FABRIC
FILTER       NEWSLETTER 

 

March, 2020
No. 533

MARKETS

 

BIOMASS

 

INDUSTRIAL AIR

 

COMPANY NEWS

 

PRODUCT NEWS

 

MARKETS

Holistic Non-Woven Filtration Media Program

The challenge for non-woven filter media suppliers is that their place in the supply chain is remote to the end user. They cannot hear the voice of the customer. The media can be a minor investment such as in a high-pressure lube filter. But in the case of fabric filter media for dry scrubbers it can exceed the equipment investment.  New applications such as replacement of resins in biopharma chromatography, could result in non-wovens investment which is considerably greater than the vessel which contains it. In fact, with single use systems and a plastic rather than stainless vessel the media becomes the main investment.

The non-wovens media companies have both the size and attractive ROI potential to not only seek the voice of the customer but create a solution for them which meets the ever-changing needs.

The McIlvaine holistic program for non-woven media suppliers includes;

There is a large potential for higher performance particulate filters based on the ability for inexpensive sensors to continuously monitor contaminants such as PM 2.5. In fact some office buildings in China have continuous displays.

The need for gas phase removal is growing as well. Lydall, for example, has developed laminates with absorptive layers. So, the office building of the future can be displaying levels of particulate, formaldehyde and other air borne contaminants.

The coronavirus may turn out to be periodic as is swine flu and require who new permanent filtration concepts.

There is a big potential in the booming biopharmaceutical industry. Cost effective single use filters need to be developed. There is a big potential for non-wovens to replace resins in chromatography. Ruben Carbonell, Ph.D., chief technology officer, NIIMBL points toward large-scale biological product capture at a low cost with nonwovens. Requirements for such applications include: 

With the rapid growth in gene therapy, the need for single use filters and the expansion of product scope this market could rise to several hundred million dollars per year for non-wovens suppliers.

There is even a bigger market potential in the Opportunistic Biomass - CCS Program is the Route chosen by the UK and Japan

This compromise climate change program will rely on solid fuel boilers converted to biomass firing with CO2 sequestration.  This cycle removes CO2 from the atmosphere and is therefore the greenest power option.  Particulate and acid gases can be removed in a dry-scrubber fabric filter. A downstream scrubber captures the CO2.  The market for non-woven fabrics is potentially over $5 billion per year.  It rests in part on what McIlvaine calls bag cleaning in the FIFO vs traditional LIFO mode. When both particulate and acid gases are removed in the filter the first-in lime needs to be removed when it is reacted. Media suppliers have to work with equipment companies to improve the cleaning process without impacting filter life or performance.

There is a $ billion market in catalytic filter media.  FLSmidth has a fiberglass media with embedded catalyst. The result is one unit for NOx and particulate control instead of two. A high temperature ceramic candle which is offered by the partnership of Haldor Topsoe and FLSmidth can provide heat recovery along with acid gas, NOx and particulate removal.

McIlvaine Company is involved with the complete range of flow and treat products and systems for industrial, commercial, residential and mobile applications. It is therefore in a unique position to assist non-woven media suppliers

For more information on the Holistic Non-Woven Filtration Media Supplier Initiative contact Bob McIlvaine, Email: rmcilvaine@mcilvainecompany.com, Phone 847 784 0013

Air Filter Market - Short Term and Permanent Impact of Coronavirus

Sales and prices of air filters have soared in the last two months. Suppliers need guidance as to when the sales will peak and what will be the permanent impact on the air filter industry. This virus is communicated through the air for days by victims who are initially asymptomatic. Mortality rates are ten times higher than with the 2009-10 event. The combination is very potent.

The coronavirus is being compared to 9/11.  The reaction to this event which killed 3000 people was to spend trillions of dollars to make sure it will never happen again. A Bloomberg estimate on March 6 that this pandemic will cost the world economy $2.7 trillion needs to be revised based on the acceleration of economic impacts just in the last week.

