WHAT IS THE ACTUAL COST OF YOUR COMMERCIAL WATER HEATER? LOOKING BEYOND EFFICIENCY INCREASING ROI THROUGH WATER HEATER MATERIAL SELECTION

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1 Engineered Water Heating Solutions WHAT IS THE ACTUAL COST OF YOUR COMMERCIAL WATER HEATER? LOOKING BEYOND EFFICIENCY INCREASING ROI THROUGH WATER HEATER MATERIAL SELECTION

2 Water Heater Efficiency Water Heater Existing PVI System Thermal Efficiency 93% 93% Gallons per Day Temperature Rise Cost per Therm $1.00 $1.00 Hours per Day Days per year Hours per year Yearly Operation Cost $47,078 $47,078 Cost in US Dollars $50,000 $45,000 $40,000 $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 Yearly Operating Cost Yearly Fuel Cost Savings $0 $5,000 $0 PVI Existing System System Comparison

3 With Efficiencies Equal Storage Water Heater Lifespan Becomes the Critical Factor in Increasing ROI

4 Corrosion The enemy of storage water heater long term performance

5 Water Heating Fundamentals GLASS EPOXY / THERMAL PLASTIC CEMENT METAL PLATING

6 Preventing Iron Oxidation Isolating the electrolyte (water) and breaking the electrochemical circuit is the main initiative behind tank linings and barrier protection more noble metal less noble metal BARRIER LINING

7 LININGS USED ON TANK SURFACES FOR WATER HEATERS and STORAGE TANKS CEMENTATIOUS (cement) PORCELAIN ENAMEL (glass) EPOXY THERMAL PLASTIC COPPER ELECTROLESS NICKEL THERMAL METALIZATION

8 GLASS APPLICATION DISCONTINUITY: THE PROCESS OF CONSTRUCTING PORCELAIN GLASS LINED VESSELS OFTEN INVOLVES COATING AND CURING TANK SECTIONS PRIOR TO WELDING THE SECTIONS TOGETHER. THIS LEADS TO: SEAMS IN THE VESSEL THAT LACK LINING COVERAGE DAMAGED AREA FROM HEAT OF WELDING TORCH

9 Water Heating Fundamentals DISSOLVED OXYGEN IN WATER OXYGEN - ELECTRON HUNGRY IRON - LOSES ELECTRONS TANK CORROSION POTENTIAL DOUBLES FOR EVERY 25 DEGREE RISE

10 WHAT SHORTENS THE LIFE OF ANODE RODS? NON FERROUS MATERIAL EXPOSURE: MAGNESIUM IN THE PRESENCE OF COPPER ACCELERATES THE RATE OF CORROSION WATER TEMPERATURE: AN ANODE ROD WILL DEPLETE 13% FASTER IF WATER TEMPERATURE IS 140 F COMPARED TO 120 F DEPLETION WILL OCCUR 28% FASTER AT A TEMPERATURE OF 160 F COMPARED TO 120 F DEMAND CYCLES: THE GREATER NUMBER OF DEMAND CYCLES.. THE FASTER THE DEPLETION OF THE ANODE WATER CHEMISTRY: THE HARDNESS / SOFTNESS OF WATER WILL SERVE TO REDUCE THE SERVICE LIFE OF THE

11 Corrosion Resistant Alloys Wrought and Cast Material Nickel 200 Nickel 200 is commercially pure (99.6%) wrought nickel. The corrosion resistance of Nickel 200 makes it particularly useful for maintaining product purity in the handling of foods, synthetic fibers, and caustic alkali's; and also in structural applications where resistance to corrosion is a prime consideration. Monel 400 Monel nickel-copper alloy 400 is widely used in many fields, especially marine and chemical processing. Typical applications are valves and pumps; pump and propeller shafts; marine fixtures and fasteners; electrical and electronic components; springs; chemical processing equipment; gasoline and fresh water tanks; crude petroleum stills, process vessels and piping; boiler feed water heaters and other heat exchangers; and deaerating heaters. Inconel 600 Inconel nickel-chromium-iron alloy 600 is a standard engineering material for applications which require resistance to corrosion and heat. The alloy also has excellent mechanical properties and presents the desirable combination of high strength and good workability. The high nickel content gives the alloy resistance to corrosion by many organic and inorganic compounds and also makes it virtually immune to chloride-ion stress-corrosion cracking. Chromium confers resistance to sulfur compounds and also provides resistance to oxidizing conditions at high temperatures or in corrosive solutions. The alloy is not precipitation hardenable; it is hardened and strengthened only by cold work. The alloy is a standard material of construction for nuclear reactors. It has excellent resistance to corrosion by high purity water, and no indication of chlorideion stress-corrosion cracking in reactor water systems has been detected. For nuclear applications, the alloy is produced to exacting specifications and is designated Inconel alloy 600T. Incoloy 825 Incoloy alloy 825 is a nickel-iron-chromium alloy with additions of molybdenum, copper and titanium. The alloy's chemical composition is designed to provide exceptional resistance to many corrosive environments. The nickel content is sufficient for resistance to chloride-ion stress corrosion cracking. The nickel, in conjunction with the molybdenum and copper, also gives outstanding resistance to reducing environments such as those containing sulfuric and phosphoric acids. the molybdenum also aids resistance to pitting and crevice corrosion. The alloy's chromium content confers resistance to a variety of oxidizing substances such as nitric acid, nitrates, and oxidizing salts. The titanium addition serves, with an appropriate heat treatment, to stabilize the alloy against sensitization to intergranular corrosion. Alloy 020 INCO alloy 020 is an austenitic nickel-iron-chromium alloy with additions of copper and molybdenum. The nickel content makes INCO alloy 020 resistant to chloride-ion stress-corrosion cracking. Copper and molybdenum give resistance to reducing environments. The molybdenum content also provides good resistance to pitting and crevice corrosion. The chromium gives resistance to oxidizing environments such as nitric acid. The addition of niobium reduces the effect of carbide precipitation during welding, thus increasing the alloy's resistance to intergranular corrosion.

