KORCARB Co., Ltd.

Marketing

KORCARB Company Limited Company Introduction Relations_ 2015

Contents

1. Company Profile

2. Business Profile

3. Planning Profile

4. Summary on Business Mission

<Appendix> : Details on Main Holding Equipments

1. Company Profile

1. Company Profile _ History

Development Completion of “Carbon Composite Material(CCM)”

Development Completion of “Carbon Fiber Insulation”

2009

Set-up of Production Line for “CCM” & “Carbon Fiber Insulation”

2011

2010

2012

2007 2007

Establishment of “KORCARB” 2008

- Venture Company Certification by KIBO) -ISO 9001 Certification -R&D Center Certification by KOREA Government

2014

KORCARB is the only one manufacturer in Korea , who is producing the CCM & CF Insulations

based on Russian & KORCARB’s self-technology.

■Company

■CEO (Kim, Chang Gon)

- CNFK (= Korcarb) (6 years until now)

: CC Composite manufacturing

- Shinwha Inter Tech (8 years)

: Optical paint/Film development manufacturing

- SKC (12 yesrs)

: Functional Paint Coating Technology

Development of High Volume Magnetic Material

for Saving

1. Company Profile _ Factory Location

Chung-Buk, O-Chang

Gyung-Buk, Gu-Mi

Gyung-Buk, Young-Chun

1. Company Profile _ Organization

CEO (Mr. C.K. Kim)

Domestic Sales Operations Productions Oversea Sales

Strategic Partner (CNFRU)

- Mr. C.D, Han - Career : LG Electronics (22 Years)

- Mr. J.C. Hwang - Career: Kolon (22 Years)

- Mr. C.K. Kim - Career: SKC (23 Years)

- Mr. S.S. Joo - Career: Air Force Officer

- Mr. Vladimir - Career: Aerospace Composite Materials (30 Years) - Location: Moscow, Russia

- Mr. Aleksei - Career: C-C Material (30 Years) - Location: Moscow, Russia

- Mr. S.J. Kim - Career: C-C Material (27 Years)

Support

- Mr. Daniel G. Seo - Career: Daewoo Telecom (21 Years) - Mr. Samuel S. YU - Career: Rodel Korea C. Manager (26 Years) - Ms. Alexandra Lee Hanson - Career: KOTRA (15 Years)

1. Company Profile _ Business Field

Business Field

Sales Category

Carbon Composite Material (40%)

Carbon Fiber Insulation (40%)

Special Service Sales (20%)

Applied Industry

Solar Energy, LED, Semiconductor and Electric

Furnace Industry

Solar Energy, LED, Semiconductor and Electric

Furnace Industry Coating & Heating Treatment

Products

Hot-Zone Material High Heat Treatment / Defense Product Development

Product Type Shape Size Monthly Capacity

Yearly Capacity

Cylindrical C-C

Composite

Dia. : max 1,000 mm

Height : max 1,000 mm

Thickness : max 10 mm

3~5 ton /month

40~60 ton /year

Cylindrical C-F

Insulation

Dia. : max 2,000 mm

Heigh : max 1,000 mm

Thickness : max 200 mm

C-C Composite Plate

Length : max 1,000 mm

Width : max 2,000 mm

Thickness : max 20 mm

C-F Insulation

Plate

Length : 1,000 mm

Width : 1,500 mm

Thickness : 200 mm

※ The customized sizes are available.

※ The production capacity depends on the customized sizes.

1. Company Profile _ Production Capacity

1. Company Profile _ Holding Technologies

● Preform

● Liquid Infiltration (LI) ● Gas Infiltration (CVI) ● Carbonization ● Graphitization ● Purification ● Surface Treatment ● Adhesive Material for HighTemp. ● Machining ● Equipment Engineering (Design & Manufacture for Facility)

○

○ ○ ○ ○

△~○ ○

△~○ △ ○

Pre-forming of CCM & CFI

Densification of CCM Densification of CCM Carbonization of CCM & CFI Graphitization of CCM & CFI Purification of CCM & CFI Surface Treatment of CFI Adhesion Technology of ‘CFI + Foil’ Machining of CCM & CFI Self-Engineering of the Core Equipments