The emotional impact is proving to be even greater than the economic. The cancellation of national sports events, schools, conferences and even travel between countries will have a lasting effect. 

The result is likely to be a demand for air purification improvements and willingness to pay the price. The image of waiting rooms with no protection against virus transmission will influence purchase decisions for decades. The findings of various research institutions that the coronavirus can travel through HVAC ductwork will influence decisions for air filter selection in commercial, industrial and even residential buildings.

The 14-day self-isolation will lead to robust room purifiers in multifamily dwellings to avoid repetition of the Diamond Princess experience. Creative thinking will even lead to renting of room purifiers for the isolation period.

The pandemic will lead to greater focus on formaldehyde and other organic gases. Already in China there is a willingness to invest in high efficiency filters just to purify the building intake air.  Monitors inside commercial and government buildings have electronic continuous displays of PM 2.5 levels. New low-cost multi-metal analyzers can alert communities of spikes in toxic metal concentrations (e.g. lead in St Louis). These measurements will spur filter investment.

The McIlvaine Air Filtration and Purification report is providing continuing assessment of all the developments and revising market forecasts accordingly. There are Updates and client briefings Air Filtration Coronavirus Alert - March 12, 2020

The  continuing assessment of the coronavirus will be similar to the one for gas turbine inlet filters which is also addressed in the service See Example

Details on the report are found at http://home.mcilvainecompany.com/index.php/markets/air/n022-air-filtration-and-purification-world-market

You can view a presentation on the report at: https://youtu.be/b182d30y9SE

A similar initiative on masks and respirators is detailed at http://home.mcilvainecompany.com/index.php/markets/air/n7f-masks-respirators-world-markets

Bob McIlvaine can answer your questions at 847 226 2391 or rmcilvaine@mcilvainecompany.com

BIOMASS

GE supplying Steam Technology for High Efficiency Biomass Power Plant in Japan

GE announced that it will provide its renewable steam technology for the high efficiency Kamisu Biomass Power Generation plant in Japan. In a deal signed with Hitachi Zosen Corporation, acting as the project’s engineering, procurement and construction (EPC) contractor, GE Steam Power will design, manufacture and supply all core components of the power block for the project through an integrated power package including the steam turbine generator as well as the boiler with its air quality control systems.  

Located in Kamisu City, Ibaraki Prefecture in Japan, the Kamisu Biomass Power Generation plant will use 100 percent biomass comprised of palm kernel shells and wood pellets to generate 50 megawatts (MW) of reliable and dependable power to the national grid. The plant will be equipped with GE’s low-NOx circulating fluidized bed (CFB) boiler, a high-efficiency dust-removal fabric filter and a reheat steam turbine with its generator. 

“GE Steam Power’s involvement in the Kamisu Biomass Power Generation project demonstrates our commitment to applying proven steam power technology to lower carbon uses and supporting the use of more renewable fuel sources like biomass,” said Michael Keroulle, CEO of GE Steam Power. “Building on our proven track record of delivering steam power technology and project management capabilities for plants around the world, our integrated offering will help Hitachi Zosen achieve its high efficiency and reliability performance low-carbon objectives.” The plant is scheduled to start commercial operation in July 2023.

INDUSTRIAL AIR

Ensuring Clean Air in an Industrial Workplace

Having clean air in the factory or workshop is a must for companies who wish to stay attractive and competitive. Nederman points out that clean air in industrial environments has gone from being an apparent contradiction to becoming a convenient, cost-saving reality, with numerous benefits to personnel, productivity, and company brand.

Every company has its core focus, and that focus is rarely clean air. That in itself is not a problem. Even so, it is important to realize that having clean air in the production facility, service station, workshop or laboratory will benefit key aspects of a business. These benefits are many and considerable:

Just like a vacuum cleaner with a full dust bag will not work at full capacity, extraction equipment and air filtration systems need to be checked and maintained in order to function as intended. Regardless of whether this work is carried out by a company’s own service technicians or by an external partner, it is essential that those who do the maintenance have a genuine knowledge of the application. It cannot be considered a mere sanitary procedure that can be taken care of by, say, a cleaning company. 

