Abstract
Natural gas from shale (shale gas) is the fastest growing source of gas in the
United States and Canada.
In the United States, shale gas production increased at an annual rate of 48%
in recent years (2006-2010). In 2010, 23% of all gas produced in the United
Stated originated from shale deposits.
Industry analysts project that the growing trend in shale gas production is
very likely to continue and by 2020 shale gas production may even reach 12.6
Tcf per annum.
The significant resources of shale gas and the increasing production in North
America will allow the United States and Canada to feed their nationwide
hunger for natural gas.
Rapidly developing shale gas production will require additional processing
capacity. Gas processing is necessary to transform raw gas into a pipeline
quality product that can be transported to marketers and end-users. An extra
layer of infrastructure is required to treat and transport natural gas liquids
in addition to dry gas.
Inadequate processing equipment could lead to price instability, a slow-down
of economic growth and a reduction in the delivery of natural gas to end-users.
Shale gas producers and midstream operators have recognized this opportunity
and several gas processing facilities have mushroomed in shale plays areas.
Numerous new projects have been announced for the upcoming years. But the
potential for shale gas processing equipment and the components market is much
greater.
To keep up with the growing shale gas production, over 10 billion cubic feet
per day (Bcf/d) of additional processing capacity is necessary by 2015 in the
shale plays regions. The estimated capital cost for investments in gas
processing infrastructure is about $8.5 billion in 2010 dollars.
By 2020, gas processing capacity requirements will increase to over 18 Bcf/d.
In total, the industry investments in gas processing facilities are estimated
at $14.7 billion in 2010 dollars for the 2011- 2020 period. A significant
percentage of that sum will be invested directly in gas processing equipment
and components.
This Report contains comprehensive data on the gas processing equipment and
components market including historical data (2006-2010) and 2011-2020 forecast
for the market size in terms of dollars invested in new infrastructure and in
gas processing equipment alone. The study identifies the key trends affecting
the marketplace, while profiling major manufacturers and product end-users
(gas processing operators).
Report Methodology
The information in Shale Processing Equipment and Components Manufacturing
Market Worldwide is based on primary and secondary research.
The primary research involved collecting information from companies
participating in the market and analysts for the natural gas industry to
recognize to main factors influencing the market, its major challenges and
opportunities. It also included consultations with gas technology specialists
to get insight in the latest advancements in natural gas processing
The secondary research consisted of gathering data from government and
industry publications, trade associations, business journals, company
websites, annual corporate reports and other relevant sources. The primary
sources were the U.S. Energy Information Administration, the U.S. Geological
Survey, the Gas Processors Association, the Gas Technology Institute and the
Interstate Natural Gas Association of America.
What You' ll Get in this Report
Global Shale Processing Equipment and Components Manufacturing Market provides
a comprehensive overview on the past, current and prospectus markets for
natural gas processing equipment and components in the main active shale plays
in the United States and Canada. The prospectus for industry developments
outside North America are also outlined and discussed.
The Report presents the main characteristics of raw gas shale composition and
processing requirements. The main steps of shale gas processing are detailed
along with the equipment involved in the process.
The industry expenditures on gas processing equipment in shale plays for the
period 2006-2010 are provided along with 2011-2020 forecast for investments in
the relevant infrastructure.
The main active shale plays are characterized in terms of shale gas reserves,
current production and processing capacities along with the main gas
processing operators in the region. The Report provided information on the
recent investments in gas processing infrastructure for each shale play region
and all anticipated projects.
The Report includes a discussion on the main trends shaping the market, based
on the most recent available information and data.
A wide range of the market participants are profiled. The main companies
investing in gas processing infrastructure in shale regions are also reported,
with their recent and planned investments.
How You' ll Benefit from this Report
If you are a gas processing equipment manufacturer, the study will help you to
assess your position versus other market participants. It will provide you
with up-to-date information on your competitors' business structure, product
portfolio and clients, offering you invaluable aid in preparing an effective
business strategy.
