HEAVY DUTY DIESEL LUBRICANT TRENDS

Contents Infineum introduction Emission & diesel fuel legislations Diesel engine oil trends Differentiation approach Aim of Talk: Point out the HDD vehicle environment differences in South America Outline the diesel engine oil trends in South America Show the opportunities for oil marketers to differentiate Conclusions 2 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Introduction to Infineum Infineum additives are in over 200 million motorcycles worldwide Infineum additives are inside 1 in 3 vehicles We operate in every continent Our fuel additives treat more than 150 million tons of diesel fuel/year. 4 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved

Technology Leadership: Global Footprint Milton Hill, Abingdon,UK Worldwide Head Office Linden, NJ Shanghai, China Rio de Janeiro, Brazil Singapore Tokyo, Japan. 5 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved

Diesel Engines Emission Legislation Buses and Trucks 2011 2012 2013 2014 2015 2016 2017 2018 Mexico Trucks Buses Euro IV / EPA 2004 Euro VI / EPA 2010 Brazil All regions Euro III Euro V Argentina New models All models Euro IV Euro III Euro IV Euro V Chile Metrop. Regions All other regions Euro III Euro III Euro IV Euro IV Euro V Euro V Colombia Buses metropolitan regions Buses & Trucks all regions Euro II Euro IV Euro II Euro IV Peru Trucks Buses Euro II Euro III Source: Infineum Fuel Economy/ CO2 emissions is still not legislated for commercial vehicles in South America, albeit it is already becoming a differentiating factor Lack of wide availability of low S diesel has slowed down the introduction of more stringent emission legislation in some countries 7 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Sulpher level (ppm) Diesel Fuel S levels Infineum biennial Winter Diesel Surveys - S levels in South America 1400 1200 1000 800 600 400 Argentina Brazil Chile Colombia Peru 200 0 2008 2010 2012 2014 Source: Infineum Winter Diesel Survey Diesel S levels have been falling steady in South America, albeit at different paces and with regional differences within each country Low S diesel (50 ppm or lower) has become increasingly available as a higher quality diesel in most countries 8 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Average % FAME content Diesel Fuel Biodiesel content 12 % FAME levels measured in the diesel fuel 10 8 6 4 2010 2012 2014 2 0 Chile Peru Brazil Argentina Colombia Source: Infineum Winter Diesel Survey Different biodiesel sources are used in the different countries (soy, palm, animal fat) Gradually increasing towards B10 (e.g. Colombia, Argentina, Brazil) 9 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Main drivers of change in HDD vehicles Increasing biodiesel content Cheap natural gas in some countries OEM enabled extended drain intervals Increasing availability of low S diesel Fuel economy impact Increasingly stringent emission legislation Heavy Duty Diesel vehicles in S. America Fleet renovation Source: Infineum 11 11 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

OEMs presence in South America Iveco 6% Agrale Scania 3% 9% Ford 12% Volvo 13% Kenworth 27% Otros 13% Brazil HDD vehicles Others 2% Colombia Trucks > 10,5 T Hino 5% Mercedes Benz 29% MAN 26% Source: ANFAVEA, 2014 International 32% Freightliner 13% Chevrolet 10% Source: ANDEMOS, 2014 VW (MAN) 9% Scania 7% Mercedes Benz 34% European OEMs in the LA Eastern countries, more North American and Asiatic OEM presence in the LA Western countries Others 8% Scania 4% Hyundai 5% IVECO 26% Others 17% Fuso 4% Internacional 4% Argentina Trucks Chile - HDD Vehicles Hino 5% Ford 5% JAC 5% Ford 16% Source: ADEFA, 2014 Daimler 29% Volvo 10% MAN 6% Chevrolet 6% Source: ANAC, 2014 12 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

