SPC Floor Tile Turnkey Project

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Date: 28/11/2018 SPC Floor Tile Turnkey Project Part Ι Project Evaluation Profit Estimate Reference(All calculation should based on local marketing price): Item Data SPC Sheet Production Output Production Estimate days Annual Estimate Output Sizes of Sheet after Extrusion Production Cost Marketing Price in China Gross Profit per sheet 1000~1400m2/day Half 20FCL 300 days/year 210,000 Sheet 420,000 m2/year 950x1220mm (1.2 square meters) 5~6 $/m2 7~9 $/m2 2~3 $/m2

Gross Profit per day Annual Estimate Gross Profit 2,000~4,200 $ /day 600,000~1,260,000 $/year Raw Materials, Additives, Consumables: No. Item Formulation Reference Price Reference 1 CaCO3 200-225kg 60~90$/Ton 2 PVC Resin 75kg 1100~1200$/Ton 3 Recycled PVC Chips 50-60kg 400~550$/Ton 4 Stabilizer 3.3-6.5kg 1850~1980$/Ton 5 CPE 4~6kg 2100~2280$/Ton 6 PE-Wax 0.5~0.7kg 1650~1760$/Ton 7 Lubricant 0.7~1.3kw 1950~2050$/Ton 8 ACR 3-4.5kg 2100~2250$/Ton 9 UV coating Oil 12~18g/m2 0.15~0.2$/kg 10 PVC Film 1m/m2 0.5~0.6$/m 11 Wear layer 1m/m2 0.68~0.75$/m 12 Foam Layer 1m/m 0.63~0.92$/m2 Estimate for production cost 550~600 $/Ton in China 5~6 $/m2 EXW Price 7~8 $/m2 Marketing Price 10-12 $/m2

Part Ⅱ Equipment Details 1. Mixing System Processing Procedure: Section A (Weighing & Loading): Forklift Open 25kgs Small bags(10+kinds of materials) Weighing one by one Loading into Mixer by Vacuum Conveyor This is a semi-automatic system, you need to weighing by labor Section B ( Mixing & Blending): Loading materials & Additives High speed Turbo Mixer Cooling Bending Mixer Section C (Storage for Stand by): Screw Conveyor from Mixer to Silo 5T Silo for storage Screw conveyor transfer from Silo to extrusion machine Vacuum Loading System Bag Unloading Unit Safety Grid Dust Collector Pipe lines and pipe supporter S.S.304 for all parts To avoid any packaging or tools falling into the loader 1.5kw Blower for dust free venting 2pcs Solenoid valve, Back flushing for self cleaning.; 3pcs Anti-static bag filter ( with PTFE coating ) All pipes and platform was included Materials Suction pipes ( according calculation design ) Air Suction pipes ( according calculation design ) Piping clamp ( Morris type ) Pipe materials S.S304 & Plastic flexible pipes

Discharging Rotary valve Speed controller with a VSD ( variable speed drive ) Slide gate valve Vacuum pressure gauge Adjust air flow at inlet air suction pipe Monitor the pressure during the pneumatic transportation Vacuum Blower 7.5kw equipped with a VSD ( variable speed drive ) Vacuum Hopper 600L for materials loading 3pcs Solenoid valve, Back flushing for self cleaning.; 4pcs Anti-static bag filter ( with PTFE coating ) Compress air for Solenoid valve supply with accumulator tank(supplied by contractor) Mixing System High speed Mixer Total Volume Effective Volume Motor VSD ( variable speed drive ) Thickness of the Wall Thickness of the Base cone Sealing method Type of mixing blade Max. Loading capacity Rotating speed Lid opening method 800L 600L 110kw Siemens Motor INVT/Siemens Inverter 16mm(8mm S.S.304+8mmQ235A), Others only use 10mm 25mm(1Cr18Ni9Ti), Others only use 14mm Oil sealing + Labyrinth Sealing linear 3-layer, S.S.304 280~350kg/batch 700rpm(Speed adjustable) By pneumatic, and lid has safe Interlinked switch Cooling Mixer Total Volume Effective Volume Motor 2500L 1850L 22kw Siemens Motor

