BLOCK 16 DEVELOPMENT PROJECT

AMAZON BASIN
SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 1 of 10

TABLE OF CONTENTS

SECTION PAGE

1.0 SCOPE 2

2.0 CODES AND STANDARDS 2

3.0 GENERAL 2

4.0 SURFACE PREPARATION 2

5.0 COATING MATERIAL 4

6.0 COATING APPLICATION 5

7.0 INSPECTION AND TESTING 6

8.0 COATING REPAIRS 9

9.0 STORAGE AND HANDLING 9

REV. No. REVIEWED APPROVED DATE DESCRIPTION

01 Original Issue
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AMAZON BASIN
SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 2 of 10

1.0 SCOPE

1.1 This specification covers the minimum requirement for external application of
shop applied Fusion Bonded Epoxy (FBE) coating to pipe joints. Pipe joints to
be 40 foot lengths in accordance with API 5L.

2.2 The work includes: furnishing of all plant labor, materials, tools, and equipment;
and the performance of all operations and incidentals necessary for the coating,
handling, and storage of the pipe, both bare and coated.

2.0 CODES AND STANDARDS

2.1 The provisions of the latest revisions of the following Codes and Standards shall
apply except as modified or supplemented by this specification.

2.1.1 American Society for Testing and Materials (ASTM)

2.1.2 Steel Structures Painting Council (SSPC)
2.1.3 SSPC-SP1 Surface Preparation Specification No. 1 Solvent Cleaning
2.1.4 SSPC-SP10 Surface Preparation Specification No. 10 Near White
Metal Blast Cleaning
2.1.5 SSPC-VIS-1 Pictoria Surface Preparation for Painted Surfaces

3.0 GENERAL

3.1 The Coating Contractor's responsibility shall include, but not limited to, receiving
and unloading of pipe and fittings, visual tally and verification of pipe by length
and wall thickness, visual inspection and segregation and marking of damaged
pipe.

3.2 Coating materials shall be handled, stored and applied in accordance with the
coating manufacturer's specification.

3.3 The pipe and fitting surfaces shall be free from scabs, slivers, laminations and
other surface defects and provide a surface suitable for the application of fusion
bonded epoxy coating.

4.0 SURFACE PREPARATION

4.1 Any oil, grease, or other contaminants on pipe received at the coating plant shall
be removed by a suitable non-oily solvent. Gasoline or kerosene shall not be
used for this purpose. Visible oil and grease spots shall be removed by solvent
wiping. Solvent cleaning shall be in accordance with SSPC-SP1.
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 3 of 10

4.2 The pipe and fittings, prior to blast cleaning, shall have a clean, filtered, fresh
water rinse to remove all traces of salt. The pipe and fittings shall be preheated
to a temperature of at least 3?C in excess of the dew point, prior to blast
cleaning. All pipe and fittings shall be preheated in a uniform manner to avoid
distortion. The pipe ends shall be closed to prevent any distortion. The pipe
ends shall be closed to prevent any abrasive or foreign material from entering
the pipe. All abrasive and foreign material shall be removed from the pipe
interior before coating.

4.3 The external surfaces of the pipe and fittings shall be cleaned by abrasive
blasting to near white metal in accordance with Specification SSPC-SP10. The
particle size distribution of the grit shot used shall continually controlled by
screening to ensure that the surface profile after blasting shall have a nominal
height of 2 mils, a minimum height of 1.5 mils and a maximum height of 2.5 mils
as measured to Press-O-Film replication tape and SSPC-VIS-1.

4.4 For consistent surface finish a stabilized abrasive working mix shall be
maintained by frequent small additions of new grit commensurate with abrasive
consumption. Infrequent large additions shall be avoided. The abrasive
working mix shall be maintained clean of contaminants by blasting machine
scalping and air wash separators.

4.5 The blast cleaned surface shall not be contaminated with dirt, dust, metal
particles, oil, water or other foreign material, nor shall the surface or its anchor
pattern be scarred, nor burnished. After blast cleaning, all surfaces shall be
thoroughly inspected to determine anchor pattern, quality of blasting, and
identify any surface defects prior to coating application.

4.6 All surface defects such as slivers, scabs, burrs, weld splatter, gouges, etc.,
shall be removed by hand filing or grinding. The method employed to remove
surface imperfections shall not burnish the anchor pattern or contaminate the
surface. Pneumatic tools shall not be used unless they are fitting with effective
exhaust air/oil and water traps.

