where do i get manufacturing extract 04

You can get three types of materials by disassembling/breaking gear at this NPC (Upgrade Merchant).

The obtainable materials:
Brown, Yellow and blue. (The manufacturing extract is the blue one)

-> No1 -> Level 1 recipes
-> No2 -> Level 5 recipes (You can get a small fail, blue ingredient can be No1 instead of 2)
-> No3 -> Level 10 recipes
-> No4 -> Level 15 recipes
-> No5 -> Level 20 recipes
-> No6 -> Level 25 recipes
-> No7 -> Level 30 recipes

You will gain ingredients by breaking different lvl items, respectively:
No1 materials -> 1lvl gear
No2 materials -> 11lvl gear
No3 materials -> 21lvl gear
No4 materials -> 34lvl gear
No5 materials -> 42lvl gear
No6 materials -> 53lvl gear
No7 materials -> 65lvl~70lvl gear.