The City of Toledo decided last fall to dispose of  the City’s sewage sludge in a most controversal manner.

Councilman D. Michael Collins intends to keep looking into the inconsistencies of the decision.

To read the full online article: The Toledo Free Press

N-Viro Fuel™ Benefits

Availability of a cost effective, alternative energy resource in close proximity to power generating facilities.

Physical and chemical characteristics similar to that of coal, allowing the use of existing fuel handling and conveyance systems.

Ability to use organic waste streams such as sewage sludge, animal manure, pulp and paper waste as a fuel source.

Favorable BTU value.

Combustion temperatures similar to coal, thereby providing required stability.

Enhanced combustion stability of organic wastes.

Substitute for sorbent material including lime, anhydrous ammonia and other materials used to scrub sulfur dioxide and nitrous oxides from the combustion off-gases.

N-Viro Fuel™ contains between 20% and 45% water. The water can be used to decrease flame temperatures, and thus provide reduced NOx emissions.

Use of lime and limestone contained in the N-Viro Fuel™ can be used as a sorbent to scrub SOx.

Treated to Class A, EQ (as defined by US EPA) to provide a pathogen-free product that can be safely handled by plant personnel.

Competitive Advantage

The organic waste management industry has attempted to develop technologies to convert organic wastes into alternative fuels for power generation. Unfortunately, the industry to date has been unsuccessful due to the physical and chemical characteristics of the waste or waste derived fuel. Sludge and other organic waste can not be fed through conventional fuel handling equipment due to its high water content and particle size, among others.

Competing companies have developed thermal sludge drying systems that produce sludge-derived pellets with high organic content and low moisture content.  These companies have suggested that uses for the pellets include an alternative fuel. However, these pellets have not been demonstrated to feed in a manner that is compatible with the coal stream. This would include movement through conveyance and handling equipment without segregation, through pulverizers without powdering, and without explosive vapor release.

More importantly, these pellets have low combustion temperatures and unstable ignition profiles, which means the product has a high probability of igniting while in the material handling or storage phase prior to entering the boiler. Self-ignition and resultant fires are well documented. Therefore, power generators would not use existing coal handling and conveyance systems for these unstable products.

N-Viro differentiates itself from the competition with its ability to produce a product, N-Viro Fuel™, which has the physical and chemical characteristics similar to that of crushed coal. Therefore, N-Viro Fuel™ addresses the problems of handling, storage, and self-ignition.

Testing Complete

The overall testing measured the performance, operability of the material and ash content.

The test results confirmed that N-Viro Fuel™ in a 10% substitution performed well.

Performance Measurement: The overall efficiency of the boilers and the amount and type of emissions.

Process Procedure Measurement: The process point and introduction of N-Viro Fuel™  by the material handling system.

Our strategic plan is multi-dimensional. The success of the plan requires the Company first demonstrate the effectiveness and scalability of the patented processes. Second, we must prove the cost-effectiveness of our process and our ability to operate an N-Viro Fuel™ facility profitably. Third, we need to show the ability to convert waste organics into a valuable fuel product safely, effectively and within environmental and regulatory requirements. Fourth, we must establish an end market for the N-Viro Fuel™ by identifying electrical energy producing companies to partner with on these projects. Finally, a full demonstration is required to generators of bio-organic wastes to show that our fuel process can provide a long-term and cost-effective disposal solution.

We believe N-Viro has been diligently adhering to this plan, and believe it is growing close to the accomplishment of these goals.

As a shareholder of N-Viro International, I want you to be aware of what the Company is doing, and explain how we are executing this plan. Since I accepted the position as CEO in 2006, successfully developing N-Viro Fuel has been the primary focus of the Company. We currently utilize our N-Viro Soil technology and have increased our revenues by growing and improving the efficiency of our current business. These revenues have given us the ability to invest in the development of N-Viro Fuel™ while protecting the value of the Company. Our Florida operation has experienced significant growth during the past few years and our intention is to evolve it into an N-Viro Fuel™ operation as soon as possible.

Let me describe some of the more obvious milestones we have met along the way. The initial test of N-Viro Fuel™ at Michigan State University provided initial proof: N-Viro Fue™  does work. N-Viro received a letter from the USEPA endorsing N-Viro Fuel™  as an alternative renewable fuel product.   Further development of N-Viro Fuel™ has required we find one or more power generating entities with multiple generating facilities to be development partners. We are currently marketing N-Viro Fuel™ to a power generating company that operates multiple power plants across the country. The relationship began at the Michigan State test burn in 2007. On September 9 and 10, 2011 this power generating company held their own test burn demonstration. I believe we have identified a partner. Along the way, we have attracted the attention of other potential generating partners, engineering firms and municipal entities who all envision N-Viro Fuel™ as a mutual development opportunity.

