Imagine A World Without Corrosion. - Sue Wang, AnCatt

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1 Imagine A World Without Corrosion - Sue Wang, AnCatt

2 Corrosion has long been believed as a non-stoppable natural force: silent but powerful

3 The direct corrosion cost trillions of dollars annually, or 3-5% of a country s GDP Worldwide

4 The direct corrosion cost is 16X of total annual major weather related disasters including: hurricanes, tornadoes, tropical storms, floods, fires, droughts, and freezes

5 ~30% of accidents disrupting production in the oil & gas industry are corrosion related

6 ~800 corrosion related water main breaks in the U.S. per day ~$3 Billion associated annual water lost ~$4.1 Billion in electricity waste

7 Golden Gate Bridge - Using environmentally complaint zinc based low VOC paint -Hire a 50 people crew to continuously paint the bridge everyday

8 Energy Production

9 Transportations

10 Energy Storages

11 Chemical Processing

12 Marine Life

13 USS MISSOURI Was the site of the surrender of the Empire of Japan which ended World War II

14 Cutty Shark The conservation project was taking place to halt the corrosion of the famous ship's iron framework

15 Current Anti-Corrosion Coating Technologies Hexavalent Chromate (Cr6) = most effective -highly toxic and carcinogenic -regulations are tightening Zinc/zinc oxide = environmentally compliant -less effective -limited sacrificial life -cannot protect aluminum, etc. -facing depletion after 2027 Long been seeking an effective Cr6 Alternative

16 Cr6 leakage led to the largest legal settlement in the U.S. history and Hollywood films Current Anti-Corrosion Coating Technologies

17 Regulations Phasing Out Cr6 2016: REACH requires all Chromic acids to Sun Set (Authorization & Restriction) 2012: EPA lowered allowable Cr6 in coatings once again 2011: DoD Defense Federal Acquisition Regulation Supplement to minimize Cr6 2006: OSHA reduce Cr6 ten-fold from 52 to 5 micrograms-per-cubic-meter

18 Aerospace Industry Cr6 still widely used in aerospace, defense, & other high-end corrosion protections without an effective alternative

19 Dec Washington Post Cr6 Found in Tap Water of Most U.S. Cities 31 of 35 surveyed cities 25 cities Cr6 content above safe maximum

20 In the near future, Zinc has been depleted zhu What should we use to continue the corrosion protections?

21 In the near future, Zinc has been depleted

22 Award Winning Solution 1 st place winner 2012 American Chemical Society Green Chemistry & Engineering Business Plan Competition

23 Miracle ibarrier TM Successfully disrupted the electrical chemical process of corrosion, the first time Cl- SO4- ibarrier Metal+ Metals

24 Evenly Dispersed ICP Nano-Particles = Super Effective + Low Cost

25 Wet Adhesion Test After 8,372 hrs of Salt Fog -ASTM D 3359 (Tape Adhesion): 5A (Best possible score) -ASTM D 4541 (Pull-Off Adhesion): 564 psi (Very Good According to SSPC Good Paint Practice)

26 Corrosion Tests Front and back comparison of steel panels Provided by KTA, an independent corrosion test lab in the U.S.; 5,000 hrs is maximum test hour according to ASTM standards 1,000 hrs Front 5,000 hrs Front 8,372 hrs Front 1,000 hrs Back 5,000 hrs Back 8,372 hrs Back CPND coating on the Front with scribe line vs. Acrylic coating on the back without scribe line

27 Corrosion Test Results: Corrosion Test Salt Fog (ASTM B 117) Hours Metal Blistering Rusting Undercutt ing (mm) Continue P1 13,740 CRS* Yes P2 13,740 CRS* Yes P3 12,740 CRS* Yes P4 12,740 CRS* Yes P5 8,372 CRS* (Avg.) Yes+ P5 12,740 CRS* (Avg.) Yes P6 8,372 CRS* (Avg.) Yes+ P6 12,740 CRS* (Avg.) Yes P9 10,740 Aluminum Yes * CRS: Cold Roll Steel + This Panels where scratched off the surface corrosion product at 8,372 hrs then been put back to the salt fog chamber for continue testing - Discoloration was founded on this panel

28 World Record 13,740 hrs (2+ years) accelerated corrosion tests, still No rusting or blistering

29 Industry Recognitions The Magazine of the National Society of Corrosion Engineers (NACE), July, 2013 AnCatt's environmentally friendly anti- corrosion coating platform can provide unprecedented corrosion protection for all sorts of metals

30 Industry Recognitions International Magazine For the Painting & Coating Industry, PCI, October, 2013 Independent corrosion tests have shown this is a successful conductive polymer-based anticorrosion coating technology and the first non-chromate coating that has out-performed hexavalent chromate coatings. It is also the first heavy-metal-free heavyduty anti-corrosion coating technology.

31 Award Winning 1 st place winner 2013 University of Delaware Business Plan Competition

32 Industry & Investment Committee Vetted 2013 National Innovation Summit

33 CPND Market Toxic heavy-metals = phasing out by regulations Zinc = less effective + facing depletion (2027) Other heavy-metal free technologies = too weak CPND Is The Future For all metal structures such as steel, stainless, galvanized, aluminum, magnesium, copper, etc. AnCatt coating holds the promise to revolutionize the anticorrosion coating markets - Chemical Informer

34 Verrazano Narrows Bridge NY/NJ - High performance lead based paint - Repaint every 9-10 years - Last repaint job estimated $40MN for five year ( ) - Require lane closures - Using airtight enclosures work area and vacuum hazardous leadbased paint chips - A follow up 3-year clean and repaint job cost $32 million, total $72MN - complete in 2008, total 10 years - Next repaint job received lowest bid of $235,728,000 on June 28, 2012

35 Verrazano Narrows Bridge NY/NJ - High performance lead based paint - Repaint every 9-10 years - Last repaint job estimated $40MN for five year ( ) - Require lane closures - Using airtight enclosures work area and vacuum hazardous leadbased paint chips - A follow up 3-year clean and repaint job cost $32 million, total $72MN - complete in 2008, total 10 years Interest Rate 0% - Next repaint 3.2% job received lowest 12.6% bid of $235,728,000 on June 28, Year Savings $1.4 Billion $4.5 Billion $421 Billion Annual Savings $23 Million $75 Million $7 Billion

36 Market Size - $50B Target Markets: Oil/Gas/Energy/Power, Aerospace, Automobile, Manufacturing, Marine, Infrastructures, Defense Market Growth Rate: 3.5% Competition: None (No current technology is capable to compete)

37 Tractions Sold thousands dollars worth of samples to leading automobile and aerospace manufacturers Strong interest from leading oil/gas/energy companies for investment & using our products Signed over a dozen NDAs with leading chemical and coating manufactures Strong customer and distribution contacts worldwide

38 Imagine a World without Corrosion - A much safer place where everything last much longer

39 Imagine a World without Corrosion - Less accidents, failures, waste, delays, maintenances

40 Imagine a World without Corrosion -Less environmental contaminations -Less energy & resource consumptions

41 With the Miracle of ibarrier TM Technology The best anti-corrosion coating ever been made

42 Thank You!

43 2000 Nobel Prize Winning Material Applications of CPND Transparent, flexible, conductive, color/conductivity changes Anti-corrosion coatings Static resistant fibers/coating Conductive textiles Conductive inks/toners Batteries/solar power Sensors/bio-sensors And many others

44 The future of Anti-Corrosion Coatings? AnCatt Inc. Web: Phone: (302) Newark, DE, 19711