New and Revisited Concepts in Green Sand Binder Technology

1. New and Revisited Concepts in Green Sand Binder Technology by Charles Landis, Don Dell & Steve Gray BPM Minerals, LLC Denver, CO

2. Presentation Outline • US Foundry Market Features • Bentonite Hydration • Sand Management Concepts & Engineered Bentonite Conversions

3. Competitive Environment in the Metal Casting Industry • Migration of foundries to emerging domestic markets (China and Eastern Europe) • Migration of foundries to lower capital and operating cost markets (China and SE Asia) • Foundry industry in mature markets examining all elements of supply chain to remain competitive • Foundry industry examining system sand optimization for lowering costs

4. Operational Cost Breakdown by % Sales: Recognition of Raw Material Value*

5. Def.: adsorption of water molecules on the clay surfaces that are exposed in different pore spaces of the clay Three modes of clay hydration Interlamellar hydration (interlayer cation hydration) Continuous or “osmotic” hydration Capillary condensation of free water in micropores Hydration of Montmorillonite (Guven, 1992)

6. What does the foundryman want hydration to be? • Slow enough to allow the clay binder to disperse in the sand • Fast enough to reduce mulling times • Strong enough to endure high temperatures

7. Montmorillonite Structure Cations balance charge & coordinate with water molecules or “hydrates” Interlayer Cations (Na+, Ca++, Mg++) Tetrahedral Coordination Polyhedra Octahedral Coordination Polyhedra Tetrahedral Coordination Polyhedra Interlayer Cations (Na+, Ca++, Mg++)

8. Bentonite Coating (Bridge) of Sand Grains 10um

9. What is Engineered Bentonite Technology? • US patent # 5,372, 636 issued December 13, 1994 • Natural Sodium Bentonite, or “Wyoming” Bentonite base clay • Some Australian bentonites have been found to be suited for this technology • Surfaced-modified or cation exchanged during production • Controlled surface modification “engineers” bentonite for specific customer requirements

10. Engineered Bentonite Alliance Foundry Alliance Engineered Bentonite Green Sand Molding Laboratory Testing Establish Criterion Participation Feedback Data Collection Leverage Green Sand Technology Access to new chemistries Better access to Green Sand Education Quality Castings Increase Profitability Global Manufacturing Expertise Technical Support Laboratory Analysis New Technology Application Expertise

11. How the EB Alliance Works Joint Leadership Team Joint Business Team Joint Green Sand Properties (GSP) Team Long-Term Focus Vision & Culture Strategic Direction Resource Approval Out-of-the-Box Solutions Short/Intermediate Focus Strategic Plan Annual Cost Savings Plan P&L Responsibility Resource Allocation Operations Oversight Project Gatekeeper Data Collection Concept Model Analysis Concept Development New Technology Gateway Process Joint Project Teams Joint R&D Brainstorming

12. Conversion Process & Models Foundry Goal Conversion Tool Reduction in Composite Binder Usage Bridge Study Setting Green Sand Performance Targets Green Sand Capability Study Identify and Control Variables Green Sand System Controls Baghouse Fines and Core Sand Utilization Green Sand System Composition

13. Bridge Study • The fundamental study of each type of binder system • A bridge scope is prepared for the laboratory study of binder composite compositions • Experimental design is based on a round grain 50/70 sand and equal quantities of binder composite • Temper points are used to target three Compactibility ranges; 30, 40, and 50 • A report is issued comparing the GSP and the durability of the binder composite at four temperatures; ambient, 221F, 1000F, and 1200F

14. How the Bridge Study Works Foundry Collects Samples Samples are Tested Meeting with Foundry to Review the Results Composite Binder Formulation Green Sand Survey Prepared Green Sand Bridge Scope is Written Use Current AFS Test Procedures Chemistry Report Comparison Report GSP Analysis Durability Analysis Economic Report Cost Savings Improvements Expectations Design a Scope for Trial Review Current Data Review Installation Engineered Bentonite Trial

15. Bridge Study Results Cost Savings POUNDS OF CLAY PER TON OF METAL POURED 20 TO 30 % REDUCTION IN BINDER CONSUMPTION

16. Green Sand Capability Study • The scientific study of green sand properties under calculated variations • Test the return sand to understand the major component that will influence the green sand properties of the prepared green sand • D.O.E. is setup using moisture contents of 2.0-4.0 in 0.25% increments and MBC in 4 ranges • A laboratory Muller is used to prepare the green sand. Prepared green sand is testing using the current AFS test procedures • A report is issued that charts all the GSP properties and a joint decision is made to reset GSP targets

17. How the Green Sand Capability Study Works Experimental Design Based on Muller & Test Recorded Meeting with Foundry to Review the Results Foundry Samples are Collected Return Sand Binder Composite Core Sand New Sand Water Chemistry Muller Cycle Times Experimental Scope is Written Use Current AFS Test Procedures Record all Data Points Review Data Write a Progress Report Update Economic Report Cost Savings New GSP Targets Capital Investment Expectations Design a Scope for Trial Set New GSP Targets Compare Foundry Data Improvements Verification

18. Green Compression Strength 33.00 31.00 29.00 27.00 25.00 GCS/MBC 7.9 % Value @ 90 sec GCS/MBC 8.7 GCS/MBC 9.5 23.00 21.00 19.00 17.00 15.00 2.25 2.50 2.75 3.00 3.25 3.50 3.75 4.00 Moisture Content