<Note1> ○ : Technology Holding (Perfectly), △ : Technology Holding (Partly)

<Note2> CCM = Carbon Composite Material, CFI = Carbon Fiber Insulation

Core Process Technology Technology

Level Application

1. Company Profile _ Co-working Process for Strategic Technology

KOREA

KOMPOZIT

KORCARB

Excellent

Technology

Competitiveness

- Co-working System for Advanced Technology - New Technology in Un-experienced Field

- Equipment Self-design/making - Mass Production Process Technology - QC Management

CNF-RU - Development of New Process/Product - Various Manufacturing Experiences

RUSSIA

1. Company Profile _ Current Marketing Status

Korea

Customer Products

SKC Solmics C-C Composite Materials, Hot-Zone Parts & Carbon-Fiber Insulation

Nexolon C-C Composite Materials, Hot-Zone Parts & Carbon-Fiber Insulation

Woongjin Energy C-C Composite Materials, Hot-Zone Parts & Carbon-Fiber Insulation

Osung LST C-C Composite Materials, Hot-Zone Parts & Carbon-Fiber Insulation

LG Electronics MOCVD Carbon Tray & Mask Parts

<PV/Ingot/Wafer/Cell Parts related to ‘Solar Cell Industry’>

1. Company Profile _ Current Marketing Status

Korea

Customer Products

GM Korea C-C Composite Material Plate & Carbon-Fiber Insulation

Sam-Lak H.T. C-C Composite Material Plate & Carbon-Fiber Insulation

Gold Star H.T. C-C Composite Material Plate & Carbon-Fiber Insulation

Key One Engineering C-C Composite Material Plate & Carbon-Fiber Insulation

Ace Vacuum C-C Composite Material Plate & Carbon-Fiber Insulation

Jung-Min Industry C-C Composite Material Plate & Carbon-Fiber Insulation

Korea Furnace C-C Composite Material Plate & Carbon-Fiber Insulation

P&Tech C-C Composite Material Plate & Carbon-Fiber Insulation

Ssang-Yong Materials C-C Composite Material Plate & Carbon-Fiber Insulation

<Electric Furnace Makers>

1. Company Profile _ Current Marketing Status

Korea

Customer Products

Il-Jin Display Carbon-Fiber Insulation

LG Electronics E-Beam Target Carbon-Fiber Carrier

Sam-Yang Comtech Hot-Press Mold

Sam-Yang Ceratech Carbon-Fiber Insulation

Mercury Heater & Carbon-Fiber Insulation

<Other Industries>

1. Company Profile _ References in Other Countries

Overseas

Customer Products

RUSSCARB MATERIAL ENGINEERING, Ltd. C-C Composite Materials & Carbon-Fiber Insulation

New Carbon Fiber Co., Ltd. Carbon-Fiber Composite Materials

YOFC (China) Graphite Heater, Rigid Carbon Insulation

2. Business Profile

■ Structure of Carbon Fiber

•Carbon : Atomic No.6, Periodic Table Group 4 •Binding Structure > Hexagon Type (6 atoms, on the same plane) > Bonded between the arranged Hexagonal Planes > Plane beds are stacked at regular intervals.

2. Business Profile _ Technology Review _ What’s C-C Material(CCM)?

■ Definition on Carbon Composite Material

•Definition : Material reinforced by Carbon Fiber in Carbon Matrix •Physical Properties 1 . Weight is ¾ as compared with that of Steel 2 . World’s Only Material to use at 3000℃ 3. World’s Only Material to be strengthened on Temp. Increasing 4. Most Stable Material in Non-Oxygen Atomosphere

2. Business Profile _ Technology Review _ What’s C-C Material(CCM)?

Definition of CCM

Carbon Matrix

Carbon Fiber

Carbon Matrix

Carbon Fiber

Strength vs. Temperature

Super alloy

Unidirectional C/C

Advanced C/C for Shuttle nose tip

1,500℉ 3,500℉ 5,000℉

Various carbides,oxides,

nitrides, etc.

