API CF & CG-4 Licensing

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1 API CF & CG-4 Licensing EMA Recommendations via DEOAP API Lubricants Committee Meeting May 28, 2008 May 28,

2 EMA Recommendations on API CF & CG-4 Background DEOAP has been discussing long term viability for licensing of older API diesel engine oil categories CF, CF-2, & CG-4 Viability of categories impacted by several factors Test availability all engine tests, or an approved alternate, must be available to maintain licensable status Relevance & suitability of the category for the market API CF-4 licensing to be discontinued July 2008 Mack T-6 (or alternate) no longer available to measure Ring/Liner Wear New EMA recommendations for other API C categories recently reviewed & endorsed by DEOAP Discontinue licensing of CF & CG-4; promote CH-4 as the minimum quality level for replacement oils (Action for LC) Maintain CF-2 licensing for now Closely monitor engine test availability Action for DEOAP co-chairs; update after June ASTM meeting May 28,

3 EMA Recommendations on API CF & CG-4 Rationale / Next Steps API CF Category no longer recommended by EMA members for use in engines being produced or supported API CH-4 defines a more robust level of performance more appropriate for engines in the field API CG-4 Does not adequately define acceptable level alone Category lacks a test to measure Ring & Liner Wear Relied on CF-4 to address this requirement API CH-4 is a complete category with enhanced performance, more appropriate for engines in the field Recommendations sent to API LC for consideration & action Impact of terminating licensing when tests are still available Circumstances & implications for CF & CG-4 are significantly different May 28,

4 EMA Recommendations on API CF & CG-4 Considerations Category Driver / Objective CF Pre-emission controlled IDI diesel engines Comments Quality level no longer recognized or recommended by OEMs Not appropriate for modern 4-cycle heavy-duty diesel engines Only API C category suited for monograde oils for use in 4-cycle heavy-duty diesel engines Commonly used to indicate diesel capability in gasoline (API S) category engine oils No replacement category to license monograde and passenger car oils with diesel performance CG EPA emissions; 500 ppm max S fuel introduced Category does not fully cover engine requirements (no ring & liner wear requirement) Subsequent categories (CH-4 & newer) incorporate all engine requirements CH-4 is a logical replacement, but would require upgrade/reformulation for some products May 28,

5 Back-up Slides May 28,

6 Long-Term Viability of API CF & CF-2 Status of Licensing -- API CX-4 Categories All Brands (Total) Highest C SH SJ SL SM No S 15W-40 Other CJ CI CH CG CF All Brands (US only) Highest C SH SJ SL SM No S 15W-40 Other CJ CI CH CG CF All Brands (ROW) Highest C SH SJ SL SM No S 15W-40 Other CJ CI CH CG CF May 28,

7 Long-Term Viability of API CF & CF-2 Status of Licensing -- API CF & CF-2 First All Brands (Total) Total SH SJ SL SM No S 15W-40 Other CF CF CF/CF All Brands (US only) Total SH SJ SL SM No S 15W-40 Other CF CF CF/CF All Brands (ROW) Total SH SJ SL SM No S 15W-40 Other CF CF CF/CF Total API C Count (all C First) Total US ROW CX CF and/or CF All C Licenses May 28,

8 Long-Term Viability of API CF & CF-2 Status of Licensing -- API S Oils All Brands (Total) Total CF No C SM SL SJ Total S All Brands (US only) Total CF No C SM SL SJ Total S All Brands (ROW) Total CF No C SM SL SJ Total S May 28,

9 Long-Term Viability of API CF & CF-2 Background Tests needed to qualify oils against both API CF & CF-2 likely to be unsustainable in the foreseeable future Cat 1M-PC -- CF & CF-2 DDC 6V-92TA -- CF-2 Availability issues: Cat 1M-PC Manufacture of replacement heads only possible through a very high cost supplier (~$20K per head) Cat proposing to support production of power cylinder kits for an limited number of years DDC 6V-92TA Only 1 lab has been referenced to run this test for a number of years Stand currently out of calibration due to no demand to run candidates Lab very concerned about being able to maintain the 6V-92TA cell in running condition API EMA DEOAP Meeting February 12,

10 Long-Term Viability of API CF & CF-2 Stakeholders & Options Oil Marketers Very high number of diesel oils currently carry CF and/or CF-2 as the highest level of API C performance CF commonly used for passenger car oils Engine Builders No US OEMs building new engines where CF is recommended; older engines could be operated with CX-4 oils Although very limited, some new 2-cycle engines being produced, and existing equipment being supported, CF-2 oils are recommended US Military Still operates a large fleet of 2-cycle engines CF-2 not used, but Mil PRF 2104 specs require the DDC 6V-92TA test Potential Approaches: Take no action until test availability is confirmed Set / plan timing to discontinue licensing Develop replacement tests and/or categories API EMA DEOAP Meeting February 12,

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