ValvTect Petroleum Products “Quality Petroleum Products Through Modern Technology”

Marine Fuels Quality Problems Solutions Marketing

ValvTect Petroleum Products

Marine Fuels “Tech Talk” Gasoline Diesel Fuel

Gasoline “Automotive” Spark Ignition Fuel

Gasoline Quality Grades Regular, Mid-Grade, Premium Quality Octane Detergency Seasonal & Geographical Specs Formulations (EPA, States, Cities, etc) Straight (100%) Hydrocarbon Oxygenates Alcohol, MTBE Reformulated

Gasoline Quality ASTM D-4814 Octane (Antiknock) Rating (R+M/2) Volatility* Reid Vapor Pressure* Distillation* Corrosion Gum Sulfur Stability * Seasonal & Geographic Adjustments

Problems Marine vs. Automotive Small Market <1% of demand Higher Engine Speeds & Loads = Wear & Fuel Flow Higher Fuel Consumption = Deposits Higher Compression Ratios = Knock Longer Storage Periods = Stability Hotter Temps = Stability Alcohol & Moisture = Phase Separation Higher Price at the Fuel Dock “POC”

Solutions Higher Octane (min 89) Prevent Knock & Deposits More Detergency Prevent Deposits Injectors, carbs, combustion chambers, piston heads Antiwear Additive Prevent VSR, Loss of Compression Moisture Control Prevent Phase Separation (alcohol) Justification for Higher Price Higher Quality Marine Fuel

Solutions Engine Cleanliness Marine Engine Injector Cleaner Carbon Free (2 cycle) Marine Engine Decarbonizer Moisture Fuel Dri (dispersant/emulsifier) Stability Fuel Stabilizer Antiwear Lead Substitute Bacteria Biocide (gasoline grade)

Solutions Fuel Additives (marine grade) Marine Grade Gasoline Enhanced Detergent Package Moisture Control Stabilizer Antiwear

Diesel Fuel Quality ASTM D-975 Cetane (min 40) Gravity Flash Point, Distillation Cloud Point & Pour Point Viscosity Water & Sediment Sulfur (high, low, ultra low) Carbon Residue Corrosion Storage Stability Ash Dye (taxable, non-taxable)

Diesel Fuel Quality Grades No. 1 Diesel, Kero, Jet Fuel, Heating Oil No. 2 Diesel, Heating Oil Premium Diesel, Premium Heating Oil Specs: NCWM, EMA, none Quality Cetane (40 min for diesel) Gravity (Btu) Sulfur Detergency Stability Formulations HSD, LSD, ULSD Biodiesel

Diesel Fuel Problems Today’s Diesel Fuel Poor cold weather operability = gelling Holds more water = rust, injector damage Less stable = sludge, plugged filters More deposits = poor performance, economy Reduced lubricity = injector wear Micro-bio contamination = plugged filters Bacteria, mold, algae, yeast

Diesel Fuel Problems Marine vs.Trucks Longer storage & inactivity = smoke, stability, bacteria More moisture = sludge, plugged filters, bacteria Higher storage temp = sludge, bacteria Higher fuel flow rate = injector deposits Lower quality (HSD) = smoke, odor, soot “POC”

Problem Bacteria Produces Slime, Sludge & Acids That Plug Filters and Cause Corrosion of Fuel Systems Bacteria Strands Bacteria Caused Corrosion Seen Under Microscope Micro-Bio Contamination

Solutions Diesel Additive Technology Cold Flow Improver Deicer Cetane Improver Detergent / Dispersant Stability Improver Rust/Corrosion Inhibitor Lubricity Improver Biocide

Solutions Higher Cetane (45 min) Premium Diesel Additive Detergent (L-10 Superior) Lubricity Improver Stabilizer Rust Inhibitor Moisture Control Biocide

Solutions Diesel Fuel Additives (marine grade) Marine Premium Diesel Cetane Improver Premium Diesel Package Biocide

Stop Micro-Bio Contamination

Marketing Marine Fuels What is the Right Fuel Grade and Brand? ….for Your Marina? ….for Your Customers?

Marketing Marine Fuel Choosing the Right Supplier Distributor Service Equipment (safety) Support & People Brands Offered Fuel Supplier (brand) Fuel Quality (automotive or marine) Advertising & Marketing Support -Ads -Signage, Literature

Marketing Marine Fuels Choosing the Right Grade and Brand Fuel Quality & Performance Economics, Margin & Profit Unbranded basis Automotive Brand+ 5 to 9 cents Marine Fuel Brand+ 2 to 3 cents Customer Satisfaction Performance Maintenance and Additional Cost of Additives Complaints of Overcharging

Marine Fuels Quality Problems Solutions Marketing

Thank You Michael J. Giannini Mgr. Technical Programs & Support Services ValvTect Petroleum Products Northbrook, IL

ValvTect Petroleum Products “Quality Petroleum Products Through Modern Technology”