Instruction manuals and operation directives need to be followed at all times. In the event of a repair, always try to use equipment and spare parts from the system manufacturer. And, very importantly, make sure that there are proper industrial housekeeping routines in place, and that these routines are followed.

Nederman provides a checklist for maintaining clean air in an industrial workplace.

What potential risks may cause the air quality in your factory or workshop to deteriorate? How can these risks be removed or minimized? Below is a list of some of the most important factors to consider:

IIoT (Industrial Internet of Things) technology facilitates supervision of filtration system performance and air quality. One of the best and most convenient ways of making sure that particulate filters are working as they should, is by installing a filter performance monitoring system connected to the Internet; essentially, to make the filters smart. These IIoT systems collect data about an air filter and its performance, providing the operator with lots of useful information. Information that, in turn, is presented in an intuitive and illuminating way, and that can be read and analyzed on a smartphone or tablet.

Energy consumption can be tracked and measured, maintenance needs can be predicted with greater ease, unnecessary downtime can be avoided, and operators can examine filters without having to access them physically. In other words, having continuous access to the filtration system data saves a lot of time, money and resources. Nederman is working with a wide variety of industries and applications, including robotic welding, vehicle exhaust extraction, additive manufacturing, and tobacco and food production.

Efficient Filtration of Vapors and Odors during Bonding Processes

The ACD 1200 extraction and filtration system from ULT AG efficiently removes hazardous pollutants from the ambient air during gluing processes.

Available in three performance versions between 1,000 and 1,500 m³/h air flow, the unit can be utilized both mobile and stationary.

Bonding processes are increasingly applied in manufacturing industries. The ACD 1200 is particularly suitable for the extraction of vapors, gases and odors, which occur in gluing, laminating, coating, molding or cleaning processes.

Harmful air pollutants are exhausted via capturing elements (extraction arms, hoses, etc.) directly at their source and separated by several filtration stages. A combination of coarse dust pre-filters, compliant with DIN EN 779, and two adsorption filters (activated carbon) provides high separation rates. The cleaned air can be fed back to the working environment.

Thanks to pre-mounted castors, the robustly constructed ACD 1200 extraction system can be flexibly utilized at changing or different workplaces. Optionally, the integration of a digital system control is possible. The unit can additionally be operated automatically in connection with external production or processing machinery.

The ACD 1200 is also available in Ex-version for flammable air-gas-mixtures.

COMPANY NEWS

Donaldson Company Reports Operating Margin grew 0.7 Percentage Points in Second Quarter, driven by Strong Gross Margin

Donaldson Company, Inc. reported second quarter 2020 net earnings of $64.4 million, an increase of 7.2 percent from the prior year net earnings of $60.1 million. Second quarter 2020 GAAP EPS increased 8.7 percent to $0.50 from $0.46 in the prior year.

“Strong gross margin performance and disciplined expense management contributed to record second quarter net income, despite a softer-than-expected demand environment,” said Tod Carpenter, chairman, president and chief executive officer. “Our margin expansion initiatives mitigated the profit impact from lower sales of new equipment and replacement parts, and favorability in non-operating income, and we delivered a second quarter EPS increase of nearly 9 percent.

“Our revised 2020 forecast anticipates additional sales pressure from a customer base that is increasingly cautious, due in part to the recent coronavirus outbreak. As we navigate the complexities created by the outbreak, we have an unwavering focus on the health and safety of our employees, and teams across the world are showing an incredible level of coordination and collaboration. While broad-based geopolitical and economic uncertainty creates short-term headwinds, we remain focused on executing our long-term strategic priorities.

