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Natural Gas for Transportation:The Secret Is Out

Mason Ecker, Business Development ManagerFlorida

March 17, 2010

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Clean Energy

Largest provider of vehicular natural gas (CNG & LNG) in North America– 100+ million gallons sold during 2009

Full service– Design, Build, Operate & Maintain

Stations– Fuel and Fleet Marketing– Vehicle Grants (Awarded over $150

Million)– Financing

Operating Territory – 190+ stations– 16 U.S. States– 20 Airports

Publicly-traded as CLNE on NASDAQ– Fuel 17,000+ customer vehicles daily

Why Natural Gas for Transportation?

• Cheaper– Costs average between

$0.50- $1.00 less per gallon than gasoline

• Cleaner– Cleanest burning fuel

available– Reduces GHG emissions

by up to 30% and NOx emissions by 85%

• Domestic– 98% domestically

produced– Gallon per gallon

displacement of foreign oil– 150 year supply

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Average Retail Fuel Pricing

Economic Considerations – What Percentage of Your Budget is Related to Fuel Costs?

According to the US Energy Information Administration the spread between natural gas and petroleum is forecasted to increase in the coming years; fleets using natural gas will have a competitive advantage over those using gasoline.

Pricing is based on gasoline gallon equivalent of CNG (inclusive of commodity and compression fee)

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NGVs Produce Significantly Less Smog and Soot

N0x Reduction: Less SmogN0x Reduction: Less SmogN0x Reduction: Less SmogN0x Reduction: Less Smog≥85%

0-25% 10-15%

-5-0%2-6% 0-3% Minimal

PM Reduction: Less SootPM Reduction: Less SootPM Reduction: Less SootPM Reduction: Less Soot

≥90% w/Cat

50-65%

15-20%

35-40%

~20%

>85%

~20%

Greenhouse GasesGreenhouse GasesGreenhouse GasesGreenhouse Gases

O C O

23% GHG reduction compared to diesel fuel

30% GHG reduction compared to gasoline fuel

CEC’s Well to Wheels Study

Source: South Coast Air Quality Management District 2007 Air Quality Management Plan Summit Panel

Natural Gas PM Traps forDiesel Engines

Diesel Emulsions Biodiesel (B20) OxidationsCatalysts for

Diesel Engines

Low Sulfer Diesel Ethanol Blends

Natural Gas NOx Treatmentfor Diesel Engines

Diesel Emulsions Ethanol Blends OxidationsCatalysts for

Diesel Engines

Low Sulfer Diesel Biodiesel (B20)

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NGVs Are a “Good Fit” for Many Fleet Applications

Local/State Government– All Depts.

Airports– Terminal Buses, Hotel/Parking Shuttles,

Taxis, Door-to-Door Refuse

– Collection/Transfer Transit

– Buses, Maintenance, Supervisors School Districts

– Buses, District personnel, Maint. “Short-Haul” Delivery

– Food & Bev., Port-Rail, Linen Svc, Utilities

– Gas/Electric/Water, Communications

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Available Natural Gas Engines and Vehicles

Altech-Eco (Ford)− 2.0L Focus (bi-fuel and dedicated)− Expected to announce Fusion cert

any day

American Honda – 1.8L Civic GX (dedicated)

BAF Technologies (Ford - dedicated)– 4.6L Crown Vic/Gr. Marquis/Town Car – 5.4L E250/350 vans; F150/250/350

p.u./SUVs – 6.8L E-450 cutaway

Baytech Corporation (GM)– 4.8L Vans, pick-ups (bi-fuel and

dedicated) – 6.0L Vans, p.u, cutaways,

W3500/4500 CF, Isuzu NPR/HD, Workhorse W42 (ded./bi-fuel)

– 8.1L C4500-8500 Topkick; Workhorse W62

FuelTek (Ford)– 5.4L E150/250/350 vans and E350

club wagon; F250/350 p.u. + C/C (bi-fuel)