4.7 Where burnishing results in the destruction of the anchor pattern over an area in
excess of 2 sq. inches the anchor pattern shall be restored by suitable means.

4.8 Following the grinding and prior to coating application, all dust, grit, metal
particles, etc. shall be blown off with high pressure steam or air knife and clean
dry air. Raw water shall not be used. Improperly cleaned pipe and fittings shall
be rejected and re-cleaned.

4.9 The Buyer's Representative reserves the right to inspect the surface of the pipe
and fittings for acceptability before heating and coating.
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 4 of 10

4.10 Care shall be taken to protect pipe beveled ends from damage at all times. Pipe
and fittings shall be warmed to a temperature above dew point before cleaning
in order to mitigate oxidation on a clean pipe surface when additional heat is
applied.

4.11 The total elapsed time between completion of the blast operation and
commencement of the precoating heating procedure shall be such that no
detectable oxidation of the surface occurs. Relative humidity readings shall be
recorded every two hours during the blasting operation in the immediate vicinity
of the operation. The elapsed time shall not exceed the maximum time as given
in the following table:

Relative Humidity Percent Maximum Elapsed Time

80 or more 2 Hours
70 3 Hours
60 or below 4 Hours

4.12 Pipe and fitting surfaces not brought up to coating application temperatures
within these maximum times shall be returned for complete reblasting. Any pipe
and fittings showing flash rusting shall be reblasted even if the above conditions
have not been exceeded.

5.0 COATING MATERIAL

5.1 The coating material shall be applied in accordance with coating material
manufacture application specifications. The following Fusion Bonded Epoxy
(FBE) powder products are acceptable for use, or approved equal.

Supplier Product

3M Company Scotchkote #206N

International Paint Interpon HD3055
Nap-Gard Pipe Coating Nap-Gard Mark X 7-2500
Valspar Inc. Valspar D-1003

5.2 The powder shall be applied directly to the heated pipe and fittings to produce a
nominal 20 mil dry film thickness, with a minimum of 17-mil and a maximum of
22-mil thickness. Coatings in excess of 22-mils must be able to pass a bend
test.

5.3 Coating shall not deform, deteriorate, or disbond when subjected to soil stresses
at operating temperatures up to 180?F (82?C).
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 5 of 10

5.4 Coating shall be able to withstand continuous operating temperatures of 180?F

(82?C) without showing any signs of cold flow.

5.5 Materials supplied for coating operations shall be suitably marked in English,
giving the following information:

5.5.1 The Manufacturer's name

5.5.2 The material or product identification number
5.5.3 The batch number
5.5.4 Date of manufacture
5.5.5 Stable working life
5.5.6 Storage temperature limits

5.6 A Manufacturer's Certificate for the following tests shall be provided for each
batch of powder supplied and shall be submitted to the Buyer's Representative.

5.6.1 Instrument Analysis - An infrared spectrogram or differential scanning

calorimeter analysis shall be obtained by an approved method from each
batch of the resin powder. This test shall also be performed each
morning on the production powder.

5.6.2 Gel Time - a hot plate gel time test shall be performed for each batch of
the resin powder. The test values shall fall within the approved range in
the manufacturer's published date.

5.6.3 Moisture Content - the moisture content of the powder shall be less than
0.5 percent by mass.

6.0 COATING APPLICATION

6.1 Pipe and fitting surfaces shall be checked intermittently for proper application
temperature by the use of Temp-sticks before a coating is applied. Pipe
temperature shall be continuously monitored and recorded by indicating and
recording pyrometers/thermometers.

6.2 Epoxy powder shall be applied to the heated pipe by the electrostatic spray
method and to fittings by the flocking spray method. All epoxy powder shall be
from clearly marked containers displaying batch or lot numbers for product
identification. After heating the pipe or fitting, powder shall be applied within the
time frame specified by the coating material manufacturer.

6.3 The coating shall have a cutback of at least one inch and not more than two (2)
inches measured from the pipe end. Sealing of the ends of the pipe with tape is
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 6 of 10

an acceptable method to achieve the cutback, as long as it does not leave a

residue on the pipe surface detrimental to the bond of the subsequently applied
field joint coating.

6.4 During the period of coating and during, the coated pipe or fitting shall be
handled in a manner to ensure that no damage occurs to the coating. After cure
of the coating, pipe and fittings shall be quenched with water and/or air to lower
the temperature of the pipe or fitting surface to 200?F or less to permit handling
for inspection.

6.5 The cured coating shall be of uniform color, gloss, and thickness. It shall be free
of blisters, pin holes, fish eyes, sags or runs, and other irregularities.