“The recently announced potential divestiture of our Exhaust and Emissions business aligns with our commitment to pursuing opportunities where we believe we offer a distinct competitive advantage, and we are continuing to invest in driving our Advance and Accelerate portfolio. We expect these investments will drive strong growth in businesses that expand our access to new markets, like Process Filtration and Venting Solutions. Additionally, our optimization projects related to production, supply chain, procurement and pricing are building momentum, and we expect notable gross margin expansion this fiscal year. As we navigate this dynamic environment, I am confident that our ongoing commitment to driving innovation, growing market share and strengthening our profit structure will continue to create value for all our stakeholders.”

Operating Results

Second quarter 2020 sales declined 5.9 percent to $662.0 million from $703.7 million in 2019. The decline was driven primarily by lower unit volume, combined with a negative impact of 0.6 percent from currency translation, partially offset by pricing benefits of approximately 0.7 percent.

Second quarter 2020 sales of Industrial Products declined 3.5 percent, or 3.4 percent excluding the impact from currency translation. The decline was driven primarily by lower unit volume, partially offset by pricing benefits of approximately 0.2 percent. Industrial Filtration Solutions (“IFS”) sales declined due to lower sales of new equipment and replacement parts for dust collectors, due in part to a strong comparison in the prior year. This decline was partially offset by strong growth in sales of Process Filtration. The Gas Turbine Systems (“GTS”) sales decline was driven by lower sales of new equipment and replacement parts, primarily in the U.S. and Europe. The sales increase in Special Applications (“SA”) was driven primarily by higher sales of Disk Drive filters, and sales of Integrated Venting Solutions also had a strong increase.

Donaldson’s second quarter 2020 earnings before interest, taxes, depreciation and amortization (“EBITDA”) rate of sales increased 1.5 percentage points to 16.5 percent, compared with 15.0 percent in 2019. Including the 0.5 percentage point impact from higher depreciation and amortization expense, which relate to Donaldson’s capacity expansion and supply chain optimization efforts, second quarter 2020 operating income as a rate of sales (“operating margin”) increased to 12.8 percent from 12.1 percent in 2019.

Second quarter 2020 gross margin increased 1.7 percentage points to 33.7 percent from 32.0 percent in 2019. The gross margin increase was primarily driven by the Company’s initiatives related to production, supply chain, procurement and pricing optimization. Gross margin also benefited from a favorable mix of sales and lower raw materials costs, partially offset by a loss of leverage on lower sales. Donaldson’s second quarter operating expense as a rate of sales increased to 21.0 percent from 19.9 percent last year, reflecting loss of leverage on lower sales and continued investments in support of Donaldson’s strategic growth initiatives.

CECO’s Solid Fourth Quarter and Second Half Results Demonstrate Progress in 2019

CECO Environmental Corp. reported its financial results for the fourth quarter and full year of 2019.

Highlights of the Fourth Quarter 2019*

Highlights of the Full Year 2019*

* All comparisons are versus the comparable prior-year period, which include results from divestitures, unless otherwise stated.

CECO's Chief Executive Officer Dennis Sadlowski commented, "Our fourth quarter profitability was a testament to the continued progress we are making.  We delivered 11.3% EBITDA margins on $89 million revenue as we accelerated out of the second half of 2019.  New orders of $68 million in the quarter were below our strong 2019 trend but we continued to see a growing pipeline of opportunities across our served market segments."

Mr. Sadlowski added, "We are confident that the execution of our 4-3-3 strategic blueprint over the past two years has put CECO on the right path to accelerate growth.  Over that period, our investment of $15 million in people and technology have helped to generate 29% growth in organic orders, an increase of $86 million, with revenue tracking up 10%. We will continue to make ongoing investments to generate above market growth that drives top tier returns for our shareholders while addressing earth's sustainability needs."

Fourth Quarter Results

Revenue in the fourth quarter of 2019 was $89.4 million, down 4.7% from $93.9 million in the prior-year period.

