·       Coal and Gas Valve Markets to Exceed $20 Billion By 2019

·       Flow Control and Treatment Sales in the World’s Semiconductor Industry Will Increase To Over $6.5 Billion In 2015

·       Headlines for Utility E-Alert –August 8, 2014

·       McIlvaine Hot Topic Hour Registration

Coal and Gas Valve Markets to Exceed $20 Billion By 2019

Two of the largest industries purchasing valves are coal-fired power generation and oil & gas production.  Due to the Chinese decision to manufacture large quantities of gas from coal, the combined market is going to exceed $20 billion by 2019.  This is the latest forecast in McIlvaine Industrial Valves: World Market.  (www.mcilvainecompany.com)

Oil and gas valve revenues are forecast to grow by nearly $3 billion over the next five years to $12.7 billion in 2019.

Oil and Gas Valve Revenues ($ Millions)

Top of Form

Power plant valve revenues are projected to rise by $2.1 billion in the next five years to $9.6 billion in 2019.

Power Plant Valve Revenues ($ Millions)

This forecast will continue to be modified as factors change. The biggest question is whether China can actually build the huge infrastructure to convert coal-to-gas in the west and north parts of the country and then transport it thousands of miles to the eastern cities.

The latest forecasts from the analysts reflect large imports of Russian gas to China as well as substantial import of LNG.

McIlvaine has adjusted these forecasts to estimate the 2025 gas use based on the announced 40 coal-to-gas projects. These projects will supply 200 bcm/yr of gas if they all proceed. The present U.S. shale gas production is 300 bcm.  So the Chinese initiative will be equal to two-thirds of the present U.S. shale gas production.  This will make a major impact on the world energy supply.

Millions of valves will be needed for the 40 Chinese coal-to-gas plants.  A small number of these valves have already been ordered, but the purchase activity will be increasing over the next several years.  By 2019, purchases for these plants should be reaching a peak.

For more information on Industrial Valves: World Market, click on: http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/115-n028

Flow Control and Treatment Sales in the World’s Semiconductor Industry Will Increase To Over $6.5 Billion In 2015

The semiconductor industry has rebounded and will increase its purchases of flow control and treatment equipment for air, water and other liquids and gases to over $6.5 billion in 2015.  These forecasts were calculated by McIlvaine Company through aggregation of revenues in a number of McIlvaine market reports.  (www.mcilvainecompany.com)

The biggest expenditures will be for cleanroom consumables.  These include masks and clothing which prevent people from contaminating the air in the chip manufacturing space. The ultrapure water systems ensure that the water washing the chips after each step will not contaminate the sub-micron lines etched in the silicon wafers.

Substantial expenditures are needed to purify the water used in the systems. Pumps and valves are specially designed to maintain water and fluid purity.

SEMI, the global industry association for companies that supply manufacturing technology and materials to the world’s chip makers, is forecasting strong growth in 2014 and 2015.  Following two years of spending declines, key drivers for equipment spending are investments by foundry and logic fabs for sub-20-nm technology, NAND flash makers for leading edge technology (including 3D NAND) and capacity, DRAM technology upgrades for mobile applications and expansion of advanced packaging capacity for flip chip, wafer bumping and wafer-level packaging. All regions of the world are projected to see equipment spending increases in 2015.  Front-end wafer processing equipment is forecast to grow 11.9 percent in 2015 to $34.8 billion, up from $31.1 billion in 2014. The forecast indicates that next year is on track to be the second largest spending year ever, surpassed only by $47.7 billion spent in 2000.

Growth is forecast in all regions except ROW in 2014 and all regions in 2015. Taiwan is forecast to continue to be the world’s largest spender with $11.6 billion estimated for 2014 and $12.3 billion for 2015. In 2014, North America is second at $7.2 billion, followed by South Korea at $6.9 billion.  For 2015, South Korea is in second place ($8.0 billion) in spending, followed by North America ($7.3 billion).