If you are a gas processing operator, the report will provide you with
comprehensive information on equipment and components providers and will help
you choose the suppliers best-suited to your business needs.
If you are examining investment opportunities in gas processing equipment and
components market, the report will offer you a complete outlook on the current
market size, diversification and main trends, based on the contemporary data.
It will enhance your decision-making capabilities and help you identify the
best investment prospectus.
This report will also help:
- Marketing managers identify market opportunities and develop targeted
promotion plans for shale gas processing equipment and components.
- Research and development professionals stay on top of competitor
initiatives and explore demand for shale gas processing equipment and
components.
- Advertising agencies working with gas processing manufacturers to
understand the product buyer to develop messages and images that compel shale
gas producers and midstream operators to buy their products.
- Business development executives understand the dynamics of the market and
identify possible partnerships.
- Information and research center librarians provide market researchers,
brand and product managers and other colleagues with the vital information
they need to do their jobs more effectively.
Table of Contents
Chapter 1: Executive Summary
- Report Summary
- Global Market for Shale Gas Processing Equipment, Demand Drivers and
Inhibitors
- Figure 1-1. Shale Gas Production in the United States 2006-2010
- Figure 1-2. Projected Gas Processing Capacity Additions 2011-2020
(cumulative from 2010)
- In 2010 over $7.7 Billion was invested in Shale Gas Processing
Infrastructure
- Figure 1-3. Shale Gas Processing Capacity Additions 2006-2010
- Shale Gas Processing Technologies and Equipment
- Figure 1-4. Gas Processing Scheme (simplified)
- Global Market for Shale Gas Processing Equipment and Components 2006-2010
- Figure 1-5. Distribution of Cost Components for Gas Processing
Facilities - Amine treating, Dehydration, Sulfur Recovery
- Figure 1-6. Distribution of Cost Components for Gas Processing
Facilities - NGLs Recovery
- Table 1-1. Global Annual Expenditures on Shale Gas Processing Plants
Subcomponents 2006-2010 (in million 2010 $)
- Market Participants and Products End-users
- Shale Gas Production in North America Will Reach 12.6 Tcf in 2020
- Figure 1-6. EIA Projections on Shale Gas Production in the United States
2011-2020
- Report Scope
- Report Format
- Report Methodology
- Abbreviations and Definitions
- Table 1-1. Abbreviations Utilized in Report
Chapter 2: Natural Gas Processing Technologies and Equipment
- Raw Natural Gas Composition
- Table 2-1. Typical Raw Gas Composition
- Quality Requirements for Gas Transportation
- United States
- Table 2-2. Selected U.S. Natural Gas Transmission Pipeline' s General
Terms and Conditions on Gas Quality
- Table 2-3. Representative Pipeline Quality Natural Gas in the United
States
- European Union
- Other Countries
- Stages in the Production of Pipeline Quality Natural Gas and Associated
Products
- Oil and Condensate Removal
- Figure 2-1. Gas Processing Scheme (simplified)
- Water Removal (Dehydration)
- Glycol Dehydration
- Solid-Desiccant Dehydration
- Mercury Removal
- Sulfur and Carbon Dioxide Removal (Gas Sweetening)
- Nitrogen Extraction (Rejection)
- Cryogenic Systems
- Solvent Recovery
- Figure 2-02. Nitrogen Rejection/NGLs Recovery Process Scheme
- Pressure Swing Adsorption (PSA)
- NGLs Extraction
- Absorption
- Cryogenic Expansion
- NGLs Fractionation
- Figure 2-3. Turboexpander
- Figure 2-4. Scheme of Petrogas Model TE Turboexpander
