8 Tesla Todd Hawkins

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Tesla NanoCoatings The World’s Leading Technology to Combat Corrosion


Preview 1.  Corrosion and Midstream 2.  Northeast Ohio Corrosion Mitigation Cluster 3.  Tesla NanoCoatings involvement in Midstream operations



Aging Infrastructure


Pipeline Failure Mechanisms

NIST IR 7415, Analysis of Pipeline Corrosion Data From NBS (NIST) Studies


Recent Incidents   September 9, 2010 - Pacific Gas & Electric Pipeline Rupture in San Bruno, CA   February 10, 2011 - UGI Utilities Pipeline Leak in Allentown, PA   July 26, 2010 - Enbridge Spill near Marshall, MI   December 11, 2012 - NiSource/Columbia Gas Pipeline Rt. 77 / Sissonville, WV


Corrosion Mitigation Technology Cluster o

Cleveland to Louisville Corridor

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The University of Akron –  College of Polymer Science and Polymer Engineering –  National Center for Education and Research on Corrosion and Materials Performance

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The Ohio State University –  Fontana Corrosion Center

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Ohio University –  Institute for Corrosion and Multiphase Technology

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Industry Leaders –  ASM International –  Cathodic Protection


Tesla NanoCoatings Inc Product Use • Applied like paint acts like plating –  No special training required –  Compatible with all conventional paint application equipment

• 2-coat system –  replacing a 3-coat system –  unequaled corrosion control, extended lifecycles, cost savings


Tesla NanoCoatings Inc Current Military Status • Approved for use by US Army Corps of Engineers for : –  Army Installations, Steel infrastructure –  Army Corp Civil Works, Steel Infrastructure

• US Army Assistant Chief of Staff for Installation Management funding new specification development for these coatings • US Army identified Teslan Carbon Nanocoating as “Technical Solution” • Department of Defense Technical Corrosion Collaboration researching carbon nanotube corrosion solutions for weapon systems and infrastructure • Several Successful projects completed and pending


Tesla NanoCoatings Inc

Confidential


Tesla NanoCoatings Inc Strong Intellectual Property • 11-patents exclusively licensed • 3-patents pending –  Self-healing polymer compositions –  Biological Biocide Additives for Polymer –  Composition for corrosion prevention

“Not a technology looking for a problem”


Solutions and Variants • Initial product platform for Steel Infrastructure –  Several variations •  Sacrificial pigments •  Topcoat • External Pipeline Coatings • Extensive list of Derivative products –  Pipeline internal diameter corrosion –  Drag reduction –  Erosion resistant –  microbiologically influenced corrosion –  Marine anti-fouling / drag reducing –  High temperature and pressure downhole coatings


Tesla NanoCoatings Inc Greener alternative • Reduce or eliminate –  Spills/leaks –  Heavy metals in coatings –  Volatile Organic Compounds –  Need for corrosion inhibitors and anti-friction additives –  Landfill waste


Carbon Nanotubes •  Strongest and stiffest material known •  Chemical bonds stronger than bonds found in diamonds •  Current-carrying capacity - 1,000x greater than copper •  Tensile strength - 50x greater than steel


Function of Nanotubes •  Carbon Nanotubes selfassemble into ropes •  Quantum Nanowires form electron path •  Reinforce / Stiffen / Toughen the coating


® Teslan

Basic Science •  Cathodic potential is established thru electrochemical reaction •  Acts like galvanizing or sacrificial plating •  Coating is always the anode donating electrons


Pigment reduction = superior barrier


Pigment reduction = superior barrier


Pigment reduction = superior barrier


Best in all categories

Source: Army Corp 2011 R & D 100 Entry Form


ASTM B-117 Salt Fog (3,000 hours) Best Military System to-date

TESLAN速 Urethane Topcoat (with TESLAN速 ZN Primer)

TESLAN速 Urethane Topcoat (no primer)


ASTM B-117 Salt Fog (5,000 hours)

TESLAN速 2-Coat System (TESLAN速 ZN Primer Urethane Topcoat), 8.5 total mils

Std. 3-Coat System (Company A), 12.9 total mils

Confidential

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Value Proposition •  30% reduction in labor / variable costs •  Similar material costs •  200% improved life •  900% ROI •  Increased safety, greener than alternative


Typical Project Costs

Teslan速 Reduces Variable Costs 30%


Tesla NanoCoatings Inc Next Steps • Demonstration Projects –  Production / well site –  Transmission –  Midstream –  Downstream • Collaboration on New Products for Oil & Gas –  Pipeline coatings –  Marine anti-fouling / drag reducing –  Pipeline internal diameter corrosion & drag reduction –  High temperature and pressure downhole coatings


Contact Information Todd Hawkins – CEO 6200 Frank Ave NW Advanced Technology Center T-101 North Canton, Ohio 44720 todd@teslanano.com

www.teslanano.com


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