CitroTech Inc. LD Micro 20th Annual Main Event Conference

Thank you. Yeah. It's a privilege to be here.

My first of hopefully many LD Micro events, where I'm able to share with you what we're doing. I stepped in as CEO right at a year ago, and really have been reshaping what we're doing to deliver on wildfire prevention, fire protection. As a public company, we up-listed from OTC to the New York Stock Exchange in last December, we up-listed, but I got to ring the closing bell. As a NYSE company, the Safe Harbor Act applies, obviously, as a company that I want to make you aware of.

As we look at the structural changes, really over the last nine months, since the beginning of the year to now, going from that OTC to where we are, going from a holding company subsidiary to where our headquarters is Colorado, mostly because there's two states that matter a lot, Colorado and California, particularly. Our operations are out of Oceanside, California, just north of San Diego, south of L.A. here, about an hour and a half, strategically located for the manufacturing of CitroTech. When you think about a fire retardant, you should all be thinking about, "Okay, is that that red stuff that comes out of the sky?" Yes, generally that is true. I was the former global head of wildfire prevention and protection for the company called Perimeter Solutions, ticker PRM. I helped them. I was part of the management team as they up-listed for $2 billion on the New York Stock Exchange back in 2021, 2022. 2021, I guess.

And so now about a $4 billion company. I built mine, sold it to them, and helped build up. I did everything that wasn't in the air. But when you look at our manufacturing and where we are, we also said, "Look, this product isn't just to prevent fires and protect assets." This isn't just a breakthrough that the first product that the Environmental Protection Agency has ever recognized in the industry. The red stuff has toxic heavy metals. Let's just be honest with each other. Let's have facts be facts. It's trace, but the cadmium, the arsenic, and other things that are in it, you do not want to repeatedly apply. But there's not been another solution.

For 50 years, this has been a fertilizer-controlled industry. It is fertilizer. It was coming out of Monsanto. That's why headquarters are out of Missouri, Clayton, Missouri, St. Louis, Missouri. What we're looking at is a product that is almost the viscosity of water that is able to treat vegetation, render it non-flammable, and so you get to, we need to get this into the market, but it also treats wood, lumber, wood products we're going to talk about. We have the ability to get partners growing. This had 20 when I did it. We now have 30 certified partners to say, "How do we get these out for insurance purposes around homes and communities?" We look at what we're doing from multiple programs, rail, utilities. They have vegetation management budgets. They need to prevent fires from starting under their power lines, along those railroad lines, along roadsides.

In Southern California, 80% of fires start within 20 feet of a roadside. We should do something about that. How are we going to move this, the R&D, the movements we've made to get to that, really a point where we've laid the foundation now for this company, not just a technology, not just an idea, not just a crazy science piece, but truly laid the foundation for where we're headed as a company. This three markets, wood products, wildland, prevent fires where they start, and homes, home systems, protect the home. This tier 1 manufacturing partner, for those who don't know Hexion, it's not a household name. That is a very ingrained name with every single lumber wood products building materials company in the world.

They sell into the likes of the leading engineered wood products companies like Weyerhaeuser, Georgia-Pacific, Louisiana-Pacific, Boise Cascade, West Fraser. They are the glues, the resins, the fabrics that hold all of those engineered wood products together but are also very flammable. This makes a lot of sense that our tier 1 manufacturing partner, the Federal Qualified Products list, we get on that. It's a massive catalyst, a multi-hundred million dollar opportunity to sell into the federal government, which now has been rolled up under one U.S. Office of Wildland Firefighting. My good friend, former Chief of Orange County Fire Authority, Chief Brian Fennessy, now leads the Office of Wildland Firefighting, the integrated office under the Department of the Interior, and I couldn't have had a better man, better friend leading that agency for the entire United States. This is my industry. This is the reason I came in, knowing how to get a product, building the world's leading company in wildfire prevention, selling it to Perimeter Solutions, running Perimeter Solutions' global wildfire prevention and protection unit.

Then coming back into the industry to do this, the tailwinds are at our back with fire, and we have proven people running this. My background, but excellence, operations, discipline being brought in by my Chief Operating Officer, Andrew Hotsko, to build and run this company in a disciplined way that we need to. Some people have been investors for a while. What I'm trying to do is tell you it's a new day. It's a new page. The foundation has been laid for this company to move forward, and I am thrilled to be here for it. We spend billions fighting wildfires and not much preventing them.

The reason is you couldn't repeatedly apply the red stuff over and over and over and over again, there wasn't a lot of good solutions other than just cut all the vegetation down or spray it with herbicides and kill it. Now we have something that you could actually put onto vegetation and make it non-flammable. We have mandates arriving in California and Colorado. If you're going to build a new home in the wildland-urban interface, where the wildland comes into urban conflagration, you must build it, must have FR-treated siding and building materials on those homes. Okay? Good opportunity for us to make siding. Obviously, there's some additional work beyond just FR-treated wood. You have to have weathering agents and some things. That's where the big boys will take CitroTech and integrate it in. I want to move as many million gallons as possible.

Annual, predictable, high margin, recurring revenue. 50%-70% margin, driving as many million gallons as possible into the wildland, into the wood products industry, and the tailwinds in Colorado and California and the Western U.S. and globally are all moving towards we need to do something to prevent fire. We had to have a better chemistry. CitroTech is from a derived citric acid. Grain gets fermented to citric acid. Citric acid gets neutralized to potassium citrate. We use tripotassium, a little more potassium. That helps on the fire retardancy side. That's that kind of salt base, the potassium base. So tripotassium citrate is an ingredient. Coca-Cola, one of the largest purchasers of it, made out of number 2 yellow corn in the Midwest, Illinois, and Iowa.

The biggest thing is the Environmental Protection Agency said every single one of the ingredients in that, I would drink it, but it doesn't taste that good. So it is safe. It's safe for humans, safe for pets, safe for the environment. When you put it on wood, not only is it make the fire retardancy, the FR-treated lumber, what you could do is UL GREENGUARD Gold, means the smoke, the vapors, the toxins coming off of it when a commercial property is burning, you have the ability to have UL GREENGUARD Gold, the lowest level of smoke and toxins. So now we have a Safer Choice product, UL GREENGUARD Gold, ASTM tested. This product is ready to go into the market. That's why we formed a 50/50 JV.