Water, Wastewater Treatment Chemicals Companies Are Re-Positioning To Take Advantage of a Changing Market

As the $26 billion water and wastewater treatment chemicals market shifts to Asia, international companies are re-positioning to maintain share and offset some of the advantages created for local Asian companies.  These developments are reported in McIlvaine Water and Wastewater Treatment Chemicals: World Market.  (www.mcilvainecompany.com)

The 2015 revenues will increase to $26.4 billion of which more than 50 percent will be generated in Asia.

Wastewater and Water Treatment Revenues ($ Millions)

Top of Form

Globalization of the industry includes expansion by Japanese companies into the international market. Kurita Water Industries has purchased APW, the water treatment business owned by Israel-based manufacturer ICL Israel Chemical Ltd (ICL.TA) for €250 million ($316.94 million),

The transaction, expected to be completed by the end of the year, will help Kurita expand into European markets and also fits with ICL's plan to spin off non-core assets.

Finnish company, Kemira, has opened its biggest water treatment chemicals manufacturing plant at Dormagen (Germany).  “Kemira is the market leader in chemical treatment of raw and wastewater in the developed markets.  Our Dormagen plant will help us sustain this leadership position in Europe. This plant is also an example of our continuous efforts in improving the resource efficiency of our production plants and operations. It will operate on 100 percent recycled hydrochloric acid, supplied by the TDI-plant of Bayer MaterialScience, from which we manufacture specific water chemicals used successfully in municipal and industrial water treatment applications. This will secure Kemira’s long-term, cost-efficient access to this key raw material used in coagulant manufacturing,” said Jari Rosendal, President and CEO, Kemira.

The clear benefits that the Dormagen location brings are explained by Frank Wegener, Managing Director of Kemira Germany GmbH, "In addition to well-established site infrastructure, including the high standard of safety and protection due to the plant design and plant fire brigade, Kemira highly values the optimal transport connections and proximity to our markets in the Benelux countries, Germany and parts of France. Chempark Dormagen is very centrally located and offers us all opportunities to carry our product optimally, presently by truck and, looking ahead, also by rail tank cars.”

OCI Company Ltd., the world's leading manufacturer of solar-grade polysilicon and other chemical products, has disposed of its wastewater treatment unit as part of an effort to improve its financial standing due to the downturn in the solar business. The environmental chemical 50:50 joint venture OCI-SNF was sold to the French partner SNF at the cost of 95.7 billion won.

Established in 1998 jointly with SNF of France that was a dominant player in the world's flocculant (or polymer coagulant) market, OCI-SNF currently accounts for 60 percent of Korea's market and posted 160.2 billion won in sales revenue on 17.4 billion won operating profit last year.

The U.K.’s leading advanced anaerobic digestion and integrated biogas-to-energy businesses with over 200 installed anaerobic digestion systems, Monsal has particular expertise in optimizing anaerobic digestion assets to create strategic renewable energy centers for the water and waste markets.

Clariant, a company dealing with specialty chemicals, announced that it has closed the sale of its water treatment business in Africa to AECI, domiciled in South Africa. The total value of the divestment amounts to CHF 34 million in cash at closing. The transaction was subject to certain precedent conditions, as well as regulatory approvals.

AECI is an explosive and specialty chemicals group domiciled in South Africa and its businesses are characterized by application know-how and service delivery in many African countries.  It already has a footprint in the industrial water and municipal and wastewater markets in South Africa, supplying a total water solution to its customers.

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

Desalination Will Account For 35 Percent of Membrane Use Next Year

Sales of membrane systems and modules for desalination will account for 35 percent of the $11 billion cross-flow membrane market next year according to the latest updates in the McIlvaine RO, UF, MF World Market.  (www.mcilvainecompany.com)

Desalination is becoming more economical as larger modules and more efficient filtration are being implemented.

Ultrafiltration membrane pre-filter systems are now increasingly used in conjunction with the final reverse osmosis (RO) systems.  One recent example is an order to BASF subsidiary inge GmbH to supply more than 4000 T-Rack 3.0 series ultrafiltration (UF) modules for a desalination plant in Jamnagar, India. The inge modules will provide 450,000 cubic metres of pretreated water per day to one of India’s largest oil refineries.

Research and development continues.  Longer term an expensive compound called Graphene could make desalination highly affordable.  Graphene behaves strangely around water. Water can pass through it, but almost nothing else can.  (Lockheed claims a Graphene filter would reduce energy costs of reverse osmosis desalination by 99 percent).

