NOVEMBER 2008

BioGold Fuels enters contract for MSW facility in Kansas

BioGold Fuels Corporation announced that it has entered into a Resource Recovery System Agreement with Harvey County, Kansas to process the County’s municipal solid waste, tires, and any other waste that BioGold agrees to process. The waste will be delivered to the BioGold refinery facility it plans to build in Harvey County. BioGold is negotiating a contract with ICM, Inc. to design and build the facility, which will be located on Harvey County’s existing closed landfill.

BioGold will receive $35 per ton of waste it receives for processing from Harvey County, which is currently estimated at 33,500 tons per year. In addition, BioGold can bring in additional waste from neighboring counties. The agreement is for a 30 year term with options for 4 additional ten year extensions. The agreement also includes a lease for approximately 32 acres of land, the county’s existing transfer station, and eleven pieces of the county’s waste processing and hauling equipment and vehicles for one dollar per year ($1.00). After five years, BioGold will annually pay Harvey County five percent of its net profits from the sale of products made on site to the County. BioGold plans to sell engineered fuel cubes, synthetic diesel fuel, and organic chemicals that will be made from the processed waste.

Said BioGold’s CEO, Steve Racoosin, “We believe that the amount of waste that ends up having to be dumped in a landfill will be reduced by 85 to 90%. The County, its administration, and its commissioners are very pro-active in searching out green alternatives.”