12 The Main Issue With These Materials Is Quality tank material that requires no lining = increased dollars

13 A corrosion protection system that does not rely on tank linings to protect water side surfaces is now available commercially at a market sensitive price

14 A corrosion protection system that does not rely on tank linings to protect water side surfaces is now available in the commercial marketplace

15 A base metal solution that offers the ability to overcome specific obstacles with domestic water heating and high temperature water storage applications

16 DUPLEX ALLOY STEEL A NON-PROPRIETARY MATERIAL Steel designation Outokumpu steel EN ASTM Trade Names S32101 AquaPLEX LDX 2101

17 The major types of stainless steel widely used in domestic water applications are: Austenitic is the most widely used type of stainless steel. Nickel and manganese are two alloying elements that will make the structure fully austenitic if added in appropriate amounts. An austenitic structure promotes ductility, non-magnetic properties, good welding ability and possibilities for a wide range of service temperatures. Ferritic stainless steel has properties similar to mild steel but with the better corrosion resistance. The most common of these steels are 12% and 17% chromium containing steels. Austenitic-Ferritic (Duplex) stainless steel has a ferritic and austenitic lattice structure - hence common name: duplex stainless steel. Duplex stainless steels have a smaller nickelcontent than the austenitic grades. The structure is 50 % ferritic and 50 % austenitic and this gives a layered structure with high strength.

18 DUPLEX ALLOY Long Term Test Results

19 Long term testing in: Potable water highly acidic (5.0 ph) oxidizing solution destroys 316L highly chloridic (over 650 ppm) solution destroys 316L in stagnant and cyclic flow conditions DUPLEX ALLOY over 190 degrees F continuous

20 DUPLEX ALLOY STEEL Potable Water Applications High Temperature Applications With Over 190 Degrees F Continuous Temperatures Solar Water Storage

21 Stress Chloride Cracking Corrosion Resistance Ability to Weld and Manufacture Requires Passivation and Pickling After Manufacturing

22 DUPLEX ALLOY DEVELOPMENT TEAM Metallurgists Steel Manufacturers Metal Finishing materials suppliers Welding industry experts

23 DUPLEX ALLOY STEEL Corrosion resistance after fabrication is returned through: Passivation (recreating the chromium oxide layer on the surface restoring corrosion protection) Pickling (restoring the Ferritic structure damaged during welding) the entire vessel Total immersion acts like a liquid eraser and returns the material to a passive corrosion resistant state

24 DUPLEX ALLOY STEEL Duplex stainless steels have roughly twice the strength compared to austenitic stainless steels and also improved resistance to localized corrosion, particularly pitting, crevice corrosion and stress corrosion cracking.

25 DUPLEX ALLOY STEEL 80% Minimum Post Consumer Recycled Materials in Base Metal No Lining Material = No VOC s Emitted During Manufacturing Process Less Material Required to Achieve Desired Strength Weight Reduction = Less Energy to Transport and Handle

26 Gains in ROI based on material selection and added to operational efficiency gains

27 Engineered Water Heating Solutions EXAMPLES OF PRODUCTS w/ DUPLEX ALLOY CONTRUCTION

28 HIGH EFFICIENCY STORAGE WATER HEATER with DUPLEX ALLOY CONSTRUCTION 399,000 2,000,000 BTU Input 125, 250, and 300 Gallon Tank Configuration Up To 99% Efficiency (low fire) Full Modulation with 10:1 Turndown Programmable Electronic Control with Digital Temperature Control Category IV Venting with CPVC Vent Material Aquaplex Tank and Fireside Material 10 Year Tank Warranty 3 Year Scale Warranty

29 HIGH EFFICIENCY STORAGE WATER HEATER with DUPLEX ALLOY CONSTRUCTION 399,000 2,000,000 BTU Input 125, 250, and 300 Gallon Tank Configuration Up To 95% Efficiency (low fire) Full Modulation with 10:1 Turndown Programmable Electronic Control with Digital Temperature Control Category IV Venting with CPVC Vent Material Aquaplex Tank and Fireside Material 10 Year Tank Warranty 3 Year Scale Warranty

30 Engineered Water Heating Solutions FOR MORE INFORMATION: