Latest Developments in the Hydrogen Valve Market
A number of governments, operators and suppliers are betting on hydrogen as a
major tool to meet greenhouse gas goals.
In terms of valves, there are two markets: discrete and process.
The discrete market includes small valves used with fuel cells in mostly
mobile applications. Many
automotive companies are moving forward with hydrogen fueled vehicles.
Discrete is defined as a valve associated with a piece of equipment.
Swagelok furnishes check valves for vehicle fuel cells.
These are small valves and are sold to vehicle or fuel cell
manufacturers.
Process includes the production and transport of hydrogen as well as use in
processes such as steam generation or compression or heat generation using
combustion with hydrogen as the primary or secondary fuel. Process also includes
the creation of chemical products.
Since the discrete market involves small valves and a unique set of customers,
the suppliers are not the same companies furnishing the larger process valves.
The process market preceded the discrete market.
But presently much of the activity is in the discrete segment.
Over the next 15 years the process expansion will outstrip discrete.
However, by 2040 the discrete market will be advancing while the process
market slows down.
A detailed analysis has been made for the process valve market for hydrogen
through 2028 (1)
Coverage includes:
Production Methods |
Transportation |
Eletrolyzers |
Pipeline |
Steam methane reformation |
Road |
Partial oxidation |
Ship |
Other |
Train |
Form |
Storage |
Gas |
Use |
Compressed gas |
Gas turbines |
Liquid |
IC Engines |
Ammonia |
Coal fired boilers |
Sources |
Waste to Energy |
Methane |
Refineries |
Water |
Chemical Plants |
Coal |
Steel |
Waste and biomass |
Ships |
Coverage included gray, green, blue and yellow hydrogen. Much of the near-term
valve potential is in gray and blue hydrogen. The gray hydrogen includes the
valves for partial combustion and also for purification processes such as
pressure swing adsorption. For
molecular sieve switching metal seated ball valves compete with triple offset
butterfly valves.
The potential for yellow hydrogen is substantial.
Environmentalists have recognized the need for carbon negative processes.
Biomass combustion with carbon capture and sequestration (BECCS) is the
only cost-effective carbon negative option.
The conversion from gray to blue hydrogen entails carbon capture and
sequestration. The many valves in the absorption and separation as well as
liquefaction and transport are included.
23,000 forecasts by country, valve type,
function and application for the 2022-28 were created.
There was also an analysis by region.
Analysis of the valve companies and the products which they are supplying for
hydrogen applications shows that acquisitions are positioning some valve
companies to improve their market share.
ITT has purchased Habonim. Atlas Coco and Ingersoll Rand have combined
valves with compressors and other complementary products to pursue markets such
as hydrogen.
The hydrogen process valve market is highly dependent on the mix of fuels for
the power industry.
An electric car plugged into an electrical outlet can be using fossil fuel.
The fuel cell eliminates this route. To the extent hydrogen replaces coal
or gas for combustion there is not an increase in valve revenues.
Valve expenditures per kWh can be compared.
If solar or wind is used to make hydrogen which then is used in fuel cells, the
valve purchases could range from 20 to 70% of a coal fired plant when you
consider both production and use.
Relative valve costs /kWh |
|
Coal |
1 |
BECCS |
2.5 |
Green hydrogen |
0.2-0.7 |
Nuclear |
1.2 |
Hydro |
0.3 |
Wind |
0.02 |
Combined Cycle |
0.5 |
Geothermal |
0.7 |
Solar |
0.01 |
Hydrogen use is only one of the variables in determining valve sales to the
power industry.
Yellow hydrogen using biomass will have niche uses. But BECCS is just as yellow
(carbon negative). This option requires the most valves. So, the extent to which
BECCS is adopted the valve market will increase.
Present yearly valve sales to the power industry around the world are $9
billion. (1)
There will be robust growth under the BECCS based strategy outlined here. If
countries do not continue to strive for GHG emissions to meet the Paris
agreement (No Regs) there will be modest growth in line with GDP. With a mix of
technologies such as envisioned by IEA to meet net Zero there will be low
growth. If the environmentalists were to dictate a mix heavily dependent on
solar and wind (Env), there would be significant revenue reduction over the next
10 years.
Electrolysis
Today, electrolyzers, the devices used in production typically utilize one of
two technologies: low-pressure electrolysis or high-temperature electrolysis.
Technological development has already seen us move up to large-scale 20MW
electrolyzers, but 100MW units are not too far in the future. Several valve
manufacturers are confident that they have the valves to fulfill the
requirements of electrolysis applications for the PEM, AWE or SOEC electrolyzers
of both today and tomorrow.
Capital costs of electrolyzers uninstalled range from $1000 to $1500 /kw.
Lifetime is estimated at 75,000 hours.
For every kg of hydrogen produced, 9 kg of water must be consumed. Therefore,
2.3 Gt of hydrogen requires 20.5 Gt, or 20.5 billion m3, per year of freshwater,
which accounts for 1.5 ppm of Earth’s available freshwater. Most applications
for hydrogen require it to be combusted or pumped through a fuel cell, which
converts hydrogen gas into electricity and water, but while most water can be
recovered, it is not generally returned to the original body of water and will
be treated as consumed. The only sector in which the use of hydrogen does not
regenerate the entirety of the water feedstock by fuel cell or combustion is
chemical synthesis, which will account for 540 Mt of hydrogen, using at most 4.8
billion m3 or 0.3 ppm of global freshwater annually.
In the Norwegian industrial estate of Porsgrunn, a major German engineering
contractor in the technical gases industry is currently building a 24 MW
electrolysis plant for producing green hydrogen as a feedstock for green
ammonia, which is required in fertilizer production. The necessary hydrogen is
to be generated by means of electrolysis using hydropower.
in 2022, the KSB Group supplied pumps and valves for this plan.
Luxembourg-based valve manufacturer Sisto Armaturen S.A., which is part of the
KSB Group, supplied its Sisto-RSK swing check valves equipped with a special
coating.
Much of the process valve market will be generated through fossil fuels using
SMR and other technologies.
At lower temperatures and pressures, torque-seated gate valves, often equipped
with either solid Stellite® or Stellite®- welded overlay trims, may suffice for
applications that do not require tight shutoff. Torque-seated valve designs
involve the application of substantial forces to the valve components to
adequately seal against line pressure.
Over time, these forces wear down the critical sealing components of the valve,
resulting in shortened product longevity versus those of position-seated valve
designs.
As temperatures and pressures rise, gate valves are often replaced by Y-pattern
globe valves, similarly equipped with either solid Stellite® or Stellite®-
welded overlay trims, to achieve improved shutoff performance at initial
installation. Unfortunately, the improved shutoff performance of globe valve is
offset by the following disadvantages:
• Substantial pressure drop across the valve
• Short product longevity
To address the underperformance of globe valves in severe-service applications,
companies engineer and manufacture quarter-turn, metal-seated floating ball
valves (‘MSBVs’) that can achieve a ‘bubble-tight’ seal per ANSI FCI 70.2 Class
VI shutoff – or better. The quarter turn mechanics of a MSBV not only eliminates
packing leaks, but also enables the usage of low emissions packing that complies
with prevailing fugitive emissions certifications, such as API STD 641.
Forecasting the valve revenues in the short term is challenging.
Forecasts to 2050 include so many variables that constant adjustments
will be required.
(1)
Hydrogen Valves, published by the Mcilvaine Company