The Corrosion Chronicle

With good chemistry great things happen.™

In this issue

• Celebration with ADD Resins & Chemicals

• Derakane’s Anniversary around the Globe

Derakane™ Resins: The Gold Standard in Fighting Corrosion for More than 50 Years and Counting

continued on page 2

Spring 2016

Fifty years ago, the world was a far different place. The invasion of America by long-haired entertainers from Britain was just starting to pick up steam. The green movement was in its infancy, fueled by Rachel Carson’s book Silent Spring. Countries such as the United States, Great Britain and Germany were investing 10 to 15 percent of their GDP in infrastructure. Relations between the United States and China were non-existent. And the computer age was only a figment of one’s imagination.

While today’s world differs significantly from the 1960s, some things have remained constant over time. Corrosion in industrial processes, for example, continues to threaten pipes, ducting, process equipment, scrubbers and storage vessels, creating high maintenance costs and significant production interruptions for companies in the chemical, mining, waste water, pulp and paper, food processing, pharmaceutical and air pollution control industries, among others.

In today’s cost-driven global economy, which places a premium on production and manufacturing efficiencies, the impact of corrosion on a company’s bottom line can be dramatic. Corrosion-related costs to the global production and manufacturing sectors alone are approaching $60 billion annually, according to industry estimates. That is why leading-edge companies in a range of industries are demanding continuously improving, state-of-the-art technologies to bolster their corrosion-control management practices.

Where you can see the Ashland corrosion team

Compotec Carrara, Italy April 12-14, 2016

Mega Symposium Baltimore, MD Aug 16, 2016

China Composites Shanghai, China Aug 31-Sept 2, 2016

COM2016 Quebec City, QC Sept 11-13, 2016

WEFTEC New Orleans, LA Sept 26-28, 2016

CAMX Anaheim, CA Sept 26-29, 2016

Marmomacc 2016 Verona, Italy Sept 28-Oct 1, 2016

2 | Corrosion Chronicle

The History of CorrosionDecades-Long War against Corrosion

The global battle against corrosion is not new. It has been evolving over decades, with the pace of improved technology introductions or new applications for existing technologies accelerating over the past 15 years. Revisiting some key technology developments of the past sets the stage for how the battle against corrosion is and will continue being fought.

An important milestone in the war against corrosion occurred in the 1950s, when chemical-resistant Fiber Reinforced Plastic (FRP) resins were first developed to meet the needs of the chemical process industries. FRP, made with chlorendic polyesters, was particularly resistant to hot, wet, corrosive chlorine gas, as well as strong oxidizing nitric, sulfuric and chromic acids. Six decades after their introduction, chlorendic polyester resins remain the material of choice for corrosion resistance in many of these environments. One drawback, however, to chlorendic resins is that they are not effective in caustic environments.

Chlorine Environments Demand Tougher Resins

While chlorendic resins provide improved corrosion resistance over earlier polyester chemistries, their common drawback was their lack of toughness. Toughness was critical to manufacturers desperate for resin technology that could handle the rigors of extremely aggressive chlor-alkali processing environments, which made it necessary for them to replace their corroded metal-based header piping and process vessels as often as every six months.

This pressing marketplace need for tougher resins was addressed in the mid-1960s, with the introduction of Derakane™ epoxy vinyl ester resins. FRP made with these resins demonstrated significantly greater toughness and were considerably more resistant to mechanical and thermal stress than other products on the market.

Derakane resin: The Gold Standard for Five Decades

As pointed out by Thom Johnson, Market Manager – Specialty Resins, Ashland, “Derakane epoxy vinyl ester resins were invented specifically to withstand the rigors of aggressive chemical processing environments. Vessels, piping, scrubbers and various other production equipment commonly found in chlor-alkali plants, bleaching processes and a wide variety of other very corrosive chemical environments depend upon the proven performance of Derakane to deliver uninterrupted service.”

