June 2015 - Water-Wastewater Treatment Chemicals Insights 49

Providing the Interface between End Users and Suppliers

The McIlvaine Company has a number of initiatives to create high level discussions among end users and suppliers. The purpose is to enhance the decision making process. McIlvaine participated in a global sourcing panel discussion at the Industrial Valve Summit in Italy last month. The major oil companies and consultants all referenced the loss of experienced personnel and the need to rectify this continuing loss of knowledge.

The panelists included some of the most knowledgeable valve experts who make or influence decisions on many projects around the globe.

0.00 Round Table: Global sourcing in the changing energy industry
Room: Caravaggio

Keynote:
Robert McIlvaine,
CEO, McIlvaine Company

Panelist

Bader M. Al-Jarallah,
Valve Engineering Specialist, Saudi Aramco

Ray Bojarczuk,
Senior Engineering Advisor, Exxon Mobil Corporation

Are Halvorsen,
Managing Director, Nordic Valve Services AS

Ron Merrick,
Director of Piping Material Engineering, Fluor Enterprises

Jean-Michel Rivereau,
Head of the Piping, Valves and Vessels Department, Technology Division, Total E&P

Yusuke Sakurai,
Managing Director, Jgc Italy

Chaired by

Maurizio Brancaleoni,
Valve Campus

This live discussion in Italy was followed two weeks later by a recorded webinar on power plant valves with various problems resulting from fast cycling of gas turbine HRSGS and the next week with a discussion of the whole wet limestone FGD system options. Three valve suppliers debated butterfly vs. knife gate valves for slurry control.

McIlvaine webinars in the past have been two thirds presentations and one third discussions. However beginning two months ago the webinars are 80% discussion and only 20% presentations. The visual background each discussion is a decision guide with as many as 90 power point displays. As the discussion progresses the relevant information is displayed. The schedule of upcoming hot topic is available at: Click here to view schedule and register

OEMS and Consultants Purchase or Influence Nearly Half of All Flow Control and Treatment Products and Services

In 2015 Original Equipment Manufacturers (OEM), Engineering, Procurement and Construction (EPC) companies, consultants and architect engineers will purchase or influence the purchase of air, gas, water and liquid flow control and treatment products and services valued at $147 billion. This represents nearly half all the purchases of these products.

Product	Industry Revenues ($ Billions)	OEM and Consultant Orders and Decisions ($ Billions)
Pumps	53	25
Valves	86	40
Liquid Filtration	46	20
Other Liquid Treatment	39	15
Indoor Air	11	4
Stack Gas Treatment and Flow	73	35
Monitoring	15	8
Total	323	147

Twenty thousand companies will average over $7 million in purchases and decisive influence. They include some of the largest EPCs who purchase $ billions to small OEMS with purchases of less than $1 million.

Identifying these companies, their products and their locations is a challenge made increasingly difficult by the continuing acquisitions and divestitures. In order to track this activity on an organized basis, McIlvaine has created a corporate identification number. All subsidiaries can then be immediately displayed with their products, services and locations. Product Analysis by Financial Entity

One active acquirer is CECO. Here is an example of how one finds the contacts for a location. (Alternatively you can start with products or locations.)

First you identify the parent:

· Cecil Lue-Hing & Associates

· Ceco Compressor Engineering Corp.

· CECO Environmental

· Cecos International

· CEDA International

· Cedar Corporation

· Cedarapids, Inc./Raytheon Co.

· CEECON

· CEEJAY International Ltd.

You then see the list of subsidiaries:

(More than 20 other subsidiaries are listed including those in the Netherlands and China. The acquisition of Peerless is not yet complete, so none of these locations is listed.)

The sales manager will want to analyze the potential for all the subsidiaries and can do so as follows.

CECO is a significant OEM purchaser of valves. One group also makes valves but only fiberglass, so they cannot supply their needs internally. Duall, Fisher, Klosterman, Bush Zhongli and HEE are all potential valve purchasers for scrubber systems. When you click on Duall, you see the products and the contacts:

· Air Handling - FANS

· Fabric Filter - SPRAY DRYER

· Sedimentation - ODOR

· Wet Scrubber - ADSORPTION

· Wet Scrubber - AIR TOXICS

· Wet Scrubber - ODOR CONTROL

· Wet Scrubber - PACKED TOWERS

Name	Title	Email	Telephone	Fax	Source
Name	Title	Email	Phone	fax	xxxx
xxxxxxxxxx	Purchasing Mgr.xxxxxxx.	xxxxxxx	xxxxxxxx	xx	xxxxx
xxxxxxx	Design Chemical Engineer	xxxxx	xxxxxxxxx	xx	xxxx
xxxxxx	General Manager	xxxx	xxxxxxxxx	xx	xxxx

Individual sales people will use the system in various ways. One is by location. Here is an example by zip code:

· 60085 - Cardinal Health, IL, USA, 4

· 60085 - Yaskawa Electric America, Inc., IL, USA, 1

· 60085-6753 - United Conveyor Corporation/ Global Operations, IL, USA, 14

· 60085-8309 - Pristine Water Solutions, Inc., IL, USA, 2

The corporate identification approach is particularly valuable in pursuing opportunities in China. The multiple ways subsidiaries are listed and spelled makes it very confusing. So McIlvaine provides the corporate identification link for the Chinese subsidiaries in both English and Chinese.