- Tab. 2-4. NGLs Products and Markets
- Other Key Byproducts of Natural Gas Processing
- Helium
- Carbon dioxide
- Hydrogen sulfide
- Shale Gas Composition
- Table 2-5. Typical Marcellus Shale Gas Composition vs. Typical Pipeline
Quality Gas Composition
- Innovations in Gas Processing Technologies
- MorphysorbR
- Controlled Freeze Zone ™
- R-BTEXR
- Figure 2-5. R-BTEX Process Scheme
- Separex™
- Gas/liquid Membranes for Acid Gas Removal and Dehydration
- UCARSOL™ Shale H-100
Chapter 3: Market Size and Growth
- Market Assessment Methodology
- The Role of Shale Gas in the U.S. Energy Portfolio
- The U.S. Technically Recoverable Shale Gas Resources
- Shale Gas Reached 23% of the Total National Gas Production in 2010
- Figure 3-1. Shale Gas Production in the United States 2006-2010
- Figure 3-2. Natural Gas Production by Source in the United States
2006-2020
- Figure 3-3. North American Shale Plays
- Domestic Production from Shale Formations Keeps Natural Gas Imports Low
- Figure 3-4. The United States Natural Gas Imports 2001-2010
- Natural Gas Processing Infrastructure in the United States
- Figure 3-5. Number of Natural Gas Processing Plants by State as in 2009
- Figure 3-6. Change in the Number of Gas Processing Plants 2004-2009
- Figure 3-7. Natural Gas Processing Plants and Production Basins, 2009
- Natural Gas Processing Capacity and Utilization
- Figure 3-8. Natural Gas Processing Plant Capacity by State
- Figure 3-9. Average Utilization Rate for Processing Plants by State
- In 2010 over $7.7 Billion was invested in Shale Gas Processing
Infrastructure
- Figure 3-10. Shale Gas Processing Capacity Additions 2006-2010
- Table 3-1. Major Gas Processing Additions in Shale Regions 2006-2010
- Figure 3-11. Global Capital Expenditures on Shale Gas Processing Plants
2006-2010
- Figure 3-12. Global Expenditures on Shale Gas Processing Equipment and
Components 2006-2010
- Global Market for Shale Gas Processing Equipment and Components 2006-2010
- Figure 3-13. Distribution of Cost Components for Gas Processing
Facilities - Amine treating, Dehydration, Sulfur Recovery
- Figure 3-14. Distribution of Cost Components for Gas Processing
Facilities - NGLs Recovery
- Table 3-2. Global Annual Expenditures on Shale Gas Processing Plants
Subcomponents 2006-2010 (in million 2010 $)
- Compressors & Pumps
- Internal Combustion Engines
- Heat Exchangers
- Measuring and Controlling Instruments
- Electrical Machinery
- Materials
- Miscellaneous Equipment
- Global Expenditures on Shale Gas Processing Infrastructure Will Total $
7.3Billion in 2020
- Shale Gas Production in North America Will Reach 12.6 Tcf in 2020
- Figure 3-15. EIA Projections on Shale Gas Production in the United
States 2011-2020
- Shale Gas Processing Infrastructure Demand 2011-2020
- Figure 3-16. Gas Processing Capacity Demand 2011-2020
- Figure 3-17. Projected vs. Announced Gas Processing Capacity Additions
2011-2013 (cumulative from 2010)
- Table 3-3. New Gas Processing Plants and Expansions in Shale Plays
2011-2013
- Figure 3-18. Global Capital Expenditures on Shale Gas Processing Plants
2011-2020 (cumulative from 2010)
- Figure 3-19. Global Expenditures on Shale Gas Processing Equipment and
Components 2011-2020 (cumulative from 2010)
- Table 3-4. Global Annual Expenditures on Shale Gas Processing Plants
Subcomponents 2011-2020 (in million 2010 $)
- Regional Markets for Shale Gas Processing Infrastructure Forecast:
2011-2020
- Figure 3-20. Regional Shale Gas Processing Infrastructure Capital
Requirements 2011-2020
- Regional Markets Overview
- Barnett Shale
- Table 3-5. Major Gas Processing Plants in Barnett Shale 2006-2011
- Woodford Shale
- Marcellus Shale