Operating income was $7.0 million (margin) for the fourth quarter of 2019, up $1.3 million or 22.6%, from $5.7 (margin) million in the prior-year period. Non-GAAP operating income was $9.6 million for the fourth quarter of 2019 (10.8% margin), compared with $8.4 million in the prior-year period (9.0% margin).

Net income was $8.4 million for the fourth quarter of 2019, compared with $0.9 million in the prior-year period. Net income on a non-GAAP basis was $9.6 million for the fourth quarter of 2019, compared with $3.0 million in the prior-year period. In the fourth quarter of 2019, both net income and net income on a Non-GAAP basis were favorably impacted by the following tax related items: $1.2 million in research and development credits, $1.1 million tax benefit for additional corporate expense deductions, and $0.7 million for yearend finalization of state apportionment.

Net earnings per diluted share was $0.24 for the fourth quarter of 2019, compared with $0.03 in the prior-year period. Non-GAAP earnings per diluted share was $0.27 for the fourth quarter of 2019, compared with $0.08 for the prior-year period.

Cash and cash equivalents were $35.6 million and bank debt was $67.3 million as of December 31, 2019, compared with $43.7 million and $76.1 million, respectively, as of December 31, 2018.

B&W expects to Report a Return to Profitability on a GAAP Consolidated Operating Income Basis for Fourth Quarter 2019

B&W anticipates it will report fourth quarter 2019 GAAP operating income from continuing operations in the range of $8.2 million to $10.2 million, returning to profitability on a GAAP income basis for the quarter for the first time since the third quarter of 2016. The company expects to report adjusted EBITDA in the range of positive $17.5 million to $19.5 million for the fourth quarter of 2019.

For 2019, the company anticipates it will report full-year GAAP operating loss in the range of $31.7 million to $29.2 million and adjusted EBITDA in the range of positive $31.0 million to $33.5 million, returning to full-year profitability on an adjusted EBITDA basis.

The company anticipates the first quarter of 2020 will be profitable on a GAAP operating income and adjusted EBITDA basis.

Nelson Global Products announces Binding Offer to Purchase Exhaust and Emissions Business from Donaldson Company

Nelson Global Products Inc., a leader in the design and manufacture of thermal management, acoustic, air and fluid mechanics, and structural solutions, has signed a binding offer to purchase Donaldson Company Inc.’s Exhaust and Emissions (“E&E”) business.

“This acquisition will strengthen Nelson’s position in the global on-highway, off-highway and industrial markets as a comprehensive emission systems supplier, enhancing the value we provide our customers,” stated Steve Scgalski, Chief Executive Officer of Nelson.

Nelson is a global leader serving the on-highway, off-highway, industrial, and powersports markets in North America, India, Brazil, China, and Australia. Donaldson’s Exhaust & Emissions business serves the off-highway, on-highway, and industrial markets in the United States and Europe. The E&E business has impressive Aftertreatment technology and products along with strong OE and Aftermarket customer relationships. The addition of European manufacturing and advanced emissions technology will benefit Nelson’s current customers who seek a global emissions partner. Nelson’s complimentary product offerings and global footprint will allow E&E customers to source integrated systems capable of meeting globally cascading and increasingly stringent emissions requirements.

Donaldson’s E&E business includes manufacturing facilities in Auburn, Alabama, Domjean, France, and Conde-sur-Noireau, France, and laboratory facilities in Bloomington, Minnesota and Leuven, Belgium.

Donaldson will engage in a consultation with its employee representative committees in Europe to review Nelson’s offer. Pending completion of the consultation process, the parties’ entry into the purchase agreement and satisfaction of closing conditions and necessary approvals, the transition is expected to close in the coming months.

PRODUCT NEWS

Parker Hannifin Announces a New Pleated Filter for Dust Collection 

The Industrial Gas Filtration and Generation Division of Parker Hannifin Corporation, a global leader in motion and control technologies, announced the launch of ProTura® SB Nano Pleated Filters, a dust collection filter used in a variety of demanding applications.

