Dilmar Fluid ServicesOffsite Reclamation

A Reclamation Solution for Small to Mid Volume Customers

Onsite ReclamationHistorically our only option for reclamation has been onsite with our fleet of Mobile Reclamation Units.

Due to the cost of operation this has made it impractical for our smaller volume customers.

New Opportunity!DFS is now ready for our “off site”

reclamation program!Small volume customer can now benefit from

the substantial savings offered through current on site reclamation programs.

New minimum is 275 gallons (1 Tote) DHEC LicensedHIGH PROFIT MARGINS!!

How Offsite Reclamation WorksCustomer accumulates segregated oil in totes.The order is generated by DFS to initiate pick up. Once full the customers tote is pick up by the

local branch and sent via round robin to the DFS facility in Columbia for processing.

Process has all the capabilities of the Mobile unit.Once processed the oil is labeled and shipped

back to the customer. Turn around time will very with pick up, delivery

and RR schedules. Average should be 10-14 days.

Bulk TransfersBulk Transfer and Processing available

Advantages to YouShows the customer your interest in his

operationMakes you a solutions providerYou are not just seen as a cost…… You are

now a cost savingsCustomer is less likely to “price shop” in the

futureProvides opportunity to “up sell” to higher

quality, high cost, higher margin products. While maintaining lower total oil cost.

High Margin = High Commission

PotentialIn the last 12 months Dilmar has sold

626,569 gallons of bulk hydraulic oilIn the last 12 months there have been Seven

Price increasesCustomers are more open than ever to

reclamation as a cost savings option

Identifying Potential CustomerAnnual purchases of 1000 – 6000 gallons

(one product)Performs regular oil change out (PM)Has leaks on equipment that can be captured

and segregatedIs shopping for less costly lower quality oil

due to higher pricesNeeds help in reducing oil costs

Target Products for ReclamationHydraulic Oil

This will be the primary oil for consideration.

Other Oils to Consider• Industrial Gear Oils• Turbine Oil• Quenching Oil• Synthetic Industrial Oil• Heat Transfer Oils• FR Hydraulic (Fire Resistant Fluid)• Cutting Oils-Neat• Stamping Compounds• Other Industrial Oils

Key ProspectsInjection Molding Extrusion PressesStamping PressesLarger Gear BoxesMachining (Change outs Only)Customers with large mobile hydraulic

equipment Off Road Cement PumpingCranes

Approach To Customer (existing)How much oil do your systems currently

leak? How do you currently collect oil from regular

change outs (PM) on you systems, gearboxes, reservoirs.

How much do you currently pay for oil disposal?

Lets see how much we could save on total replacement oil cost?

Complete Reclamation Profile form to develop cost savings. Profile

Approach New CustomerAs to be expected you are and oil salesperson

and will be leading with your products. You will always have a lower price than you

competitor when combining reclamation programs with your new oil sales regardless of product.

Consider that you will now be able to now offer Premium products to your prospective customer while still providing lower total cost.

Complete Reclamation Profile form to develop cost savings. Profile

Savings SheetsTwo cost savings sheets are available:

Cost savings using current product. Reclaim Only

Cost savings using current product. Reclaim and New Oil

Waste from ReclamationThe customer is responsible for decanting all

free water from totes prior to pick up.The customer is allowed up to 5 gallons of

water to be removed from the process at no charge.

If the water exceeds 5 gallons the customer will be charged $.85/gal for all gallons removed.

If the customers oil is determined to be non-reclaimable it will be returned to the customer and a $75 fee will be charged

Filters and SuppliesThe customer will be allowed one filter per

tote. Customer will be charged for additional

filters usedCustomer will be allowed one lab test per

tote or “batch” reclaimed.Metalworking analysis will be charged at

$65ea if requested.

New Oil AdditionNew oil can be combined with the reclaim

product to complete a tote.

New oil can be combined with the reclaim product to increase volume and enhance product. Example: Customer sends in two totes for

reclamation. It is combined with a tote of virgin during reclamation and the are returned 3 full totes.

Advantages are enhancing reclaim and filtration of new oil to spec.

To begin a new program with a customer, as always we will require an account be set up.

Submit Reclamation Profile form to John Erikson for review.

Insure complete and current customer contact info has been entered in ACT!

Pickup requests are to be submitted to Mark Engelhart in DFS COLA office

Setting up New Customer

Reclamation Order Form

Product TrackingAll activity is tracked through out the transfer and

process to insure the integrity of the customers product.

LabelingProfessional and compliant labeling of totesInbound and returning product maintain the

same product information as the virgin product

Labels will include product and customer information as well as order #.

Incoming product labels will specify for filtration and dehydration

Products will not be labeled as “dirty” or Used oil

Incoming Label

Return Label

DFS Facility LabOnsite lab for pre-screening and final analysisFinal samples sent to independent lab for analysis

Typical Opposition to ReclamationReclaimed oil is “bad”!

DFS processed does not comingle oils to insure product integrity.

Since we are filtering the oil directly from the process into clean new or reconditioned totes oil cleanliness is as good or better then new oil.

All oil is monitor for water and cleanliness through out the process.

Additives additions are availableTop and blending with new oil available

Typical Opposition to ReclamationContinued

How do I know that I am getting my oil back?Oil is tracked by a chain of custody through out

transfers and processing. All oil is batched processed and not combined

with other customers.

Current CompetitionTaylor Enterprises Inc.

Offsite reclamation of bulk oilCustomers oil is segregatedPredominantly Carolinas

McPherson Oil CompanyOffsite reclamation of bulk oilCustomers oil is not segregatedOil is returned as a blended product (RENEW)Throughout the southeast