Rare Earth Material-Recycling and Repurposing, the innovative alternative for materials management Columbus Metropolitan Club February 24th 2011

Shane Thompson, Vice President Kinsbursky Brothers-Toxco KBI / Toxco Inc. Corporate Headquarters Kinsbursky Brothers, Inc. Major Shareholder in the Toxco group of companies.

Partners in Toxco with: Adams; equity partners in SA Recycling Alpert &Alpert, Both businesses are longstanding and well respected Southern California based metals companies  Kinsbursky Brothers; Anaheim, CA  TSDF ◦ Pb breaking operations ◦ Industrial Ni battery processing ◦ Specific e-waste processing ◦ Precious metals processing (auto catalyst)  Toxco:  Trail; British Columbia ◦ Lithium and Lithium Ion recycling  Baltimore, Ohio ◦ Large Quantity Universal Waste Handling Facility ◦ Big Green Box Fulfillment Center  Lancaster, Ohio ◦ TSDF ◦ Automated Pb breaking operations ◦ 6 NiCd retort furnaces Lithium and Li Ion recycling

The fluff and intermediate materials are separated and processed.

The slurry material is filtered for further recovery. The filter removes up to 35% Co by

weight. Lithium Carbonate

The filtrate slurry is mixed with

Na2CO3 and filtered again. The result is 97% pure lithium carbonate

The recovered lithium material is then sold to several industries.

Cobalt Filter Cake Toxco Inc –Ohio operations

Toxco | Lancaster, Ohio EPA ID: OHD071654958

• Ohio EPA Permit to Install and Operate a Hazardous Waste Facility (RCRA Part B Permit) • Industrial Waste Water Discharge Permits • Air Pollution Control Equipment Permits

Toxco | Baltimore, Ohio EPA ID: OHD101614907 Lancaster, Ohio

• Large quantity handler of universal waste •Allows for the collection of diverse batteries from environmental service companies •DOT Packaging and compliance center

Baltimore, Ohio Automated Pb battery breaker

In 2008 Toxco added a new process to automatically break industrial Pb batteries and produce PbO, a premium feedstock material for Pb smelters

High degree of recyclability of the battery

Improved worker safety Nickel Cadmium Retort Operations, in Ohio

Acquired Moltech Technology in 2002

24 hours/day Operation

Cadmium Recovered in 7 Pound Ingots

Production of Fe-Ni Cells

System is Scalable. Cadmium Ingots Battery Electric Vehicle Recycling Toxco has been on the forefront of hybrid and electric vehicle battery recycling, currently working with both manufacturers and dealers alike to manage EOL batteries.

This dual participation has lead Toxco to recycle over 1 million pounds of NiMH and Li-Ion vehicle batteries in the past three years. Packs Recycled (by weight):

Honda – Over 600,000 lbs

General Motors – Over 250,000 lbs

Toyota – Over 700,000 lbs World production of rare earths 2008 and 2009 (USGS 2010a)

Country t REO per year Share

China 120 000 97.0%

Brazil 650 0.5% India 2 700 2.1% Malaysia 380 0.3% Other countries n.d.

Total 124 000 100 %

The table illustrates clearly the dominance of the Chinese production. The Toyota Prius is the most rare earth intensive consumer product ever made, with the 1.8 MM Prius on the road each containing about 25 lbs of Rare Earths. This is 22,500 tons of renewable Rare Earths. This represents roughly 20% of the worlds current market (Which, remember…China controls 97% of this market!) Advanced Li Ion Recycling Plant-Lancaster, Ohio  The plant is being designed to manage NiMH batteries

In the Interim… Contact Information

Thank you for your time and attention, please don’t hesitate to contact me if you need additional information and or you would like to visit one of our facilities

Kinsbursky Brothers, Inc. / Toxco Inc. 265 Quarry Rd., Lancaster, OH, 43130 Tel. 740-653-6290 Fax 740-653-3240 E-mail [email protected]