Water reuse is another factor in the high growth rate of the cross-flow membrane industry. The Middle East now realizes that the 40 percent of treated sewage wastewater that flows into the seas could be economically and efficiently reused.

A very large market is developing due to water requirements for conversion of coal to fuels, chemicals and synthetic natural gas.  A huge program in Western and Northern China will convert 15 percent of the world’s annual coal production into gasoline, fertilizer, methanol and substitute natural gas.  The worldwide environmental concerns about the water implications of this initiative are being met by a plan to maximize water reuse.

Korea and other Asian countries are closely watching the Chinese program.  Ukraine is moving forward with two large plants to counter the threats of reduced gas suppliers from Russia.

For more information on RO, UF, MF World Market, click on:  http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/120-n020

Filter Media Sales to Exceed $12 Billion Next Year

Sales of non-woven, woven and membrane filter media will exceed $12 billion in 2015. This is the conclusion reached by the McIlvaine Company by aggregating forecasts in multiple reports.  (www.mcilvainecompany.com)

The market can be divided into six $2 billion segments. Air filtration includes residential, commercial and industrial HVAC filters and inlet filters to gas turbines.  Fabric filters involves separation of dust from stack gases.  It is distinguished from air filtration by the higher dust loads and the inclusion of media cleaning.  Cartridge filters are purifying liquids and are distinguished from cross-flow membranes by the fact that they are dead-end.  All the liquid flows through the cartridge. Cross-flow membranes reject a portion of the liquid and, thereby, provide a mechanism for keeping the surface clean.

Other applications of filter media have been aggregated to provide $2 billion segments.  They include media used in liquid macrofiltration.  This media is used in filter presses and bag filters.  This segment also includes respirator media.

There are many innovations which are impacting the market potential as well as the competitive dynamics.  Nanotechnology is playing a big role and promises to become increasingly important. Membrane developments will contribute to a high growth rate for desalination.

A brief coverage of all these technologies is found in:
N064 Air/Gas/Water/Fluid Treatment and Control: World Market.

Specific forecasts are found in:

N021 World Fabric Filter and Element Market

N022 Air Filtration and Purification World Market

N024 Cartridge Filters: World Market

N020 RO, UF, MF World Market

Headlines for Utility E-Alert – November 7, 2014         

UTILITY E-ALERT    

 #1199 – November 7, 2014     

Table of Contents

COAL – US

• Court affirms Minnesota decision on New Air Controls for Boswell 4

COAL – WORLD

• BHEL wins Rs 220 crore Order for ESP Package for Darlipali Power Project in Odisha
• Orascom Construction to build $2.5 Billion Coal-fired Power Station
• Hamon awarded Vinh Tan 4 ESP Project
• CEZ to temporarily close Bulgarian Coal-fired Power Plant

 GAS/OIL – US

§  Three New Gas-fired Power Plants planned for Pennsylvania

§  Plans for Middletown Natural Gas-fired Power Plant go forward

§  AES wins Long-term Contracts totaling 1,384 MW by providing Innovative Energy Solutions to help meet California’s Electricity Needs

§  Construction begins on New NRG Natural Gas Peaking Plant near Houston

 CO₂

§  Martinlaakso Power Plant in Finland receives Energy Authority approval for an Innovative Solution

BIOMASS

§  Metso to supply an Innovative Superheater Corrosion Management Solution to TAURON Cieplo's Tychy CHP Power Plant in Poland

NUCLEAR

• Westinghouse to Supply Advanced Safety System to Ukraine Nuclear Power Plants
• Ameren makes $150 Million improvement to Nuclear Power Plant

BUSINESS

§  Wisconsin Energy willing to invest in New UP Gas-fired Power Plant

§  B&W announces intention to spin off its Power Generation Business

§  Dominion Virginia Power seeks bids for 1,600 MW of Intermediate or Base Load Power Generation

§  Particulate Air Pollution Definitions and Goals Keep Changing

§  CIS Industrial Valve Purchases to Reach $4 Billion/yr By 2015

§  NASDAQ Hearings Panel grants Advanced Emissions Solutions request to extend stay of their delisting of Company’s Common Stock pending determination of Panel’s Final Determination

HOT TOPIC HOUR

§  NO_x innovations were discussed in Hot Topic Hour Yesterday

§  “Power Plant Cooling” is the Hot Topic Hour on November 13, 2014

§  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 10:00 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   

----------

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