BC pellet plant announced with torrefaction

Nov 8, 2011, Abbotsford, BC – Biomass Secure Power Inc. says its first
pellet plant will be constructed in Cowichan Lake, British
Columbia, and will quickly move to torrefied pellet production using proprietary technology.

The plant will be constructed on a 30 acres site and will
initially have one production line producing up to 250,000 tonnes of
pellets per year. The Company plans to use the production from this
plant to fulfill an agreement announced May 18, 2011 with LG
International Corp.

Jim Carroll President / CEO of the Company stated that the reception
received from both city Council and fibre suppliers was a major factor
in choosing Cowichan Lake as the location for the first pellet plant.

Cowichan Lake Mayor Ross Forrest stated, "We are extremely pleased to
have a pellet plant project come to our community. He also stated that
the permitting process should be completed within 30 days from the
application date. Cowichan Lake council members will do everything they
can to ensure that the project is successfully launched."

Company background

Biomass Secure Power Inc. is incorporated in the Province of British
Columbia. The company has designed its biomass pellets plants to produce
250,000 tonnes of pellets per line. This allows the company to leverage
the engineering over several plants as design and layout will be
identical. The first plant will have a torrefication system designed by
the company installed that will be capable of producing 50 to 80 tonnes
per hour of torrefied pellets. Once the torrefication system production
rate is proven, Biomass Secure Power says it will move to 100% production of torrefied
pellets.

Torrefied pellets are 30% more dense than regular wood pellets and
contain 16% more energy per kilo, and are hydrophobic and therefore not
subject to deterioration during shipment or storage. Torrefied pellets
are more easily ground, which reduces the processing cost at the
utility. The new plant design will maximize the yield by efficiently
matching the volume of produced synthetic gas from the process of torrefication to the energy requirements of the plant.