Leaf Energy LtdInvestor Presentation

April 2014

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Forward Looking Statements

This presentation does not constitute, or form part of, an offer to sell or the solicitation of an offer to subscribe for or buy any

securities, nor the solicitation of any vote or approval in any jurisdiction, nor shall there be any sale, issue or transfer of the

securities referred to in this presentation in any jurisdiction in contravention of applicable law. Persons needing advice should

consult their stockbroker, bank manager, solicitor, accountant or other independent financial advisor.

Certain statements made in this presentation are forward-looking statements. These forward looking statements are not

historical facts but rather are based on Leaf Energy’s current expectations, estimates and projections about the industry in

which Leaf Energy operates, and its beliefs and assumptions. Words such as "anticipates," "expects," "intends," "plans,"

"believes," "seeks,” "estimates,“ “guidance” and similar expressions are intended to identify forward-looking statements. and

should be considered an at-risk statement. Such statements are subject to certain risks and uncertainties, particularly those

risks or uncertainties inherent in the process of developing technology and in the endeavour of building a business around

such products and services. These statements are not guarantees of future performance and are subject to known and

unknown risks, uncertainties and other factors, some of which are beyond the control of Leaf Energy, are difficult to predict

and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. Leaf

Energy cautions shareholders and prospective shareholders not to place undue reliance on these forward-looking statements,

which reflect the view of Leaf Energy only as of the date of this presentation. The forward-looking statements made in this

presentation relate only to events as of the date on which the statements are made. Leaf Energy will not undertake any

obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or

unanticipated events occurring after the date of this presentation except as required by law or by any appropriate regulatory

authority.

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The carbon evolutionThe future of materials

Coal was the industrial material of the 19th century

Oil was the industrial material of the 20th century

Cellulose will be the industrial material of the 21st century*

* Lüder Gerking, CEO, Nonoval GmbH & Co.KG

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CelluloseThe most abundant organic material on the planet

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Cellulose Sources

What is Cellulose?Cellulose is a fibre that is a major part of a plants

Grown:

cotton, linen, flax etc

Produced:

from pulping woodchip

Extracted:

fractionating biomass

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Cellulose PropertiesBenefits and uses

Cellulose properties:

Strong, lightweight, absorbent, viscose & versatile

Traditional uses: Paper and Fabric (Cotton, Linen, Rayon,

Viscose)

Fibre reinforced composites

Cellulose derivatives: Industrial, food, cosmetic, pharmaceutical

Building block for other carbon molecules

Convert to sugars and bio-based products – green chemicals,

biofuels, bioplastics

New uses: 3D printing, bio-plastics, Nano-cellulose

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CelluloseThe building block for bio-based products

Cellulose derivatives

• Industrial – drilling mud, paint, adhesives and ceramics

• Food

• Cosmetic

• Pharmaceutical

Bioplastics

• Fibre reinforce composites

• Polyurethanes

• Packaging

• Engineered Plastics

• Resins

• Nano-cellulose

• 3D printing

Green chemicals

• Pharmaceutical

• Agricultural

• Manufacturing

• Nutraceuticals

• Detergent

• Source of carbon molecules

Demand for cellulose increasing 84% by 20301

Drilling mud market predicted to grow to $15b by

2018 at CAGR of 7.5%2

Manufacture of bio-plastics is expected to rise by 140% to

9.2M tons by 20163

Green chemicals market expected to grow at 20% pa to exceed $500BN by 20174

Sources:1 Lenzing 2011 2 Markets and Markets September 2013. 3 Lux Research 2012. 4 European Forum for Industrial Biotechnology

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The “Cellulose Gap”Demand rapidly outstripping supply

• Population and prosperity increasing demand for fibre

• Properties, absorbent and breathable, give cellulosic fibrebigger market share

• Consumer desire to move away from oil based synthetics

• New uses/applications

Demand for cellulose

increasing 84% by

2030

• Cotton plantings down from 35.7 m ha to 28m ha in 2030- pesticide use, water use and competing land uses

• New pulp mills difficult (Gunn’s Tasmania)

• Difficult to access cellulose from biomass needs high temperature, high pressure

Supply side issues

3.23.6 3.4 3.3 3.1

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0.61.3

1.8 2.3

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2010 2015E 2020E 2025E 2030E

