The FASForm 6-1 Spread

About the spread history chart. Frontieras North America has not yet commenced commercial production, so no actual FASForm operating results exist. The red FASForm lines on the chart are a back-cast simulation: what the FASForm 6-1 spread would have been on each historical date, calculated by applying the project financial-model yield coefficients to that day's commodity prices. The grey 3-2-1 crack line uses real historical refined-product market data and is shown in its native $/bbl quotation; FASForm is shown in $/ton coal. The two metrics use different feedstock units — see "What the chart shows" below for the apples-to-apples comparison.

Hero / differentials methodology — footnotes referenced above:

• ¹ ~60-76% Operating Margin (modeled). Per the project financial model base case: $321/ton net spread ÷ $376/ton gross product value ≈ 85% gross margin, reduced after modeled operating costs (utilities, labor, maintenance, ash handling, water, plant overhead). The upper bound (~76%) reflects the base-case opex assumptions; the lower bound (~60%) reflects a more conservative opex sensitivity. The Company has not yet validated these figures against actual production. Detailed opex line items are available in the Company's SEC filings.
• ² Zero Waste (modeled by process design). The FASForm process is designed so all coal carbon and sulfur convert into one of the six saleable product streams. This is a design claim from the project process engineering — not yet a measurement from operating equipment, and not a representation of compliance with any specific environmental standard.
• ³ Feedstock-to-Revenue Ratio. Gross product value ÷ feedstock cost. FASForm at base case: $376/ton products ÷ $55/ton coal = 6.84x. Crude refining: roughly $135/bbl gasoline+diesel revenue ÷ $98/bbl WTI ≈ 1.4x. Crude ratio uses live WTI; FASForm ratio uses the modeled base case for product prices.
• ⁴ Kerosene. Kerosene yield is part of the combined distillate (ULSD) fraction in the project model — the 1.771 bbl/ton ULSD coefficient represents total distillate-range output, which Frontieras may optionally market as separate ULSD and kerosene grades at market pricing. Listed for product-mix transparency; not a separate revenue coefficient.
• ⁵ Refining margin band (~10-15%, 2024-25). Reflects U.S. complex refinery net margins during 2024 and the first half of 2025 per the U.S. Energy Information Administration and IEA Oil Market Report. The 2022–2023 period saw exceptionally elevated margins (often above 20%) following the Russia–Ukraine refined-product shock; we use the 2024-25 normalized band as a more representative steady-state comparator.
• ⁶ No catalyst. The FASForm process is thermolysis-based — coal conversion is driven by controlled-atmosphere heat rather than precious-metal catalysts (Pt, Pd, Ni, zeolites). Process-design claim from the project engineering documentation.
• ⁷ Crude refining waste streams. Petroleum refining generates spent catalyst, acid sludge, slop oil, tail gas, and petroleum coke. Modern refineries capture or resell most of these, but they represent material flows outside the gasoline + diesel revenue mix.
• ⁸ Revenue concentration on crude (~65-70% gasoline). Calculated from 2 bbl gasoline + 1 bbl diesel per 3 bbl crude at recent market prices. Gasoline's share has typically ranged 62–72% of gross product value depending on the seasonal gasoline/diesel spread.
• ⁹ Spread per ton of feedstock (normalized row). Crude crack spread is industry-quoted in $/bbl. To compare directly with FASForm $/ton coal, the crack value is multiplied by 7.33 (industry-standard barrels-per-metric-ton of crude oil). This produces $/ton crude feedstock. At current prices, the two land closer together than the native-units row suggests — the larger structural advantage of FASForm appears in the operating-margin row, not the absolute-spread row.

The 6 FASForm revenue streams. From 1 ton of coal feedstock, the process is designed to yield: ULSD diesel (1.771 bbl), naphtha (0.071 ton), FASCarbon (0.602 ton), sulfuric acid H₂SO₄ (0.087 ton), ammonium sulfate (NH₄)₂SO₄ (0.105 ton), and kerosene (sub-stream within the distillate fraction). Coefficients are from the project financial model base case.

About the project financial model ("base case"). References to the "base case" or "model base case" throughout this page refer to the project financial model maintained for Frontieras' Mason County, WV facility, prepared using project-finance modeling methodology that is standard for industrial-scale capital projects of this type. Any reference to a third-party advisor by name in the model documentation should be understood as referring to the methodology and outputs of the model, and should not be construed as a third-party endorsement, guarantee, or audit of the projections shown here.

FASCarbon concentration risk. Approximately 27% of modeled gross product value depends on FASCarbon at a $250/ton internally modeled valuation. FASCarbon is a proprietary product with no continuous public market at this stage of commercialization. Realized FASCarbon prices in any commercial sales may differ materially — potentially significantly higher or lower — from the modeled valuation. Investors should consider the sensitivity of the modeled spread to FASCarbon pricing assumptions: at FASCarbon = $0, the modeled spread declines by ~$150/ton.

Coal supply (MOU status). The $55/ton coal feedstock price is structured under a 10-year supply Memorandum of Understanding (MOU) with the Company's coal supplier. MOUs are generally non-binding letters of intent and may be modified or replaced before definitive supply documentation is executed. Definitive supply agreements have not yet been signed at the time of this page's writing; the collar range, indexation mechanism, and termination provisions are subject to negotiation. Coal availability and pricing beyond the term of any definitive agreement are not assured.

What the chart shows (apples-to-apples). The chart plots each spread in its native quotation: FASForm in $/ton of coal, 3-2-1 crack in $/bbl of crude. Crack appears small relative to FASForm because $/bbl values are an order of magnitude lower than $/ton values — that is the chosen visualization, not a unit conversion. For apples-to-apples comparison, multiply crack by ~7.33 (industry-standard barrels-per-metric-ton of crude) to get $/ton of crude feedstock; at current prices that lands crack around $400–450/ton of crude feedstock, closer to FASForm's modeled spread per ton of coal. The structural advantage the page implies comes principally from the operating-margin comparison (modeled ~60-76% vs ~10–15%), not from the absolute spread numbers.

Sensitivity / Scenario Modeler outputs are illustrative. The scenario modeler compounds several modeled assumptions: spread per ton (using the project yield coefficients), an assumed ~76% operating margin (not yet validated against production), and 365 days/year of continuous operation. Industrial plants typically run 90–95% utilization due to planned maintenance and downtime; the 365-day figure is an upper-bound illustration, not an expected case. Capacity scenarios above 1,000 tons/day assume multiple production lines that do not yet exist — Frontieras has one Phase-One facility in development at Mason County, WV. All scenario-modeler outputs are hypothetical and labeled as such.

Data sources. Live prices for crude oil (WTI), gasoline (RBOB), diesel (ULSD), and naphtha are sourced from OilPriceAPI (institutional petroleum data feed), with FRED (Federal Reserve Economic Data) and EIA (U.S. Energy Information Administration) as backup historical feeds. Ammonium sulfate is derived from live urea prices using a 0.40 historical price ratio (per USDA NASS and World Bank Pink Sheet 2018–2024 averages). Sulfuric acid is estimated from the Federal Reserve Producer Price Index series WPU0613020T1 with an assumed 1982 base reference of $70/ton; this is a PPI-derived estimate, not a direct spot quote. FASCarbon has no public market; the displayed price is an internal modeled valuation. Coal feedstock price reflects the 10-year supply MOU described above.

Forward-looking statements (PSLRA safe harbor). Statements on this page about projected spreads, operating margins, plant capacity, revenue projections, product yields, and waste streams are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected due to factors including but not limited to:

• Commodity price volatility (oil, refined products, sulfuric acid, fertilizers, coal)
• Single-facility concentration risk (the Company's near-term operations depend on the Mason County, WV facility; events affecting that site can materially affect results)
• Technology scale-up execution risk (the FASForm process has not yet been operated at commercial scale)
• Construction and commissioning timing (schedule overruns are common in large industrial projects)
• Environmental permitting (federal, state of West Virginia, and local approvals required for operation; delays or denials would directly impact timing)
• Plant utilization and downtime (real-world uptime is typically lower than the 365-day figures shown in scenario models)
• Process performance vs. modeled yields (actual product mix and quality may differ from Operis-model assumptions)
• Skilled-operator availability (industrial plants require trained personnel; labor markets in West Virginia for this skill set are tight)
• Coal supply continuity (current supply is structured under an MOU that has not yet been replaced by a definitive long-term agreement)
• Market conditions for novel products (notably FASCarbon, for which no continuous public market currently exists)
• Capital availability (additional capital may be required to complete construction and reach commercial production)
• Regulatory approvals (broker-dealer-platform compliance, securities filings, environmental compliance)
• Other risks described in the Company's offering materials filed with the U.S. Securities and Exchange Commission

Regulation A+ Tier 2 issuer. Frontieras North America has conducted its capital raise under Regulation A+ Tier 2 of the Securities Act of 1933. Its current Reg A+ offering is closed; any future offering will be the subject of separate offering materials and is not solicited by this page. This page is not an offer to sell, or a solicitation of an offer to buy, any securities. Investors and prospective investors should consult the Company's official SEC filings (Form 1-A, 1-K, 1-SA, 1-U) for the most accurate and current information. Filings are publicly available on the SEC's EDGAR system: EDGAR — Frontieras filings search ›

Pre-revenue status. Frontieras North America has not yet commenced commercial production. None of the operational metrics on this page (spread, margin, yield, waste streams, plant output) represent observed performance — they are projections from the project financial model.

Not investment advice. This tool is provided for informational and educational purposes only. It does not constitute investment advice, an offer to sell, or a solicitation of an offer to buy any securities or any other financial product. Investors should consult their own financial, tax, and legal advisors before making any investment decision. Frontieras North America, its officers, employees, and affiliates accept no liability for any reliance placed on the information shown here.