The mobile facility commissioned this year in Pennsylvania was a vital step in the development of our fuel process. YouTube visitors have seen its rugged and simple design and the production of N-Viro Fuel™ gathered to eventually generate electricity. This has never been done before. This facility has delivered the proof needed to move forward on a larger scale. We have successfully converted wastewater residuals into N-Viro Fuel™ on a small commercial scale, and have used the fuel product to generate electricity. We are making arrangements now to complete the work in Pennsylvania and commence development of a full-scale facility.

Our efforts in Pennsylvania have furthered our commitment to the development of N-Viro Fuel™ in a number of locations. Development of the first full facility will provide the template for additional facilities thereafter, and I expect will establish a new and exciting future for N-Viro. Next steps will require a comprehensive analysis of location-specific regulatory compliance as well as adaptation to each unique market. Our mission is to obtain long-term supply agreements and achieve facility installation. I believe we can accomplish these milestones in the near future.

Unlocking the potential of N-Viro has been and remains with the commercialization of N-Viro Fuel™. We have researched the market potential domestically and internationally. Beneficial reuse of waste products is a global goal which has too often been left unfulfilled. Over the past several years we have attended many meetings where N-Viro Fuel™ was the topic. We have begun submitting proposals using N-Viro Fuel™ both domestically and internationally. I know our technology fits broadly across our industry but I accept the fact that some markets are not ready yet for the technology we possess. This includes Toledo, Ohio. Recently, the administration within the City of Toledo chose to abandon even older Class A technology, and has declined to pursue the advanced treatment of biosolids. Despite a twenty-two year history with N-Viro and our stated willingness to produce N-Viro Fuel™ in Toledo, they have chosen to adopt a lesser form of treatment which was the subject of a letter entitled Toledo City Council that can be downloaded from our website on the home page under Latest News. Regardless of this decision, we will move forward and accomplish our goals unimpeded.

We have been clearly focused on our goals in the development of N-Viro Fuel™ and have been encouraged by our accomplishments. Having a strategic path before us and acknowledging our growth potential provides us continuous motivation. Being able to envision the future and knowing how far we have come provides the confidence in our ability to execute our plan.

The support we have received from our shareholders has been very much appreciated. Together, we expect great accomplishments for N-Viro International Corporation.

Sincerely,

Timothy R. Kasmoch

President and CEO

N-Viro International Corporation

The debate continues on with two camps vigorously debating the safety issue over disposing 50,000 tons of biosolids on a dredging island at Facility 3 on the shores of Lake Erie.

One very determined city council member is adamant that disposing of 50,000 tons of biosolids on a 70 acre plot on a man-made island requires testing to prove its safety.  Collins spoke out in a Toledo Blade article published October 12, 2011.  He says all he wants is for the appropriate testing to be done.

Testing is required by the EPA for the handling, treatment and disposal of biosolids.  It is all explained in the 186 page EPA document.  Public clarity from the experts about testing, regulations and reclamation sites is essential information to understand in order for the decision makers to end the debate and choose the safe option.

Nonpoint source pollution generally results from land runoff, precipitation, atmospheric deposition, drainage, seepage or hydrologic modification. The term “nonpoint source” is defined to mean any source of water pollution that does not meet the legal definition of “point source” in section 502(14) of the Clean Water Act.

Green Algae on Lake Erie

The City of Toledo is debating whether to place a minimum of 40,000 tons of biosolids on a man-made island and mixing the sludge with harbor dredgings as part of a beneficial reuse program supported by many groups to mention just a few-The Lake Erie Partnership and the Toledo Port Authority.

The issue with disposing of biosolids on the Confined Disposal Facility (CDF) Site 3 located on the shores of Lake Erie is not the classification of treatment but the point / nonpoint source pollution run-off from biosolids.     Downward movement of phosphorus from organic wastes is potentially significant in areas with shallow ground water (like a dredging island)  and coarse-textured soils of low phosphorus-sorbing capacity (like dredgings).

The above video, Green Algae on Lake Erie, makes reference to wastewater treatment discharge as a major contributor of excess phosphorus that in turn feeds the algae blooms which have taken over the west end of Lake Erie in the past decade.

Let’s make informed decisions about the management of organic materials on the basis of which alternatives provide reasonable protection for our environment regardless of technologies.  Keeping our waterways free from pollutants by properly disposing of biosolids in a responsible manner is our mission at N-Viro International Corporation.

Sound management of biosolids recycling demands a full understanding of the effects of phosphorus leaching and offsite seepage of nonpoint source pollution.

The current regulatory framework for the CDFs sets up an adversarial federal/state relationship when a federal standard determination does not meet state water quality criteria and needs mending.  However, a better process is needed to help state and federal agencies synchronize protocols and data used to determine compliance with the same Clean Water Act provisions. Clearly, the water quality needs attention.

If there are conflicts regarding water quality  what process is followed to implement alternative management options  and which agency determines what is the best, cost effective alternative  from an environmental standpoint?

Testing is simply a smart, risk averse, qualifier to ensure the quality of our air, water and land.  Let’s see that it is implemented on the CDFs.