The ProTura® SB Nano Pleated Filters use the most advanced nanofiber filtration technology. ProTura SB is a 100% synthetic base media with a proprietary nanofiber layer applied to the collection surface that’s ready to take on the most demanding applications.

The BHA product portfolio now encompasses two filter types that leverage SB Nano coating which is proven to increase filter life when compared with filters using spunbond polyester filter media. Customers will also achieve higher efficiency and greater energy savings with lower average differential pressure over the life of the filter. The nanofiber layer in this pleated filter is durable against abrasive particulate.

“Our goal is to continue to develop superior, quality products that improve our customer’s baghouse performance and deliver value, such as longer filter life,” said David Collison, Business Unit Manager, Industrial Gas Filtration and Generation Division. “We have pleated and cartridge ProTura SB Nano filters and we will launch two more brand new, state-of-the-art filters yet this year.”

The ProTura SB Nano filters, both pleated and cartridge will be manufactured at one of Parker’s Industrial Gas Filtration and Generation Division locations in Slater, MO.

Filter Media for Fine Particles

In a speech planned for the canceled World Filtration Conference Uwe Schneider of Gebr. Roeders AG described a new filter material.

Fine particles are more and more in discussion today. In filtration, it is important to keep these particles at the surface of the dust side. Roeders has developed a filter material with a yellow PTFE coating that is different from membranes.

The main advantage is the high air permeability of the coating, named FUTUR, at 150 l/dm² x min combined with a perfect surface filtration even for fine particles. Due to the changed structure, the mechanical stability is much higher than membranes.

In a laboratory test they compared PES-needle felts with PTFE membrane, FUTUR coating and a similar product without coating. The air permeability of the product with PTFE membrane was at 50l/dm² x min, the other products were measured with 155 and 164 l/dm² x min.

The measured clean gas concentration of the FUTUR coated product at 0.42mg/m³ was near to the material with PTFE membrane (0.25 mg/m³). Tests in real applications showed a perfect surface filtration even with fine particles. A reference is the filtration of superabsorbent particles where the application of FUTUR coated material could increase the lifetime of the filter elements from some months to more than two years.

Donaldson Expands iCue™ Connected Filtration Service to Europe

Donaldson Company, Inc., a leading worldwide manufacturer of filtration systems and solutions, announced the expansion of the Donaldson iCue™ connected filtration service to Europe. The service monitors industrial dust collectors in real time to help facility teams improve dust collection management.

Early adopters of the iCue service, which was launched in September 2019 in North America, have reported benefits in three main categories:

Based on research Donaldson has performed, 65 percent of surveyed facilities reported they would experience production downtime if their collector failed due to maintenance oversights. “Dust collection systems play an important role in helping manage airborne contaminants and emissions,” said Bart Robbeets, Sales Director of Industrial Air Filtration – After Market of Donaldson Europe & Middle East. “The iCue service provides real-time insights that can help facility teams troubleshoot issues earlier and keep a collector up and running. This added intelligence helps our customers drive efficiency, reduce costs, and improve their production uptime.”

The iCue connected filtration service monitors key operating metrics on a dust collector, with additional sensors available to meet specific needs. Users have access to service features that include:

“Facility managers tell us that actively monitoring their dust collectors’ performance is a challenge, in terms of both time and technical knowledge,” said Wade Wessels, Global Director of Connected Solutions with Donaldson. “Our iCue service automates monitoring and provides simple, actionable data that helps our customers manage their equipment with confidence and ease.”

The compact iCue device and wireless connection is simple to install, requires no IT integration with an internal automation network, and is compatible with major dust collector brands. An annual subscription includes hardware, automated reports, real-time maintenance alerts, and an online interface for more detailed analysis.

 

Back to Fabric Filter Newsletter No. 533 Table of Contents