VSD ( variable speed drive ) Thickness of the Wall Thickness of the Side Plate Type of mixing blade Rotating speed Cooling time Cooling Method Discharging Electrical Cabinet INVT/Siemens Inverter 12mm(6mm S.S.304+6mmQ235A), Others only use 10mm 20mm(1Cr18Ni9Ti), Others only use 15mm Detachable, S.S.304 100-120 rpm 4-6min/batch Circulating water in water jacket, with Chiller better DN300, pneumatic butterfly valve VSD ( variable speed drive ) Main Electrical Spare parts Temperature Controller INVT/Siemens Inverter Siemens/Schneider RKC Screw Conveying System & Platform structure

Option A Option B Storage Silo for Mixed Silo Screw loader Platform Buffer Silo Mixed compounds conveying silo(same as the Layout of Mixing system option A) Platform with Buffer silo(same as the Layout of Mixing system option B), it requires workshop height is more than 10 meters 5Tons( Can service for two lines) 2.2kw/set Our team will come to measure and confirm the structure and Layout details Silo Volume Materials of Silo 5T ( Requires 12 Cubic Meters) S.S.304 2. SPC Floor Extrusion Line

Processing Procedure: Section A ( Extrusion System ): Screw Conveyor from 5T Silo Feeding into Hopper Loader Extruder Extrusion through T-Die into 4-roller Calender Section B ( Calender System ): Melt SPC from T-DIE 4-roller Calender 2-roller hot laminati ng roller(pvc film & Wear Layer) Section C ( Downstream System): Cooling roller for Laminated SPC Floor sheet Drawer C utter Automatic Vacuum Sucker Item Extrusion System - Ф92/188 Extruder Technical parameters Color of machine Can be customized Power of Extrusion Line 180kw Length of Extrusion Line 23.2m Loading Hopper

Feeding Power Double screw feeder Level Sensor 1.5kw with VSD ( variable speed drive ) controll er Better Performance is Stable Feeding 2pcs, Linked with Alarm Screw Materials 38CrMoAIA Diameter 92/188 Effective length Quantity The rotation speed Thickness of nitrided layer Thickness of tungsten carbide coating Barrel Material Barrel type Heating zones Heating power 2500mm 2pcs 1~35±3 rpm 0.4~0.7mm 2mm 38CrMoAIA Two-section, front section inlay alloy Six zones 68kw Temperature range 50~300 Cooling zones Adapter Cooling system Cooling medium Thickness of nitrided layer Thickness of tungsten carbide coating Motor and Gearbox Main motor Gearbox Six zones Stainless steel 3Cr13, chromium plated, with inner convergent flow type 5X0.55Kw Blower fans Air 0.7~0.8mm 2mm 110kw, Helical gears: 20CrMoTi

Bearing:NSK/NTN PLC Electrical Control Motor VSD ( variable speed drive ) ABB/SIEMENS Main electric elements Schneider Vacuum exhausting system Type Monoblock and hydroseal vacuum pump Motor power (kw) 4 Working method of the motor Three-phase asynchronous motor Vacuum degree (Mpa) 0~-0.075 Quantity of vacuum pumps 1set Extrusion T-Die Mould Width 1320mm Thickness adjustable 2~6mm Die Heater 9kw x 1, Temperature Range: 25~160 Four-roller Calender System

Roller Diameter Roller Length Chromium coating Surface roughness Bearing block Roller Gap Controlling Speed range(m/min) Reducer power(kw) 8.1 Roller Temperature Controller Ф450mm 1500mm 0.08-0.12mm 0.025μm Integral forging materials Independent 0.2~2 m/min 0.75 kw

Pump power pump flow Heat transfer media Heating power Heating pipe Temperature controller Liquid level controller Temperature control range Heating method Cooling Rollers 2.2KW 4 200L/min 4 Conduction oil 15KW 4 Stainless RKC Taiwan Normal-200 PID self-control,control accuracy:±1

