A.C.N. 120 710 625

09 September 2011 Dear Shareholder, It is with great pleasure that we write to you and provide a summary of our business to date and where our immediate, medium and long term aspirations and focus will take our company as we continue our mission to deliver clean energy solutions in a future carbon constrained world. Since listing in February 2008 we have experienced an unparalleled period of change from the economic turmoil of the global financial crisis to the changing domestic political landscape and resultant uncertainty about what to do in light of increasing emissions domestically and internationally. One constant that we believe remains, is the desire and need to deliver clean energy solutions and impact the rate of increase in greenhouse gas emissions domestically and internationally. Three years ago we started life with a single focus, the exploration and development of conventional geothermal systems, in Australia's case, Hot Sedimentary Aquifer (HSA) geothermal systems. In late 2008 we established Victoria's first inferred geothermal resource in the greater Geelong region and in early 2009 we did the same in the Onshore Gippsland area. In the same year we applied for funding under various Commonwealth and State grant programs and ended 2009 with the Geelong Geothermal Power Project (GGPP) as Australia's most awarded conventional HSA geothermal energy project. The GGPP is widely recognised as having the potential to be the first demonstration of conventional geothermal resources in Australia. As a result of continuing global economic uncertainty coupled with a domestic debate regarding carbon, we can see that the nascent geothermal industry in Australia, while retaining its fundamental and unequalled value proposition of baseload, zero emissions, and renewable energy generation, will take longer to successfully develop than originally anticipated by investors, companies and governments alike. To that end we commenced the aligned diversification strategy that we believe positions Greenearth Energy uniquely within the renewable energy market in Australia. In the last 12 months we have established strategic partnerships with world leading technology providers in the waste heat recovery, energy efficiency, combined heat and power solar, CO2 to fuel conversion and biomass gasification markets. Our technologies and resultant project opportunities are aligned, complimentary and designed to deliver clean energy solutions while reducing harmful emissions. Our portfolio now has the ability to provide all stakeholders with potential returns (economic, environmental and community) on an immediate, medium and long term basis. We have successfully established a suite of world class technology applications and project opportunities including our longer term domestic and international geothermal plays and with your continued support we look forward to delivering on our substantial potential. We sincerely thank you for your support to date and look forward to your continued investment in our clean energy future. Yours faithfully,

Mark Miller Managing Director

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Energy Security in a Carbon Constrained World

Invest in Australia's Clean Energy Future

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Greenearth Energy Limited is an Australian, ASX listed diversified renewable energy company that has interests in conventional geothermal resources in Australia, Indonesia and the wider Pacific Rim. In addition, Greenearth Energy has technology opportunities and project applications in the waste heat recovery, energy efficiency, combined heat and power solar, biomass waste-to-energy gasification and CO2 to fuel conversion markets.

Greenearth Energy’s primary domestic geothermal focus is on conventional hot sedimentary aquifer (HSA) geothermal systems that tend to be widespread in nature. HSA systems generally exist at shallower depths and can utilize proven, commercially available binary plant technology.

The company was awarded 3 geothermal exploration permits (GEPs) in May 2007 by the Victorian Government covering 18,795 km2. The permits are located in the Latrobe Valley/Gippsland Area (GEP12 & 13) and the Surf Coast Shire/Geelong Area (GEP 10).

Greenearth Energy’s flagship domestic project, the Geelong Geothermal Power Project (GGPP) is Australia’s most awarded HSA geothermal project. The GGPP has government grants awarded for both the exploration and demonstration stages of the project.

Greenearth Energy has, in response to market opportunities domestically and internationally, expanded its portfolio to include aligned renewable and energy efficiency technologies such as waste heat to electricity conversion technology (Pacific Heat and Power), energy efficient smart lighting solutions for commercial and industrial applications (Greenearth Energy Efficiency), combined heat and power (CHP) concentrated solar technology (Greenearth Solar Energy), CO2 to fuel conversion technology (NEWCO2FUELS), and most recently, biomass waste-to-energy gasification (Greenearth Biomass Energy).

Energy Security in a Carbon Constrained World

Greenearth EnergyAn IntroductionGreenearth Energy is a diversified renewable energy and energy efficiency company with a suite of core, long term, conventional geothermal project opportunities both domestically and internationally.

In parallel the company is developing an expanded, strategically targeted, technology and project portfolio that aims to deliver immediate, medium and long term revenue streams.

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Greenearth EnergyStrategySince the company’s inception, our strategy has continued to evolve in response to trends and opportunities. We have developed a strategically positioned suite of immediate, medium and long term renewable energy and energy efficiency technologies and projects.

