Title of Innovation: Pyrogel XT Water Repellent Aerogel Blanket Insulation

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1 Title of Innovation: Pyrogel XT Water Repellent Aerogel Blanket Insulation Category: Materials Nominee: Harry Walkoff Aspen Aerogels, Inc. Northborough, MA, USA Web site: Date of Innovation: April 2008 Brief Summary: Aerogel blanket insulation reduces risk of CUI. The oil and gas industry has been plagued for some 30 years with corrosion damage caused by corrosion under insulation (CUI). Most corrosion professionals understand the phenomena. Water ingress into insulation systems is held for long periods against the warm or hot steel by the relatively thick, water-absorbent insulation, causing corrosion of unprotected carbon steel, or of steel that was never coated with a proper immersion-grade coating. NACE Standard RP states that insulation materials contribute to CUI in the following three ways: Providing an annular space which can collect water and other corrosive media. Leaching out contaminants that accelerate the corrosion process. Wicking and/or absorbing water and holding it against the substrate. It also states, Because CUI is a product of wet metal exposure duration, the insulation system that holds the least amount of water and dries most quickly should result in the least amount of corrosion damage to equipment. The innovation being nominated is an aerogel insulation blanket that: Does not absorb water. Allows water vapor to pass through it. Has exceptional thermal conductivity, allowing a significantly reduced thickness compared to traditional insulation. The mechanical and chemical properties of aerogel blanket insulation serve to mitigate all three of the abovementioned factors which contribute to CUI as follows: Blanket with metallic jacket application is secured with metal banding, which eliminates the annular gap common with rigid insulations. No chlorides or other leachable materials, which can accelerate corrosion. Long-term hydrophobic up to 600 ºF. Myriads of manufacturer tests, independent laboratory tests, field trials, and case histories over the last three years of global use in the oil and gas industry have corroborated the corrosion mitigation properties described above.

2 Title of Innovation: Pyrogel XT Water Repellent Aerogel Blanket Insulation Full Description: When and how was it developed? Development finalized and released for sale in April Using the sol-gel process for creation of aerogel particles, which are embedded into a fibrous glass blanket by a supercritical CO 2 extraction. How does it work, in basic terms? It works as thermal insulation, the same way thermal insulation has historically been intended to work for many decades. There are five major caveats to this innovative insulation material: 1. The insulation remaining dry eliminates the mechanism that is known to cause corrosion under insulation (CUI). That is, the retaining of water for long periods against the steel surface under the insulation. 2. Because it does not wick and absorb water (after exposure to up to 600 F), the thermal efficiency of the insulation present when the insulation is new remains unchanged throughout the entire life of the insulated equipment (i.e., the insulation never has to be replaced due to wetness or damage). 3. Outstanding thermal conductivity, which allows very millimeters of thickness to achieve the same thermal efficiency as inches of other types of insulation materials (assuming those materials are dry). 4. The blanket is unbreakable, resists mechanical damage, has unlimited reuse, does not require molding into pre-determined shapes, and requires 7X less volume in transportation, storage, and portage to a jobsite. Suitable for temperatures up to 1, 200 F (648 C). Water repellent up to 600 F (315 C). How or why is the innovation unique? No other insulation material has all of the above properties and attributes. What type of corrosion problem does the innovation address? CUI

3 What is the need that sparked the development of the innovation? Insulation with excellent thermal efficiency that uses commercialized aerogel technology. Are there technological challenges or limitations that the innovation overcomes? Yes, many. The innovation is the product of scores of man-years of technology development, which originated with NASA two decades ago. From the commercially economic manufacture of aerogel, to accomplishing its infusion into a durable and temperature stable carrier (blanket). The innovation represents the development of an entire technology. What are the potential applications of the innovation? All types of hot thermal insulation in all industries, from aerospace to oil and gas. How does the innovation provide an improvement over existing methods, techniques, and technologies? The five caveats described above. What type of impact does the innovation have on the industry/industries it serves? Reduction of CUI risk. Provision of permanent thermal efficiency that is not dependent on the condition of the weather jacket. Provision of insulation that is not damaged due to high weight loads or impact. Reduce installation costs per the attributes following. Ability to build less costly pipe racks (achieving greater pipe density on the rack). Ability to insulate equipment more quickly, saving labor hours, scaffold rental, crane rental. Reduction of overall equipment weight. Reduction of storage needs. Reduction of foot print size on a job site. Ability to transport equipment and piping pre-insulated without damage. Suitable for very high temperature. Does the innovation fill a technology gap? If so, please explain the technological need and how it was addressed prior to the development of the innovation. The explanations thus far have addressed this. There was no insulation that was capable of all of the abovementioned attributes. Technically, it was a technology gap. Has the innovation been tested in the laboratory or in the field? If so, please describe any tests or field demonstrations and the results that support the capability and feasibility of the innovation. Yes, tested in both laboratory and the field. Actual installations too numerous to list. Many oil and gas facilities have completed both field trials and major project installation. Examples are: ExxonMobil Baytown and Baton Rouge refinery s low sulfur diesel projects are two among several grassroots unit builds using only Pyrogel XT as hot insulation. Is the innovation commercially available? If yes, how long has it been utilized? If not, what is the next step in making the innovation commercially available? Yes, commercially available. Pyrogel XT utilized since April 2008.

4 Are you aware of other organizations that have introduced similar innovations? If so, how is this innovation different? Yes, one other company has introduced an aerogel blanket insulation. It is not able to resist elevated temperatures often seen in refineries. Are there any patents related to this work? If yes, please provide the patent title, number, and inventor. Aerogel Compositions with Enhanced Performance, application no. 11/753,815, inventors Owen R. Evans, Wendell E. Rhine, Jon F. Nebo, and Jon C. Abeles. Supporting Photos: Fig. 1: Water vapor flows through it. Water does not penetrate.

5 Fig. 2: Pyrogel XT is damage-proof.