ACEA 2012 HDDO consumer language Premium Unrestricted SAPS E4 excellent control of piston cleanliness, running under very severe conditions, e.g. significantly extended drains Restricted SAPS E6 excellent control of piston cleanliness, running under very severe conditions, e.g. significantly extended drains Mainline E7 effective control of piston cleanliness, running under severe conditions, e.g. extended drains E9 effective control of piston cleanliness, running under severe conditions, e.g. extended drains 13 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

HDD Engines Oils vis grades are getting thinner Next Step Fuel Economy with HTHSV < 3.5 mpa.s SAE 5W-30 ACEA E4, Volvo VDS3, Scania LDF-3, MAN M 3277 ACEA E4 ACEA E6 SAE 5W-30 ACEA E6-E9, API CJ-4, CI-4, Volvo VDS3, VDS-4, Scania Low Ash, MAN M 3477, M 3575 SAE 10W-40 ACEA E4, Scania LDF-3 ACEA E4 ACEA E6 SAE 10W-40 ACEA E6, E9 / API CJ-4, CI-4 Volvo VDS-3, VDS-4, Scania Low Ash, MAN M 3477, M 3575 SAE 10W-40 ACEA E7/ API CI-4 ACEA E7 ACEA E9 SAE 10W-40/30 ACEA E9/ API CJ-4 SAE 15W-40 ACEA E7, API CI-4 Plus, CI-4, CH-4, CG-4, MB 228.3/ 228.1 ACEA E7 ACEA E9 SAE 15W-40 ACEA E9 / API CJ-4, MB228.31 FULL SAPS HTHSV > 3.5 mpa.s REDUCED SAPS HTHSV > 3.5 mpa.s 14 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved..

Daimler Biodiesel Compatibility requirements Daimler reviewed its lubricant specs in 2012, to prevent against the impact of biodiesel accumulation in the sump More stringent pass/ fail requirements for the extended drain (ED) specs Some parameters have been set as Rate and Report 15 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

MRV @ - 30 degc, cp KV100 (cst) Biodiesel Compatibility: Additional performance Different extended drain lubricants show different protection levels against the impact of biodiesel 800.000 600.000 400.000 200.000 0 Aged oil MRV data through the Daimler Oxidation test SAE Maximum Limit (60,000 cpa) Technology A MB 228.5 SAE 10W-40 Technology B MB 228.5 SAE 10W-40 Source: Infineum 100 90 80 70 60 50 40 30 20 10 0 Extended Daimler oxidation test (10% B7) Technology A 10W-40 Technology B 10W-40 20% greater viscosity control 150 200 250 300 350 Time (h) Source: Infineum Pumpability differences of as much as 30 times between different MB-Approval 228.5 technologies Different technologies offer different Viscosity control in the presence of biofuel 17 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.. 17

TBN-TAN, mg KOH/g. Extended drain: TBN Retention and TAN Control Some MB-Approval 228.5 formulations provides extra protection against acid build up and corrosive wear One key aspect is the additive technology s TBN retention TBN TAN curve in red below shows early TBN depletion, potentially resulting in acid build up Mack T-12 TBN - TAN data 12 9 6 Technology Infineum D3314 A SAE 10W-40 10W-40 Technology Infineum D3314 A SAE 5W-30 5W-30 Technology Competitor A B 10W-40 SAE 10W-40 Extended test 3 Source: Infineum 0-3 0 200 400 600 Highly corrosive environment Time, Hours INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.. 18

Absorbance Relative EOT Lead, % Extended Drain: Anti-oxidancy & Anti-corrosion Some MB-Approval 228.5 formulations shows superb resistance to oxidation and corrosion Test shows different extended drain technologies offer up to double of the oxidation protection Mack T-12 Oxidation Data Through superior acid control, the resistance to corrosion is greatly improved Mack T-12 Lead Results 45 100 40 Technology Infineum D3314 A 10W-40 SAE 10W-40 90 35 30 25 20 15 10 Technology Infineum D3314 A 5W-30 SAE 5W-30 Technology Competitor A 10W40 B SAE 10W-40 Double oxidation protection 80 70 60 50 40 30 20 High corrosion Offers Performance Reserve Performance reserve 5 10 0 0 100 200 300 Time (hours) 0 Infineum D3314 Infineum D3314 Competitor A Technology A Technology A Technology B 10W-40 5W-30 10W-40 SAE 10W-40 SAE 5W-30 SAE 10W-40 Source: Infineum 19 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved..