Our geothermal assets and project aspirations domestically and internationally remain at the core of our long term strategic focus of developing power generation projects geared toward scale, baseload (24/7), zero emission outcomes that can contribute to both industry and environment.

In recognition of the substantial role that the energy efficiency sector will play in our Clean Energy Future, Greenearth Energy took the strategic decision in 2009 to invest in and deploy technologies that have the potential to deliver energy efficiency gains and emissions reductions. Arising from the opportunities that have and will continue to emerge, Pacific Heat and Power, Greenearth Energy Efficiency and Greenearth Solar Energy will deliver immediate and medium term revenue opportunities as the Australian and Regional market develops.

Our most recent technology initiative is biomass waste-to-energy gasification. This technology has the potential for rapid project deployment and medium term return on investment.

Our investment in CO2 to fuel conversion technology represents a strategic positioning of the company with a technology that has the potential to, if successful, change the way we deal with the global CO2 challenge.

Our overarching strategy is to establish a position in a number of emerging renewable and energy efficiency technologies, while at the same time developing our longer lead time and substantial scale projects in both the conventional geothermal and CO2 conversion markets.

Greenearth Energy’s projects, technologies and activities are designed to deliver energy security outcomes in a carbon constrained world.

Energy Security in a Carbon Constrained World

A Balanced Portfolio of Commercial Clean EnergySolutions

Large Scale – Long leadtime – Major Projects

Small Scale – Immediate Implementation – Established Technologies

Incr

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Immediate ROI Potential

Medium TermROI Potential

Long TermROI Potential

Energy Efficiency

Waste Heat Recovery

Biomass Gasification

Combined Heat and Power Solar Generation

Conventional Geothermal CO2 to Fuel Conversion Technology

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Greenearth Energy EfficiencyEnergy efficiency is Australia’s untapped energy resource — a means to improve the productivity of the economy as well as an important element in moving towards a prosperous low-carbon future*. *Prime Minister’s Task Group on Energy Efficiency 2010

Efficient HID Our solution focusses on delivering our customers three main objectives:

• Return on Investment (ROI)• Energy savings (and the related CO2 reductions)• Practical systems with high quality and flexible light

Historically HID lighting systems were not flexible and not easily controlled. Now there is a robust solution that has been proven around the world in over 500,000 installations. These seek to deliver:

• Up to 65% energy savings• Up to 65% CO2 reduction• Up to 2 times the lamp life• Sophisticated lighting controls• Up to 97% light quality preservation

Greenearth Energy Efficiency Pty Ltd has partnered with Israel based Metrolight Ltd to introduce a unique, state of the art energy efficient High Intensity Discharge (HID) lighting solution to the Australian market.

Using successful case studies from around the world as a platform to reach a growing customer base, Metrolight are changing the way people think about Metal Halide and Sodium Vapour HID lighting.

Operating since 1996, Metrolight is the world’s leading manufacturer of Smart Electronic Ballasts that power High Intensity Discharge (HID) energy efficient lighting systems.

With over 500,000 units installed across the globe, their energy efficient solutions have accumulated over 2 billion operating hours. Further to this, Metrolight has now integrated its technology into a complete solution.

Enlighten your Environment

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energy savings

52%*

energy savings

40%*

energy savings

30%*

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HID FeaturesOur lighting systems have a number of features that allow clients to meet their lighting needs in the smartest possible way:

Pre-programmable features• Each of our SmartHID ballast systems can support lamps from

100W to 450W. This means that with one piece of equipment clients can meet a variety of needs across their site.

• Automatic profiling can be pre-programmed into each fixture to operate according to a defined schedule.

Direct connection to analogue control devicesOur SmartHID ballasts allow clients to connect advanced analogue dimmers directly to the fixture and achieve a 50% reduction in power output using:

• Ambient daylight sensors• Presence/motion sensors• Timers• Dimmers

Full digital controlWe offer a complete intelligent control system that allows clients to:• Zone and group lamps without changing the

power circuit wiring• Undertake complex scheduling• Set pre-defined scenarios and triggers• Set lighting profiles according to specific site needs

MonitoringGreenearth Energy Efficiency’s monitoring system provides feedback from client’s lighting equipment that would have been unavailable prior to implementation of a Metrolight system.

This information will help clients manage their maintenance and operating costs, including:

• Pre-emptive notification of lamps that are near the end of life, optimising on expensive replacements, call-outs and maintenance costs

• The status of lamps (on/off/dimmed),• Energy consumption• Number of ignitions• Operating hours of each lamp

HID Benefits• Flexible lighting systems allow clients to reduce energy

costs, reduce CO2 emissions, reduce waste, and optimise lighting needs in their facility

• Over 2 billion operating hours around the world has refined our product and system design, to allow us to customize a solution that delivers optimum results.

