Holdings

MesoCoat provides wear and corrosion solutions using innovative surface engineering technologies, and is fast becoming a world leader in metal protection and repair through their breakthrough ‘high speed’ metal cladding process (CermaClad™), ‘low cost’ nanocomposite cladding materials (CermaClad™), and ‘life extending’ nanocomposite coating materials (PcomP™). MesoCoat has developed high speed fusion cladding process for large areas; and high strength, high toughness ceramic-metallic materials providing unparalleled wear and corrosion resistance; and has verified performance, productivity, and cost benefits with industry leaders in Oil and Gas, Aerospace and Defense, Infrastructure, Energy, and other markets. MesoCoat’s start-up phase includes over $30 million in sunk R&D, Product Development, Proof of Concept, and testing costs. The company’s transformational surface engineering technologies have already been the recipient of three prestigious R&D 100 Awards, a National Institute of Standards and Technology (NIST) award for ‘100 year Life Coatings for infrastructure’, and the NorTech Innovation Award for environmentally friendly coatings that replace the toxic hard chrome plating process.

MesoCoat owns exclusive rights to engineered nanocomposite coating structures, and the high speed metal cladding technology; and has established a strong IP baseline with 10 U.S. patents, 1 Global patent, and 3 pending U.S. patents. Significant advantages in base material protection, service life, application efficiency, and total cost of ownership provide an arsenal of market levers that will be difficult for competitors to match - The potential for global dominance is real and immediate for MesoCoat. MesoCoat is now commercializing several products and services that are a direct replacement for the toxic hard chrome plating, expensive tungsten carbide powders used in thermal spray applications, and the very slow weld or laser cladding processes to address the needs of both Original Equipment Manufacturers (OEM) and Maintenance and Repair Organizations (MRO).

Abakan currently owns 89.9% of MesoCoat’s shares with 87.5% held directly and 2.4% indirectly. The company intends to gain 100% ownership of MesoCoat shortly.

CermaClad™

A technology that reduces process time, and offers better surface properties at a very competitive cost is bound to change the dynamics of the $3.8 billion metal cladding market. MesoCoat’s CermaClad™ process is a high speed cladding process for large areas that clads 15-100X faster, is cost competitive, and offers better metallurgical properties than the competitive weld or laser cladding processes. CermaClad™ technology utilizes a high intensity light source, which is effectively an artificial sun captured in a quartz and aluminum reflector to rapidly fuse CRA, metal, and ceramic coatings on steel pipes, plates and bars. The speed of this process would ensure that metal cladding can match the line speed of steel mills; and reduce lead times for clad pipes, plates and bars by 75-80%, thereby exceeding industry expectations. CermaClad™ technology is utilized to protect large surface areas against highly caustic and corrosive environments; where wear and corrosion limits the life of metals.

CermaClad™ process and cladding materials addresses the needs of the rapidly growing $3.8 billion global cladding market. Experts estimate that a less expensive, and faster cladding process will increase the global metal cladding market by 100% in the next three years to $7.6 billion, this increase will be driven by significant investments being made by oil and gas companies in deep water projects.

PComP™

MesoCoat’s PComP™ life extending nanocomposite ceramic-metallic (cermet) coatings are a direct replacement for the toxic hard chrome coatings, the very expensive carbide materials used in thermal spray applications, and other spray and fuse applications; to impart wear and corrosion resistance, and reduce friction in sliding-wear applications. PComP’s offer an unparalleled combination of toughness, hardness, low friction, and affordability by providing an unique, patented coating microstructure that combines high hardness zones of a ductile metal in an optimum geometry.

Recent changes in federal acquisition regulations have banned the purchase of systems and components which have been treated using hexavalent chrome plating techniques, creating a burgeoning demand for cost-effective, rapidly deployable alternatives such as thermal spray cermets. PcomP™ S and PComP™ T are an ideal chrome replacement for the $3.2 billion chrome plating market in U.S that have been recognized by the U.S. army; especially in weight critical aerospace applications, and other wear and corrosion resistant chrome plating applications. The rest of the PComP™ product line addresses the metal powder coating market which is currently a $1.1 billion market in the US and approximately an $8 billion market globally. PComP™ materials are currently undergoing field testing by some of the leading companies, institutions, and OEM’s.