1,500 3,000 4,500

200

600

800

1,000

400

1,200

Sp

ecif

ic S

tren

gth

, x10-

3

Current coated C/C application

Current research goal

Temperature(℉)

- Until now, Major Market Aerospace Industry - In Future, Major Market Hot Zone Industry (Aerospace + General Industry)

■ Properties on Carbon Composite Material (CCM) _ at Room Temperature

2. Business Profile _ Technology Review _ What’s C-C Material(CCM)?

Property CCM Graphite Al Ti Zr Steel

Density (g/cc)

1.5~1.8 1.7~1.9 2.7 4.5 6.6 8.0

Melting Point (℃)

- - 640 1678 1850 1400

Tensile Strength (Mpa)

240 10 176 340 540 515

Compressive Strength

(Mpa) 150 90 300 790 - -

Thermal Expansion Coefficient

(cm/℃) 1 x 10‾6

2.8 x 10‾6

13 x 10‾6

6 x 10‾6

6 x 10‾6

10 x 10‾6

Thermal Conductivity (W/mk)

28 70 120 17 20 17

■ Properties on Carbon Composite Material _ Strength vs. Temperature

2. Business Profile _ Technology Review _ What’s C-C Material(CCM)?

(Inconel)

Carbon Fiber (Raw Material)

CVI (Chemical Vapor Infiltration)

Graphitization

Preform (n-D)

Rigidization

Carbonization

Machining

Purification

Impregnation Impregnation

(Coaltar Pitch, Petroleum Pitch)

RTM (Resin Transfer Molding)

Carbonization (Liquid Phase)

9

Repeat n times

(1,000 – 3,000 oC)

2. Business Profile _ Technology Review _ Manufacturing Process

■ Manufacturing Process of CCM

[CVI Mechanism]

[Density : 0.4g/cc]

Raw Materials

Surface Treatment

Shape Machining

Heat Treatment

Dispersion M/Casting

Raw Materials

Desizing

Mixing

Molding

Dry/Curing Carbonization Graphitization

Cutting Machining

Adhesiving

Surface Treatment

Heat Treatment

■ Manufacturing Process of CF Insulation

2. Business Profile _ Technology Review _ Manufacturing Process

■ Comparison of Surface Property by Electron Microscope

2. Business Profile _ Technology Review _ Comparison of Soft & Rigid Felt

Soft Felt Rigid Felt Method

Vertical

Horizontal ☜ Korcarb’s Product

↓Vertical

↔ Horizontal

■ Comparison of Material Property

2. Business Profile _ Technology Review _ Comparison of Soft & Rigid Felt

Product Soft Felt Rigid Felt

Carbon Fiber Long Fiber (수~수십mm) Short Fiber (수백㎛~수mm)

Preform Type Needle Punching Method Slurry Mold Casting Method

Main Techonoogy Openning & N/Punching Tech. Dispersion & Molding Tech.

Manufacturing Cost Low Middle

Insulation Property ◎~○ ○

Density 0.10~0.12 g/cm³ 0.15~0.25g/cm³

Life Cycle Short (Ref.) Long

(More than 2 times with Soft Felt)

Maker Osaka Gas, Haoshi Mersen, Korcarb, Americarb

☜ Korcarb’s Product

■ Comparison of Property on Cylindrical Type

2. Business Profile _ Technology Review _ Comparison of Soft & Rigid Felt

Soft Felt (Cylindrical Type) Rigid Felt (Cylindrical Type)

Raw Material Soft Felt Rigid Felt

Main Technology Winding & Stitching Tech. Machining & Assembling Tech.

Workability Bad Very Good

Surface Treatment × ○

Corrosion & Oxidation Resistant

× ○

Dust Bad Very Good

Phase Stability Bad Good

Density 0.10~0.123g/cm³ 0.15~0.25g/cm³

Life Cycle Short (Ref.) Long

(More than 2 times with Soft Felt)

Cost Low High

☜ Korcarb’s Product

■ Details related to Solar Cell (Hot Zone) Industry _ Value Chain Analysis

Potential Market of KORCARB

The Cost of the CCM & CFI is about 25% of Ingot Manufacturing Cost.