Our servicesWe provide a customised service offering tailored to individual client requirements.

Turnkey retrofits• We can complete turnkey retrofit lighting installations

as the single point of contact. Clients can relax knowing that we are responsible for the overall performance of the system. They do not need to worry about ‘gaps’ between subcontractors.

• In NSW, we are an Accredited Certificate Provider (ACP) under the NSW Energy Saving Scheme.

Product and new builds• We can deliver product to clients for their retrofit or new

building installations, along with technical advice and commissioning support.

• Some lighting Original Equipment Manufacturers (OEM’s) are only interested in the supply of Metrolight ballasts for fitting into their fixtures. Greenearth Energy Efficiency supports this directly.

Proven Results Worldwide

Street lighting

Retail

Industrial

*Actual case study results achieved and available on request

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Greenearth Solar EnergyGreenearth Solar Energy Pty Ltd has partnered with Israel based ZenithSolar Ltd to introduce to the Australian market a unique, state of the art High Concentration Photovoltaic (HCPV)/Combined Heat & Power (CHP) solar technology, the ZenithSolar Z20.

A demonstration of the ZenithSolar Z20 technology will be established in Victoria in 2011 to showcase the technology.

The Z20 StoryFounded in 2006 ZenithSolar is an Israeli company that has developed a modular and easily scalable High Concentration Photovoltaic system (HCPV)/Combined Heat & Power (CHP) solar technology, the ZenithSolar Z20.

The ZenithSolar Z20’s core technology is based on a unique, proprietary optical design that extracts the maximum energy with minimal ‘real estate’.

The ZenithSolar Z20 system provides high electrical output concurrently with hot water at temperatures ranging from those associated with domestic hot water use to those suited to higher temperature process heat applications.

Using widely available materials and a highly efficient production system, the ZenithSolar Z20 can deliver consistent, affordable, high quality solar energy solutions for power generation, facility heating and hot water.

Image 1: Artist impression of the proposed ZenithSolar Z20 CHP Solar Technology Demonstration at 69 Fennell Street Port Melbourne.

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Smart solar for a brighter future

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Data Units Z20General Number of modules (dishes) EA 2

Total aperture area m2 22

Tracking technology 2-axis

Azimuth range deg 0-360o

Elevation range deg 0-90o

Tracking control Sensor-less closed loop

Electricity Peak electrical power kWp 4.5 (*)

Operating voltage VDC 160 -230

Thermal Peak thermal power kWp 11 (*)

Fluid Water or coolant

Maximum supply temperature deg C 100

Nominal flow (both modules) l/min 12

Physical

Dimensions

Operating wind speed km/h 40

Permissible wind speed km/h 160

Weight kg 1,500

Height in stowed position m 4.53

Height in operation m 4.10

Depth m 3.76

Width m 7.58

Compliance IEC 62108, CE

Inverter Mounting ready

How it worksThe ZenithSolar optical dish is based on a patented design that utilizes multiple flat mirrors mounted on a plastic surface. The moulded plastic surface is divided into four quadrants and is fixed onto a rigid, high precision metal frame assembled onto a dual axis solar tracking system.

The concentrated solar radiation is reflected from each individual mirror onto an array of solar cells. The ZenithSolar Z20 system uses field proven high efficiency multi-junction III-V solar cells.

The Z20 features 11m2 collectors that are mounted on a dual axis tracker. This tracker concentrates incoming solar power onto a receiver which consists of a multi junction PV applications cell. This cell is then coupled to a heat exchanger that converts concentrated solar flux into electrical and thermal power:

• Electrical Power DC electrical power from the PV cells is converted to AC power and fed to the grid.

• Thermal Power Thermal energy (hot water) is pumped through a closed loop system to the various users and has applications such as:

• Municipalities and district heating• Hotels, Hospitals and resorts• Industrial process heat: ideal for textile,

food and pharmaceutical industries• Thermal energy can be converted into cooling

or desalination and brackish water purification

In conventional CPV systems, the excess heat generated in the solar cell needs to be removed to avoid damaging the cell and to maintain high efficiency of electricity conversion. The ZenithSolar Z20 system utilizes the heat generated at the solar cell receiver to provide usable hot water. This improves the overall solar power conversion efficiency to greater than 75%. The ZenithSolar Z20 system delivers dual heat and power outputs from a single, small footprint unit.