English Name	Corporate Identifier	Name in Mandarin
Shanghai Da Gong New Materials	690	上海大宫新材料有限公司
Shanghai Dongfang Boiler Group	1287	上海东方锅炉厂
Shanghai Duomile Photoelectric Instrument	671	上海多米乐光电仪器有限公司
Shanghai Feng Cheng Machinery Engineering	687	上海峰晟机械设备有限公司
Shanghai Fengwei Knitting Needle Manufacturing	786	上海丰威织针制造有限公司
Shanghai Filtair Air Filter	732	上海飞特亚空气过滤有限公司
Shanghai Flow Valve & Fitting	1405	上海富乐阀门管件有限公

More information on the McIlvaine OEM Networking Directory is found at:
53DI OEM Networking Directory

GDP UPDATE

June 2015

TABLE OF CONTENTS

AMERICAS

United States

o Second Estimate of GDP for the First Quarter of 2015: FIVE KEY POINTS IN TODAY’S REPORT FROM THE BUREAU OF ECONOMIC ANALYSIS

Brazil
Colombia

ASIA

India
Japan

EUROPE / AFRICA / MIDDLE EAST

Kyrgyzstan
Turkey
Romania
Switzerland
United Kingdom

AMERICAS

United States

Second Estimate of GDP for the First Quarter of 2015: FIVE KEY POINTS IN TODAY’S REPORT FROM THE BUREAU OF ECONOMIC ANALYSIS

1. Real gross domestic product (GDP) fell 0.7% at an annual rate in the first quarter of 2015, according to the second estimate from the Bureau of Economic Analysis. The decline follows an increase of 3.6% at an annual rate during the second half of 2014. First-quarter growth was likely affected by a number of factors including especially harsh winter weather in the first quarter (see point 3) and a spike in personal saving (see point 4). A decline in the trade balance was another major contributor, partially reflecting the continued drag on U.S. exports from the slowdown in foreign growth. Indeed, net exports subtracted nearly 2 full percentage points from quarterly GDP growth. Structures investment subtracted about 0.7 percentage point from GDP, likely reflecting reduced oil mining in the wake of last year’s decline in oil prices.

Real private domestic final purchases (PDFP) — the sum of consumption and fixed investment — rose 1.2% at an annual rate in the first quarter, a faster pace than overall GDP. Real PDFP growth is generally a more stable and forward-looking indicator than real GDP, as it excludes volatile components like inventories, net exports, and government spending. PDFP is a better predictor of next-quarter GDP than GDP itself. The year-over-year growth rate of PDFP rose this quarter to 3.4%.

2. The entire downward revision to first-quarter GDP can be accounted for by downward revisions to two especially volatile components of economic output: inventory investment and net exports. Inventories and net exports subtracted a combined 1.1 percentage points from annualized GDP growth relative to the Bureau of Economic Analysis’ first estimate. At the same time, business investment added 0.2 percentage point more than originally estimated. Other small revisions to the contributions of personal consumption expenditures and residential investment offset one another.

3. Over the past decade, first-quarter GDP growth has averaged a considerably slower pace than the other three quarters. Economists have debated whether this gap reflects a problem with the algorithms used to seasonally adjust GDP data (“residual seasonality”), especially harsh winter weather in recent years, or noise. The seasonal adjustment process should remove the growth effects of “normal” winter weather, but particularly harsh winters will still reduce seasonally adjusted output. And weather in the first quarter was especially harsh: Q1 was only the fourth quarter in 60 years on record with three or more snowstorms sufficiently severe to be rated by the National Climatic Data Center’s Northeast Snowfall Impact Scale (NESIS). The historical relationship between weather and first-quarter growth suggests that weather may have reduced annualized growth by about a full percentage point this quarter, and by about 0.6 percentage point on average over the past decade. That effect accounts for much, but not all, of first-quarter underperformance since 2005. (The remaining text is not included in this sample.)

ASIA

India

India, with an expected growth rate of 7.5% this year, is set to surpass China and for the first time is leading the World Bank's growth chart of major economies.

China is projected to grow at 7.1% this year.

Developing countries are now projected to grow by 4.4% this year, with a likely rise to 5.2% in 2016, and 5.4% in 2017, the report said.

In China, the carefully managed slowdown continues, with growth likely to moderate to a still robust 7.1% this year. (The remaining text is not included in this sample.)