In 2014, year-over-year increases are expected to be largest for China (47.3 percent), North America (35.7 percent), South Korea (33.percent) and Europe (29.7 percent). Year-over-year percentage increases for 2015 are largest for Europe (47.8 percent increase), ROW (23.5 percent), Japan (15.6 percent) and South Korea (15.0 percent).

For more information, click on:

N064 Air/Gas/Water/Fluid Treatment and Control: World Market

5AB Air Pollution Management

N024 Cartridge Filters: World Market

N6F World Cleanroom Markets

N019 Pumps World Market

N006 Liquid Filtration and Media World Markets

N005 Sedimentation and Centrifugation World Markets 

N020 RO, UF, MF World Market

N029 Ultrapure Water: World Market

N028 Industrial Valves: World Market

N026 Water and Wastewater Treatment Chemicals: World Market

Headlines for Utility E-Alert – August 8, 2014

UTILITY E-ALERT

#1186 – August 8, 2014

Table of Contents

COAL – US

• Mississippi Power’s Plant Watson (Units 4 and 5) and Plant Greene County (Units 1 and 2) being converted from Coal to Natural Gas
• Big Sandy Coal-fired unit to remain operational, convert to Natural Gas
• Tennessee Property Owners will receive $27.8 Million from TVA to settle Claims
• Babcock & Wilcox awarded a Contract to erect a 550 MW Dry FGD Unit at Flint Creek Power Plant in Arkansas
• NRG Energy announces Plan to reduce Pollution from Fleet of Illinois Coal-fired Power Plants

COAL - WORLD

• Marsulex Environmental Technologies to supply Ammonium Sulfate Wet FGD System in Poland

GAS/OIL - US

• EPA approves 50th GHG Construction Permit for Natural Gas Project in Texas
• Moundsville Power LLC announces Private Venture to construct a Natural Gas Combined Cycle Power Plant in West Virginia
• Burns & McDonnell awarded EPC Contract for 56 MW Power Project in Stillwater, OK

GAS/OIL – WORLD

• Japanese International Cooperation Agency signs Loan Agreement with Tunisia for Combined Cycle Power Plant Project
• CECO subsidiary, Aarding Thermal Acoustics, received Two Natural Gas Orders for $20 Million
• Requests submitted by Eleven International Power Companies for Prequalification to develop Oman’s Gas-fired Power Plant

NUCLEAR

• Japan Nuclear Reactors’ Restart may be delayed

BUSINESS

• FGD Upgrades will assure a $5 Billion Annual Market
• EU clears Rolls-Royce Energy Business Deal with Siemens

HOT TOPIC HOUR

• “MATS Timing and Technology Options” discussed in Hot Topic on August 7, 2014
• “Industrial Boiler and Cement MACT Timing and Compliance Options” is the Hot Topic on August 14^th 
• Upcoming Hot Topic Hours

For more information on the Utility Tracking System, click on: 

http://home.mcilvainecompany.com/index.php/databases/2-uncategorised/89-42ei

McIlvaine Hot Topic Hour Registration

On Thursday at 10 a.m. Central time, McIlvaine hosts a 90 minute web meeting on important energy and pollution control subjects. Power webinars are free for subscribers to either Power Plant Air Quality Decisions or Utility Tracking System. The cost is $300.00 for non-subscribers.

See below for information on upcoming Hot Topic Hours. We welcome your input relative to suggested additions.

Click here for the Subscriber and Power Plant Owner/Operator Registration Form

Click here for the Non-Subscribers Registration Form   

Click here for the Free Hot Topic Hour Registration Form   

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You can register for our free McIlvaine Newsletters at: http://home.mcilvainecompany.com/index.php?option=com_rsform&formId=5

Bob McIlvaine
President
847 784 0012 ext 112

rmcilvaine@mcilvainecompany.com

www.mcilvainecompany.com