Today, 50 years after their introduction in 1965, Derakane resins, which are now part of the Ashland product portfolio, remain the gold standard against which all other corrosion-resistant resins are measured. They have withstood the test of time because of their wide range of end-use applications in an array of industrial sectors and the value they add in diverse fabrication techniques.

A case in point is Derakane 411 epoxy vinyl ester resin, which was first introduced in 1965. Decades later, it continues to provide value in a variety of applications, such as fabricating FRP storage tanks, vessels, ducts and on-site maintenance projects, particularly in chemical processing and pulp and paper operations.

The evolution of Derakane resin continued when the marketplace demanded improved chemical resistance and higher temperature performance for aggressive applications, such as hot wet chlorine, chlorine dioxide and strong oxidizing acids, which Derakane 411 resin could not provide. The solution was Derakane 470 epoxy novolac vinyl ester resin, which was introduced in the 1970s. Forty years later, it is still widely used in high-temperature environments, such as chimney liners, quench vessels and ducting.

Affordable Solution for Pulp Bleaching Equipment Life Extension

Chlorine, in its various forms, is highly corrosive to metals. From seawater to hydrochloric acid to sodium hypochlorite to chlorine gas, it rapidly corrodes even the most corrosion-resistant stainless steels.

Among the chlorine-intensive global industries is papermaking, where chlorine dioxide is used to bleach the pulp white. In the late 1960s, Derakane technical experts leveraged their experience in developing technologies for the chlorine and caustic markets to enter the pulp-bleaching arena. Their work resulted in the introduction of Derakane 510N and Derakane 510A resins, superior technologies which greatly extended the life cycle of pulp-bleaching equipment at a fraction of the price of stainless steel. As with other Derakane-based products, Derakane 510N and Derakane 510A resins remain mainstays in the pulp-bleaching business more than four decades after their introduction.

Ashland celebrates 50 years in China

This pressing need for tougher corrosion resins was addressed in the mid-1960s, with the

introduction of Derakane™ epoxy vinyl ester resins.

Spring 2016 | 3

Chemical Processing Suitability

Based on their successes in the chlor-alkali and pulp bleaching markets, Derakane team members set their sights on adding value in the broader chemical market globally. They soon learned that FRP based on Derakane resins was very resistant in a wide range of chlorine, halogen, caustic and mineral acid environments across all chemical processing industries. In particular, Derakane epoxy vinyl esters found wide utility for equipment designed for use in air pollution control, waste water treatment and semiconductor manufacturing. As a result, FRP based on the entire Derakane product line, but especially Derakane 411 and Derakane 470 resins, has proven over decades its exceptional utility in the manufacture of storage tanks, hoods, scrubbers, processing vessels, piping and ducting, as well as pumps, valves and grating.

Addressing the Challenges of Mineral Processing

Another industrial sector in which Derakane resin really shines is mineral processing, which faces many challenges around the globe. The market is large and complex, production costs continue to escalate and mines are often in remote areas where conditions are extreme.

Not to be overlooked among the challenges for this sector is the highly corrosive acid-leaching process the industry employs to separate an array of commercially-valuable metals from ores. This process, called hydrometallurgy, captures desired metals by dissolving them in strong acids, typically hydrochloric or sulfuric, at elevated temperatures.

Because FRP, based on Derakane resins, stands up well to these acids and can provide both corrosion and abrasion resistance, it is the ideal material for ore slurry processing equipment, including pipes, tanks, electrowinning cells and ductwork used by mineral processors. They understand that Derakane-based FRP equipment lasts many times longer than stainless steel or rubber-lined steel at a fraction of the cost.

Consistent Resin Performance

Like most other industrial sectors, companies in the metal processing industry demand consistency in resin performance to support their fabrication efforts. FRP fabricators have high value for corrosion-resistant resins that consistently process the same way and consistently give the same desired performance in the final application. This is particularly important when the mineral extraction process is designed by an engineering company on one continent, the equipment is fabricated by FRP manufacturer on another continent and installed at a mine site on a third, as is often the case.