Z20 Features• State-of-the-art high efficiency Multi-Junction PV cells• 2– axis high precision tracking mechanism with zero backlash,

using a performance feedback-driven and closed loop that continually positions the mirrors for maximum effectiveness

• Engineered high efficiency multi-channel heat exchanger• Designed for 20 year service, constructed from highly

durable materials• Environmentally friendly, 99% recyclable by weight• Reliable operation, easy installation and servicing• Required minimal area, only 90m2 for a single Z20 unit,

15.5kWp combined output (<6m2/kWp)• Packaged equipment, minimising balance-of-system cost

Z20 Benefits• Combined Heat and Power (CHP) generation• Industry highest combined efficiency of greater than 75%• Dual outputs (Heat and Power) improves project ROI• Smart system design allowing for easy upgrades• Small footprint optimises land usage • Proven field performance

(*) Tested at 1kW/m2 irradiance. Allowing up to 4% yield losses, due to shading (northern latitude 20-40). Data is subject to change.

To view the ZenithSolar Z20 solar technology please visit Z Future by ZenithSolarat www.youtube.com

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Powered by Heat

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Pacific Heat and PowerIn most energy systems, be they central power plants, industrial processes or remote power stations, there is a significant amount of waste heat and energy losses.

Pacific Heat and Power has a stable of technologies that can turn losses and inefficiencies into a valuable resource through making electricity for use on site, or sale to the grid.

Pacific Heat and Power (PHP) have secured distribution and sales agreements for a range of renewable and distributed electricity generation products targeted at the key resources of:

• Biomass (0-10MWe )• Solar thermal (1-20MWe )• Geothermal (1-30MWe )• Waste heat (0-20MWe )• On-site gas-fired cogeneration (0-1MWe )

In addition to providing equipment we provide front-end engineering services where required. In one case, we have provided geothermal brine testing services to ensure that when Organic Rankine Cycle (ORC) equipment is specified, the final equipment design reflects site conditions.

Technology Our products are based on proven world class technologies that provide customers with increased energy productivity, energy reliability, operational savings, and lower greenhouse gas emissions.

We are an authorised distributor for Pratt & Whitney Power Systems in Australia, New Zealand and the Pacific region. We are also working closely with Aquatec-Maxcon (Australia) and Energent (USA) for sales of their distributed energy products. Our product line includes:

• ORC turbines from Pratt & Whitney Power Systems and Turboden in the range of 275kWe to 10 MWe

• Capstone microturbines sourced from Aquatec-Maxcon in Australia, with a range of 30kW, 65kW, and 200kW turbines

• Micro-steam turbines sourced from Energent in the USA based on a 275kW model.

Applications ORC turbines are very well suited to on-site power generation, as well as small utility-scale for remote areas. Strong interest has been shown in the technology for the following applications:

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Timber processing plants Many timber processing facilities such as sawmills, or MDF plants are already producing thermal oil or steam with a biomass fired heat plant. Often the heat plant has excess capacity and/or excess fuel, which can be used for on-site power generation. With supporting Renewable Energy Certificates (REC’s) and the benefit of providing power ‘behind the customer meter’, the return on investment is enhanced.

Waste Heat (Industrial and Remote Power) There is a significant amount of heat wasted from a variety of sources including existing industrial plants (chemical, smelting, food processing, etc), gas turbines/engines, diesel engines, etc. As the world focuses on improving energy efficiency and reducing carbon emissions, we expect companies to look more closely at their existing wasted resources. Our ORC solutions are a great way to convert low grade waste heat into high grade, high value electricity.

Complementing the ORC product range, Microsteam turbines are well suited to the following:

• Operating in parallel to Pressure Reducing Valves in industrial and timber processing plants

• Operating in conjunction with a small ORC as a small on-site power station

Solar Thermal, small scale (<20MWe) We believe there is an opportunity right now to develop small scale, distributed, solar thermal power plants. Our ORC turbines are very well suited to 1-10MWe solar thermal project opportunities. Two 2.7MWe ORC units have recently been supplied by Pratt & Whitney Power Systems for a Hawaiian project.

Geothermal The world is awakening to the latent potential of geothermal power. ORC technology is well suited to bottoming steam plants, or making direct use of lower temperature resources.

Experience & Success to Date

PHP is supported by the experience of our primary equipment suppliers. Turboden has supplied and received orders for over 195 ORC turbines in 21 countries. Pratt & Whitney Power Systems operates in over 180 countries with revenues greater than US$12 billion.

It is this experience that we are able to offer to the Australian market. We have recently completed our first PureCycle® ORC sale to a timber processor in Queensland, and are in the process of finalising contracts for sale of two PureCycle® units to operate on diesel engine waste heat in the Pacific.

Further to this, we have provided geothermal brine testing services to a major Australian company wishing to develop a substantial amount of ORC power generation in one of their operations.

With many varied applications in the pipeline, we are confident about the growing momentum and future of sales for PHP.

