Imagine A World Without Corrosion

- Sue Wang, AnCatt

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

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

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

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

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

Golden Gate Bridge

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

Energy Production

Transportations

Energy Storages

Chemical Processing

Marine Life

USS MISSOURI

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

Cutty Shark

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

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

Current Anti-Corrosion Coating Technologies

Cr6 leakage led to the largest legal settlement in the U.S. history and Hollywood films

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

Aerospace Industry

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

Dec. 2010 Washington Post

Cr6 Found in Tap Water of Most U.S. Cities

31 of 35 surveyed cities

25 cities Cr6 content above safe maximum

zhu

What should we use to continue the corrosion

protections?

In the near future, Zinc has been depleted

In the near future, Zinc has been depleted

Award Winning

Solution 1st place winner

2012 American Chemical Society Green Chemistry & Engineering Business Plan Competition

Miracle iBarrierTM

iBarrier

Metals

Cl- SO4-

Metal+

Successfully disrupted the electrical chemical process of corrosion, the first time

Evenly Dispersed

ICP

Nano-Particles

= Super Effective + Low Cost

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)

Front and back comparison of steel panels

Corrosion Tests

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

Provided by KTA, an

independent corrosion test

lab in the U.S.; 5,000 hrs is

maximum test hour according

to ASTM standards

Corrosion Test – Salt Fog (ASTM B 117)

• Corrosion Test Results：

Hours Metal Blistering Rusting Undercutting (mm)

Continue

P1 13,740 CRS* 10 10- 2-7 Yes

P2 13,740 CRS* 10 10- 1-9 Yes

P3 12,740 CRS* 10 10- 1-5 Yes

P4 12,740 CRS* 10 10- 1-4 Yes

P5 8,372 CRS* 10 10- 2 (Avg.) Yes+

P5 12,740 CRS* 10 10- 2 (Avg.) Yes

P6 8,372 CRS* 10 10- 3 (Avg.) Yes+

P6 12,740 CRS* 10 10- 3 (Avg.) Yes

P9 10,740 Aluminum 10 10- 0 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

World Record

13,740 hrs (2+ years) accelerated corrosion tests, still

No rusting or blistering

Industry Recognitions

AnCatt's environmentally friendly anti- corrosion coating platform can provide unprecedented corrosion protection for all sorts of metals

The Magazine of the National Society of Corrosion Engineers (NACE), July, 2013

Industry Recognitions

Independent corrosion tests

have shown this is a successful conductive polymer-based anti-corrosion coating technology and the first non-chromate coating that has out-performed hexavalent chromate coatings. It is also the first heavy-metal-free heavy-duty anti-corrosion coating technology.

International Magazine For the Painting & Coating Industry, PCI,

October, 2013

Award Winning 1st place winner

2013 University of Delaware Business Plan Competition

Industry & Investment Committee Vetted

2013 National Innovation Summit

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 anti-corrosion coating markets

- Chemical Informer

Verrazano Narrows Bridge NY/NJ

- High performance lead based paint - Repaint every 9-10 years - Last repaint job estimated $40MN for five year (1998-2003) - Require lane closures - Using airtight enclosures work area and vacuum hazardous lead-based 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

Verrazano Narrows Bridge NY/NJ

- High performance lead based paint - Repaint every 9-10 years - Last repaint job estimated $40MN for five year (1998-2003) - Require lane closures - Using airtight enclosures work area and vacuum hazardous lead-based 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

Interest Rate 0% 3.2% 12.6%

60 Year Savings $1.4 Billion $4.5 Billion $421 Billion

Annual Savings $23 Million $75 Million $7 Billion

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)

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

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

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

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

With the Miracle of iBarrierTM Technology The best anti-corrosion coating ever been made

Thank You!

2000 Nobel Prize

Winning Material

Applications of CPND

• Anti-corrosion coatings • Static resistant fibers/coating • Conductive textiles • Conductive inks/toners • Batteries/solar power • Sensors/bio-sensors • And many others…

Transparent, flexible, conductive, color/conductivity changes

? AnCatt Inc. Web: www.ancatt.com Email: ac_info@ancatt.com Phone: （302）533-6533 Newark, DE, 19711

The future of Anti-Corrosion Coatings