Extended drain: Cleanliness Some MB-Approval 228.5 formulations have proven cleanliness benefits, protecting all critical engine components OM441LA Turbocharger MB-Approval 228.5 Technology A SAE 10W-40 0.7 g deposits Source: Infineum OM441LA Turbocharger MB-Approval 228.5 Technology B 10W-40 28.3 g deposits 20 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.. 20

Extended Drain: Wear Protection Some MB-Approval 228.5 formulations show excellent wear control in both SAE 10W-40 & 5W-30 vis. grades at low P levels 100% extra wear protection at low levels of phosphorus Lower phosphorus levels improve compatibility with after treatment devices SAE 5W-30 showing no compromise on wear vs. traditional 10W-40 grades OM646LA Technology A SAE 10W-40 Technology A SAE 5W-30 Technology B SAE 10W-40 MB-approval 228.5 Limit Average Inlet cam wear (µm) Average Outlet cam wear (µm) 24.6 26.8 63.5 100 mm 27.6 19.5 65.1 120 mm Phosphorus level as low as 0.12% mass Source: Infineum Infineum Confidential Information. For confidential use by Infineum customers and purchasers of Infineum products only INFINEUM INTERNATIONAL LIMITED 2014. All rights reserved. Proprietary to Infineum. 21

MB-Approval 228.5 SAE 10W-40 field test Field test with nine (9) Actros 1845LS trucks (OM471, Euro V) Started late 2012, will be completed by 2Hf 15 Normal long distance general haulage in Germany, using B7 diesel Running with 3 different ACEA E4/ MB-Approval 228.5 SAE 10W-40 engine oil with various OEM approvals: Two full synthetic formulations One part-synthetic formulation Field test will run to encompass 2 x 150 k km oil changes 22 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.. 22

Different MB-Approval 228.5 SAE 10W-40 technologies: Alkaline reserve comparison Different technologies have different alkaline reserve Results shown are based on the analysis of used oil samples collected 12,0 9,0 6,0 3,0 TBN - TAN 0,0-3,0-6,0-9,0-12,0 0 25 50 75 100 125 150 Corrosive environment Test km/ 1000 T1: TBN-TAN T2: TBN-TAN T3: TBN-TAN T4: TBN-TAN T5: TBN-TAN T6: TBN-TAN T7: TBN-TAN T8: TBN-TAN T9: TBN-TAN Source: Infineum field test data 23 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Different MB-Approval 228.5 SAE 10W-40 technologies: Oxidation and Wear metals Based on the used oil analysis collected: OXIDATION WEAR METAL: FE 50,0 100 45,0 90 40,0 80 35,0 70 30,0 60 25,0 50 20,0 40 15,0 30 10,0 20 5,0 10-0 50 100 150-0 50 100 150 T1: OXID T2: OXID T3: OXID T4: OXID T5: OXID T6: OXID T7: OXID T8: OXID T9: OXID T1: FE T2: FE T3: FE T4: FE T5: FE T6: FE T7: FE T8: FE T9: FE Source: Infineum field test data 24 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

ACEA E4 SAE 5W-30 field test Field test with three (3), Euro V 12.7L 440 HP Euro trucks equipped with VG turbocharging and EGR system Started 2Q 11, completed by 1Q 13 Long distance haulage (60 Tons) along north of Europe Used an ACEA E4 SAE 5W-30 Gp III+ IV based engine oil MB-Approval 228.5 capable Vis. Grade to capture fuel economy Field test will run to encompass 2 x 120 k km oil changes Actual duty severity would have required 3 x 90k km OD periods 25 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.. 25

