Presentation

1. Presentation BIRO TECHNOLOGIES INC. EPOXY-SILOXANE COATING TECHNOLOGY

2. This document describes an ambiant-cure epoxy-siloxane coating, exhibiting excellent corrosion resistance, substrate adhesion, flexibility, weatherability and superior chemical and impact resistance after curing. The chemical combination of Epoxy and Siloxane results in polymers with higher performance characteristics than can be achieved by the physical combination of all polymers. The chemical combination provides the basis for the joined polymeric strength, weathering durability, high temperature properties, and radiation resistance, gloss and color retention and corrosion protective properties of the polymers, whilst overcoming the brittleness of inorganic structures. Possible substrates include: concrete, cementious products, arhitectural blocks, internal / external pipes, tanks, containers, off-shore oil drilling platforms, metallic framework, bridges, gas turbine engines, heat exchangers, interior / exterior of ships and aerospace equipment.

3. Executive Summary The cost of corrosion in the U.S. piping industry is more than $8 billion annually. To eliminate this problem, approximately 10% of all new U.S. steel pipes are treated to resist corrosion. For the same reason, expensive corrosion-resistant stainless steel pipes and pipe lining are also being used. Oil and gas well pipes, normally consist of relatively low cost, low carbon steel susceptible to hydrogen embrittlement, hydrogen sulfide induced corrosion, and chloride stress corrosion and cracking. While efforts have been made in the past to overcome such problems, they have not met with wide acceptance. For example; while the entire pipe, or pipe liners may be formed from stainless steel, this is a far too costly solution. Stainless steel liners have been proposed but it has been found that hydrogen diffusing into the clearances between the liner and pipe bore causes problems such as hydrogen embrittlement, and deformation of the liner when the hydrogen expands. Biro Technologies provides a more cost-efficient, more effective solution for internal pipe coating, a new generation of Epoxy-Polyamidoamine Zinc primer and Epoxy-Siloxane top coatings that are in every way superior to the old coating products.

4. Executive Summary Contamination of exposed structural surfaces with chemical or biological material can occur in both civilian and military contexts. Contamination can occur accidentally, such as during the conveyance of hazardous materials from one site to another, or can occur on purpose, such as in chemical or biological warfare. Such materials can remain for a significant period of time on exposed surfaces such as equipment, vehicles, aircraft, buildings, etc. Photocatalytic coating composition containing Epoxy-Siloxane polymer that hold the photocatalyst in place without degrading the desired performance of the coating. The coating may be applied by conventional coating methods to organic or inorganic structured surfaces where photocatalytic activity is desired. The coating after dries leave an adherent, flexible, durable, and long-lasting photocatalytic coating having a large surface area and exhibiting high surface activity against pathogens and pollutants such as bacteria, viruses, mold, fungi, and volatile organic compounds. Photocatalytic coating the solution for self cleaning, self-decontaminating and anti-bacterial application.

5. Executive Summary Ice build up is a serious problem and major economic impact in the aircraft industry. Ice-phobic coatings could benefit the Aircraft Industry, NAVAIR and Air Force for de-icing composite and aluminum wings and fuselages. With respect to NAVAIR, aircraft de-icing is an important function at the many Navy facilities that support aircraft operations. Because of the high cost of purchasing deicing fluid, and the potential negative impact of glycol discharges on the environment it is optimal to minimize the volume of propylene glycol or ethylene glycol used in its aircraft de-icing operations. Ice-phobic coating significantly outperforms other ice-phobic coatings, providing measureable economic and environmental benefits. Ice-phobic coating significantly reduces ice adhesion when applied on aluminum surfaces compared to other commercially marketed ice-phobic coatings The ice-phobic coating could be applied as a very thin film to aircraft surfaces without significantly increasing the weight.

