Company Overview

Two brands - One project

Fluitek Orsenigo Valves (FOV) is a global designer and manufacturer of engineered

Ball Valves for the Oil & Gas Industry. The Company has a long history, it was

established in 1987, operating under the Orsenigo brand. Started a new life under

present ownership since 2011.

Friulco Spa was acquired by FOV in August 2012, doubling production capacity

overnight and expanding its range of specialty products to the high-end Gate, Globe

and Check (GGC) valves for the Oil & Gas, Energy and Petrochemical industries. Friulco

designed and manufactured GGC valves since 1990.

Under new ownership and management, the two companies are being integrated to

build a centre of excellence in the specially engineered valve industry, providing

customized solutions and competitive responses to the major Engineering,

Procurement and Construction (EPCs) and Oil & Gas Companies (NOCs/IOCs).

Shareholders and Management

The financial and industrial resources of two large manufacturing groups and their combined wealth of potential synergies are the backbone of the Fluitek Valves project. The shareholding team also includes the company’s current executive management and a financial institution.

The industrial shareholders are:

– Sices 1958 SpA, financial holding of The Sices Group (www.sicesgroup.com)

– SBI Spa, financial holding of Mecaer Aviation Group (MAG, www.mecaer.com)

The Sices Group operates globally in the design, supply, erection and maintenance of pressure vessels, heat exchangers, skid mounted plants, boilers and complete process plants for the Oil & Gas, Chemical & Petrochemical, Energy & Power, Environmental & Recovery and Nuclear sectors. The Group has a direct presence in several countries and employs over 800 units.

Mecaer Aviation Group (MAG) is a leading international provider of solutions for Aircraft Landing Systems, MRO Services, Aircraft Modifications & Completions. MAG has a global presence in the aviation market, with 5 operating plants in Italy, Canada and USA and over 500 employees.

World class, high quality products

The integrated company’s high quality product range includes:

forged steel high pressure, high temp ball valves, from ½ inch to 60 inches diameter for special applications and harsh environment, including cryogenic and subsea (80% of 2012 sales sized ½ to 24 inches).

Cast and forged steel gate, globe and check valves ranging in size from 2 to 48 inches in diameter. These products are designed for high pressure and high temp application within the Oil & Gas (upstream – GGC valves; downstream – through conduit type of valves) and Energy industry («pressure seal» valves).

All products are engineered-to-order (Eto), designed and manufactured to customer specs, using a variety of body joining types, special materials and paint types.

Valves can be assembled with actuator components from selected third party manufacturers.

Main Applications (1/2)

Key end markets and applications for FOV products are:

• Oil & Gas Production – Ball and Gate Valves, API 6A ISO 10423 standards. High pressure (5000 to

15000 psi), special materials and extreme service conditions. Typical applications are off-shore platforms, FPSO (Floating, Production, Storage, Offloading) vessels.

• Oil & Gas Transmission – On/Off service products: Ball, Through Conduit Gate, Swing Check valves, API

6D/6DSS ISO14313/14723 standards. Valves must resist to hyperbaric outside pressure environment in applications such as the subsea transmission lines.

• Oil & Gas Processing – Ball, Gate, Globe, Check Valves, (swing, tilting disc and piston check). API

600/6D/ANSI/SME B16, 34, EN 12516. Special material combinations to support sour oil and gas service, fluids containing particles. Bolted bonnet design and pressure seal bonnet for higher pressure classes.

Main Applications (2/2)

• Power Generation

– Cast and forged construction, wedge or parallel slide slide gate valves, swing check, globe and stop check type of valves.

– Products for high pressure and very high temperature service applications. Media are high pressure feed water and superheated steam (650 degrees continuous service).

– Design based on pressure seal bonnet for ideal sealing at high pressure. Material composition, heat treatment, welding preocedures and manufacturing processes are designed with safety and life-cycle of product in mind

– Typical application: a safety three way switch valve for by-pass pre-heating water system in case of malfunctioning or a stop check y-patter globe valve acting as a non return piston check with stem in the open position

Market Presence

FOV’s experienced Sales & Marketing Team works directly with selected global EPCs and end users, together with local representatives in key areas, such as UAE, Brazil, South East Asia, USA. Agents network is bound to expand in 2013, targeting new geographical areas and selected markets.

From the start, in 2011, FOV management has successfully repositioned the company to serve the needs of Tier 1 EPCs in large projects, focusing on complex and demanding applications, such as:

– Qusahwira Field Dev., in UAE – NPCC, Adco as end user

– South Yoloten in Turkmenistan – Petrofac, SC Turkmengas as end user

– Shah CDS, UAE – Punj Lloyd, Adco as end user

– P58, 62, 66, 67, 68, 69, 70, 71, 72, FPSOs in Brazil – UTC, SBM Offshore, Tomè/Ferrostaal, Iesa; Petrobras as end user

– Bukit Tua, Indonesia – Technip, Petronas Carigali Ketapang as end user

In a period of just over 30 months, FOV has been selected by over 30 major global customers and awarded over 120M€ of new projects (FOV Order Book) to date.