• IMPCO (GM)− 3.5L , 3.9L Impala (bi-fuel)− 4.8L G series vans (bi-fuel)− 5.3L Tahoe, Avalanche,

Suburban Suburban, Yukon, Yukon XL, pick-ups

− 6.0L pick-ups and G vans (bi-fuel)

• NaturalDrive (GM)− 3.5L, 3.9L Impala (dedicated)

• Cummins Westport– 5.9L “B Gas Plus” – 195-230hp

(Shuttles, sweepers, work trucks)

– 8.9L “ISL-G” – 250-320hp (Refuse, bus and work trucks)

• Emission Solutions Inc.– 7.6L Phoenix NG – 175-300hp

(re-power Int’l DT466, MaxxForceDT)

• Westport Innovations Inc– 15L “GX” – 400/450hp

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Product Availability

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Clean Energy Stations

City of College Park, Atlanta Hartsfield Airport

Phoenix Sky Harbor (Eastside Station)

Los Angeles International Airport

Dallas Fort Worth

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CNG Time Fill

CNGTime Fill

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Fast Fill & Time Fill DispensersD

isp

en

ser

TIM

EFIL

L

FASTFILLDispenser

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Significant Fuel Savings per Vehicle

$4,422

$6,633

$9,344$10,656

$12,898$14,320

$8,340

$14,016

Estimated Annual Fuel Cost SavingsEstimated Annual Fuel Cost SavingsEstimated Annual Fuel Cost SavingsEstimated Annual Fuel Cost Savings

Taxi(CNG)

Shuttle Van(CNG)

RefuseTruck(LNG)

MunicipalTransit Bus

(LNG)

RefuseTruck(CNG)

MunicipalTransit

Bus(CNG)

* Includes Vehicle Tax Credit

Class 6/7 Trucks(CNG/LNG)

Class 8 Trucks(LNG)

Incremental Cost*$0-

$3,000 $6,500 $6,000 $6,000 $6,000 $6,000$8,000 $18,000

Annual Fuel Usage (Gallons) 6,000 7,500 11,120 16,680 11,120 16,680 8,340 16,680

Comparison Fuel Gas Gas Diesel Diesel Diesel Diesel Diesel Diesel

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Federal Tax Credits

President’s Energy Bill President’s Energy Bill Tax Credits Effective January 1, 2006Tax Credits Effective January 1, 2006

President’s Energy Bill President’s Energy Bill Tax Credits Effective January 1, 2006Tax Credits Effective January 1, 2006

GVWR < 8,500 lbs= $13,800 ($4,000)– Honda Civic, Ford Crown Victoria, Chevy Astro, GM SUVs

GVWR 8,500-14,000 lbs= $16,000 ($8,000)– Ford F-150, 250, 350 Sierra/Silverado pickup,

Express/E350 van

GVWR 14,000-26,000 lbs= $18,000 ($20,000)– Ford E450 or GM 8.1L shuttle bus

GVWR > 26,000 lbs= $40,000 ($32,000)– Dump Truck, Refuse Truck, Transit Bus, Street Sweeper

Will cover a certain amount (up to 80%) of the incremental cost for each dedicated natural gas vehicle based on

vehicle’s GVWR

(Gross Vehicle Weight Rating)

Summary and Next Steps

Fuel Diversity is the Solution to: – Reducing our GHG emissions – Increasing our energy independence– Sheltering operating budgets from $4 per gallon

fuel and saving significant fuel costs

Natural gas can play a key role in: – Reducing operating costs– Meeting emissions reduction policies

Strong partner in Clean Energy – Turnkey CNG fueling– Design, build and operate station– Low, stable fuel price option– 24/7/365 maintenance– Secure grant funding for fleet replacement

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Contact Info

Mason Ecker

Business Development Manager, Florida

Sanford, FL

(407) 697-2943

mecker@cleanenergyfuels.com

www.cleanenergyfuels.com