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From Challenge to Opportunity

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New CO2FuelsCO2 to Fuel Conversion Technology• Laboratory proven technology• Fuel production from CO2 emissions• Potential alternative to CO2 geo sequestration• World class institute and team

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Greenearth Energy has secured a worldwide Research and Licence Agreement from the Weizmann Institute of Science Israel for a revolutionary technology that has the ability to convert CO2 emissions into fuel.The Technology The technology concept was successfully developed in Israel by Professor Jacob Karni and his group at the Weizmann Institute of Science. It has been proven in laboratory trials and involves a new method of using concentrated solar energy for the dissociation of carbon dioxide (CO2) to carbon monoxide (CO) and oxygen (O2). The same system can also dissociate water (H2O) to hydrogen (H2) and oxygen (O2), at the same time it dissociates the CO2. The CO or the mixture of CO and H2 (called Syngas) can then be used as gaseous fuel (e.g. in power plants), or converted to liquid fuel (e.g. methanol), which has the potential to be stored, transported and used in motor vehicles. The oxygen produced can be used in the combustion of the clean fuel or elsewhere.

The key to delivering low cost clean fuel is a highly efficient process of converting solar radiation to chemical potential in the form of fuel. The technology process is aimed at achieving this goal. The source of carbon dioxide for the process could be existing power plants, cement factories and other emitting industries. The fuel produced could potentially be recycled back into the plant from which it was created (and used in these facilities and in doing so substantially reducing the CO2 emissions footprint of these plants), or utilized as transportation fuel.

Facts and Deliverables• We are working with the Weizmann Institute

Israel – World leading Institute for successfully commercialising breakthrough technologies

• Professor Jacob Karni of the Weizmann Institute is a recognised world leader in his field and he has developed a world class team to deliver this project

• We have proven this revolutionary patent protected technology in the laboratory

• We now aim to take this proven technology to a successful field trial

• Our primary source of CO2 will be existing and new coal-fired power stations

• We aim to substantially reduce CO2 emissions while at the same time producing commercially viable fuels in the form of Syngas and Transportation fuels

About NewCO2Fuels LtdNEWCO2FUELS Ltd is an associated company of the Greenearth Energy Group and will take assignment from Greenearth Energy of an exclusive, worldwide research and license agreement from Yeda Research and Development Co. Ltd. Yeda is the commercial arm of the Weizmann Institute of Science.

Images 1 and 3: The Weizmann Institute of Science’s Solar Tower

and Field that are used in the CO2 to Fuel project.

Image 2: Professor Jacob Karni.

* UN Statistcs Division Data

0 0 3 2 0 0 0, ,

32,000 tons of CO2 is added to the atmosphere every 60 seconds.*

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The Project In Australia, hot salty water with temperatures of between 90°C and 150°C exists in geothermal reservoirs at depths of between 2,000m and 4,000m. The ultimate aim of this joint project is to develop an efficient dual geothermal system that uses naturally occurring, hot saline water, from geothermal reservoirs that can simultaneously produce electrical power and fresh water.

Funded by the Australian Research Council (ARC), Greenearth Energy and RMIT University, the joint project’s immediate aim is to take the research completed to date at RMIT University on a concept for a Combined Desalination and Power Generation (CDP) system and develop a laboratory scale prototype dual geothermal system unit.

The dual geothermal system for fresh water production and power generation developed in this project will, if successful, utilise relatively low-temperature geothermal fluids and assist in supplying fresh water as well as electricity to a range of applications, including small communities remote from the main electricity grid.

The technology developed in this project has the potential to provide industry development, employment creation and export opportunities via the commercial manufacture in Australia of small to medium scale dual geothermal plants. An example would be capable of producing up to 100 kW of electrical power and 75,000 L of water per day suitable for remote applications.

The research project is a collaboration between the School of Aerospace, Mechanical and Manufacturing Engineering at RMIT University and Greenearth Energy.

Dual Geothermal SystemFor Fresh Water Production and Power GenerationRMIT University researchers and Greenearth Energy are developing new dual geothermal technology to meet two of our greatest challenges facing the world today - fresh water and clean energy production.

Water Australia is the driest inhabited continent on earth, with the least amount of water in rivers, the lowest run-off and the smallest area of permanent wetlands of all the continents.

One third of the continent produces almost no run-off at all and Australia’s rainfall and stream-flow are the most variable in the world.

Remote Power GenerationOver 85% of Australia’s population reside in the country’s major coastal centres. Australia’s remote regions are typically used for agriculture, mining, tourism and are home to many Indigenous communities.

Many remote communities in Australia rely almost entirely on diesel fuel for power generation as a result of being too remote to be connected to the electricity grid.

Remote communities using diesel fuel for their power generation typically pay significantly higher power costs and as a by-product emit substantial greenhouse gases.