EUROPE / AFRICA / MIDDLE EAST

Kyrgyzstan

Kyrgyzstan's economy has demonstrated steady growth in January to May, 2015.

The GDP amounted to 140 billion soms (approximately $2.36 billion) in the first five months of this year, which is up by 6.9% compared to last year.

Inflation ratio rose by 1.2% in the country, according to the head of the statistical information in National Statistical Committee, Chinar Turdubaeva.

The increase in GDP was ensured through the development of service, industry and agriculture sectors.

The service sector had the largest contribution to the GDP, holding over 51% of overall figure. The industry and agriculture sectors held 20 and 9% respectively, while the building sector amounted to 6 percent.

Turdubaeva noted that the industrial production increased by 21.5% to 76 billion soms ($1.29 billion) in this period. (The remaining text is not included in this sample.)

A complete analysis of GDP and monthly updates for individual countries are included as part of Water and Wastewater Treatment Chemicals: World Market

For more information on Water and Wastewater Treatment Chemicals: World Market http://home.mcilvainecompany.com/index.php/markets/27-water/449-n026-water-and-wastewater-treatment-chemicals

OIL & GAS SALES LEADS HEADLINES

June 4, 2015

Oil and Gas Project Tracking is available at a discount to Water & Wastewater Treatment Chemicals World Market subscribers.

Treatment chemicals are an important addition to most oil and gas processes. Access to details on the worldwide oil and gas projects is provided at a substantial discount to Water & Wastewater Treatment Chemicals World Market subscribers.

(Listed by most current date)

KBR Wins Project Management Consultancy Contract for Participation in Russian Refinery Revamp Program

Revision Date: 6/4/2015

YASREF Chooses Intergraph® Solutions for Refinery Project in Saudi Arabia

Revision Date: 6/4/2015

Chevron Completes Flare System Revamp at Cape Town Refinery

Revision Date: 6/3/2015

Russia's Refinery Runs Down 1.2 Pct in April Month-to-month

Revision Date: 6/3/2015

Chevron Seeks to Share $1 Bln South Africa Refinery Cost

Revision Date: 6/3/2015

Jakarta Says Oman to Build Refinery, Petchem Plant in Indonesia

Revision Date: 6/3/2015

Brazil Auditor Blocks Tender for Petrobras-refinery Pipeline

Revision Date: 6/3/2015

PBF Energy Says Toledo FCC to Be Down 2-3 Weeks

Revision Date: 6/3/2015

Innovative Project Execution Solutions Improve Collaboration on Malaysian Mega Project

Revision Date: 6/3/2015

NRL Secures $242 Mln Financing for Projects Upgrade

Revision Date: 6/3/2015

Pemex to Develop $950 Mln Refinery Power Plant with Enel, Abengoa

Revision Date: 6/2/2015

Air Products JV Gets $2 Bln Contract for World's Biggest Industrial Gas Plant

Revision Date: 6/2/2015

Galfar Engineering and Contracting Awarded Duqm Refinery Site Preparation Work

Revision Date: 6/2/2015

Technology from Honeywell's UOP to Run Largest Refinery in Africa

Revision Date: 6/2/2015

India's Numaligarh Refinery Extinguishes Fire in Hydrocracker Unit

Revision Date: 6/2/2015

Chevron Completes $83 Mln Maintenance at South African Oil Refinery

Revision Date: 6/2/2015

Dakota Prairie Refinery Commences Startup Operations

Revision Date: 6/2/2015

American Fuel & Petrochemical Manufacturers Analysis Highlights Refineries' Reduced Emissions

Revision Date: 6/1/2015

EIA Chief Says No Hurry Needed for Lifting Crude Export Ban

Revision Date: 6/1/2015

GM of China's Largest Oil Refiner Sinopec under Investigation

Revision Date: 6/1/2015

New EU Proposal Suggests January 1, 2019 Start for Carbon Market Reform

Revision Date: 6/1/2015

China to Implement Clean Fuel Standards Ahead of Schedule

Revision Date: 6/1/2015

Saras and Rosneft Abandon Plans for Trading Joint Venture

Revision Date: 6/1/2015

Total, Europe's Biggest Oil Refiner Joins Those Predicting End of Boom

Revision Date: 6/1/2015

SENER Signs Contract with Samsung for Modernization of Mexico’s Salamanca Refinery

Revision Date: 5/29/2015

Technip Wins PMC Contract for Basra Refinery Upgrading Project

Revision Date: 5/29/2015

CB&I Awarded Contract for Afipsky Oil Refinery Project in Russia

Revision Date: 5/29/2015

TOTAL to Invest Millions to Upgrade and Transform Loss Making French Refineries

Revision Date: 5/29/2015

EPA to Change Publication for Cellulosic Waiver Credit Program