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Estimated per capita consumption of cellulosic fibres 2010-2030

Cotton Cellulose

Source: Lenzing, 2011

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Leaf Energy’s Glycell™ ProcessAn innovative solution to the emerging need in the cellulose market

disruptive technology for cellulose production

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The Glycell™ ProcessProprietary technology for cellulose production

Simple, innovative, low cost and effective

Uses a waste reagent

Low temperature and low pressure

Operates continuously

Renewable readily available resource

The Glycell ™ process has compelling advantages over traditional methods of cellulose extraction

Product benefits: Economic benefits:

Significantly lower capital costs

20 ton per hour plant ex Andritz quote $11.2m (total cost when installed $20-$30 million) Compare with Lignol, Borregard demonstration plants, similar capexbut 1 ton per day

Significantly lower operating costs

Waste reagent, low energy, low capital and quick (30 min) processing time

Off the shelf equipment

Operates at any scale

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Environmental benefitsUtilising waste biomass at low energy

CelluloseStrong,

lightweight, viscose and

versatile

Waste Biomass: a renewable source

of Cellulose

Avoids the food for fuel debate

Waste biodegradable

reagent

Low temperature means lower energy use

Other process have environmental issues

(Pulp plant in Tasmania)

Environmental benefits

Carbon savings

The Glycell™ process can produce cellulose at any scale eliminating capital expenditure as a barrier to entry

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Pathway to commercialisationWhere are we at?

Continuous processing at up to

5.4 tons per day (dry) using

industrial available equipment

Potential for the production of

cellulose

78% Alpha cellulose on Bagasse

Process now effective on

Bagasse, Eucalyptus, Spruce and Palm oil waste

(lab)

Potential for Cellulose

derivatives

Bio- based products via enzymatic

hydrolysis confirmed

Recent trials at Andritz (USA) confirmed:

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Leaf Energy’s GlycellTM ProcessOverview

The GlycellTM process breaks down plant material and produces

cellulose

Cellulose is a building block for rapidly growing

bio-based products

The GlycellTM process works at significantly lower scale with lower

op ex

Leaf Energy’s GlycellTM process will revolutionise the bio-based markets by:

1. Vastly reducing the cost to manufacture

2. Enabling unused biomass to be used for commercial benefit F

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Commercialisation Monetising waste biomass

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Strategic DirectionCapitalising on the development to date

Key proposition and competitive

advantage

“Produce low cost cellulose at any scale”

First product: CMC (Carboxymethyl

Cellulose)

Production from cellulose well known and understood

Applications for CMC

Initially for drilling mud applications, then look at food applications

Revenue ModelWill use partnerships for down stream

relationships and channel to market as well as for supply of biomass

Value add for Glycerol

Targeting a market for the used glycerol that economically adds to

and technically supports the process

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Market growth

Driven by need for more energy – increased

population and usage

New drilling: fracking, horizontal drilling, deep sea

Drilling companies switching to bio-based products

A growth market and a good market to enter

Used as a Bulking and/or Firming agent

A Gelling and/ or Glazing agent

A Humectant or Stabiliser

An Emulsifier or Thickener

Requires higher purity to be effective

Cosmetics

Pharmaceutical

Detergents

Adhesives and Paints

Ceramics

Carboxylmethyl Cellulose (CMC)A versatile, high value output

Drilling grade viscosifiers -Drilling Mud

Food Market Other Applications

CM

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Value CreationSteps leading to production of Cellulose

Finalise launch plant location, design and cost

Construction, supply and sale agreements

Production and revenues

9 months 10 to 24 mths > 24 mths

1a. Secure plant location and

biomass

1b. Complete Feasibility Study

1c. Engage downstream

partners

1d. Final engineering

specifications for chosen location

UN

DE

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AY

2a. Finalise construction capital

2b.Construct first production plant

3a. Commence production and

sales

2c.Complete initial supply and launch sale agreements

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Value CreationSteps leading to production of Cellulose