Diameter Quantity Width Cooling length Haul-off Drawer Diameter Width Motor Power Roller haul-off synchronization Linear speed Opening and closing schedule Center height Cutting System Φ63mm 36pcs 1400mm 9.2meters Φ220mm 1400mm 3kw Available 0.2-2m/min 80mm 1100±20mm

Cutting method Cutter material Revolving gear Shearing device Idler quantity Automatic Sucker with Stacking System Cutting knife High quality high speed steels Worm, worm gear QH11D precision shearing machine 3pcs Unloading rack Length 3200mm, roller

Transducer Sucker Qty Controlled by Infrared ray 4pcs 3.UV Coating Machine Processing : Forklift Vacuum Sucker Loading Station Dust Cleaning 1 st Roller Coatin g 1 st UV Drying 2 nd Roller Coating 2 nd UV Drying Leveling UV Drying Con veyor Vacuum Sucker Packaging Station Item Technical parameters 1. Automatic Vacuum Sucker Loading Station Reciprocating Frequency Working Cycle Setting up Position Setting up Monitor and Controlling System 2. Dust Cleaning Unit About 10 times/min(adjustable) Available Available PLC

Power Frame and brace material Conveying roller material Conveying belt thickness Supporting panel material and thickness Chain wheel Conveying motor Speed control Dust cleaning wall panel material Brush roller material Wall panel motor Dust blower power 3. Four Meter IR Heater 1.66kw Steel channel 45# seamless steel tube and steel core (Hard chrome plating on the surface) 3mm Cold rolled plate, 1.2mm 45#steel 0.75kw RV worm wheel speed reducer motor Transducer Q235 Horsehair 0.37kw RV worm speed reducer motor 180w(3pcs)

Frame type Supporting panel Conveying roller material Belt thickness Heating tunnel material Heating power Leveling machine Temperature controller Chain wheel material Cycloidal-pin speed reducer power 4. Single Roller Coating Unit (1st Layer) Steel channel and rectangular steel tube Cold rolled plate Steel core of 45# seamless steel tube (surface has hard chrome plating) 3mm 1.5mm thick cold rolled plate 1kw*9pcs 4 pcs with 45# steel 1.5kw

Base and supporting panel Frame, coating wall panel and component material Conveying roller material Belt thickness UV roller material Calculating roller material Calculating roller adjustment Varnish running box and groove material Conveying roller and UV roller control Calculating roller control Transducer Cover and shrouding type Varnish supplier 5. Three lamps UV Drying Unit Rectangular steel tube Q235 steel panel 45# seamless steel tube steel core(surface has hard chrome plating) 3mm Steel core of 45# seamless steel tube(wrapped with UV rubber) Steel core of seamless steel (surface has hard chrome plating) Use hand roller to connect or leave 1.2mm thick cold plate 1.5kw 2pc RV worm speed reducer 0.75kw 1pcs RV worm speed reducer Individual transducer Cold rolled panel Diaphragm pump

Frame type Supporting panel Conveying roller material UV box material Blower UV lamp quantity Transformer quantity UV lamp and transformer total power Chain wheel Motor Speed control Cover material Steel channel and rectangular steel tube Cold rolled plate Steel core of 45# seamless steel tube(surface has hard chrome plating) 1.5mm cold rolled plate 1.1kw 3pcs 3pcs 3pcs 9.6kw 45# steel 0.75kw RV worm wheel speed reducer Transducer painted cold rolled plate 6. Single Roller Coating Unit (2nd Layer: Same unit as 1st Layer)

7. Four Meters IR Heater Frame type Supporting panel Conveying roller material Belt thickness Heating tunnel material Heating power Steel channel and rectangular steel tube Cold rolled plate Steel core of 45# seamless steel tube (surface has hard chrome plating) 3mm 1.5mm thick cold rolled plate 1kw*9pcs