This demand for consistency in resin performance plays to Ashland’s strengths, with its Derakane manufacturing facilities situated across the globe. Ashland employs rigorous controls to ensure that its Derakane resins process the same and perform the same regardless of the facility in which they are manufactured. In addition, the company’s global team of secondary sellers and technical service experts are available 24/7 to support process design engineers, fabricators and asset owners virtually anywhere in the world.

Untapped Derakane Potential

While Derakane-based resins have proven to be a potent weapon in the fight against costly corrosion in a number of industries over five decades, Ashland’s focus today is on Derakane resin’s potential to address emerging corrosion issues. Derakane resins have significant upside potential and will continue to add value in a range of industries because they uniquely:

• Resist corrosive environments, such as acids and bleach, as well as other harsh chemicals that eat away at traditional materials.

• Typically have an exceptionally long life span and require little maintenance, reducing life-cycle cost and generating a high return on investment.

Composites Made with Derakane Resins:• Can be tailored for strength in a particular area or direction, making the final product much stronger than is possible with

aluminum or steel.

• Provide perhaps the highest strength-to-weight ratio available today, making composite materials both strong and light.

• Are versatile enough to be fabricated into virtually any shape or configuration, ranging from vessels and piping to structural beams and architectural shapes to even sculptures and fountains.

• Can replace an entire assembly of metal parts with a single piece, resulting in faster assembly and installation time.

• Consistently retain their shape, size and functionality in a wide range of temperatures and weather conditions.

• Provide excellent insulation properties, because they don’t easily conduct heat or cold.

• Don’t readily conduct electricity and are not magnetic, making them an ideal choice for products like electric utility poles, radomes and sensitive electronic equipment.

4 | Corrosion Chronicle

Finding ways to address today’s thorniest corrosion problems with Derakane resin is an engine that drives Ashland’s scientists and business development experts around the globe. While Derakane-based FRP can make a difference in virtually any chemical processing industry, here are three areas where it has the potential to add unparalleled value.

1 - Infrastructure

Across the U.S., Europe and the Asia-Pacific, critical infrastructure assets are beyond their reasonable life expectancy. In the public arena, failing roads and bridges have received much attention in the media, but the private sector is not without its infrastructure issues as well. Companies in the oil and gas, utility and chemical industries, among many others, are relying heavily on decades-old structures that are beginning to break down. Design engineers and material specifiers charged with addressing failing infrastructure problems around the world are turning more and more to FRP designed with Derakane resins for new and replacement equipment.

2 - Shale Gas Drilling

Corrosion has become and will continue to be a significant problem in the shale gas fracking industry. This is due largely to the highly-corrosive hydrochloric acid, which is widely used in the hydraulic fracturing process to clear out cement debris left over from the drilling stage and to help open up the underground shale fractures. In addition, many of the non-hydrocarbon liquids which emerge from

Global Support TeamAmong the things that the businesses in the global production and manufacturing sectors have in common is the continued need for advances in corrosion-control technology in order to improve the efficiency, effectiveness and profitability of their operations. Derakane, which has withstood the test of time, will continue to meet that need with new applications to meet the corrosion control challenges of today and tomorrow.

Ashland, which has evolved over the years from an oil and gas refiner to a global, specialty chemical company, also understands that markets in China, Europe and North America are unique. That is why the company’s team of Derakane scientists and technical experts around the world is a competitive advantage. They are available to work with leading companies and/or industry segments to develop next-generation Derakane applications to address the most pressing industrial corrosion issues. For more information, visit www.ashland.com/products/derakane-epoxy-vinyl-ester-resin.

Los Angeles

California USA

Philadelphia

Pennsylvania USA

Araçariguama

Brazil

Benicarló

Spain

Changzhou

Jiangsu P.R. China

Ashland Performance Materials Global Locations

the wells are higher temperature brines, which are highly corrosive to metals. Finally, corrosion is taking its toll on storage tanks, resulting in tank failures. Asset owners are finding that these corrosion challenges are beyond the capabilities of traditional coatings, but can be addressed with Derakane-based FRP.

