03012017Wed
Last updateWed, 01 Mar 2017 7pm

i

Chemical Processing Industry Expects Growth in 2017

According to a recent Chem Show survey sent to more than 10,000 chemical and other processing manufacturers, equipment suppliers, and design/engineering firms, 2017 is expected to foster significantly elevated business prospects and sales throughout the chemical processing industry. Based on survey results, 82% of respondents expect their sales to increase this year, with 69% additionally rating the 2017 business climate as either good or excellent.

In addition, 97% of those surveyed also responded positively regarding their own company’s prospects for business this year, with 76% rating them as either excellent or good. Additionally, 82% indicated they expect their company’s sales to increase when comparing 2016 to 2017, with 23% of these anticipating greater than 10% growth, and 38% indicating expected growth of between 5 and 10%; 21% responded they expect less than 5% growth in 2017, while 17% anticipate sales to remain the same this year. 


LNG Exports Expected to Drive Growth in U.S. Natural Gas Trade

The U.S. is expected to become a net exporter of natural gas on an average annual basis by 2018, according to the recently released Annual Energy Outlook 2017 (AEO2017). The transition to net exporter is driven by declining pipeline imports, growing pipeline exports, and increasing exports of liquefied natural gas (LNG). In most AEO2017 cases, the U.S. is also projected to become a net exporter of total energy in the 2020s in large part because of increasing natural gas exports.

In 2016, the U.S. was a net importer of natural gas, with net imports of 2.6 billion cubic feet per day. As several LNG export projects currently under construction are completed, LNG exports are expected to make up a growing share of natural gas exports and to surpass pipeline exports of natural gas by 2020. 

Energy Transfer Partners Building New NGL Fractionation Facility

Energy Transfer Partners’ subsidiary, Lone Star NGL LLC, will construct a fifth natural gas liquids (NGL) fractionation facility at Mont Belvieu, TX. The construction of Fractionator V is a result of the tremendous production growth in the Delaware and Permian Basins.

Fractionator V, including NGL product infrastructure and a new 3 million barrel y-grade storage cavern, has a total estimated cost of approximately $385 million. The 120,000 barrel per day fractionator is fully subscribed under multiple long-term, fixed-fee contracts and is scheduled to be operational by Sept. 2018. 

Chevron and Pembina Sign Deal to Build Pipelines, Other Facilities

Calgary-based Pembina Pipeline Corp. has signed a 20-year deal with Chevron to build natural gas pipelines and processing facilities for a potential production operation in northwest Edmonton, Alberta. The infrastructure developed over the term of this agreement has the potential to represent a multi-billion dollar investment by Pembina.

The Kaybob region of the Duvernay resource play near Fox Creek in Edmonton contains high volumes of condensate, a petroleum liquid that dilutes bitumen so it can be shipped by pipeline. 

U.S. in Midst of Biggest Drilling Surge Since 2012

“U.S. drillers pushed ahead on the biggest surge in oil drilling since 2012 as companies take advantage of oil prices that have held steady above $50 for almost three months,” Bloomberg reports.

“Drilling is booming in a few shale plays -- led by the Permian Basin in West Texas and New Mexico and the SCOOP/STACK plays in Oklahoma -- as they offer good returns at $50/bbl. Producers including Diamondback Energy and Occidental Petroleum remain focused on the Permian, while Marathon Oil intends to double down on its assets in Oklahoma.” 

BUYERS GUIDE 300x220
Advertisement

Looking for a career in the Valve Industry?

ValveCareers Horiz

To learn more, watch the videos below or visit ValveCareers.com a special initiative of the Valve Manufacturers Association

  • Latest Post

  • Popular

  • Links

  • Events

New Products