GLOBAL ENGINEERING SPECIFICATION

G

LOBAL

E

NGINEERING

S

PECIFICATION

Material Requirements

4WGN-20002

RESPONSIBLE GROUP: Mechanical Engineering

Denotes Revision

1. PURPOSE

1.1 This global engineering specification defines Air Products' material requirements for items that, because of malfunctioning or failure, would have the potential to create a safety hazard.

2. SCOPE

2.1 This specification applies to materials used in pressure and structural load-carrying service in onsite sale of gas (SOG), third-party sale of equipment (SOE), and intercompany projects managed by Global Engineering and Manufacturing (GEM) Worldwide. Some examples include:

Note: This list is meant to serve as an example, and is not comprehensive.

 Pressure-containing parts and attachments (for example, piping and in-line components)

 Vessel supports and attachments (for example, saddles, skirts, baseplates, lifting lugs, and trunnions)

 Pressure-retaining bolting (for example, flange bolting)

 Load-carrying structural members [for example, pipe racks, cold-box chords (vertical columns), girts (face horizontal members), diagonal bracing, roof members, base members, and stressed panels]

 Load-bearing structural bolting

2.2 Any individual material purchase specifications that apply to a project provide the detailed requirements for those items. This document shall be read and applied in conjunction with those specifications.

3. RELATED DOCUMENTS

3.1 Note: The documents listed below form a part of this specification and refer to the latest

edition and addenda in effect at the date of manufacture of any item covered by this specification. Any conflicts between the related documents that are not resolved by this specification shall be brought immediately to the attention of Air Products.

3.2 Air Products Engineering Documents

4WGN-20001 Supplier Quality Requirements

3.3 European Committee for Standardization (CEN)

EN 10204 Metallic products—Types of inspection documents

3.4 European Council/Commission (EC) Legislative Documents

97/23/EC Directive of the European Parliament and of the Council on the Approximation of the Laws of the Member States Concerning Pressure Equipment (the "PED")

3.5 National Association of Corrosion Engineers (NACE)

MR-0175/ISO 15156 Materials for use in H2S-containing environments in oil and gas

production

4. CERTIFICATION

4.1 Material certification shall meet all necessary statutory/code requirements of the country of use.

4.2 Unless permitted otherwise by the applicable statutes/codes in the country of use (for example, the PED, section 6), the minimum certification requirement for materials used in pressure or structural load-carrying service shall be either a mill certificate (for metallic material originating in the USA) or a Type 3.1 inspection certificate according to EN 10204.

Note: Excluded are bolting (see paragraph 4.3), unstressed panels, and steelwork required

solely for supporting such panels.

4.2.1 Where the project-specific documentation or this general document refers to a mill or EN

10204 Type 3.1 inspection certificate, the certificate shall be in the form of a Material Test Report. This report shall include the results of mechanical tests and a full chemical analysis that refers to the cast or heat identification of the component.

Note: For aluminum materials, it is acceptable to follow the standard industry practice of

determining the chemical composition of the ingot before further processing.

4.2.2 For mill or EN 10204 Type 3.1 certificates, all material shall be identified on the certificates

with all of the following information:

 Heat number (if applicable)

 Brief item description

 Air Products purchase order number

 Air Products purchase order item number

 Air Products SAP material master

Certification that is not clearly identified in this manner will be returned to the supplier and payment will be withheld accordingly.

Note: The order number, order item number, and SAP material master do not apply to

complete items of equipment. They apply to raw materials (for example, piping bulks) purchased directly by Air Products or on its behalf.

4.2.3 The name and position of the person attesting the results on the material certification shall be

included on the test certificate.

4.3 Unless stated otherwise by a purchase specification or similar agreement, all pressure-retaining and structural bolting shall be lot certified with, as a minimum, a Certificate of Compliance or, in Europe, an EN 10204 Type 2.1 certificate.

4.4 For piping bulks (for example, pipe, elbows, tees, weldolets, socket fittings, and bolting),the supplier shall provide two sets of material certificates: one shipped with the item(s) and an identical, electronic set submitted on CD or by email to the Air Products requisitioner. The Air Products requisitioner will keep the copy for reference, for supplement to the site copy, or for archive by the Engineering Data department if the mechanical contractor does not return the certificates in the final production dossier.