6.6 Fusion bonded epoxy powder shall be maintained in the original containers,
stored in a clean dry room. Any ruptured powder containers and powder shall
be removed from production. The use of recycle powder shall be removed from
production. The use of recycle powder may be permitted if proper recovery and
screening equipment is used and maintained. The recycle system shall limit the
recycled powder to 3 percent of the blend.

6.7 During application, curing and handling, the coating shall not be physically
damaged, nor shall it be contaminated with any foreign material from any source
including without limitation dirt, metal particles, oil, water, coating debris, excess
primer or powder drips, whether airborne or from application equipment.

7.0 INSPECTION AND TESTING

7.1 The Coating Contractor shall establish and maintain such qualify assurance
systems as are necessary to ensure that the goods or services supplied comply
in all respects with the requirements of this specification.

7.2 The Buyer Representative shall have the right of inspection or testing of the
goods, purchased raw materials or services during any stage of manufacture
where the quality of the finished goods may be affected.

7.3 The quality control requirements shall include, as a minimum, the following:

7.3.1 Checking cleanliness of pipe and fittings immediately prior to blasting.

7.3.2 Monitoring cleanliness of pipe and fittings immediately prior to blasting.

7.3.4 Checking visually in good light, the surface of the pipe for metal defects,
dust and surface debris grit.
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 7 of 10

7.3.5 Checking the pipe surface blast anchor pattern.

7.3.6 Checking the temperature control of the pipe.

7.3.7 Checking the coating thickness of cured fusion bonded epoxy coating.

7.3.8 Checking the adhesion properties of the coating.

7.3.9 Holiday detection of 100 percent of the surface area of the pipe.

7.3.10 Supervision of adequate and proper repair of defects.

7.3.11 Checking of coating color, appearance and uniformity.

7.3.12 Checking the flexibility of the coating.

7.3.13 Visual examination for any coating damage.

7.4 Thickness Test

Every pipe and fitting shall be checked for coating thickness at both ends and
three places randomly selected along the pipe. The average readings shall be
as specified. The thickness gauge shall be of a type approved by the Buyer
Representative. The gauge shall be calibrated every two hours during the
coating operation. These thickness measurements shall be recorded and
identified to the pipe inspected.

7.5 Adhesion Test

Two incisions approximately, three-quarter inch long shall be made through the
coating to the metal substrate to form an X. At the intersection of the X, an
attempt shall be made to force the coating from the metal substrate with a knife
point. Refusal of the coating to peel constitutes a pass. Partial or complete
adhesion failure between the coating and metal substrate is a failure. The test
shall be performed on the first five (5) production pipes.

If no failures occur in the first test, then the test shall be conducted every two
hours or 50 pipes, whichever is more frequent.

7.6 Holiday Detection

A holiday is defined as a defect in an applied coating which exhibits electrical

conductivity when exposed to a known impressed voltage between the test
probe and ground. The holiday detector shall be checked at least twice per 8-
hour shift against a calibrated voltmeter and adjusted to ensure that the voltage
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 8 of 10

is sufficiently high to detect an intentional pinhole holiday through the coating on

the pipe. The electrode used for locating holidays shall be designed to ensure
direct contact with the coated surface and complete coverage of the coated
surface.

Rolling spring electrodes shall have a flat ground contact surface, which will
remain in continuous contact with the coating. Electrodes to inspect production
pipe shall be carbon impregnated silicon rubber, contoured to the pipe size. For
DSAW pipe, the seam weld shall be inspected by the use of the rolling spring
electrode and flat paddle type carbon impregnated silicon rubber electrodes for
selected areas.

Pipe shall be checked over 100 percent of the dry surface. The inspection
equipment shall be adjusted to operate at 2500 volts, +/-50 volts. All holidays
shall be marked for repair. The pipe to be inspected shall have a dry surface.

The coated pipe surface, shall be 100 percent inspected with a pulse type DC
holiday detector employing an audible signaling device. The holiday detector
shall be portable, low amperage, with adjustable voltage.

7.7 Acceptance Rate

All holidays and other coating defects including, without limitation, primer blister,
excess powder mounds, crazed coating, lifted and unfilled pipe scabs, etc., shall
be marked and recorded.

The allowable holiday acceptance rate is 10 holidays per 40 ft. length of pipe.
The holiday shall be no greater than one-eighth inch in diameter. Any length of
pipe (40 ft) containing more than 6 square inches of repairs shall be rejected.
Repaired areas, whether from mechanical damage or holidays, shall be 100
percent holiday free.