Global Customer Base

• FOV has a global customer base of blue-chip EPCs and Oil & Gas Companies. Among others:

• Fluitek and Friulco high quality products are approved by many of the major end customers. The company is on the Approved Vendor List and holds major accreditations for key players of the global martketplace.

• FOV has been supplying valves to Brazil since several years, even before current ownership.

• The history of repeat orders with UTC, SBM Offshore, Consorcio Tomè Ferrostaal, Iesa for Petrobras have consolidated FOV’s position in a market that shows great potential for the next 4 years (Petrobras Strategic Plan calls for 240B$ to be invested in this period).

• FOV is one of the main supplier of Double Block and Bleed valves for the local Brazilian market and one of the first within Petrobras list of supplier for this type of special valves for the FPSOs (FOV valves installed or to be installed in over 13 FPSOs). FOV is one of the main supplier of Double Block and Bleed valves on the Pre-Salt Operation (including applications on H2S service).

Brazil Market Position

• FOV operates from three manufacturing facilities (1 in Costa di Mezzate, BG) and 2 in Povoletto (10 Km from Udine, Northeast Italy). Total facilities area is over 15,000 sqm.

• The 2012 Friulco acquisition allows FOV to expand its range of manufactured products to the high pressure, high temperature gate, globe and check valves, but also to effectively more than double its production capacity, almost overnight.

• Manufacturing capabilities and expertise include in-house machining, heat treatments and welding, expert assembling, routine and special testing, packing and technical documentation, field service assistance.

Facilities and Manufacturing (1/2)

• Fluitek’s original plant in Costa di Mezzate (Bg) acts as the primary ball valves design and manufacturing centre of excellence, capitalizing on its 20+ years history and know-how.

• The newly acquired plant in Povoletto Udine will be focused primarily on heritage GGC valves manufacturing, but it’s been equipped to serve FOV’s increasing ball and double ball valves production demand. Large orders of DBB valves have already been entirely allocated to this facility and successfully completed in 2012.

• The current industrial layout, resources, and organizational structure can support yearly output up to 70M€+.

• The facility in Costa di Mezzate (Bg) is currently being expanded with more machining and testing equipment investments made.

Facilities and Manufacturing (2/2)

In House Machining Capabilities

Manufacturing Plant

Employees

FOV skilled workforce has grown steadily since the start of the project in 2011, following the rapid growth of the company in the marketplace and the increasing number of contracts awarded by our customers.

FOV currently employs a total of over 100 employees, of which 75% in the Bergamo facility and 25% in the Udine plant.

FOV made sure to retain core skilled senior employees both from the Fluitek (35 highly experienced resources) and the Friulco acquisition (25 resources from inherited employees base).

Main departments staffing is listed below (number of Ftes):

Machining/Workshop (25)

Quality C.trol/Tech Docs (12)

Assembly (12)

Testing (8)

Engineering (10) Project Management (5)

• Functional and performance fully equipped test areas are available in both manufacturing locations, ensuring highest quality levels for 100% testing of our products.

• Regular quality assurance and control tests include: Material test reporting, Non-Destructive tests (MT, PT, UT, RT); mechanical and chemical analysis, corrosion tests.

Magnetic Particle Inspection

Ultrasonic Test

Dye Penetrant Inspection

Digital Hardness Test

Positive Material Id

Feritescope

Testing Capabilities (1/2)

Hydrostatic Body and Seat Pressure Test up to 42” valve size

Benches and unlimited size with blind flanges

Pneumatic Low Pressure Test (Air)

High Pressure Gas Body and Seat Test (N2/He)

Standard Test Pressure equipment up to 650 bar

HP Gas Booster Station up to 1750 bar

Fugitive Emission Test @ Ambient, Low and High Temp

Low Temperature (-50°C) and Cryogenic test , up to -196°C

Endurance and Fire Safe Test

Testing Capabilities (2/2)

• FOV employs a growing team of 10 full-time experienced engineers dedicated to design, project development and product support. Our engineering team uses 3D CAD software to design our products for manufacturing to customer specifications (Solid Works, Inventor).

• FOV is ISO 9001 certified and regularly audited and approved by BV and DNV.

• FOV is API certified and holds a range of other industry specific and quality certifications such as PED/CE/ATEX/SIL.

Engineering, Quality

22 INCHES CLASS 2500 DOUBLE BLOCK AND BLEED BALL VALVES

API 6D, HUB Petrobras - FPSO Cidade de Ilhabela