19. GCS vs. Compactibility 69.00 GCS/MBC 7.9 67.00 65.00 63.00 61.00 59.00 COMP/MBC 7.9 57.00 55.00 53.00 51.00 49.00 GCS/MBC 8.7 47.00 45.00 Compactibility % Value @ 90 sec 43.00 41.00 39.00 COMP/MBC 8.7 37.00 35.00 33.00 31.00 29.00 GCS/MBC 9.5 27.00 25.00 23.00 21.00 19.00 COMP/MBC 9.5 17.00 15.00 2.25 2.50 2.75 3.00 3.25 3.50 3.75 4.00 Moisture Content

20. Green Sand Capability Study Results Cost Savings Reduction in GS Defects Improved Sand Collapsibility Reduction in Cleaning Cycle Best GSP Targets Reduction In Casting Defects Improved Sand Collapsibility 5 to 10% Binder Reduction 30% Reduction in shot blast cleaning cycle 2 – 5% Reduction in GS Defects 10 – 14% Reduction in Dead Clay 25 – 50% Reduction in New Sand

21. Green Sand System Controls Study • The scientific study of green sand properties and their relationship to the green sand equipment and flow process • Experimental design uses a GSP calculator to monitor changes in GSP throughout the process • A laboratory Muller is used to determine mass balance of raw materials in prepared green sand • Quantify the loss of usable green sand and reuse of raw materials

22. How the Green Sand System Controls Works Experimental Design Predicts Controlled GSP Samples are Collected Meeting with Foundry to Review the Results Return Sand Raw Materials Address Variables Evaluation of GS System Predict GSP at Muller Evaluate Raw Materials Use Current AFS Test Procedures Record all Data Points Design Calculator for GPS Write a Progress Report Update Economic Report Cost Savings Capital Investment Expectations Design a Scope for Trial Introduction of Recycled Raw Materials Compare Foundry Data Improvements Verification

23. Green Sand System Controls Benefits • Identification of variables affecting consistency of the green sand system • Achieving measurable process control over the variables in the system • Additions of recycled raw materials • Optimized green sand process flow conditions

24. Engineered Bentonite Product Conversion Benefits: Case History Summary* • Reduced shot blast cleaning cycle by 30% by controlling dry strength (labor) • Reduced residual dead clay in sand system by 14% with higher thermal durability (raw material) • LOI lowered by 25%; Volatiles by 55% by combination of lower carbonaceous additions and lower pre-mix additions • Mulling efficiency improved by 8% (utilities) • Clay per ton of iron poured reduced by 31% (raw materials) and achieved: • Higher green strength • Higher green tensile strength • Lower sand friability • Lower dry strength *Modern Casting (January, 2004)

25. Typical Green Sand System Optimization Results 20- 35% Binder Reduction Cost Savings Introduction of Baghouse Fines and Core Sand Controlled GS System Reduction In Casting Defects Improved Sand Collapsibility Optimize Raw Materials Optimize Green Sand 1 – 2% Reduction in Defects Originating from Poorly Managed Green Sand 15 - 20% Reduction in Volatiles 2 - 8% Reduction in Compactibility Change from Muller to Molding Low Moisture and MBC Contents Reduced Landfill Cost

26. Green Sand System Study • The scientific study of all raw materials that make up the prepared green sand • D.O.E. is designed to predict GSP with a calculator that uses the physical and chemical properties of the raw materials to configure a mass balance calculation of GSP • A laboratory Muller is used to determine mass balance of raw materials in prepared green sand

27. Composition of Green Sand System Benefits • Predict GSP prior to muller • Consistency of the green sand system • Control Raw Materials for each pattern or job • Additions of recycled raw materials • Optimized green sand process flow conditions • Optimized use of Raw Materials

28. Green Sand System Analysisfor In-Use Control Experimental Design with Lab Muller to Predict Mass Balance GSP Raw Materials Are Tested Meeting with Foundry to Review the Results Evaluate Raw Materials Use Current AFS Test Procedures Record all Data Points Design Calculator for GPS Write a Progress Report Update Economic Report Cost Savings Capital Investment Expectations Design a Scope for Trial Return Sand Raw Materials Preweight Measurements Predict GSP at Muller Introduction of Mass Balance Controller Compare Foundry Data Pattern Controls Verification

30. Composition of Green Sand System Results Cost Savings Introduction of Baghouse Fines and Core Sand Controlled GS System Reduction In Casting Defects Improved Sand Collapsibility Preset Controls for Each Job Optimize Raw Materials New Technology in Practice Optimize Green Sand Education 40- 55% Binder Reduction Low Moisture and MBC Contents Reduction Landfill Cost 1 – 2% Reduction in GS Defects 25 - 50% reduction in Volatiles 2% Control of Compactibility Change from Muller to Molding

31. Future Carbon Credit Trading System Sand Optimization Compliance Are There New Revenue Opportunities for Foundries via Product Substitution? (money for nothing) (cost reductions) (survival)

32. Significance of Concept Models • Cost Savings in Raw Materials • Cost Savings in Castings Defects • Cost Savings in Reuse of Raw Materials • Cost Savings in Cleaning Cycle • Cost Savings in Landfill Fees • Education in Green Sand Technology

33. Conclusions • Foundries can improve process performance through interaction with vendors and production units • The process begins with management involvement • The process stalls with management mandate • New products, methods, and adaptation of historical concepts provide the bridge to increased profitability or survival

34. Questions Thank you