7.8 Bend Test

Once every one hundred (100) pipes and each time the batch of powder is
changed, the flexibility of the coating shall be determined by a bend test. Two
specimens approximately one inch wide by eight inches long by wall thickness
(t), shall be bent around a mandrel at a deflection rate of one inch per minute.
The thickness of the specimen and the radius of the mandrel shall be sized to
develop a strain of 3 percent as minimum. The mandrel radius and specimen
thickness required to develop three percent strain may be determined by the
following formula:

% strain = 100t/2r+t
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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 9 of 10

Where t = specimen thickness + coating thickness

r = radius of mandrel

For acceptance, the coating shall withstand the 3 percent strain test without
cracking or disbonding. The coated bar shall show no cracks except where the
samples were clamped in the bender. A holiday test of the bent specimen shall
show no holidays when inspected with the holiday detector adjusted to 125 volts
DC per micron (one mil) thickness of coating.

7.9 The Buyers Representative shall be allowed free access to all production
operations during processing pipe to this specification.

8.0 COATING REPAIRS

8.1 All defects disclosed by the holiday detector and obvious defects which may
occur as the result of mechanical damage to the coated surface shall be
repaired. The repair coating material shall be approved and purchased from the
original coatings Manufacturer.

8.2 All rejected coating shall be completely removed from the entire joint of pipe
surface, the pipe surface reprepared and recoated in conformance with the
foregoing specification.

8.3 For small pinholes or metal sliver holidays with a diameter of one eighth inch or
less, repairs may be made using patch stick material supplied by the
Manufacturer of the fusion bond powder being used. The application procedure
shall be in accordance with the Manufacturer's recommended procedures, to a
minimum thickness of 25 mils.

8.4 Larger holiday defects shall be repaired using a 100 percent solids two
component liquid epoxy compound mixed per the Manufacturer's instructions.
The area shall be prepared for patching by abrading the area with a file or
emery cloth and tapering the surrounding edges. The epoxy repair compound
shall be applied to the area to minimum thickness of 25 mils. The coated area
shall be reinspected by holiday detection using the 67.5 volt wet-sponge holiday
detector as recommended by the coating Manufacturer.

8.5 The freshly patch coated areas shall be allowed to cure fully prior to handling.
(3 hours minimum)

9.0 STORAGE AND HANDLING

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SPECIFICATION No. FUSION BONDED EPOXY COATING
PL-COAT-1.0.0 Page 10 of 10

9.1 All pipe shall be handled with brass or aluminum clad hooks or such type that
will not cause damage to the beveled pipe ends. Nylon slings shall be used for
lifting coated pipe for loading. Chains or cable slings are prohibited.

9.2 When coated pipe is stored, the bottom row of pipe shall be elevated not less
than 6 inches off the ground on earth berms covered with polyethylene sheeting
or on a sufficient number of padded timber skids, properly spaced and leveled to
support the coated pipe without damage.

9.3 Each forty (40) ft. length of pipe shall have affixed to the exterior to the pipe
surface, a minimum of three (3), 1/2 inch thick rubber pads or other approved
separators spaced three (3) feet from each pipe end and one in the center of the
pipe.

9.4 Detailed procedures for handling, stacking, loading, and unloading for land and
sea transportation shall be provided to the Buyer Representative for approval in
writing prior to handling the pipe.

9.5 Each coated length of pipe shall be externally stenciled (paint) at a point
approximately 24 inches from each end. The stenciling shall reproduce the
original steel marking and identify the type of coating applied.

9.6 The Buyer Representative shall inspect pipe upon receipt for condition of pipe
and damage in shipping such as dents, flat ends and bevel damage. Any visible
damage observed at this point shall be noted on the inbound pipe tally.

9.7 During storage and transportation of coated pipe and fittings, all sills and metal
stanchions shall be padded with 0.375 inch thick (minimum) rubber or other
separating material acceptable to the Buyer Representative.

9.8 Under all circumstance, pipe and fittings shall be stored handled and
transported in a manner to prevent damage to the pipe wall, beveled ends and
the coating.

9.9 Pipe and fittings shall be shipped with sufficient and proper dunnage to protect
the pipe and fittings and the coating. No chains, metal protrusions or other
metal objects shall be permitted to come in contact with the coating. Approved
proper and sufficient padding shall be used to prevent damage to the external
coating including protection from wheel thrown objects during truck transport to
the job site. Trucks used to transport pipe shall meet the specified handling
requirements.