- Table 3-6. Projected Shale Gas Processing Infrastructure Developments in
the Marcellus Shale
- Marcellus Fractionation Capacity
- Table 3-7. Existing and Projected NGL Fractionation Capacity in the
Marcellus Shale
- Bakken Shale
- Table 3-8. Natural Gas Processing Plants in the Bakken Shale 2006-2011
- Table 3-9. Projected Shale Gas Processing Developments in the Bakken
Shale
- Niobrara Shale
- Eagle Ford Shale
- Table 3-10. Projected Shale Gas Processing Developments in the Eagle
Ford Shale
- Fayetteville Shale
- Piceance Basin
- Antrim Shale
- New Albany Shale
- Haynesville Shale
- Emerging Opportunities for Shale Gas in Canada
- Table 3-11. Canada Natural Gas Resources (Tcf)
- Horn River Basin
- Montney Shale
- Other Shale Gas Opportunities in Canada
- Canada Considering Ban on Shale Gas Development
- Potential for Gas Processing Market Developments Outside North America
- Figure 3- 21. Map of Global Shale Gas Resources
- Global Shale Gas Resources Estimated at 6,300 Trillion Cubic Feet
- Figure 3-22. Share of Technically Recoverable Shale Gas in Global
Natural Gas Resources
- Figure 3-23. Review of Technically Recoverable Shale Gas Resources
Estimates in Selected Countries
- Table 3-12. Technically Recoverable Shale Gas Resources Estimates for
Selected Countries
- Europe
- Asia- Pacific
- China
- India
- Africa
- South America
- Major Factors Affecting the Market
- Natural Gas Consumption Will Reach over 25 Tcf per year by 2020
- High NGL Prices: The Race to Liquids
- Figure 3-24. Comparative Spot Price Movements in Natural Gas, Crude Oil
and NGLs
- Figure 3-25. The U.S. Natural Gas Liquids Production 2006-2010
- Restrictions on Shale Gas Exploration Affect the Supply Chain Markets
- Table 3-13. Summary of Regional Restrictions on Shale Gas Exploration
- GHG Emissions Reduction Agenda
Chapter 4: Employment Outlook
- The Job Gains from Marcellus Activity in Pennsylvania
- Table 4-1. Estimated Employment Impacts of Marcellus Shale Development
in Pennsylvania 2009-2010
- The Job Gains from Marcellus Activity in West Virginia
- Table 4-2. Estimated Employment Impacts of Marcellus Shale Development
in West Virginia in 2009
- Employment Forecasts for Marcellus Region 2011-2020
- Table 4-3. Estimated Jobs Creation as a Result of Marcellus Shale
Development under Three Development Scenarios 2015-2020
- Haynesville Shale Case Study
Chapter 5: Participant Profiles
- The Linde Group
- Table 5-1. Linde Group Profile
- Corporate Background
- Product and Brand Portfolio
- Performance
- Figure 5-1. Linde Sales (in € billion) for 2006-2010
- Company News
- Cameron
- Table 5-2. Cameron Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-3. Cameron' s Product and Brand Portfolio for Process &
Compression Systems
- Performance
- Figure 5-2. Annual Revenues of Cameron, 2006-2010 (in billion $)
- Company News
- Acquisitions and Divestitures
- Innovation
- Personnel Changes
- Pall Corporation
- Table 5-4. Pall Corporation Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-5. Pall' s Product and Brand Portfolio for Gas and Oil Processing
Industry
- Performance
- Figure 5-3. Annual Revenues of Pall Corp. 2006-2010 (in billion $)
- Company News
- Innovation
- Personnel Changes
- Johnson Controls
- Table 5-6. Johnson Controls Profile
- Corporate Background
- Product and Brand Portfolio
- Performance
- Figure 5-4 Annual Revenues of Johnson Controls, 2006-2010 (in billion $)
- Company News
- Acquisitions and Divestitures
- Outlook
- Personnel Changes
- Siemens Energy
- Table 5-7. Siemens Energy Profile
- Corporate Background
- Performance
- Figure 5-5. Annual Revenues of Siemens
- Figure 5-6. Annual Revenues
- Company News
- Innovation
- ABB Ltd.