Leveling machine Temperature controller Chain wheel material Cycloidal-pin speed reducer power 8. Five Lamps UV Drying Unit 4 pcs with 45# steel 1.5kw Frame type Supporting panel Conveying roller material UV box material Blower UV lamp quantity Transformer quantity UV lamp and transformer total power Chain wheel Motor Speed control Cover material Steel channel and rectangular steel tube Cold rolled plate Steel core of 45# seamless steel tube(surface has hard chrome plating) 1.5mm cold rolled plate 1.1kw 5pcs 3pcs 5pcs 9.6kw 45# steel 0.75kw RV worm wheel speed reducer Transducer painted cold rolled plate 9. 2m belt conveyor

Frame and brace material Conveying roller material Conveying belt thickness Supporting panel material and thickness Chain wheel Conveying motor Speed control 10. Automatic Vacuum Sucker Packaging Station Steel channel 45# seamless steel tube and steel core (Hard chrome plating on the surface) 3mm Cold rolled plate, 1.2mm 45#steel 0.75kw RV worm wheel speed reducer motor Transducer

Reciprocating Frequency Working Cycle Setting up Position Setting up Monitor and Controlling System About 10 times/min(adjustable) Available Available PLC 4. Cutting & Slotting System Processing Procedure: Section A (Loading): Forklift Automatic Hydraulic Platform Auto Sucker Rolling Feeder

Section B( Vertical Cutting): Vertical Cutting Rolling Feeder Belt roller conveyor climbin g roller conveyor Rolling Feeder to Slotting Section C (Vertical Slotting): Belt Conveyor Vertical Slotting Machine Brushing Trimming machine Belt Conveyor to Horizontal Slotting Section D (Horizontal Slotting): Belt Conveyor Horizontal Slotting Machine Brushing Trim ming machine Belt Conveyor to Manual packaging / Foam Layer Laminating System(Optio nal) Flooring Specification Data Length 950, 1220, 1850mm Width 125-200mm Thickness 4-15mm Tolerance of finished floor Length ±0.25 mm Width ±0.025 mm Straightness Longitudinal----±0,08 mm/1000 mm Squareness ±0.03 mm/ 205 mm(board length/width>5) Tolerance of joint height ±0.03 mm Fit tolerance ±0.05 mm Specification of main equipment Item Technical parameters 1. Automatic Vacuum Sucker Loader Reciprocating Frequency Working Cycle Setting up Position Setting up Monitor and Controlling System 2. Vertical Cutting Machine About 10 times/min(adjustable) Available Available PLC

Feeding motor power Speed The spindle motor power 3. Vertical Slotting Machine 1.5kw 10-30m/min 15kw Longitudinal double end tenoner capacity Feeding motor power Speed The 1st 2nd 3th station spindle motor power The 4th 5th station spindle motor power About 60pcs/min standard board, standard boar d size 5 150 1220mm, 0.18m 2 each piece 7.5kw 50-80m/min 8kw 6 5.5kw 4

4. Horizontal Slotting Machine Feeding motor power Speed The 1st 2nd 3th station spindle motor power The 4th 5th station spindle motor power 5. Electronic Controlling system Control system 4 kw 25-50m/min 5.5kw 6 3kw 4 PLC control 5. Foam Layer Laminating System(Optional)

Processing Procedure: Section A : Belt Conveyor Flooring placement constraint system The laminating system The cutting and trimming system Packaging Item Laminating width Laminating length Speed Thickness Total power Total weight PLC Motor In feed conveyor Technical parameters 80mm~400mm 900~2000mm 35m/min 3~60mm 39.8KW (hot melt glue) 2500KG MITSUBISHI CPG This system is equipped with specially designed belt, passing the floors one by one Motor and conveyor system This system is equipped with frequency-converter and Cycloidal pin gear speed reducer. This machine is motored by transmission shaft, conveyor roller and guide roller. All the laminate d rollers are made of NBR (nitrile rubber buna),it is endurable. The frequency-converter can be adjusted for making the machine running at the right speed according to the clients requirement s. Flooring placement constraint system This system is designed for making the floors pass through the machine in the same placement. We can control the straightness of the flooring line with floors which are with different width; thi s system guarantees the straightness of the compacting of soft film and floors. Cold glue spreader and drying system( Hot melt glue as optional choice) The glue sprea

