Here are some headlines from the Utility E Alert last week:
Nederman China receives Order for Boiler Flue Gas Cleaning Project
Barapukuria Coal-fired Power Plant adds Third Unit
ABB wins Orders worth $300 Million for China Power Projects
China to finance Second Coal-fired Power Plant at Thar Block II
Huaneng Bayanbaolige 1,320 MW proposed Coal-fired Power Plant in Inner
Mongolia Autonomous Region, China
Clean Power Plan is unfolding
This Year 133 Companies will buy 55 Percent of Fabric Filters
Seventeen Power Plant Owners have Purchased 56 Percent of all the World’s FGD
Systems
Carbonxt and United Conveyor Corporation launch Joint Air Quality Control
Offering
Precipitators can compete with Fabric Filters – Hot Topic Hour Thursday
October 22, 2015
Upcoming Hot Topic Hours
The Utility E Alert is issued weekly and covers the coal-fired projects,
regulations and other information important to the suppliers. It is $950/yr. but
is included in the $3020 Utility Tracking System which has data on every plant
and project plus networking directories and many other features.
42EI Utility Tracking System
Power Plants Will Spend $8 Billion for Valves In 2016
Power plant valve purchases will remain at a high level thanks to continued
construction of new coal-fired power plants in China, Vietnam, Indonesia and
Japan. Despite the fact that Japan was the host of the original greenhouse gas
reduction convention (Kyoto Protocol), the country is planning 40 new coal-fired
power plants. Old coal-fired power plants will be retired, so CO2 emissions will
not be increased. The EU also is building new coal-fired power plants to replace
higher emitting old power plants. In Asia, the need for new electricity and the
lack of natural gas are the big drivers.
Next year nearly 50 percent of the $8 billion power plant valve expenditures
will be by East Asian power generators. NAFTA will be the second largest region
thanks to construction of new gas turbine combined cycle power plants. These
forecasts are provided in Industrial Valves: World Market.
Coal-fired power plants are at the top of the list with regard to valve
opportunities. The reasons are twofold. First, more coal-fired power plants will
be built than thermal power plants. Second, coal-fired power requires water
management in both the liquid and steam phases, as well as various slurries for
flyash, bottom ash, and limestone for flue gas treatment. Additionally, there
are valves required for the many chemical systems to treat boiler feedwater and
plant wastewater. Valve types include pressure relief valves, as well as globe,
gate, ball, butterfly, plug and check valves. It is estimated that a typical
utility-scale coal-fired power plant includes more than 5,000 valves.
Nuclear power is second on the list, with a slightly smaller number of valves
per plant because there is no requirement for flue gas treatment or flyash and
bottom ash handling. Nevertheless, the redundant systems in nuclear power plants
ensure a large number of valves on par with coal-fired power. There are
currently 60 nuclear reactors under construction in 13 countries.
Gas-fired power plants hold significant potential for valve sales both in terms
of numbers of new plants, and in terms of plant complexity. Most gas-fired power
plants currently being built reflect a combined cycle design that includes a gas
turbine, as well as a Heat Recovery Steam Generator (HRSG) with the attendant
valves for boiler feedwater, condensate, cooling water, and water treatment
chemicals. These plants operate with efficiencies of greater than 60 percent,
and are now sized 400 MW and larger for baseload power generation as well as for
backup power for intermittent renewable energy.
For more information on N028 Industrial Valves: World Market, click on:
http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/115-n028.
More Than 50 Percent Of The World’s Ultrapure Water Products Will Be Purchased
By Just 50 Companies
Power plants, electronics manufacturers and pharmaceutical producers will spend
$4.6 billion in 2015 on products and services to purify water to such an
exceptional degree that there is a whole classification called “ultrapure”
water. This purity is obtained with a combination of chemicals and physical
process steps such as reverse osmosis (RO) and ion exchange.
The purchases will be concentrated among relatively few companies. The top 20
companies will purchase 37 percent of the total products and the top 50
companies will average more than 1 percent each ($23 million).
The top 8 semiconductor companies will account for purchases of $795 million.
The top 10 power generator purchases will total $625 million. The top 4 flat
panel and other electronics manufacturers will spend $284 million.
The Top 10 Purchasers Will Be
# Company Semi Other Electronic Power
1 Samsung x x
2 Intel x
3 TSMC x
4 EDF x
5 LGE X
6 Sony X x
7 SK Hynix X
8 Micron x
9 China Datang X
10 China Guodian x
Pfizer is the top pharmaceutical purchaser but is only ranked #23 on the list of
the 40 largest purchasers.
The large ultrapure water product purchasers are moving toward global sourcing
for several reasons. One is the importance of the products to the plant
operations. A single small particle can cause rejection of a $300 chip.
Contaminated drugs are one of the biggest concerns of pharmaceutical companies.
The ultra supercritical power plants which are now under construction require
water purity levels far greater than the sub critical power plants which they
are replacing.
The second reason for global sourcing is to facilitate evaluations on total cost
of ownership. The high cost of these evaluations is spread out among a number of
purchases. The benefits of buying the best rather than lowest price products far
outweigh the costs.
The combination of concentration of buying power and emphasis on highest quality
products creates a new and major opportunity for ultrapure water system, product
and service providers. McIlvaine has created a new route to market to take
advantage of this opportunity. It combines N029 Ultrapure Water: World Market
with other McIlvaine services to provide detailed forecasting of Markets,
Prospects and Projects.
For more information contact Bob McIlvaine at rmcilvaine@mcilvainecompany.com.