- Table 5-8. ABB Ltd. Profile
- Corporate Background
- Product and Brand Portfolio
- Performance
- Figure 5-7. Annual Revenues of ABB, 2006-2010 (in billion $)
- Company News
- Acquisitions and Divestitures
- Innovation
- Personnel Changes
- BASF Corporation
- Table 5-9. BASF Corporation Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-10. BASF' s Brand Portfolio for Gas Processing
- Performance
- Company News
- Acquisitions and Divestitures
- UOP Honeywell
- Table 5-11. UOP Honeywell Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-12. UOP' s Product and Brand Portfolio for Gas Processing
Equipment
- Performance
- Figure 5-9. Annual Revenues of Honeywell, 2006-2010 (in billion $)
- Figure 5-10. Annual Revenues of the Honeywell Specialty Materials
Segment, 2006-2010 (in billion $)
- Innovation
- Koch Industries, Inc.
- Table 5-13. Koch Industries Inc. Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-14. Koch-Glitsch Product and Brand Portfolio
- Products
- Brands
- Trays
- Valves
- Absorption towers
- Compressor trains
- Compressor trains
- High pressure separators
- Membrane Technology & Research, Inc.
- Table 5-15. Membrane Technology & Research Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-16. MTR' s Brand Portfolio
- GasTech Engineering Corporation
- Table 5-17. GasTech Engineering Corporation Profile
- Corporate Background
- Product and Brand Portfolio
- Van Air Systems
- Table 5-18. Van Air Systems Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-19. Van Gas Technologies' Product and Brand Portfolio
- Sivalls, Inc.
- Table 5-20. Sivalls Inc. Profile
- Corporate Background
- Product and Brand Portfolio
- Porocel
- Table 5-21. Porocel Profile
- Product and Brand Portfolio
- Table 5-22. Porocel' s Product and Brand Portfolio
- Company News
- Acquisitions and Divestitures
- Cimarron Energy, Inc
- Table 5-23. Cimarron Energy Profile
- Corporate Background
- Product and Brand Portfolio
- Innovation
- Table 5-24. HAT International Ltd. Profile
- Corporate Background
- Product and Brand Portfolio
- Table 5-25. HAT Product and Brand Portfolio
Chapter 6: End Users
- ONEOK Partners
- Table 6-1. ONEOK Partners' Profile
- Corporate Background
- Shale Plays Business Activities
- Performance
- Figure 6-2. Annual Revenues of ONEOK, 2006-2010
- MarkWest Energy Partners
- Table 6-3. MarkWest' s Group Profile
- Corporate Background
- Shale Plays Business Activities
- Marcellus Shale
- Figure 6-4. MarkWest Liberty' s Natural Gas Processing Capacity in the
Marcellus Shale 2007-2010
- Woodford Shale
- Haynesville Shale
- Performance
- Figure 6-5. Annual Revenues of MarkWest, 2006-2010
- DCP Midstream Partners
- Table 6-6. DCP' s Profile
- Corporate Background
- Shale Plays Business Activities
- Haynesville/Bossier Shale
- Pinceance Basin
- Antrim Shale
- Niobrara Shale
- Performance
- Figure 6-7. Annual Revenues of DCP, 2006-2010
- Caiman Energy
- Table 6-8. Caiman' s Profile
- Corporate Background
- Shale Plays Business Activities
- Energy Transfer
- Table 6-9. Energy Transfer' s Group Profile
- Corporate Background
- Shale Plays Business Activities
- Eagle Ford Shale
- Barnett Shale
- Piceance Basin
- Haynessville Shale
- Marcellus Shale
- Performance
- Figure 6-10. Annual Revenues of Energy Transfer, 2008-2010
