ATI Allegheny Ludlum Supplies Proprietary Alloy for Oilfield Project


PITTSBURGH, Pennsylvania -- October 20, 2006 -- ATI Allegheny Ludlum, an Allegheny Technologies Incorporated (NYSE:ATI) company, announced that its proprietary alloy was used in a subsea flow line system for the Kikeh Field Development Project, offshore Sabah, East Malaysia. Allegheny Ludlum supplied over 1.2 million pounds (550,000kg) of its new proprietary AL 2003(TM) lean duplex alloy to Wellstream International, Ltd., located in Newcastle, U.K., who manufactured flexible pipe for this project. AL 2003 lean duplex alloy is an economic alternative to higher nickel-bearing 300 Series stainless steels and the conventional 2205 duplex alloy.

The Kikeh Field Development Project consists of approximately 13.7 miles (22km) of various flow line systems (production, water injection, and gas export) operating in water depths of over three quarters of a mile (1200m). About 9.6 miles (15.5km) of flow line systems were made with the AL 2003 lean duplex alloy.

AL 2003 lean duplex alloy was chosen over Type 316L stainless steel due to cost savings resulting from the lower alloy content and greater strength of AL 2003 lean duplex alloy. Major alloying elements of AL 2003 alloy include: chromium 21%, nickel 3%, and molybdenum 1.5% compared to chromium 16%, nickel 10%, and molybdenum 2.5% for 316L. An advantage for using AL 2003 alloy in applications under high pressure in deep water is the yield strength of AL 2003 alloy, which is more than double that of 316L. A 316L design would have used a thicker strip with more weight per length of pipe and less throughput of oil well recoverables. In addition, AL 2003 alloy is designed to maintain superior corrosion resistance to chloride pitting and stress corrosion cracking compared to 316L.

AL 2003(TM) lean duplex stainless alloy in strip and plate product forms is NORSOK qualified under Standard M-650. The NORSOK standards are developed by the Norwegian petroleum industry and are intended to identify metals used in oil and gas applications that are safe and cost effective.

The duplex family of alloys is used for applications in Oil & Gas, Pollution Control, Chemical Processing, Ship Building, Pulp and Paper, Mining, Structural, Architectural, and Food and Water markets. AL 2003 lean duplex alloy provides cost savings and can provide enhanced performance over conventional 300 series, 2205 duplex, or super martensitic grades.

ATI Allegheny Ludlum, an Allegheny Technologies company, is a world leader in the production and marketing of sheet, plate, and strip specialty materials including stainless steel, nickel-based alloys, titanium, and titanium-based alloys. The company also produces grain-oriented silicon electrical steel products, and tool steel plate. The Allegheny Ludlum website can be found at www.alleghenyludlum.com.

Building the World's Best Specialty Metals Company(TM)

Allegheny Technologies Incorporated is one of the largest and most diversified specialty metals producers in the world with revenues of $4.0 billion during the most recent four quarters ending June 30, 2006. ATI has approximately 9,300 full-time employees world-wide who use innovative technologies to offer growing global markets a wide range of specialty metals solutions. Our major markets are aerospace and defense, chemical process industry/oil and gas, electrical energy, medical, automotive, food equipment and appliance, machine and cutting tools, and construction and mining. Our products include titanium and titanium alloys, nickel-based alloys and superalloys, stainless and specialty steels, zirconium, hafnium, and niobium, tungsten materials, grain-oriented silicon electrical steel and tool steels, and forgings and castings. The Allegheny Technologies website is www.alleghenytechnologies.com.

CONTACT:
Dan. L. Greenfield
(412) 394-3004

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