4.5 Material certification for individual items of piping inline equipment (for example, valves) shall be supplied in accordance with the Vendor Data Requirement (VDR) forms issued with the order. Unless specified otherwise, material certification for individual items of equipment (for example, pressure vessels, and heat exchangers) shall be supplied in the final production dossiers.

5. COUNTRY OF ORIGIN

5.1 All materials for items covered under the scope of this document shall originate from a "qualified" country except as defined in paragraph 5.2.

5.1.1 Countries of origin currently "qualified" by Air Products are; Austria, Belgium, Canada, Czech

Republic, Denmark, Finland, France, Germany, Ireland, Italy, Japan, Luxembourg,

Liechtenstein, The Netherlands, Norway, Mexico, Poland, Spain, South Korea, South Africa Sweden, Switzerland, Taiwan, the United Kingdom and the United States of America.

5.2 The use of materials from manufacturers in "unqualified" countries is not prohibited, but requires review and approval from the Air Products designated Single Point of Contact (SPOC) of the specifying organization (or a person with explicit delegated authority) in each

Engineering (and Manufacturing) Team (ET/EMT). In such cases, details of the materials and proposed suppliers shall be submitted to Air Products for acceptance before submitting any quotation.

5.2.1 Some guidance on approval procedures for use of materials from manufacturers in unqualified

countries is given in Appendix A.

5.3 The country of origin for items (finished product) and the raw materials from which the items are formed shall be traceable from the certification and/or marking.

6. EUROPEAN UNION PED

6.1 The European Pressure Equipment Directive (97/23/EC) (PED) requires an EN 10204 Type 3.2 inspection certificate for main pressure-bearing parts or, as an alternative, an EN10204 Type 3.1 certificate from a material manufacturer with a QA system certified by a competent body established within the European Community (see notes 1, 2 and 3).

6.1.1 The EN 10204 Type 3.2 inspection certificate must be certified by a representative acceptable

to or appointed by Air Products. Generally any European Notified Body will be acceptable to Air Products. If a Notified Body is not used, the supplier shall contact Air Products' Inspection Department to establish who may be Air Products' representative when applicable.

6.1.2 If a Type 3.1 certificate is supplied instead of a Type 3.2, the Type 3.1 certificate must include

the details of the material manufacturer's QA system and certifying body established within the community. Otherwise, a copy of the relevant QA approval certificate shall be attached to the Type 3.1 certificate.

Note 1: Material (for example, plates, pipe, bars, and sections ) from intermediary stockists

or suppliers shall be accompanied by original inspection certificates (per paragraph 6.1) from

the base/raw material manufacturer.

Note 2: Components (for example, welded pipe fittings and pipe fittings machined from bar)

manufactured from materials such as plates and bars, where the properties have not been substantially modified by the component manufacturing process, shall be supplied with the original inspection certificate (per paragraph 6.1) from the base/raw material

manufacturer.

Note 3: Where the component manufacturing process involves operations that may change

the material's properties (for example, forged pipe fittings, and dished ends), the inspection certificate (per paragraph 6.1) shall list the results of mechanical testing on the finished component. The chemical composition may be assumed unchanged from the original base/raw material certificate values.

6.2 The PED permits EN 10204 Type 2.2 certificates for some applications (for example, non-main pressure parts in categories I-IV equipment, attachments to categories II-IV equipment, and main pressure parts in category I equipment). For other parts (for example, bolting), EN 10204 Type 2.1 certificates are permitted.

6.3 The country of origin restrictions imposed by Section 5 also apply to CE-marked equipment.

6.4 For pressure equipment supplied as CE marked under the PED, the equipment's CE mark and Declaration of Conformity are deemed evidence that its material certification satisfies the requirements of paragraph 4.2.

6.4.1 For such CE-marked items, material certificates for the equipment's component parts are not

required by Air Products unless specifically requested in the item's purchase order or

attachments (that is, listed in final documentation requirements). The CE mark and declaration of conformity will typically be sufficient for manual, control, and relief valves, but material certificates will generally be requested for pressure vessels and heat exchangers.

