year

Beyond Year 3 EXPANDING HUMAN RESOURCES OUR COMMITMENT TO R&D MARKET DIVERSIFICATION

“Heating longer for less” “ Add your company slogan ” LOGO

Aqua. Estus First Steps INITIAL INVESTEMENT £ 80 K £ 50 K Business Angel, A. Pike £ 30 K Personal Investment £ 10 K each Patent filed Feb’ 2008 Legal Support Product development PCT application Feb’ 2009 Marketing Research In-house testing CE Marking External validation

Year 1 Year 2 Year 3 Conservative case 10000 units £ 45 = £ 450000 25000 units at £ 45 = 1125000 72000 units £ 40 = £ 2. 9 m Production cost £ 30 per unit Production costs £ 20 per unit Production costs £ 15 per unit = £ 300000 = £ 500000 = £ 1080000 Salaries 100000 200000 Overheads 30000 R&D 140000 210000 260000 Distribution 15000 40000 50000 IP 15000 Travel 20000 30000 Market/consultancy 50000 70000 sum 370000 495000 655000 profit -220000 130000 1165000 7 -fold return

Year 1 Year 2 Year 3 Expected case 10000 units £ 45 = £ 450000 40000 units at £ 45 = 1800000 90000 units £ 40 = £ 360000 Production cost £ 30 per unit Production costs £ 20 per unit Production costs £ 15 per unit = £ 300000 = £ 500000 = £ 1080000 Salaries 100000 200000 Overheads 30000 R&D 140000 210000 260000 Distribution 15000 40000 50000 IP 15000 Travel 20000 30000 Market/consultancy 50000 70000 sum 370000 495000 655000 profit -220000 805000 1865000 11 -fold return

Year 1 Year 2 Year 3 Best case 10000 units £ 45 = £ 450000 units at £ 45 = 2250000 120000 units £ 40 = £ 4800000 Production cost £ 30 per unit Production costs £ 20 per unit Production costs £ 15 per unit = £ 300000 = £ 500000 = £ 1080000 Salaries 100000 200000 Overheads 30000 R&D 140000 210000 260000 Distribution 15000 40000 50000 IP 15000 Travel 20000 30000 Market/consultancy 50000 70000 sum 370000 495000 655000 profit -220000 1255000 3065000 18 -fold profit