3 - Air Pollution Control

Today, air pollution is one of China’s most pressing problems. In 2013, the average number of smog days in the country was 29.9, the highest level since 1961. One of the major sources of air pollution is emissions of sulfur dioxide (SO

2) from coal-burning power

generation plants.

The Chinese government has instituted more stringent air pollution policies across the country, reflecting the severity of the situation. These new policies will require coal-burning power generation plants, as well as most other industrial manufacturers, to upgrade their equipment and facilities in order to significantly reduce SO

2 emissions.

This creates significant possibilities for Derakane resins, which has proven to be the most efficient and effective material for building wet flue gas desulfurization (WFGD) infrastructure, particularly scrubbers and ducts, which demand extremely high corrosion-resistant performance.

How effective is Derakane resin in the WFGD arena? After using Derakane products, one major power plant in China was able to decrease SO

2 emissions by greater than 90 percent.

Addressing Today’s Three Pressing Corrosion Problems

Spring 2016 | 5

ADD Resins and Ashland Celebrate Derakane™ Resin MilestoneThe South African composites market celebrated together with ADD Resins & Chemicals and its principal, Ashland, cementing a 25-year-old relationship in South African and 50 years of Derakane resin globally. Functions were held in the three major centers where ADD Resins & Chemicals has branches; Johannesburg, Durban and Cape Town, from where Derakane resin is supplied throughout South Africa and exported to a number of Southern African countries and Indian Ocean Islands.

Derakane was initially developed in 1965 by Dow Chemical for use in extremely corrosive, hot, wet chlorine environments and is the original and global leading epoxy vinyl ester resin. It is now used in a wide range of critical GRP and coating applications where exceptional mechanical and corrosion resistant properties, often at high temperatures, are required. Industries such as pulp and paper, mineral processing, chlor-alkali, chemical processing and air pollution control are reliant on tanks, pipes, ducts, scrubbers, fume hoods, chimney liners and coatings manufactured using Derakane resin.

“This is the original and global market leading vinyl ester resin,” said Stephen Beal, CEO of ADD Resins & Chemicals. “With five decades of international case histories and knowledge, plus continued development in new applications such as rare earth processing and flue gas desulfurization, Derakane is still finding new frontiers.”

Andrew Miller, global director for Ashland Specialty Resins hands Stephen Beal, CEO of ADD Resins & Chemicals, a recognition award for 25 years of loyalty and excellence in promoting the Derakane brand in South Africa.

6 | Corrosion Chronicle

Ashland recognized the 50th anniversary of the Derakane resins product line in 2015 with a series of events, beginning with the JEC Europe Composites Show and Conference in Paris.

While Derakane’s proven experience is well known, attendees learned more about how Ashland’s global team of experts, based in Europe, China, and the Americas, are well positioned to respond swiftly and provide critical expertise to project design engineers, fabricators and asset owners who may be located on separate continents. Based on hundreds of international case histories and knowledge built over five decades, Ashland continues to collaborate with end-users in developing new applications where Derakane resins fulfill unmet needs for performance, reliability and trust.

“With the globalization of the corrosion materials business, our customers need to easily source Derakane resins in all corners of the world without compromising quality,” said Andrew Miller, Global Director of Specialty Resins, Ashland Performance Materials. “Often a project will begin on one continent and be completed on another. Our world-class operations ensure the Derakane resins legacy performance qualities are retained, regardless of the location.”

China Celebrates Key Milestones: Derakane’s 50th Anniversary and Changzhou’s 15th Anniversary

“This is a big year for us,” said Mike Chen, general manager, Ashland Performance Materials, Asia Pacific. “We are celebrating the 50th anniversary of the Derakane brand and 15 years of responsible operation at our Changzhou resin manufacturing facility. Looking ahead, we will continue providing differentiated products and services to China’s composites market.”

