The Proven Heating Oil Additive

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• The Proven Heating Oil Additive

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• Product Background
• Co-developed by Mobil Oil Corp. R D
  Octel-America (DuPont) for Terminal additization
• Bench-Tested in Lab, Trials in Several NE Markets
• Extensively Field Tested with Santa Fuel Co. in
  Bridgeport CT
• Presented at Brookhaven National Labs

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Fractional Distillation ColumnSeparates crude
oil components by boiling ranges
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• Why the need for a Heating Oil Additive ?
• Refinery processes generally result in poor fuel
  quality
• Cracking hydrocarbons creates more higher
  valued products from low-gravity bottoms, but
  changes molecular structure of feedstock,
  resulting in
• Unstable product with chemically reactive bonds
• Fine particulates (sludge pre-cursors), then
• Sludge (gums, varnish, sediment, etc.) which can-
• Clog filters, strainers, nozzles, creating
• Fuel-related service problems

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• Fuel Stability
• A fuel is considered unstable when it undergoes
  chemical changes that produce undesirable
  consequences such as insoluble gums, deposits and
  sediment that can plug fuel filters or fuel
  injection systems.

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• What should a Heating Oil Additive do ?
• Stabilize fuel by disabling chemically reactive
  bonds (prevents cracked molecules from
  recombining, repolymerization)
• Gradually dissolve sludge and disperse water
• Clean fuel system and nozzles
• Protect tank from rust and corrosion
• Deactivate metal particles in fuel

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• An Effective Heating Oil Additive program will
• Reduce Fuel-related Service Calls
• Reduce Demands on Service Technicians
• Increase Customer Satisfaction, and
• Be a Powerful Marketing Tool

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• Why use Avalux Heating Oil Additive ?
• Components in Avalux
• Considered Gold Standard in Industry
• Basis for only long term stability additive for
  US Army
• The only chemical type approved by US Navy
• Regarded as best available Detergent/dispersant
• Work immediately to stabilize fuel, clean fuel
  system and disperse water
• Formulated to work gradually to dissolve sludge
• PROVEN TO REDUCE FUEL RELATED SERVICE CALLS!

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• Economics
• Cost vs. Savings
• Santa Fuel experienced a reduction of 11.1
  fuel-related service calls per 100,000 gals.
  delivered
• At 100 per service call, a savings of 1,110
• Cost to additize 100,000 gals. is about 500
• Net Savings is 610 per 100,000 gals. delivered.

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• How to Additize Fuel
• Three Basic Methods-
• Hand-Additize to Storage or Truck
• Calibrated Containers (90001 Treat-rate)
• Bulk Plant Injection Systems, or
• On-Truck Injection Systems
• (40001 Treat-rate)

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• Other issues impacting fuel quality
• Heating Oil has become a commodity !
• Now Unbranded / NYMEX quality standards
• Mixing of fuels creates an even less stable blend
• Distillates produced to fungible standards in
  NE
• Colonial Pipeline / Buckeye Pipeline set minimum
  distillate specifications.