Manufacturing and Technical Services MS Technology, Inc. Paul Steneck, Vice President June 18, 2010
Presentation Summary Business Perspective/History MSTI s Mentor-Protégé Experience MSTI s Manufacturing and Technical Services Experience 2
MSTI Business Perspective Company Founded 1994 Business Focus Engineering/Design/Project Management Specialty Equipment Prototyping/Design/Build Materials Processing Security Engineering Prime Customer is Y-12 2010 Acquisition of Millennium Materials now known as MillenniTEK 3
MSTI Business Units Engineered Equipment Paul Steneck Engineering Projects/Construction Mgmt Dick Pearson Engineering Services Soni Davidson Management & Operations Projects Bonita Domres 4
MSTI s Mentor-Protégé Experience A True Partnership Getting the Job Done Microwave Melter/Caster Licensee/Investor Joint Technology Development Business Mentoring Infrastructure Development Mentors Alan Moore Kevin Finney Darrel Kohlhorst Program Manager Gloria Mencer 5
MSTI s Mentor-Protégé Experience MSTI Graduated from the Y-12 Mentor/Protégé Program in October 2008 6
MSTI s Mentor-Protégé Experience We Have Benefitted Greatly From the Relationship Y-12 Advice, Assistance and Encouragement Mature and Flourish Competitive, Full-Service Engineering Company 7
Y-12 Microwave Melt Licensee First Production Sized Microwave Metal Melter/Caster System - Still in Operation Process Equipment Development Partner Melter Optimization Mold Development, Special Shapes Casting Down Blending, Scrap and Recycling Performed Hundreds of DU Melts via Microwave Melt System Y-12 AWE MSC/INL 8
Microwave Melter/Caster License Activities U.S. Patent Application in November 2002 U.S. Patent Issued in May 2003 U.S. License Acquired in June 2003 Key Role in Convincing Foreign Patent Examiners Invested $100K in Pursuit of Patents in 5 Countries Responded to challenge from Japan in 2009 / 2010 Currently responding to Opposition filed in EU from German firm 9
Extended Technology to State-of-the-Art Improved Productivity Modular Processing/Automation - > 8 Melts/day Improved Process Insulation / Crucibles / Melter Design Invested $1.1+ Million of MSTI Funds in Technology Depleted Uranium (DU) Melter at Manufacturing Sciences Modular Melter at MSTI-Owned MillenniTEK, Knoxville Surrogate Melter at MSTI-Owned MillenniTEK, Knoxville Engaged Commercialization Professional to Explore Commercial Markets Technology used as a Flywheel to generate additional opportunities 10
Performed First Commercial DU Melt in 2009 Additional Commercial Melts in 2010 Demonstrated Near Net Shape Casting of DU in 2009 and 2010 11
Each run provides insight and knowledge More shapes and sizes this past year than in previous years Near-net-shape casting eliminates machining and other finishing steps Saves time and money 12
MSTI Manufactures Ceramic Crucibles for Use In MW Melting in 2008 Obtained Manufacturing Methods from Millennium Materials Knoxville Manufacturing High Temperature Ceramic Crucibles Generated Additional Commercial Business 13
Ceramic Crucible Manufacturing Generated Other Opportunities 14
Casting Molds Enhanced In Partnership with Y-12 MSTI designs molds for customer s shape requests Mold sizes and cavity allowances tuned by experience Mold design incorporates near-net-shape features Each effort yields benefits incorporated into the next run 15
Microwave melting/casting ideal for metal consolidation and volume reduction Metal can be reused for direct near-net-shape casting Process is solvent and contaminant tolerant 16
Metal Consolidation Volume Reduction-Briquetted Machine Turnings, 73% Metal Recovery 17
Metal Consolidation Volume Reduction - High Carbon Content Briquettes, 76% Metal Recovery 18
Customer Request: Provide two DU cubes of specific weight and dimension for use as check sources To respond to the customer request, MSTI s goals are to: Cast both small and large simultaneously Control the geometry of the cast Produce a finished product that requires little or no machining after casting 19
TWO CUBE SHAPE CASTING Form Upon Extraction From Mold and Finished Form After Sandblasting and Painting 20
Other Manufacturing Venues Unique One-Of-A-Kind Equipment Instrumentation and Control Panels UL508 Labeling High Quality, High Temperature Ceramic Shapes Near Net Shape 21
Melter Telemetry Fabrication Standard Product Line 22
Industrial Microwave Source Fabrication Standard Product 23
Knowledge of Millennium Materials for Supply of Microwave Crucibles Lead to Acquisition and Renaming the Firm as MillenniTEK MillenniTEK manufactures B4C pellets for use in commercial nuclear reactors and Lithium aluminate components for tritium production in commercial nuclear reactors 24
MillenniTEK Acquisition West Knoxville Location 25
MillenniTEK Attributes 10 CFR 50 and NQA-1 B4C Facility 10,000 SF Lithium Aluminate Manufacturing, Machine Shop and Laboratory 20,000 SF 26
Summary MSTI has benefitted greatly from the relationships gained from the Y-12 technology associated with the Microwave Melting/Casting patent Technology development lead to other manufacturing venues MSTI highly values the relationships developed with Y-12 personnel 27
MSTI Manufacturing and Technical Services Thank You! Questions? 28