6. Appendix A: The Range of Epoxy-Siloxane Coatings Product • Epoxy-Siloxane Color Finish Coatings • Epoxy-Siloxane Ice-Phobic Coatings • Epoxy-Siloxane Erosion Resistance Coatings • Epoxy-SiloxaneClear Coatings for various substrate • Epoxy-Siloxane Antifouling Coatings for Marine • Epoxy-Siloxane Photocatalytic Coatings • Epoxy-Siloxane Anti-bacterial/Microbial Coatings • Epoxy-Siloxane Anti-Graffiti Coatings

7. Appendix B: Epoxy-Siloxane Coatings Product Specifications Volume solids: 100% VOC (EPA method 24): 0 gram/liter Components: 2 Curing mechanism: chemical reaction Application methods: Spray, roller and brush Thinning: Not required Dry film thickness per coat: 50-100 microns Theoretical coverage (50 µm): 7.1 - 18 m2 /liter Drying times (20°C) To touch 6-8 hour Recoat/topcoat time (20°C) 8 to 12 hours Flash points: A part: 252 oC /485 oF B part: 96oC / 205oF Shelf Life: 2 years for unopened containers

8. Appendix B: Epoxy-Siloxane Coatings Product Specifications Improvements achieved with the Epoxy-Siloxane Coating are: • 100% solids, zero VOC • high cross linking density • improved substrate wetting • reduced effects on health, safety and environment • significant improved weathering • outstanding corrosion resistance • excellent resistance to nuclear radiation • excellent chemical resistance • excellent defense against graffiti • excellent heat resistance

9. Appendix B: Epoxy-Siloxane Coatings Product Specifications Factors contributing to cost savings using Epoxy-Siloxane Coatings are: • Application cost saving factors: • less number of coats • reduced man-hours • increased productivity – faster turn around times • minimized scaffolding • less disruption to other trades • reduced coating weight • reduced waste disposal cost • Performance factors: • coatings system life extended • Health, Safety and Environmental aspects: • reduced risk of industrial accidents • reduction of waste • reduced VOC emissions • contains no isocyanates or lead chromates

10. AppendixC. Detailed Market Information Market Analysis Summary Initially, Epoxy-Siloxane Coatings will be entering the “industrial coatings” segment of the “Special Purpose Coatings” industry, a $6 billion market within NAFTA. The major market segments within the “Special Purpose Coatings” market are: • Machinery Refinishing 40% • Industrial Coatings 30% • Marine Coatings 15% • Other Special Coatings 15%

11. AppendixC. Detailed Market Information Market Analysis Summary The NAFTA “industrial coatings” market segment represents an estimated $1.8 billion annually in coatings sales. The major market segments within the industrial-coatings market (with corresponding percentages of the total industrial-coatings market) are: • Metal Industrial Facilities 50% • Metal Components 25% • Metal Structures 15% • Metal Industrial Equipment 10%

12. AppendixC. Detailed Market Information Metal Market Segments Management will focus efforts on the metal corrosion protection market. Based on the most recent US Census Bureau data, the US metals market is divided into the following five market segments, with the corresponding total respective industry output shown: Market Output (US$) • Metal Structures $117 Billion • Metal Components $178 Billion • Metal Industrial Equipment $ 70 Billion • Metal Industrial Facilities $354 Billion • Metal Vehicles and Aeronautical $226 Billion Total US Market for Metals: $945 Billion

13. AppendixC. Detailed Market Information Applications • Industrial coatings • Marine coatings • Metal corrosion protection for salt and acid environment • Corrosion thermally stable coatings • High temperature coatings • Internal combustion engine coatings • Car and truck underbody corrosion protection • Gas turbine engine coatings • Aircraft applications • Ice-phobic coatings for aircraft • Heat exchanger internal and external coatings • Internal and external pipe line coatings • anti-fouling applications • Self-cleaning self-decontaminating and anti-bacterial coatings • High Voltage Insulator Coating (HVIC)

14. Appendix D. Detailed Product Information Epoxy-Siloxane Corrosion Protective Coating For many years the conventional anti-corrosive paint systems for long lifetimes has been to utilize zinc primers. The type of primer normally specified has been zinc ethyl silicate. The reason for using this type of technology giving zinc-zinc metal contact and, consequently, excellent cathodic protection properties akin to those obtained from galvanizing. The new Epoxy-Polyamidoamine zinc primer and Epoxy-Siloxane finish coating has many improvements comparing to the zinc ethyl silicate primer such as: - Zero VOC - Excellent adhesion - Surface tolerant (surface preparation may be less than ideal) - Much higher flexibility - Long shelf life (2 years) - Simple processing (no hydrolysis) Typical uses of Epoxy-Polyamidoamine zinc primer and Epoxy-Siloxane finish coating are to protect ferrous surfaces in aggressive atmospheres against corrosion, such as: industrial and marine atmospheres (ship building, oil drilling platforms, harbor installations) Chemical attack (internal coating of tankers, containers, pipelines), bridges, structural steel etc.