As one of the world’s most recognizable industrial brands with a proven track record for delivering corrosion-resistance in fiber reinforced plastic (FRP) applications, Derakane is recognized for high strength, exceptional durability, superior heat resistance and low maintenance, even in the most challenging environments. Industrial products fabricated with Derakane include:

• Process vessels, piping and ducting in a variety of chemical industry applications,

• Mineral processing vessels that store strong corrosive acids,

• Chimney liners for FGD systems at coal-fired power plants,

• Bleaching tanks used in pulp and paper manufacturing, and

• Polymer concrete electrolytic cells.

“Ashland Performance Materials is a global leader in composite resins and gelcoats. Through our differentiated functionality, we enable customers to create valued products, which improve the lives of consumers,” said Andy Johnston, Group Vice President, Ashland Performance Materials. “As China becomes the world’s biggest composites market, we see tremendous opportunities and our worldwide resources and dedicated team are ready to fulfill our commitment to our customers and partners in this region.”

Ashland Celebrates Around the Globe a Half Century of Proven Reliability from Derakane™ Resins

China

JEC Europe

CAMX

Spring 2016 | 7

Brazil Celebrates Derakane’s 50th Anniversary with Customers

Individual events were held with Derakane customers in Brazil at their facilities to pay a tribute to Derakane’s incomparable quality and performance. Presentations were given by Ashland’s local corrosion team followed by internal celebrations. Other customers were invited to a special luncheon where they reminisced on how Derakane has helped build their credibility as fabricators.

“Spending time with our Derakane customers confirmed the impact Derakane has had in the Brazilian market for those customers where failure has never been an option” said José Armando Piñón Aguirre Regional Leader, South America.

Derakane 50th Anniversary Wraps Up in a Texas-size Celebration at CAMX

The 50th anniversary celebration of Derakane resins wrapped up at the Composites and Advanced Materials Expo (CAMX) held October 27-29, 2015, in Dallas. For half a century, high-performing Derakane resins have provided unparalleled durability performance when failure is not an option.

In addition to celebrating Derakane’s 50th anniversary, CAMX allowed us to celebrate a number of new products Ashland launched over the course of 2015. The featured products deliver the solutions our customers need to meet the demands of their customers and regulatory challenges.

“CAMX was the ideal location to celebrate,” said Andy Beer, VP of North American Composites. “CAMX was created by ACMA and SAMPE to connect and advance all aspects of the world’s composites and advanced materials communities. Regardless of the application, CAMX is a must-attend event for the composites industry, providing an opportunity to promote our products, solutions, network with our customers and advance industry thinking.”

Over 150 conference attendees gathered around the Ashland booth to hear how Derakane resins are as relevant today as 50 years ago, and how new technical innovations will push Derakane forward into the next half century.

“Often a project will begin on one continent and be completed on another. Our world-class operations

ensure the Derakane resins legacy performance qualities are retained, regardless of location.”

CAMX

China

Corrosion Chronicle is published by Ashland Inc. and reports the many ways professional fabricators tell us they are using Derakane epoxy vinyl ester resins to manufacture corrosion resistant reinforced plastic (fiberglass) applications. For additional technical product information on Derakane resins, visit derakane.com or send an email to Derakane@ashland.com. You can also contact your Ashland representative at Ashland, P.O. Box 2219, Columbus, OH 43216, +1 614 790 4059. Address all news items to: Corrosion Chronicle Editor, Ashland Communications, P.O. Box 2219, Columbus, OH 43216. Text and illustrations may not be reproduced without permission. The information herein is correct to the best of our knowledge. The recommendations or suggestions contained in this bulletin are made without guarantee or representation as to results. We suggest that you evaluate these recommendations and suggestions in your own laboratory prior to use. Our responsibility for claims arising from breach of warranty, negligence, or otherwise is limited to the purchase price of the material. Freedom to use any patent owned by Ashland or others is not to be inferred from any statement contained herein.

® Registered trademark, Ashland or its subsidiaries, registered in various countries™ Trademark, Ashland or its subsidiaries, registered in various countries© 2016, AshlandPC-13498

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