Secure plant location and

biomass

Complete Feasibility Study

Engage downstream

partners

Final engineering

specifications for chosen

location

Secure Funding

“Profitable” demonstration plant

Leaf Energy has a tangible pathway to production and commercialisation

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Near Term Milestones

Date Milestones & Potential Announcements Details

Q4 Fy14 1. Complete concept feasibility study Understand capital outlays and operating costs based on 20 ton per hr

2. Decision on size of plant Determine size of plant to validate business model (5 ton per hour vs 20 ton per hour)

3. Finalise production spec of CMC‘s Technical grade CMC specifications for launch product/s

Q1Fy15 1. Patent update Progress freedom to operate and potential patent for GlycellTM

process

2. Further testing at Andritz and resultsComplete scale up of cellulose from eucalyptus & palm Oil EFB waste at tons per dayOngoing R&D to move towards higher grade cellulose and its fractions

3. Potential financing options for plant Establish debt vs. equity options

4. Appointment of engineering firm In preparation for construction of launch production facility

Q2/3FY15 1. Partnerships Trial program for drilling mud with partner

2. Value adding from Glycerol fractionCurrently planned to recycle glycerol but are investigating value adding optionsUnderstand ability to monetise waste product from process

3. Plant location Optimal launch plant location determined

4. Biomass supply agreements Collaborations and or supply agreements with supply chain partner/s

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Collaboration Rights

Leaf Energy is part of collaboration agreement (CLA) with Syngenta and QUT for a glycerol pretreatment process, which is patented (CLA Joint IP).

Leaf Energy has a license for CLA Joint IP from QUT for certain Territories (Australia, New Zealand, Papua New Guinea, Pacific islands and Mauritius and is obtaining rights in Malaysia and Indonesia).

Under the arrangements above Leaf Energy has rights for CLA Joint IP in the fermentable sugar field in the Territories as detailed.

Leaf Energy continues to discuss opportunities with the CLA partners in regard to the Joint IP.

Under the CLA Leaf is not constrained in the production of cellulose by any methods. F

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Intellectual Property

Continuing the Company’s focus in the field of value adding biomass Leaf Energy has developed significant knowledge regarding the GlycellTM

process.

In reviewing it’s options, Leaf Energy has received a Freedom to Operate report for the GlycellTM process assessed on an Australian basis. Further opinion can be sought and if the Australian opinion is valid in other jurisdictions then Leaf Energy could operate the Glycell™ process throughout the world.

The company is now exploring the possibility of patentability of various aspects of the Glycell™ Process. The company in addition will own trade secret and significant know how regarding the Glycell™ Process.

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Experienced Executive TeamDomain expertise and influence

Dr. Jay HetzelChairman

Background in biotechnology R&D and commercialisation Co-founder of Catapult Genetics (sold to Pfizer) Numerous board & executive positions; Biotechnology advisory roles to

government and industry

Ken RichardsManaging Director

Track record in managing, growing and transitioning high growth ASX and private companies

As CEO of Norgard Clohessy Equity Ltd took from a start up with capitalisation of $60,000 to $50M

Charles WilsonNon-executive Director

Project Management Engineer Extensive project and construction management experience Former Chairman Aquacarotene Ltd

Alex BakerChief Operating Officer

20 years industry experience, science and technology commercialisationprofessional

As CEO lead Maverick Biosciences into the bio-medical product field via transformational business strategy

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Leaf Energy Ltd (LER)Capital structure and shareholdings

Ord Shares on Issue 69.5M

Options (10c exercise) 4.8M

Current Price $0.041

Market Cap $2.85M

Top 20 Shareholders 75.6%

Board & Management 42.4%

Cash* $620K

Enterprise Value $2.23M

Leaf Energy’s cash in bank position together with its IP portfolio indicates there is considerable room for growth in its Enterprise Value

Source: ASX Trading Platform, 24th April 2014

* (as per last 4c)

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Investment Rationale

Strong Technology

Unique Process

Produces low cost cellulose at any scale

Cellulose has many uses in

many markets

Capitalising on the switch to

the green economy

Management team suited to

task

Scalable Business Model

Rapid path to market

Very Cheap entry point for

investment

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Expressions of InterestParticipate in the future of biomaterials

Low price point entry into an Australian company that can commercialise products in the fast-growing bio-based products market

Contact:Ken Richards, Managing Director

k.richards@leafenergy.com.au+61 403 385 051

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