[Scotsman]

I sent an e-mail to Coskata regarding the issue last night, and a surprise in my e-mail "box" this morning...

My question:

Hello, First, I'd like to say I'm very pleased with the possibilities Coskata presents us in the form of Cellulosic ethanol production for the masses. However, there have been recent reports issued by scientists regarding pollution produced in ethanol production being even higher than CO2 emitted by cars (correct me if I'm wrong?). Thus limiting the proposed benefits of ethanol as an alternative fuel choice. What is Coskata's response to this? Thank you,

Coskata's reply:

*****-

Thank you for your interest in Coskata.

While we have not formally responded to the recent reports, particularly the recent Science article regarding the CO2 effects of ethanol, here are a few points to take under consideration:

1) The recent report in Science, and the associated article in the NY Times, noted the impact of land use changes as a significant source of CO2 production. In this case, destroying rain forests to grow corn for ethanol would result in a damaging CO2 balance. While we have not verified these assertions, we are certain that our technology need not rely on feedstock sources that require significant land development. One of our technologies' advantages is that we can make use of existing material sources (including MSW and agricultural waste products) to produce ethanol.

2) Our GREET analysis performed by Argonne National Labs that showed at potential for up to 84% decrease in CO2 emission compared to gasoline was very comprehensive in its scope. We are confident that this evaluation was sound and correctly reflects our prospective operations.

We hope you will continue to follow Coskata as we make progress toward the large scale production of affordable and efficient ethanol. We will begin to announce our projects over the coming months at www.Coskata.com.

Thank you again for your interest.

Best Regards,

Coskata, Inc.