Ethanol Fuels, Marine Fuel Problems &...

Ethanol Fuels, Marine Fuel Problems & Solutions12-18-14

Michael GianniniNational Sales Manager/Manager of

Technical Support Programs

ValvTect Petroleum ProductsNorthbrook, IL

800-728-8258

ValvTect Petroleum Products

Division of RPM International (NYSE/Fortune 500)

Pettit, Woolsey, Rust-Oleum, DAP, Day-Glo, Wolman

Largest Supplier of Bulk Fuel Additives to:− Fuel Distributors

− Truck Stops (Diesel Guard diesel fuel)

− National Fleets & Railroads

• Ryder, Waste Management, FedEx, Etc.

• OEM Private Label Programs

Marine Industry− ValvTect Marine Fuels & Certified ValvTect Marina

Program. Largest brand sold on the water (650+ Marinas)

− ValvTect Marine Fuel Additives

Essentials for a Healthy Marine Industry

Quality Boats & Products

Reasonable Financing Rates

Good Service

Good Weather

Trouble Free Operability

Ample Supply of Low Cost,

High Quality Fuels

Marina Fuel Supply Problems

– Today’s fuels are refined for automotive use.

• Less than 1% used in marine industry.

– Marinas are last in the supply chain.

– Little leverage in market for price or quality.

– Ethanol gas, ultra low sulfur diesel & biofuels are

problems for the marine industry & boaters.

Fuel Related Problems (w or w/o Ethanol)

= Unhappy Boaters (POBs)

Marine vs. AutomotiveWhat’s the Difference?

– Marine equipment and fuel under unique conditions.

• Fuel sits for months.

• High humidity.

• Vented tanks allow moist air and condensation.

• Exposure to extreme temperature swings.

• Higher loads, speed, & fuel consumption.

– Ethanol fuels are more problematic for marine.

– Marine fuels need to be additized.

– The “GAP” has created a need and sales

opportunity for “marine” grade fuels and fuel additives.

Why Ethanol & Biofuels?

Energy Independence & Security Act 2007Renewable Fuel Standard (RFS)

• 2006 4B, 2009 11B, 2010 15B, 2013 18B, 2022 36B

• We hit the “Blend Wall” at 10%

• Need for higher blends: E15, E85

E10 Causes Problems in Marine Use– Phase separation, Stability, Deposits, Corrosion

– “Effective” fuel additives can prevent problems and are

needed to formulate ethanol blends for marine use.

– Caution: Market opportunists (snake oil & gizmos)

– Petroleum industry specs (ASTM, SAE, NACE, EPA) that can

support fuel additive performance claims.

– New NMMA Fuel Additive Certification Program.

E15 (85% Gas/15% Ethanol)

•Expect More Problems

– Reid Vapor Pressure (vapor lock)

– Compatibility of Components

• Corrosion (additive fix)

• Components Failure

• Exhaust Emission Regs

– Gasoline Dispensing Equipment

– Liabilities

• Gasoline Distributors & Retailers

• Auto Manufacturers Warrantees

E15 Regulations

• EPA Approval of E15– 2001 & Newer Cars

– 2001 Light Duty Trucks

– 2001 & Newer Medium-Duty Passenger

Vehicles (SUVs)

– All Flex-Fuel Vehicles

• Auto Manufacturers– E15 will/may void warrantees

– Approved only for GM 2012>, Ford 2013>, VW

2014>.

• Prohibited in all Other Vehicles and

Engines! (Including ALL marine)

E15 Pump Labels

E15 Marine Testing

Studies Show Significant Damage in

Marine Engines

• Volvo Penta & Mercury Marine Tests

– Severe damage to engine components

• Gaskets

• Metals (high temperature failures)

– Increased exhaust emissions in excess of

Federal Exhaust Emission Limits (FEEL).

E15 Test Results

E15 Test Results

Undamaged Rod Rod from Cyl 3

E15 Test Results

Remaining Pieces from Cyl 3 Rod Bearing Cage

Ethanol and Reformulated Gasoline

Ethanol Gasoline Related Problems– Corrosion

– Phase Separation

– Destabilization (oxidation)

– Carbon Deposits

– Octane Loss

ValvTect Marine Gasoline and ValvTect Ethanol Gasoline Treatment are the “Perfect Solution”!!!

Phase Separation Deterioration Carbon Deposits

Water Tolerance of 90% Gasoline & 10% Ethanol Blend Vs. 100% Gasoline

0.00

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

0.45

0.50

0.55

0.60

100% gas

90%gas/

10%Eth

Corrosion

Clean Fuel Injectors Critical for best fuel economy, performance & emission reduction. Distorted spray patterns can reduce power and this is common in marine engines.

No plugging

45.9%19.7%

11.7%

16.9%

7.1%

Keys to Prevent Ethanol Problems

• Proper preparation of storage tanks

• Good housekeeping

– Proper Filtration, Storage Tank QC program

• Upgrade gasoline to marine grade

– Prevent Corrosion

– Improve Fuel Stability

– Control Moisture

– Prevent Phase Separation

– Provide Engine Deposit Cleanliness

Marine Grade Gasoline

The Result:– Improve Performance & Fuel Economy

– Prevent Fuel Related Issues

– Reduce Exhaust Emissions

– Longer Engine Life

– Eliminate Need For Other Fuel Additives

– Help Justify Higher Fuel Price At Marinas

– Prevent POBs = Happier Customers

How Are

ValvTect Marine Fuels

Different From

Automotive Grade Fuels???

