STANDARD TERMS AND CONDITIONS OF

STANDARD TERMS AND CONDITIONS OF SALE

All sales of products manufactured and/or distributed by Biodiesel Logic, Inc. (“Biodiesel”) are final and subject to our Warranty or the warranties of suppliers of pumps, motors or other accessories not specifically manufactured by Biodiesel, but made a part of the assembly or assemblies. Sales are made F.O.B. our loading dock and in the case of foreign shipments, shall be "X-WORKS" (Factory Loading Dock). All sales are subject to applicable taxes, tariffs, duties and other fees as they may apply. The Risk of Loss of the products passes to the purchaser upon receipt by the carrier. Product returns are permitted only with the express written consent of Biodiesel in response to the submission of a Return of Material (ROM) request form. Returns are to be F.O.B. our loading dock or other location described in our written authorization. Payment in full, including all applicable taxes, tariffs, duties and other fees as they may apply, is due before shipment. Factory service and support are available at the then current per diem rates plus expenses. Any attempt to repair or alter the vessels during the warranty period voids the warranty without the express written consent of Biodiesel. Disputes arising out of the purchase and use of our products are to be resolved using the services of a mediator selected from a list of mediators provided by the Alternate Disputes Resolution Corporation of Alabama. If mediation fails to resolve the dispute, then the parties shall then arbitrate the dispute by a single arbitrator in Alabama in accordance with the Commercial Arbitration Rules of the American Arbitration Association as in effect. The decision of such arbitrator shall be final and binding on all parties.

FUEL DISCLAIMER

Biodiesel Logic, Inc. specifically disclaims any warranty that the purchaser of our equipment can make ASTM quality fuel. The equipment is capable of producing ASTM quality fuel, however, such production is dependent upon the skill of the operator in applying the published recipes and carefully monitoring the process. Biodiesel Logic, Inc. does not specify the recipe to be followed and leaves the selection of the same to the operator.

Your purchase, acceptance and/or use of our products is your acceptance of these terms and conditions, and your agreement to be bound by them.

WARNNING

The process of making biodiesel fuel involves many hazards. Operators of Biodiesel Logic processors must use due care and diligence in all safety aspects of the process. Eye protection, skin protection, and fire protection are a few, but not all of the cautions to be taken. While the feedstock’s and the finished product are minimally hazardous, the process involves the use of caustic and hazardous chemicals. Caution must be observed in their handling, mixing and injection into the processing equipment. Primary among the cautions, but not all, is (1) the avoidance of open flames or glowing heating elements in the vicinity of the methanol or its mixture with the base; (2) avoidance of breathing in the fumes of the raw chemicals and their mixtures; (3) proper venting of the fumes of the reaction with the feedstock; and (4) the proper storage of all chemicals and the finished biodiesel fuel.

Your Biodiesel Processor must be electrically bonded to a earth ground. Keep a dry chemical Fire Extinguisher within easy access (recommend within ten feet) of your Biodiesel Processor. Wear proper protective gloves, apron, mask and eye protection and do not inhale any vapors. Gloves should be chemical-proof with cuffs that can be pulled up over long sleeves – NO SHORTS OR SANDALS.

Methanol can cause blindness and death, and you don't even have to drink it, it's absorbed through the skin. Sodium hydroxide can cause severe burns and death. Together these two chemicals form sodium methoxide. This is an extremely caustic chemical mixture. Always have running water handy when working with them. The workspace must be thoroughly ventilated.

Organic vapor cartridge respirators are more or less useless against methanol vapors. Professional advice is not to use organic vapor cartridges for longer than a few hours maximum, or not to use them at all. Only a supplied-air system will do (SCBA -- Self-Contained Breathing Apparatus).

The best advice is not to expose yourself to the fumes in the first place. All methanol containers should be kept tightly closed anyway to prevent water absorption from the air. The main danger is when the methanol is hot -- when it's cold or at "room temperature" it fumes very little if at all and is easily avoided. When handling it keep it at arm's length. Do not lean over an open the container. Do not use "open" reactors -- biodiesel reactors should be closed to the atmosphere, with no fumes escaping.

Your Biodiesel Logic system is designed to transfer methanol from its container to the methoxide mixing container by pumping it, with no exposure. The mixture gets quite hot at first, but the container is kept closed and no fumes escape. When mixed, the methoxide is pumped into the (closed) biodiesel processor.

Once again, making biodiesel is safe if you are careful and sensible. Nothing about life is safe if you're not careful and sensible! Sodium hydroxide and Lye is sold in supermarkets and hardware stores as a drain-cleaner, and there is probably a can of it under the sink in most households. Methanol is the main or only ingredient in barbecue charcoal starter fuel or fondue fuel sold in supermarkets and chain stores. It's also the main ingredient in the fuel kid’s use in their model airplane and car engines. So get it in perspective: be careful with these chemicals -- be careful with ALL chemicals -- but there's no need to be frightened of them.