Abakan to Open Clad Pipe Manufacturing Plant in Euclid, Ohio

Abakan Inc. ("Abakan"), an emerging leader in the advanced coatings and metal formulations markets, today announced the first test-run of its CermaClad™ high-intensity arc lamp ahead of the opening of its first clad pipe manufacturing plant on Friday, April 26, 2013 in Euclid, Ohio.

Please click the following link to view the clad pipe manufacturing process in the Euclid plant: https://youtu.be/ir_WW5qmzKU

"The completion of our first clad pipe manufacturing plant is just one of the several important milestones we are completing this year. It will enable the validation of our economic and production models that are the basis of the growth projected by the Abakan team for metallurgically clad pipe. Although the Ohio plant is smallest in terms of production capacity compared to planned clad pipe manufacturing facilities in other parts of the world, this plant is extremely critical as the pathfinder for full qualification and market entry of 12 meter CermaClad™ seamless clad pipes. Client approval through this facility will allow us to enter the multi-billion dollar global market for clad pipe. We believe that our corrosion resistant clad pipes will offer the most economical and environmentally sound alternative for the development of sour oil and gas reserves, including, pre-salt developments in Brazil and West Africa, deep water projects in the Gulf of Mexico, and the massive gas projects in SE Asia." stated Robert Miller, CEO.

The Euclid, Ohio plant is a 1-line CermaClad™ corrosion-resistant clad pipe manufacturing facility that has the capacity to produce up to $60 million of clad pipe for use in upstream oil and gas production. This plant is the first production facility worldwide that will use MesoCoat's CermaClad™ high-speed large-area fusion cladding technology that produces a high quality product 40X faster than weld overlay processes, and at significantly lower capital and fixed costs compared to other production alternatives.

MesoCoat Inc.'s CEO, Andrew Sherman stated: "Our new facility enables us to demonstrate continuous, automated production of 12 meter pipe segments, and is a major milestone towards realizing our mission to offer cost effective life of asset protection in an effort to reduce the estimated $2.2 trillion wasted worldwide as a result of preventable corrosion and wear."

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