The dual geothermal system for fresh water production and power generation has the potential to deliver remote communities greater access to water resources while at the same time supplying base-load (24/7), renewable, zero emissions power.

Image 1: Professor Aliakbar Akbarzadeh and Master of Engineering student, Fulaqi Bai, next to an experimental combined desalination and power system at RMIT’s School of Aerospace, Mechanical and Manufacturing Engineering.

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Harnessing the heat beneath our feet

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Onshore Gippsland & Latrobe ValleyStrategically critical, the Latrobe Valley region produces approximately 85% of Victoria’s electricity and 22% of Australia’s greenhouse gas emissions. Greenearth Energy is seeking to develop zero emissions, base-load (24/7) renewable energy generation by the exploration and development of naturally occurring geothermal resources.

The RegionThe Latrobe Valley is south eastern Australia’s brown coal fired generation hub with 6,000MWe of installed capacity and is responsible for 22% of the nations greenhouse gas emissions.

The Latrobe Valley has a history of utilising geothermal fluids in industrial processes. We believe there is substantial geothermal potential in this strategically important region.

Regional Geology and Geothermal Potential• The Gippsland Basin Regional model suggests sandy units,

at the base of a sedimentary pile.• The sandy units have potential for Geothermal Energy • Hot Sedimentary Aquifers (HSA’s) in the depth/temperature

window of 3-4 km and 150-180oC, have the potential to deliver zero emissions, base load (24/7) power as well as Direct Use applications such as process heating, coal drying, desalination, and district heating and cooling.

Progress to date and Future Plans• Lakes Oil N.L. drilling in 2004 encountered (approx)

90oC water at 2,000m• Down hole temperature measurements and heat

flow mapping show high heat flows• Greenearth Energy established a substantial inferred

geothermal resource in 2009• Modelling work in 2009 predicts temperatures of 150oC

at 2,900m beneath Loy Yang• Latrobe Valley Magneto-telluric (MT) Survey completed

in November 2010• MT Survey results indicate potential HSA geothermal resources• Further work to identify HSA geothermal drilling targets

proximate to generators is well underway

Image 1: Lakes Oil N.L. Triton-2 Well 2004

Image 2: The Latrobe Valley (Image supplied by Flickr Creative Commons)

Image 3: Gippsland Basin regional geological model

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Harnessing the heat beneath our feet

Tertiary sediments

Cretaceous sediments

Rintouls Creek Sandstone

Palaeozoic granite

Palaeozoic basement

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Geelong Geothermal Power ProjectThe Geelong Geothermal Power Project (GGPP) located northwest of the township of Anglesea intends to become Victoria’s first grid connected conventional geothermal power plant.

The Hot Sedimentary Aquifer (HSA) geothermal resource has been assessed as having the potential to deliver up to 140MWe zero emissions, base-load, renewable energy for more than 30 years.

The 12MWe Demonstration (4Ha) has the potential to power up to 8,000 domestic dwellings.

Turbine and Generator/Transformer Unit

200 m (approx)

200 m(approx)

Water Tank

Production Wells

Water Pond

Injection Wells Surface Rocks

Thermal Insulating

Sandstone / Siltstone

Target Reservoir

Crayfish Formation

Basement Rock

Kilometers

Kilometers

Conductive Heat Flow

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Inferred Fault

Injection

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Pump House for Water Pond

Heat Exchanger and BinaryCycle Flash Units

Fin-Fan Air Coolers

22 kV Distribution Lines(wooden pole construction)

Workshop/Site Office

Storage Tank for Geothermal Working Fluid

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Fast facts

Location 9Km’s North West of Anglesea Victoria

GER Equity 100%

Resource Type Hot Sedimentary Aquifer (HSA)

Resource Depth Est. 4,000m

Resource Temperature Est.

180o C

Current Status Pre Drilling Stage - Site selection, regulatory approvals and capital raising

Project Highlights Australia’s most government awarded HSA geothermal power project close to existing grid infrastructure and potential offtake partners for baseload (24/7), zero emissions power and Renewable Energy Certificates (REC’s)

Australia’s most awarded Hot Sedimentary Aquifer Geothermal ProjectThe StagesStage 1 Proof of Concept 2 Wells + Flow Test/Est. $31.8m Stage 2 Demonstration 4 Wells + 12MWe Plant/Est. $72.3m

Government Support Stage 1 Proof of Resource State Grant $5m Stage 2 Demonstration State Grant $20m*

*Subject to a successful Stage 1

MOI with Alcoa of AustraliaSubject to a range of technical, commercial and legal parameters and dependent on the continuing operation of Alcoa’s Anglesea facility, the areas of potential collaboration to be investigated via the Memorandum Of Intent (MOI) will include:

1. Identification of a site sufficient for the GGPP Stage 1 (Proof of Resource/Concept) and Stage 2 (Demonstration 12MWe ) on land currently leased by Alcoa

2. Grid connection of the GGPP via Alcoa infrastructure assets

3. Base load renewable energy off-take via a Power Purchase Agreement (PPA) as a result of a successful GGPP Stage 2 Demonstration 12MWe

geothermal energy plant 4. Purchase of Renewable Energy Certificates (REC’s) as

a result of a successful GGPP Stage 2 Demonstration5. To work cooperatively towards evaluating and

implementing other low-carbon Technologies

“We view this MOI with Alcoa as a further endorsement of the potential that our project has in delivering zero emissions, base load renewable energy to our state. The support by Alcoa coupled with the State Governments’ support of our flagship geothermal project can only further enhance our project.”

Comparative Advantages• HSA Geothermal Systems proven worldwide• Substantial base-load, renewable energy project• $25M in State Government grants awarded• Close to major industry (offtake) and the national power grid• Competitive levelised $/MWh cost of renewable

power generation*• The 12MWe Demonstration (4Ha) has the potential

to power up to 8,000 domestic dwellings.• Zero emissions power with the potential

for substantial regional CO2 abatement

Next Steps• Conclude State Government ETIS funding negotiations ($25M)• Engage the State Government regarding citing the GGPP• Apply for funding under The Commonwealth’s Emerging

Renewble Program• Continue to drive cornerstone partners/investors

into the GGPP• Carry out capital raising in support of the GGPP • Finalise all planning, regulatory, environmental

and community engagement activities• Drill first well of the GGPP*Subject to a successful Stage 1 and certain assumptions

Image 1: Geelong Geothermal Power Project Demonstration Stage (12MWe) 3D Conceptual Model

Image 2: Geelong Geothermal Power Project Proof of Concept Stage 2D Conceptual Model.

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Harnessing the heat beneath our feet

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Indonesia Geothermal Indonesia has 40% of the world’s potential conventional geothermal resources estimated at 28,000 megawatts (MWe ). With plans to develop 44 new geothermal plants by 2015, Indonesia would become the world’s leading geothermal energy producer.

The PartnershipIn 2009 Greenearth Energy along with its partners, established Indonesian geothermal exploration and development entity PT Geo Power Indonesia in Jakarta.

The Opportunity• Secure and develop a suite of conventional

geothermal power generation projects• PT Geo Power Indonesia is currently assessing

several project opportunities for potential execution in 2012

The Market• Indonesia is the worlds most prospective conventional

geothermal market with world class resources, a burgeoning population, and energy security identified by the central government as a major challenge going forward

• 238 million people with annual population growth estimated at 9% and energy demand estimated at >10% to 2020

• 20,000MWe potential with only 5% developed to date• Substantial Government support forthcoming• 4,000MWe to be fast tracked by 2015• Current Project OpportunitiesF

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Converting Waste to Clean Energy

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IndonesiaBiomass Waste-to-Energy GasificationWorldwide we commit 4 billion tonnes of solid waste to landfill annually. That same solid waste contains valuable stored energy.

Biomass waste-to-energy gasification has the ability to convert municipal and other solid waste streams into electric power or other valuable products such as fertilizers and Syngas.

Gasifying biomass and other waste streams generate positive economic and environmental outcomes for Governments, participating communities, and investors alike.

The Challenge One of our greatest challenges this century is to meet rising energy demands while minimising environmental impacts.

We need to develop solutions that deliver positive economic, social and environmental outcomes.

We believe we have found one such technology solution.

The Technology Gasification is a well established, flexible and reliable technology that represents an environmentally sustainable way to transform carbon based material such as biomass and municipal solid waste (MSW) into synthetic gas (Syngas).

Gasification is a process that converts biomass into carbon monoxide, hydrogen, carbon dioxide and methane.

This is achieved by reacting the material at high temperatures (without combustion) with a controlled amount of oxygen. The resulting gas mixture Syngas is itself a fuel.

The OpportunityThe successful deployment of biomass waste-to-energy gasification technology within a community has the potential to deliver positive economic, social and environmental outcomes for all stakeholders.

Low value waste that would normally be dealt with by way of landfilling or incineration is now converted to a high value energy product (Syngas). Syngas has the potential to be used as a substitute for high cost, pollutive fossil fuels. This will potentially reduce generation costs while also lowering greenhouse gas emissions. In doing so, this will create a cleaner environment and drive local employment.

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Energy Security in a Carbon Constrained World

Greenearth EnergySummaryA Balanced Portfolio of Commercial Clean Energy Solutions designed to deliver immediate, medium and long term clean energy projects and stakeholder value.