2. Business Profile _ Application Review _ Solar Cell

Value Chain Material Component Solar Energy Electric Instrument

Install & AS

Product Poly-Silicon Ingot/Wafer Cell Module Inverter /Battery

EPC /Maintenance

Price Portion 8% 12% 19% 18% 15% Install : 18% Other : 10%

Entry Barrier

High High Middle Low Low Low

Customers Group

2. Business Profile _ Application Review _ Solar Cell _ Poly-silicon Manufacturing

Product Picture Company Name Product Name Capacity

Poly-Si OCI Poly-silicon 25,000 ton

KCC Poly-silicon 10,000 ton

Korea Silicon Poly-silicon 10,000 ton

Woongjin Poly-silicon, LG Chem., Samsung Petrochemical, Hanhwa Petrochemical, SKC, etc

2. Business Profile _ Application Review _ Solar Cell _ Ingot Manufacturing

Ingot/Wafer Woongjin Energy Silicon ingot (single) 1,400 ton

Rexor Silicon ingot (single) 200 ton

Glosil Silicon ingot (multi) 65 ton

Neksolon Ingot & Wafer (single & multi) 150 MW

Neosemitech Ingot & Wafer (single) 120 MW

Smartace Ingot & Wafer (single & multi) 100 MW

Naratech Ingot & Wafer (multi) 50 MW

Siltron Silicon ingot & wafer (single) 10 MW

Osung LST, Hyundai Heavy Industry, etc

Product Picture Company Name Product Name Capacity

Upper Tube (OD 730 X ID 714 X H 267.5 mm)

Electrode Bolt (M 30 X 90 mm) Heater Screw (M 20 X 66 mm)

Radiation Shield (OD 826 X ID 812 X H 740 mm)

SP Upper Plate (OD 840 X T 12 mm)

[24" Silicon Grower]

24” Silicon Grower Hot-Zone

2. Business Profile _ Application Review _ Solar Cell _ Ingot Manufacturing (Single)

■ Carbon Composite Material (CCM) Parts

Upper Shield (OD 1000 X ID 723 X H 180 mm)

Side Shield (OD 1040 X ID 721 X H 733 mm)

Bottom Shield (OD 1040 X T 266 mm)

[24" Silicon Grower]

24” Silicon Grower 단열재

■ Carbon Fiber Insulation (CFI ) Parts

2. Business Profile _ Application Review _ Solar Cell _ Ingot Manufacturing (Single)

2. Business Profile _ Application Review _ Solar Cell _ Ingot Manufacturing (Multi)

■ Carbon Fiber Insulation (CFI ) Parts

Machining

Pre-form

Phenolic Resin

Impregnation.

Pitch Methane

Impregnation ICVI/TGCVI

Carbonization carbonization

Heat Treatment at 2500℃

Heat Treatment for High Purity

Re

pe

at n

tim

es

(1,0

00

– 3

,00

0 o

C)

HCVI

Heat Treatment at 2500℃

KORCARB’s Process

Pre-form

Simplification of Manufacturing Stages - Skipping of High Purity Process - Simplification of Repeated Carbonization Process - Sharp Cut of Working Time (1 ~ 3 0.5 month)

Simplification = Cost Reduction = Market Competitiveness

- Saving of Additional Facility Investment Cost - Saving of Material/Depreciation/Electricity Cost

10 순도

50

300ppm

흑연화공정

50 ppm

치밀화 공정

프리폼 공정

Competitor’s Process

2. Business Profile _ Competition Power _ by Production Technology Differentiation

■ Carbon Composite Material (CCM)

Surface Treatment

[Merits of the Assembled CF Insulation (Cylindrical)]

Strong Point ↓

Repairable

■ Carbon Fiber Insulation (CFI) for Mono-Silicon

2. Business Profile _ Competition Power _ by Production Technology Differentiation

Cylindrical Insulation Of 12-Segment Type

- Manufacturing Cost : Lower than that of One Body

- Insulation Property : Better than that of One Body

- Maintenance : Easier than that of One Body

- Production : Mass Production is Possible.