15. Appendix D. Detailed Product Information Epoxy-Siloxane Ice-Phobic coating Ice at surfaces often cause serious safety risks and damage in technical applications such as airplanes, ship decks, cables etc. Epoxy-Siloxane ice-phobic coating with a low surface energy 18-21 dynes/cm2 inhibits ice formation and lowers the adhesion between ice and the substrate surface. Epoxy-Siloxane ice-phobic coating is characterized as a smooth anti adhesive surface with local, regularly distributed ice nucleation points, which are separated from each other. Small local ice nucleation sites with higher surface energy are surrounded by anti adhesive ice repellent segments with lower surface energy. The adhesion of the generated ice crystals is reduced dramatically both in strength and contact area. The removal of the generated ice crystals is possible just with the flow of the brine along the surface. The most desirable solution to the de-icing problem, would be to apply a material that prevents ice from building up in the first place rather than taking it off after the fact.

16. Appendix D. Detailed Product Information Epoxy-Siloxane Antifouling Coatings The long-used “tributyl tin” anti-fouling compounds are now banned. Epoxy-Siloxane Antifouling technology shows good long-term performance by effectively shedding marine organisms regularly over a long service life. Types of anti-fouling applications: • Nanostructured. Incorporating nanoparticles in the Epoxy-Siloxane antifouling coating which remain permanently as part of the coating. Due to their small size, nanoparticles will remain in the lattice of the coating and cannot leach out but continuously release ions that provide long-term anti-fouling performance. • Low friction. Epoxy-Siloxane antifouling release coating is cleaned by sufficient movement through water. The low friction antifouling technology minimizes the attachment of marine organisms to a ships hull due to the low friction characteristics of the coating, which uses Epoxy-Siloxane polymer. This low-friction type antifouling coating is very eco-friendly, as it doesn’t contain any biocides or potentially hazardous materials.

17. Appendix D. Detailed Product Information Epoxy-Siloxane Photocatalytic Coatings Epoxy-Siloxane Photocatalytic coating a novel and new application field, with self-cleaning self-decontaminating and anti-bacterial properties. The unique Epoxy Siloxane polymer with strong adhesion and transparency is the best delivery system to hold the nano-sized photocatalysts in place without degrading the delivery system. The special composite structure of the coatings can help separation and transportation of the photo carrier, therefore having a high level of photocatalytic activity and a long lifespan. When waste water or polluted air passes its surface, organic pollutants are degraded by photocatalysis so that it is self-cleaning. This method is effective on all types of organic substances and will degrade them into carbon dioxide and water. It is efficient, energy-saving and has no secondary pollution. Epoxy-Siloxane Photocatalytic coating also decomposes organic matter by oxidation, specifically bacteria, viruses and germs. The inorganic anti-bacterial nano particles kill bacteria and inhibit propagation of pathogens, molds and epiphytes to prevent disease spread. It has a long term effect on killing bacteria, no harm to human beings and no pollution on environments.

18. Appendix D. Detailed Product Information Defense against graffiti Epoxy-Siloxane coatings are relatively new and offer an extremely long-lived surface from which graffiti, fly-posters and other soiling can be removed easily and repeatedly, using safe and mild agents, without the loss of properties, performance or appearance of the coating itself. This type of coating has release properties similar to those of non-stick domestic kitchenware. Any soiling can easily be removed using aqueous surfactant/detergent mixtures, or at worst, benign chemical mixtures which have no effect on the coating itself, resulting in a truly permanent anti-graffiti coating. Epoxy-Siloxane Coating offers an excellent defense against graffiti and is easily cleaned without leaving a shadow after cleaning.

19. Appendix D. Detailed Product Information Nuclear radiation High energy neutron radiation is present in nuclear reactors, which can lead to degradation processes in the materials of critical components. Under the effect of neutron bombardment,the substances in Epoxy-Siloxane coating are not converted into radionuclides and has no substances in the matrix which would have an adverse effect on the reactor. Epoxy-Siloxane Coating is essentially unaffected by nuclear radiation and has an excellent rating for decontamination. The coating performed without any defects on irradiation to a cumulative dose of 5500 megarad as tested. Organic coating systems show considerably lower decontamination factors with typical values of 500 to 1000.

26. Executive Summary

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