ValvTect Marine Gasoline vs. Automotive Gasoline

Features & Benefits ValvTect Automotive

“Specially Formulated” for marine engines

Prevents ethanol problems

Stabilized for up to a year or more

Contains extra moisture dispersant

Contains additional corrosion inhibitor

Cleans up fuel injector deposits

Cleans up intake valve deposits

Cleans up combustion chamber deposits

Prevents fuel system deposits

Reduces harmful exhaust emissions*

Improves power & performance*

Improves fuel economy*

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

No

No

No

No

No

No

No

No

No

No

No

No

*Provided by the prevention and clean up of carbon deposits.

Certified ValvTect Marina Program Benefits

– “Specially Formulated” gasoline and diesel for marine engines.

• Prevents ethanol caused problems.

• Prevents ultra low sulfur diesel problems.

• Fewer problems = better boating & happier customers.

– Preferred brand of fuel in the marine industry.

– Differentiates from lower cost land based stations.

– Higher margins than automotive brands.

– Eliminates high fuel price complaints.

– Complete fuel dock merchandising materials.

– Marketing programs enhance fuel dock image.

– Exclusive programs & deals from industry partners.

– Nationally advertised to millions of boaters.

Aftermarket Additive Solutions for

Ethanol Gasoline

NMMA Fuel AdditiveCertification Program

Types of Fuel Additives

– Those That Do The Job

– Those That Are Not Effective

– Those That Can Cause Harm

NMMA Fuel AdditiveCertification Program

•Why?

Marine engine manufacturers have determined

certain fuel additives are causing engine

failures.

Not paying warrantee claims.

POBs. Quit boating!!

•Objective

Develop certification for fuel additive like

NMMA TCW motor oil program.

NMMA Fuel AdditiveCertification Program

Problem Additives

Those that claim:

– Prevent E15 Problems in Marine

– Restore Bad/Stale Fuel

– Remove (totally) Water

– Restore (totally) Phase Separation

– Contain Metals, Alcohol, etc.

NMMA Fuel AdditiveCertification Program

Performance Specs (proposed)

– Stabilization (ASTM 525)

– Corrosion (NACE TN 0172)

– Moisture Control (ASTM D6304 KF)

– Detergency/Deposit Control (EPA)

– No Harm to Elastomers (ASTM D471)

NMMA Fuel AdditiveCertification Program

How To Use This Information?

– Choose additive wisely for service

Do The Right Thing - Liability

– Check labeling

• XXXX Flammable (Flash >100degF)

• XXXX Absorbs/Removes Water

• Restores Bad/Stale Fuel

– Ask for Proof of Performance

– Use an OEM or Equivalent Product

ValvTect Marine Fuel Additives

Why Choose ValvTect Products??

− Traditional stabilizers are not effective for ethanol or ULSD.

− Today’s fuels need “multifunctional” fuel additives.

− Service departments need to use products that:

− Have proven & documented performance.

− Comply with industry specifications.

− ValvTect meets and exceeds all petroleum industry spec’s.

What Makes ValvTect Products Different From Other Brands?

Proven & Accepted Technology

− “Specially Formulated” for Marine Engines

− All technology (components) are same as used by

refiners all over the world.

− All components and ratios used are approved by

engine manufacturers all over the world.

− All ValvTect finished products are tested using the

same tests (ASTM, SAE, NACE, API, etc) required

by refiners and OEM’s around the world.

− All ValvTect products are compatible with every

gasoline, diesel fuel and engine.

ValvTect Ethanol Gasoline Treatment (VEGA)The Best Solution for Marine!!

− “Specially Formulated” for marine engines.

− Stabilizes fuel up to a year or more.

− Prevents corrosion (A Rating)

− Controls moisture.

− Helps prevent phase separation.

− Prevents and cleans up carbon deposits.

− Reduces fuel consumption.

− Meets/exceeds industry specs.

− Does not require double treat for storage.

− For use in ethanol & non ethanol gasoline.

VEGA32 VEGA12 VEGA08

ValvTect Ethanol Gasoline Treatment vs. Competition

‐ “Specially Formulated” for marine engines.

‐ For all ethanol and non ethanol gasoline.

‐ Not sold at automotive stores for lower prices.

‐ Contains additional corrosion inhibitor & detergent.

‐ Meets/exceeds OEM and industry specifications.

‐ Enzymes do not pass OEM and industry tests!!!

‐ Heavy glycol products do not meet industry specs!!!

‐ Technology approved and used by all OEM’s and

gasoline refiners. (Performance proven and documented.)

‐ Standard treatment = Full Strength!! No need to

double treat VEGA. Much lower treat cost!!!

ValvTect Marine Fuel Additives“The Perfect Solution”

‐ ValvTect specializes in fuel solutions to the

petroleum industry and OEM’s. That’s all we do!

‐ All ValvTect products contain proven technology

used by refiners and OEM’s.

‐ Are “Specially Formulated” for Marine Engines.

‐ All ValvTect products thoroughly tested using

petroleum industry approved test methods.

‐ All performance claims documented by

independent labs.

‐ ValvTect Marine Fuels & ValvTect Marine Fuel

Additives are the “Perfect Solution”.

“Tanks” A Lot!!!ValvTect Petroleum Products

Northbrook, IL

www.valvtect.com

800-728-8258