Greenearth Energy Efficiency

Pacific Heat & Power

Greenearth Biomass Energy

Greenearth Solar Energy

Geothermal Energy

NewCO2Fuels

Imm

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PotentialM

edium Term

ROI

PotentialLong Term

ROI

Potential

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The Board Robert J Annells (Non-executive Chairman) John T Kopcheff (Non-executive Director) Robert L King (Executive Director)

Managing Director Mark Miller

Company Secretary Vicki M Kahanoff

Registered Office Level 14 500 Collins Street Melbourne Vic 3000

Telephone +61 3 9620 7299

Facsimile +61 3 9629 1624

Postal Address Po Box 24 Collins Street West Melbourne Vic 8007

Website www.greenearthenergy.com.au

E-mail www.greenearth@greenearthenergy.com.au

ACN 120 710 625

ABN 60 120 710 625

Legal Advisors Baker & McKenzie

Auditors Pitcher Partners

Securities Exchange Australian Securities Exchange Stock Code: GER

Share Registry Computershare Investor Services Pty Limited GPO Box 52 Melbourne Vic 8060 Yarra Falls, 452 Johnston Street Abbotsford Victoria 3067

The Greenearth Energy Group consists of Parent Company, Greenearth Enery Limited and it’s subsidaries: Greenearth Energy Efficiency Pty Ltd, Greenearth Power Pty Ltd, Greenearth Solar Energy Pty Ltd, NEWCO2FUELS Pty Ltd, Greenearth Biomass Energy Pty Ltd, and Pacific Heat and Power Pty Ltd.

Greenearth Energy Corporate Directory

Energy Security in a Carbon Constrained World

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This document contains certain statements which may constitute “forward-looking statements”. Such statements are based on a large number of assumptions, qualifications and sensitivities supporting them. Such statements are only predictions and are subject to inherent risks and uncertainties which may well cause actual values, results, performance or achievements to differ materially from those expressed, implied or projected in any forward-looking statements. There are usually differences between the actual position and forward looking statements because events and actual circumstances frequently do not occur as forecasted, expected or anticipated and these differences may be material.

No representation or warranty, expressed or implied, is made by Greenearth Energy Limited ABN 60 120 710 625 that the material contained in this document will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, the Company disclaims responsibility for the accuracy or completeness of the material contained in this document, and excludes all liability whatsoever (including in negligence) for any loss or damage which may be suffered by any person as a consequence of any information in this document including any error or omission.

This document does not, and does not purport to, contain all information that may be required to evaluate any transaction in relation to the Company or make an investment decision. In particular, this document does not, and does not purport to, contain the large number of assumptions, uncertainties and sensitivities supporting the forward looking statements contained in it. This document does not amount to a recommendation either expressly or by implication with respect to an investment in the Company or its assets.

The Company accepts no responsibility to update any inaccuracy, omission or change in information in this document.

Important notice Competent Persons

Greenearth Energy Ltd. Level 14, 500 Collins StreetMelbourne Victoria 3000 Telephone: +613 9620 7299 Facsimile: +613 9629 1624www.greenearthenergy.com.au

Published September 2011

Geelong Geothermal Power Project (GGPP) The information in this presentation that relates to Geothermal Resource estimation for the GGPP is based upon a report compiled by James Vincent Lawless, an employee and Principal of Sinclair Knight Merz Limited (SKM). He is a Fellow of the Australasian Institute of Mining and Metallurgy and holds Chartered Geologist status with that body. SKM has been engaged as consultants by Greenearth Energy but holds no financial interest in the project or in Greenearth Energy.

Mr Lawless qualifies as a Competent Person, as defined in the Australian Code for Reporting of Exploration Results, Geothermal Resources and Geothermal Reserves (2008 Edition). Mr Lawless consents to the public release of this presentation in the form and context in which it appears.

Geelong (Anglesea-Waurn Ponds area) The information in this presentation that related to Geothermal Resources in the area of GEP 10 has been compiled by Dr Graeme Beardsmore, an employee of Hot Dry Rocks Pty Ltd. The resource estimate for the Geelong Geothermal Power Project, just north of Anglesea draws upon a series of reports for Greenearth Energy by Hot Dry Rocks Pty Ltd. Dr Beardsmore has over 15 years experience in the determination of crustal temperatures relevant to the style of geothermal play under consideration, is a member of the Australian Society of Exploration Geophysicists and abides by the Code of Ethics of that organisation.

Dr Beardsmore qualifies as a Competent Person, as defined in the Australian Code for Reporting of Exploration Results, Geothermal Resources and Geothermal Reserves (2008 Edition). Dr Beardsmore consents to the public release of this presentation in the form and context in which it appears.

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