Ann: CFOAM - company presentation, page-16

The folks that keep mentioning about CR, not sure they are too lazy to read or too ignorant. It was just beyond me...

CFO has also made significant progress in the development of a formalised strategic production platform growth plan, including a clearly-defined phased capital expansion program. Detailed engineering has already been developed and procured for the first two Phases of the program:
a) Phase 1: Capacity expansion from 10,000cft/year to 25,000cft/year. Approximate $US2.2 million capital cost and a 10-month lead time (non-dilutive, non-equity funding already secured). Upon post-Phase I completion, at-capacity revenue is expected to be over $US8 million - with upside.

b) Phase 2: Capacity expansion from 25,000cft/year to 70-80,000cft/year, Approximate $US12 million cost and a 12-month lead time (can be run close to parallel with Phase 1 - non-dilutive, non-equity funding to be secured). Upon post-Phase 2 completion, at-capacity revenue is expected to be $US24 to 28 million - with upside.

c) Phase 3: Large production capacity scale-up to at least an additional 150,000cft/year (bringing total capacity to circa-225,000cft/year). Greenfield or brownfield site will be identified, 24-30 month lead time (non-dilutive, non-equity funding to be secured). Upon post-Phase 3 completion at-capacity revenue is – initially - expected to be of the order of $US80 million - with substantial upside