der system is consist with ANILOX roller and glue blade The Users can adjust the glue amount by the speed between the glue spreader roller and drivin g conveyor. The drying system is consisting with heating oven, far infrared heating light and drau ght fans. The soft film goes through the drying system after coating the glue in order to volatilize the solvent. The temperature of the drying system can be adjusted by the temperature controller till meeting the right temperature. The laminating system The laminating system is consisting with four support rollers and laminating rollers. The gap of th e support rollers and laminating rollers can be adjusted easily according to the thickness of the fl ooring and soft film The cutting and trimming system After the flooring is laminated with the soft pad, the auto cutting machine is programmed to cut off the soft pad by PLC system, after that, the flooring will transfer to the edge shaving side for trimming the extra soft pad one by one. Electronic system All the electronic parts are designed reasonable, and adjusting easily. 6. Recycling System6 - SPC Crusher

Processing Procedure: Feeding leftover SPC materials Crushing Blowing into Silo Storage for next Milling proce ssing (Final results 3-8mm chips) Item Technical parameters Model SWP630 Diameter of rotating blade 630mm Quantity of fixed blade 9pcs Rotating speed 480rpm Quantity of fixed blade 4pcs Diameter of screen sieve Φ6mm Crushing capacity 700-850kg/h Main motor power 44kw Grinding chamber 610 820mm Weight 5000kg Dimension 2550 1100 1860mm(SWP630 crusher) 1500 1250 2500mm(Collector storage bin & Blower) Electrical power 380V, 50Hz, 3P 6. Recycling System - SPC Miller

Processing Procedure: Feeding crushed SPC Chips(3-8mm) Milling Blowing into Vibrating Screen Storage in 25 kgs bags for next Mixing processing Item Technical parameters Milling area 4280cm 2 Storage tank volume 1m 3 Small board specification(l W T) 1250 950 (125-200) mm Stainless steel grade 202 Bearing grade NSK, 319Z, 3213Z Internal diameter of milling compartment 600mm Quantity of rotor 1 Quantity of blade 32 pieces Power of fan 5.5kw Motor power 55kw Output capacity 220-300kg/h Mesh size 40-160μm Dimension 1,900x1,700x3,900mm

Part Ⅲ Commercial Terms and Condition: NO. Commodity Qty Price ($) 1 Manuel Mixing System (Service For 2 Extrusion Lines) 1 65,000 2 SPC Floor Extrusion Line 1 135,000 3 4 UV Coating Machine (Service For 3 Extrusion Lines) Automatic Cutting Slotting System ( Service For 2 Extrusion Lines) 1 75,000 1 258,000 5 6 Foam Layer Laminating System (Optional, Service For 3 Extrusion Lines) Recycling System (Crusher & Miller) (Service For 3 Extrusion Lines) 1 70,000 1 26,800 7 Formula, SAT & FAT Installation, Training-3 Months 1 30,000 FOB Shanghai Price 715,300 SAYS SEVEN HUNDRED FIFTEEN THOUSAND AND THREE HUNDRED U.S. DOLLAR OFFER VALIDITY : 30 days DELIVERY TIME: 90 days (after down-payment) TERMS OF PAYMENT: 50% of total price as down-payment, and the other 50% should be p aid before delivery, both by T/T. The rate of penalty (for delay of the manufacture and delay of payment) is charged at 1 % for every 5 d ays, odd days less than 5 days should be counted as 5 days. WARRANTY : Mechanical parts & Electrical parts 12 months from starting and anyhow no longer than 14 months from the date of delivery for the parts considered by the manufacturer to b e defective. Parts of normal wear are excluded from warranty. EXCLUSIONS : Civil works. Electrical cables connecting the different machines forming the system with the main electrical control panel. Installation and starting on the purchaser s premises. Cranes, minor metalwork and equipment that may turn out to be nec essary during installation and starting on site. Whatever else not specified in this offer.