1. Hanwei GRE Pipe Comparison to Steel Pipe
Presentation for PEMEX
September 5th, 2018
© Hanwei Energy Services Corp. 2018

2. Confidentiality
This Memorandum has been prepared for discussion purposes for consideration of establishing a Hanwei GRE manufacturing plant in Veracruz, Mexico and the qualification of Hanwei products currently manufactured by the Company under API specifications in China. This Memorandum and any other written or oral communication made available to PEMEX has been provided for the purpose of introducing the Project and may not be reproduced or used for any other purpose without the express written consent of Hanwei. By accepting this Memorandum, the Recipient acknowledges and agrees that all of the information contained herein is confidential and proprietary.
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3. Advantages of GRE Durable and Corrosion Resistant
Internal and external surfaces resistant to a wide variety of chemicals, crude oil, residues, injection water and bacteria in aggressive and caustic environments.
Lightweight
A quarter to an eighth of the weight of comparable steel pipe; easy to install without the requirement of heavy equipment or machinery; no welding; no X ray; etc
Cost-effective
Smooth internal surfaces reduce friction and maintain flow volumes, thus allowing for downsizing of piping system or decreased pumping costs and optimal operating flows
Low Life Cycle Cost
GRE pipe has lower life cycle cost compared with steel pipe. Practically no maintenance required after installation and therefore no operational downtime.
Hanwei Integrated GRE Piping Systems
Complete range of GRE piping systems with different diameters, joint systems and pressure ratings to suit different applications, including different choices of joint systems. In all cases superior performance and cost to steel pipe.
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4. HANWEI GRE PIPE vs STEEL PIPE
Common Steel Pipe
Epoxy matrix, which can meet the stringent requirement for delivery of highly corrosive media
Severe corrosion after steel pipe put in service for some time under highly corrosive application
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5. HANWEI GRE PIPE vs STEEL PIPE
Common Steel Pipe
Long service life
20-30 years (can go up to 50 years)
Short service life
5-10 years (No Cathodic Protection or Corrosion Inhibitor)
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6. HANWEI GRE PIPE vs STEEL PIPE
Light Weight
Low transportation and installation cost.
Low thermal conductivity
Good electrical and magnetic insulation properties
Not affected by complex geographical, conductive or static electricity conditions
Environmental protection
Low energy consumption during field use and operating/production
No significant maintenance costs
Heavy weight
Higher transportation and installation cost.
High thermal conductivity
No electrical and magnetic insulation properties
Conducts electricity
Not conducive to application in areas with dense electrical transmission lines and telecommunication lines.
High energy consumption during field use and production
Ongoing maintenance costs
Hanwei GRE Pipe
Common Steel Pipe
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7. HANWEI GRE PIPE vs STEEL PIPE
Common Steel Pipe
Low operation cost
Very smooth inner wall which reduces paraffin and scale build up
Very low surface friction increases efficiency of flow rates and volumes
Low maintenance cost. Requires minimal or no maintenance.
High operation cost
Rough inner surface
Easy to form scale and paraffin deposits
High surface friction results in loss of working pressure and flow rates.
High ongoing maintenance costs and operational closures. Requires corrosion protection coatings, cathodic protection and corrosion monitoring.
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8. HANWEI GRE PIPE vs STEEL PIPE
Pipe Size
(Inch)
Material Description
Cost Saving on Investment
(%) 6
GRE Pipe 35 Bar API Thread THMxTHF
32.7
Steel Pipe API-5L 5.6 Gr.B Seamless PExPE with Ext. 3 Layer PE Coat or equivalent 8
39.7
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9. HANWEI GRE PIPE vs STEEL PIPE
Pipe Size
(Inch)
Material Description
Cost Saving on Investment
(%) 10
GRE Pipe 35 Bar API Thread THMxTHF
32.7
Steel Pipe API-5L 7.0 Gr.B Seamless PExPE with Ext. 3 Layer PE Coat or equivalent 14
GRE Pipe 10 Bar Rex-Bond TMxTF
46.0
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10. HANWEI GRE PIPE vs STEEL PIPE
Pipe Size
(Inch)
Material Description
Cost Saving on Investment
(%) 20
GRE Pipe 10 Bar Rex-Bond TMxTF
43.4
Steel Pipe API-5L 7.0 Gr.A Seamless PExPE with Int. & Ext. Epoxy Coal Tar Coat or equivalent 24
35.4
Steel Pipe API-5L 8.0 Gr.B Seamless PExPE with Int. TNF Liner Ext. PE Adhesive Tape or equivalent
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11. HANWEI GRE PIPE INSTALLATION VIDEO
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