- Quality : Better than that of One Body

2. Business Profile _ Competition Power _ by Self-Equipment Differentiation

KORCARB’s Products are Your Solution to Save the Manufacturing Cost because of

KORCARB’s Competitiveness for Electricity/Depreciation/Supply Cost.

Company Carbon Fiber Electricity Depreciation Man power Logistics

KORCARB U$30/kg 300kw Self-made

(U$0.2m/yr) Lower Lower

K-Japan U$30/kg 1000kw Purchasing

(U$1.2m/yr) High High

M-France U$30/kg+⍺ 1000kw Purchasing

(U$1.2m/yr) High High

A-USA U$30/kg 1000kw Purchasing

(U$1.2m/yr) High High

※ Depreciation is based on One High Purity Electric furnace for 12 m³ , 5 yrs.

[Comparison of Manufacturing Cost Factors]

2. Business Profile _ Supply Reference _ Solar Cell _ Ingot Manufacturing

2. Business Profile _ Supply Reference _ Other Business Area

Ring Type Plate Type Cylindrical Type Block Type

2. Business Profile _ Current Manufacturing Product_ Shape Type

Surface Treatment

Code of product Specification Functional property

RCS-N No Treatment -

RCS-G Graphite Coating Dust Prevention, Surface Protection

RCS-F Graphite Foil Laminating Dust Prevention, Surface Protection

Gas Infiltration Protection RCS-H Front _Graphite Coating,

Back_Graphite Foil Laminating

Model No. RCS-N RCS-G RCS-F RCS-H

Specification No Treatment Graphite Coating Graphite Foil Laminating

Front : Coating Back : Laminating

Workability × ○ △ ○

Handling × ○ ○ ○

Life Cycle △ ○ ○ ○

Insulation Property

◎ ○ △ △~○

Functional Property

- Dust Prevention,

Surface Protection Dust Prevention,

Surface Protection, Gas Infiltration Protection

2. Business Profile _ Current Manufacturing Product_ Property Comparison

2. Business Profile _ Current Manufacturing Product_ Surface Comparison

RCS-N RCS-G Model No.

Surface State

RCS-F Model No

Surface State

RCS-H

Graphite Foil Graphite Coating

Graphite Coating

Graphite Foil

No Coating/Foil

3. Planning Profile

> Industry : Any Industry to require ‘Glassy Carbon Coating’ > Products to be applied : Electrodes Rod, Wafer Holders, Heat Reflectors, Guide Ring etc. > In details : Glassy carbon crucibles (or Plate) are made from an unique advanced material

combining glassy and ceramic properties with those of graphite. It is an ideal material for crucibles used at high temperatures. The high purity material is suitable for applications in chemical analysis, semiconductor technology and ultra pure materials technology.

> Picture :

3. Planning Profile _ Business Extension _ New Technology & Application

■ Glassy Carbon

Pattern Mask (Graphite)

Top View Cross Section

Radiation

Photosensitive material

Substrate

Photosensitive material properties changed only where expose to radiation

■ Graphite Mask

3. Planning Profile _ Business Extension _ New Technology & Application

> Industry : Solar Energy (Cell Manufacturer) > Products to be applied : Pattern Mask, Stencil

> Picture :

■ Quartz Boat & Crucible

3. Planning Profile _ Business Extension _ New Technology & Application

> Industry : Semiconductor, Solar Energy (Wafer Manufacturer) > Products to be applied : Wafer Boat & Crucible Solar or Semiconductor > In details : High quality Quartz wafer boat. Types of quartz products for semiconductor

industry and solar industry according to different requirements of clients from domestic and overseas. Moreover, we also produce various quartz precision instruments for physics and chemistry test.

> Picture :

Processing Technology Equipment Engineering Technology

Possession of Core Technology Possession of Design & Manufacturing Technology

Effects

Competitiveness of Manufacturing Cost

Saving of Equipment Investing Cost

30% as compared with that of Competitor

10% As compared with that of Competitor

Results

Beginning of Sale in Hot Zone Field of Solar Energy Industry (at Home and Aboard)

Participation in Defense Industry

4. Summary on Business Mission

More Smart! Most Innovation! Grow Together!