Meeting the needs of the future Euro VI engines API CJ-4 requires Robust Soot handling & Soot induced wear API CJ-4/ ACEA E6 MB-Approval 228.51 ACEA E6 requires Robust Cleanliness and Drain length It is possible to combine the global requirements of European ACEA and US API claims in a single high performance lubricant Meet the needs of engines for lower SAPS ACEA E6, E9 & API CJ-4 based products Fully compatible with Euro VI after-treatment equipment devices 27 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Global Top Tier Engine Oil SAE 10W-40 & 5W-30 Technologies Newer technologies meets the requirements of modern global HD engine platforms for a mid SAPS oil compatible with exhaust after treatment systems They are also an excellent replacement for full SAPS products in older engine technologies Different viscosity grades: SAE10W-40 using Gp III b/s SAE 5W-30 using Gp III b/s part. subst. w/gp IV, delivers 1% fuel economy in the OM501FE test whilst no compromise on wear Typical Inspections TBN (D2896) mg KOH/g 12.7 Sulphated Ash % Mass 0.95 Phosphorus % Mass 0.08 Sulphur % Mass 0.02 Technology designed to provide outstanding FE performance while maintaining superb wear protection 28 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

ACIDIC BASIC Global Top Tier Engine Oil Technologies SAE 10W-40 & 5W-30: TBN comparison MB 228.5 SAE 10W-40 MB 228.5 SAE 5W-30 Full SAPS Oil A Full SAPS Oil B MB 228.51 SAE 5W-30 Full SAPS Technology A Mack T-12 EOT TBN - TAN Full SAPS Technology B MB 228.51 Technology A Latest E6/ API CJ-4 oil technologies show comparable TBN performance to ACEA E4 oils whilst protecting the engine against lead corrosion to a superior level MB 228.5 MB 228.5 MB 228.51 SAE 5W-30 SAE 10W-40 (600 h) SAE 5W-30 29 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Conclusions Various OEMs in South America have pioneered the introduction of extended drain lubricant technologies through their specific OEM specs The choice between a full SAPS or a restricted SAPS lubricant technology depends on the compatibility needed with the after-treatment systems A second wave of lubricants combining extended drain and fuel economy are making their way in the South American market, through lower viscosity grades and adequate additive technologies 31 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.

Permission is given for storage of one copy in electronic means for reference purposes. Further reproduction of any material is prohibited without prior written consent of Infineum International Limited. The information contained in this document is based upon data believed to be reliable at the time of going to press and relates only to the matters specifically mentioned in this document. Although Infineum has used reasonable skill and care in the preparation of this information, in the absence of any overriding obligations arising under a specific contract, no representation, warranty (express or implied), or guarantee is made as to the suitability, accuracy, reliability or completeness of the information; nothing in this document shall reduce the user s responsibility to satisfy itself as to the suitability, accuracy, reliability, and completeness of such information for its particular use; there is no warranty against intellectual property infringement; and Infineum shall not be liable for any loss, damage or injury that may occur from the use of this information other than death or personal injury caused by its negligence. No statement shall be construed as an endorsement of any product or process. For greater certainty, before use of information contained in this document, particularly if the product is used for a purpose or under conditions which are abnormal or not reasonably foreseeable, this information must be reviewed with the supplier of such information. Links to third party websites from this document are provided solely for your convenience. Infineum does not control and is not responsible for the content of those third party websites. If you decide to access any of those websites, you do so entirely at your own risk. Please also refer to our Privacy Policy. INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved "INFINEUM, PARATAC, SYNACTO, VISTONE and the interlocking ripple device are Trade Marks of Infineum International Limited 33 INFINEUM INTERNATIONAL LIMITED 2015. All rights reserved.`.