7. CHANGE LOG

Rev. Date Subject Matter Expert Description of Revision 0 April 2009 Andy Oliver New Document

1 February 2012 Doug Albert Revised for minor rewording, and notes added at 6.1.2 for European PED clarifications.

2 February 2013 Steve Gibbon 5.1.1 'qualified' countries simplified, but no significant changes made.

3 October 2013 Steve Gibbon 5.2 Moved responsibility for review and approval of exceptions from Regional Design Mgr to the SPOC of the specifying

Appendix A

Guidance on Approval Requirements

for Use of Materials from Manufacturers in "Unqualified" Countries

A1. This specification is not intended to prohibit use of materials or products from manufacturers in "unqualified" countries. Depending on the application and circumstances, the approval may be based on one or more of the following approaches:

A1.1 Air Products visits the manufacturer's facility and performs a detailed audit of their manufacturing and quality process.

A1.2 Air Products performs an assessment of the manufacturer without visiting the facility. This might include review of any or all of the following records:

 Quality documents with independent verification of quality approvals

 Brochures and product specifications

 Customer reference lists and, when possible, contact of references

A1.3 Air Products requires a supplier to provide documentation of product-specific testing by an independent laboratory.

A1.3.1 The supplier shall provide the names of the independent testing laboratory located near the

supplier's manufacturing facility. This laboratory shall be capable of performing all required testing, and certifications to those capabilities shall be supplied at the time of bid. Upon award of the contract to the winning bidder, Air Products will approve the final laboratory. All costs associated with this testing shall be included as part of the bidder's quotation.

A1.3.2 Product-specific testing might include any or all of the following:

A1.3.2.1 For raw materials and all welding consumables, at least one set of tests to the applicable

specification/standard shall be conducted for each heat of material that is to be used. As a minimum, these tests shall include:

 Chemical analysis showing that the material meets all the chemical requirements and any tolerances listed in the applicable specification/standard. The chemical analysis shall be a laboratory analysis and shall not be by means of Positive Material Identification (PMI).

 Tensile tests that document and support the ultimate tensile strength, yield stress, and ductility of the material (that is, elongation and/or area reduction requirements).

Note: Tensile tests shall be conducted at elevated temperatures if required by the

PED.

 Appropriate impact testing to demonstrate low-temperature properties (if required).

 Heat treatment certification from the mill (if heat treatment is required by the specification).

 Indication of heat treatment by the manufacturer of the final pressure-retaining equipment (if heat treatment is required by the specification).

A1.3.2.2 For product forms (for example, plates, pipes, fittings, and structural shapes), additional testing shall be conducted on at least one item from each lot in accordance with the

applicable product specification and any applicable dimensional standards. This includes, but is not limited to, commonly required standard-specific testing that might be required such as hardness, grain-size, hydrostatic tests of spools and components, non-destructive

examination (for example, radiography or ultrasonic testing of longitudinal joints, eddy-current, and flux leakage), bending, and/or flattening. The selected item(s) shall also have all relevant dimensions verified as being compliant with the governing dimensional standard. All pipe and/or tubing shall be hydrostatically tested at the mill.

Note: Hardness testing might not be a requirement of any product standard; however, if

the specified process fluid meets the National Association of Corrosion Engineers (NACE) standard MR0175 requirements, hardness testing to NACE shall be conducted.

A1.3.3 For traceability purposes, heat and mill stamping shall be confirmed against the supplied

documentation (mill certifications) upon receipt at the equipment manufacturer and again during installation into the equipment. The independent laboratory test results shall be reviewed, confirmed for agreement with the mill certifications, and filed together with those same mill certifications. If traceability is suspect, PMI may be used to support and confirm that the material installed in the equipment is, in fact, the correct material.

A1.4 Air Products assesses piping bulk material agents' procedures for approval and control of material manufacturers in "unqualified" countries. If Air Products is satisfied with an agent's procedures, Air Products will delegate responsibility for approval of material manufacturers to that agent.

A1.4.1 Approved agents shall maintain an approved material manufacturers list.

A1.4.2 Approved agents shall supply Air Products with piping bulk materials only from material

manufacturers on this approved list.

A1.4.3 Air Products will periodically audit approved agents against their procedures to ensure

compliance and quality supply. The audit interval will generally be six months and may be extended to a year if the agent achieves a consistently high level of performance.

A1.4.4 Piping bulk agents currently approved by Air Products include: