RANCHO MARGOT S.A.

PAS 2060 Declaration of Achievement Qualifying Explanatory Statements for PAS 2060 Declaration of Achievement to Carbon Neutrality

July 13th, 2012

To be retained until July 12th, 2013

RANCHO MARGOT S.A. DECLARATION OF ACHIEVEMENT

Prepared For: Rancho Margot S.A. El Castillo, La Fortuna San Carlos, Alajuela Costa Rica

Prepared By: Carbon Clear 5633 Wagon Train Road Austin, TX 78749 USA

Copyright and Non-Disclosure Notice The contents and layout of this report are subject to copyright owned by Carbon Clear ( Carbon Clear Limited 2009). To the extent that we own the copyright in this report, it may not be copied or used without our prior written agreement for any purpose other than the purpose indicated in this report. The methodology (if any) contained in this report is provided to you in confidence and must not be disclosed or copied to third parties without the prior written agreement of Carbon Clear. Disclosure of that information may constitute an actionable breach of confidence or may otherwise prejudice our commercial interests. Any third party who obtains access to this report by any means will, in any event, be subject to the Third Party Disclaimer set out below. Third-Party Disclaimer Any disclosure of this report to a third-party is subject to this disclaimer. The report was prepared by Carbon Clear at the instruction of, and for use by, our client named on the front of the report. It does not in any way constitute advice to any third- party who is able to access it by any means. Carbon Clear excludes to the fullest extent lawfully permitted all liability whatsoever for any loss or damage howsoever arising from reliance on the contents of this report. We do not however exclude our liability (if any) for personal injury or death resulting from our negligence, for fraud or any other matter in relation to which we cannot legally exclude liability.

Rancho Margot Declaration of Achievement 2012

This document was developed to support the Declaration of Achievement of carbon neutrality for Rancho Margot. It contains Qualifying Explanatory Statements as required per PAS 2060 for Declaration of Achievement. 1. (B.2.7) The declaration period is from July 13th, 2012 to July 12th, 2013. Please note that Rancho Margot follows PAS 2060 declaration Option 3 which enables entities to use carbon offsetting, if necessary, to account for all GHG emissions associated with the defined subject, in this case Rancho Margots 2011 operations, for the first application period. 2. (B.2.8) The economic growth rate for Costa Rica in 2011 was 4%. 3. (B.2.9) There is the possibility that a GHG reduction in intensity terms could be accompanied by a GHG increase in absolute terms. The GHG reduction intensity metric used for Rancho Margots reduction target is metric tons of CO2e per guest. For the 2011 reporting period a total of 2,974 guests stayed at Rancho Margot. The next reporting period could result in a greater number of guests staying at the hotel, and thus require in absolute terms more GHG related activities in order to support the number of guests. 4. (B.2.11) Confirmation Rancho Margots 2011 carbon assessment resulted in net negative emissions, meaning that the hotel removed more carbon from the atmosphere than it emitted. The companys operations are deemed carbon neutral for the 2011 reporting period with no requirement to purchase carbon offset credits. 5. (B.2.12.a) Rancho Margots carbon footprint for the 2011 reporting period is (1,260) metric tons CO2e .

N o t e :

Type of Emissions/Removal Fuel (Liters) Scope 1 (Direct)

Activity

Units 15,423 266,500 151 604 28,901 906 12,480

CO2e (Tons) 40.9 24.5 8.0 73.5 1.6 34.9 2.5 2.8 41.8 (1,375) (1,260)

Composted Waste (Kg) Natural Gas (MMBtu) Subtotal N/A Employee Transportation (Liters) Supplier Deliveries (ton-miles) Business Travel (Liters) Guest Transportation (Kms)

F i g u r Scope 2 (Indirect Energy) e s h a v e

Scope 3 (Indirect Other)

Subtotal b N Removal Forest Land Carbon Sequestration o t TOTAL EMISSIONS (MTCO2e) e : Figures have been rounded for insertion into the table and may not add up to 100%.
Rancho Margot Declaration of Achievement 2012

 6. 7. (B.2.14) Statement of Validation: Carbon Clear hereby validates the Declaration of Achievement of Carbon Neutrality made by Rancho Margot S.A. below. (B.2.13) Type of conformity Other Party Validation

DECLARATION OF ACHIEVEMENT
Rancho Margot achieved Carbon Neutrality for the 2011 reporting period in accordance with PAS 2060 on July 13th, 2012 with commitment to maintain to July 12th, 2013 for the period commencing July 13th, 2012. Carbon Clear validated.

On behalf of Rancho Margot S.A. Date: July 13th, 2012 Name: Juan Sostheim Position: Owner Signature: On behalf of Carbon Clear Date: July 13th, 2012 Name: Lauren Knauss Position: Director Signature:

Rancho Margot Declaration of Achievement 2012