State by State Forecasts Needed by Suppliers of Flow Control and
Treatment Products and Services
The market for flow control and treatment (N064 Air/Gas/Water/Fluid Treatment
and Control: World Market) will be over $350 billion this year. The market has
been segmented into 80 countries and sub regions. Some of the smaller countries
account for less than 0.1 percent of the total. By contrast, California accounts
for 2 percent of the total. So international suppliers need to segment the U.S.
by region and, in many cases, by State. This is accomplished in a supplemental
report, Analysis & Forecast by Industry & State.
The food segment provides an example. The U.S. flow control and treatment in the
food industry represents more than 22 percent of the world total. Expensive
pumps and valves are needed to meet the sanitary requirements of food
processors. Cross-flow membranes not only provide high purity water and clean
wastewater but are concentrating liquids such as juices and corn syrups. Fabric
filters are used not only for air pollution control but to capture product in
hot gas streams e.g. coffee spray driers.
The U.S. will purchase two hundred and twenty times more food flow control and
treatment products and services than Guatemala this year.
FOOD INDUSTRY(%s) BASE YEAR 2014
2014 2015 2016 2017 2018 2019 2020 2021
United States 21.80 22.30 22.82 23.36 23.92 24.50 25.09 25.69
Canada 1.95 1.98 2.02 2.06 2.09 2.13 2.18 2.22
Mexico 2.39 2.49 2.61 2.73 2.87 3.01 3.17 3.35
Argentina 0.98 1.01 1.04 1.07 1.10 1.13 1.17 1.20
Brazil 3.11 3.17 3.23 3.30 3.36 3.43 3.51 3.59
Chile 0.44 0.45 0.47 0.48 0.50 0.52 0.54 0.56
Colombia 0.69 0.72 0.76 0.79 0.83 0.86 0.90 0.94
Ecuador 0.21 0.22 0.23 0.23 0.24 0.26 0.27 0.28
Guatemala 0.11 0.11 0.11 0.12 0.12 0.13 0.13 0.14
The state analysis segments each industry by state and aggregates it into nine
regions. California represents 10 percent of the U.S. food industry flow control
and treatment market while the Pacific states account for more than 14 percent.
FIGURE I-2B: U.S. Food Industry - Percent of U.S. 2014 Total
STATE 2014 2015 2016 2017 2018 2019 2029 2021
Alaska 0.32 0.33 0.35 0.36 0.37 0.39 0.40 0.42
California 10.26 10.67 11.10 11.54 12.00 12.48 12.98 13.50
Hawaii 0.22 0.23 0.24 0.25 0.26 0.27 0.28 0.29
Oregon 1.21 1.26 1.31 1.36 1.42 1.47 1.53 1.59
Washington 2.08 2.16 2.25 2.34 2.43 2.53 2.63 2.74
TOTAL Pacific States 14.09 14.65 15.24 15.85 16.48 17.14 17.83 18.54
McIlvaine continues to adjust forecasts based on a number of its own reports
plus U.S. census data such as the number of employees in each facility in each
industry.
NAICS Alabama Food manufacturing facilities--- # of employees 25 50 200 300 500
3111 Animal Food Manufacturing 39 20 16 3 0
3112 Grain and Oilseed Milling 8 2 4 2 0
3113 Sugar and Confectionery Product Manufacturing 14 13 1 0 0
3114 Fruit and Vegetable Preserving and Specialty Food Manufacturing 8 6 1 0 1
3115 Dairy Product Manufacturing 8 4 1 3 0
3116 Animal Slaughtering and Processing 79 34 9 16 20
3117 Seafood Product Preparation and Packaging 22 9 9 4 0
3118 Bakeries and Tortilla Manufacturing 74 61 9 4 0
3119 Other Food Manufacturing 26 11 8 6 1
3121 Beverage Manufacturing 43 37 2 4 0
Analysis & Forecast by Industry & State is available as a supplement to
(Air/Gas/Water/Fluid Treatment and Control: World Market) or to any of the other
McIlvaine reports on pumps, valves, filtration, air pollution control, etc.
Customized excel spreadsheets can be provided for specific products e.g.
diaphragm pumps, ball valves, or polymers for water treatment. For more
information contact Bob McIlvaine at rmcilvaine@mcilvainecompany.com.
McIlvaine Hot Topic Hours and Recordings
McIlvaine webinars offer the opportunity to view the latest presentations and
join discussions while sitting at your desk. Hot Topic Hours cater to the end
users as well as suppliers while the Market Updates cater to the suppliers and
investors. Since McIlvaine records and provides streaming media access to these
webinars there is a treasure trove of value only a click away. McIlvaine
webinars are free to certain McIlvaine service subscribers. There is a charge
for others. Hot Topic Hours are free to owner/operators. Sponsored webinars
provide insights to particular products and services. They are free. Recordings
can be immediately viewed from the list provided below.
DATE UPCOMING HOT TOPIC HOUR UPCOMING MARKET UPDATES
Nov. 12, 2015 Dry Scrubbing
Expansion of the dry scrubber decision guide for power plants,
incinerators, and other applications involving SDA, CFB and
DSI.
Click here to register
Dec. 3, 2015
NOx Reduction
Decision guide to selection of SCR and SCR systems,
ammonia injection, reagents, catalysts for power plants
refineries, incinerators, chemical plants and other applications.
Click here to register
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You can register for our free McIlvaine Newsletters at:
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Bob McIlvaine
President
847-784-0012 ext. 112
rmcilvaine@mcilvainecompany.com
www.mcilvainecompany.com