Appendix : Details on Main Holding Equipments

Main Holding Equipments _ Manufacturing Machines

Slurry Casting Machines

Holds IP Right for Core Technology Holds Technology for Quality and Performance Tests and Evaluations Holds Low Cost Manufacturing Technology for Large Products [Φ 1000 X T 400, W 1000 X L 2000 X T 400 mm]

Equipment Slurry Casting Machines

Year 2014

Production Capacity

100 Ton / Year

Number of Operators

3

Power Consumption

30 KW

Raw Material Carbon-Fiber

Solvent Water

Location Chung-Buk, O-Chang

Core Technology

Dry Furnace

Equipment Dry Furnace

Year

Production Capacity

Number of Operators

Power Consumption

Raw Material

Solvent

Location

Core Technology

Main Holding Equipments _ Manufacturing Machines

Hot Press Machine

Equipment Hot-Press Machine

Year 2014

Production Capacity

30 Ton / Year

Number of Operators

2

Power Consumption

50 KW

Pressure 600 Ton

Max Temperature

300 ℃

Location Chung-Buk, O-Chang

Capable of Manufacturing Large C-C Composite Plate Holds IP Right for Core Technology Holds Capability to Design Physical Strength of the Materials Max Size for Production [W 1000 X L 2000 X T 40 mm]

Core Technology

Main Holding Equipments _ Manufacturing Machines

CVI Furnace

Holds IP Right for Core technology Achieved Single Process Manufacturing Technology for High Density Products [Density: 1.75 g/cc] Holds Low Cost Manufacturing Technology for Large Products [Φ 1000 X L 2000 X T 20, 1000 W X L 2000 X T 50 mm]

Equipment CVI Furnace

Year 2010

Size Φ 1000 X L 2000 mm

Max Voltage 25 V

Max Current 40,000 A

Gas CH4, C3H8

Max Process Size

Φ 1000 X L 2000 X T 10 mm

Location Gyung-Buk, Young-Chun

Core Technology

Main Holding Equipments _ Manufacturing Machines

Low Power Consumption Large Inner Capacity [W 1200 X H 1200 X L 2500 mm] Degasing

Equipment Vacuum Carbonization Furnace

Year 2010

Inner Capacity 4 M3

Atmosphere Vacuum & Nitrogen Gas

Power Consumption

100 KW

Operation Temperature 1000 – 1400 ℃

Pump Watering Vacuum Pump

Location Chung-Buk, O-Chang

Features

Vacuum Carbonization Furnace

Main Holding Equipments _ Manufacturing Machines

Graphitization Furnace

Advantages & Features

Equipment Graphitization Furnace

Year 2011

Inner Capacity 12 M3

Atmosphere Vacuum & Nitrogen Gas

Power Consumption

300 KW

Operation Temperature 1800 – 2300 ℃

Pump Oil & Dry Pump

Location Chung-Buk, O-Chang

World Largest Capacity Low Power Consumption Inner Capacity [W 2000 X H 2000 X L 3000 mm]

Main Holding Equipments _ Manufacturing Machines

Holds Technology for Mono Dispersion Holds IP Rights for Core Technology Holds Application Technology for Nano Technology Holds Low Cost Manufacturing Technology for Mass Productions

Equipment Nano Milling Machines

Year 2013

Production Capacity

50 Ton / Year

Number of Operators

3

Power Consumption

20 KW

Raw Material CNT

Solvent Water, Organic Solvent

Location Gyung-Buk, Gu-Mi

Core Technology

Nano Milling Machines

Main Holding Equipments _ Manufacturing Machines

Heat Loss Relative Evaluation Equipment

High Temperature Thermal Conductivity & Resistance Measuring Equipment

Particle Size Analyzer

Optical Microscope High Temperature Thermal Analyzer

Electron Microscope

Main Holding Equipments _ Analysis Machines