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Posts Tagged ‘work load’

So far 2013 has been all about NGL (Natural Gas Liquids) processing equipment.  Because Precision Pipe has been building process equipment for NGL for over 30 years 2013 has proven to be a very busy year.  In addition, our clients (new and old) are looking for expertise in the field of gas processing equipment design and fabrication.  We have nearly completed fabrication on our 2 NGL process plants this year and we have a 3rd plant on order.  These plants have been turnkey units with fully integrated controls and electrical.  We are still building 1 off pressure vessels and various TEMA type heat exchangers but skid packages seem to be whats driving our markets.

Gas Plant

Precision Pipe, LLC Gas processing plants

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Since this summer Precision Pipe and Vessel, A Denver ASME welding and fabrication shop has built and delivered two 80 foot plus deethanizor and depropoanizer towers.  By all standards these are not the largest towers on the market, but are a large enough to serve a major sector in gas processing plants.  These towers were built in Denver and will be shipped all the way to Pennsylvania for their final installation.  This project was conducted with a Nationwide RFP process and it was discovered the Precision Pipe had a competitive price (even with expensive trucking costs) and even better delivery schedule.

As the gas boom seems to be gaining traction, it seems many ASME shops are becoming back logged with large vessels such as these.  Many gas processing companies turn to the same fabricators over and over again and are willing to wait months for delivery at the expense of production and revenue.  As project managers become familiar with companies they tend to turn to the same companies time and time again.  This is probably a safe bet with long established business relationships, but the petroleum is a high risk high reward kind of business.  From the early stages of drilling, installation, permitting, and well stimulation this is in all reality a high stakes business.

Any company that is seeking a competitive edge should be looking for energetic and motivated businesses qualified to provide the same products on a better delivery date (any ASME code vessel will require the same QA QC and inspection).  The cost of lost production is much more expensive than a few thousand dollars in added cost or even shipping, yet procurement specialist and project managers turn to the same companies over and over again without looking at the competitive advantage they may have by using a new vendor with better delivery times.  As dollars are wasted waiting for equipment it seems more logical to strike up new business relationships based on better delivery schedules. Give us a call and see if we can get you to revenue quicker than your go to guy, you might be surprised!

http://www.precision-pipe.com

Natural Gas Processing Equipment

304 Stainless deethanizer tower

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Having a market advantage is a huge goal for most companies especially during market down turns.  Often times a company may have such an advantage and not know it, or at least not know how to capitalize on such opportunities.  One market segment that Precision Pipe excels at and enjoys is building Dew Point Processing Plants also know as refrigeration plants, NGL, or Natural Gas Liquids Plants.  What sets Precision Pipe & Vessel aside from our competitors is we have many different approaches to building gas processing equipment that other fabricators don’t consider or offer to their customers.

Our approaches include remanufacturing used equipment in a quality manner giving the appearance the equipment is new (often times it is as good as new).  We also painstakingly examine and inspect each mechanical component to ensure reliability and give estimated time before component overhaul.  We also build complete brand new plants from the skid up.  All of our products are turn key with complete instrumentation and piping interconnect as specified by each customer.  As soon as the plant has been connected to utilities and the associated site piping our systems are ready to be started up and turned over to operations.

Our most recent gas plants have taken yet another approach that provide the longevity  and the associated technology of new and modern Gas Plants yet maintain the cost savings of remanufactured equipment.  Recently we have assembled a plant that used brand new wear components such as a refrigeration compressor, glycol pumps, instrumentation, heat exchangers, and other moving components.  However, we created substantial saving to our client by using ASME pressure vessels and a glycol re-boiler off of used equipment.  We simply identified vessels in our inventory and evaluated condition and specification according to the refrigeration plant.  Next, we transplanted the vessels onto the new skid and re-registered the vessels with the National Board.  This process cut months out of the fabrication schedule and reduced the cost of the plant by nearly 30% for our customer.

When it was all said and done we shipped a modern gas plant to our customer complete with computerized controls and modern instrumentation at a greatly  reduced cost.  We were also informed by our customer that our delivery was several months quicker then the next best offer.  As it stands today the plant has operated for nearly a year with no shut downs and only routine maintenance performed.  This has become a good case study for cutting costs and improving our customers ROI by using creative and alternative fabrication techniques.

Precision Pipe and it’s staff has fabricated nearly 100 NGL plants over the last 30 years that are operating in various locations in North and South America.  We have developed a reputation for finding good quality used equipment, rebuilding our customers antiquated systems, and building brand new equipment to operate in todays modern gas fields.  Precision Pipe

NGL Plant

Precision Pipe uses new and used equipment to build great products

is a fully qualified ASME code shop (U,R,S, & NB stamps) that specializes in gas processing equipment, gasification, alternative energy, and product development engineering and fabrication.

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The economy has certainly effected work loads and the kind of work many shops are doing this year. In previous years it wasn’t unusual to have a back log of 6 or more months on new products. This year a back log of 2 to 3 is normal for most ASME fabricators. Although the work isn’t coming to us as in years past there are still plenty of opportunities. We have found that there has been a steep increase in repair, recertification, and rerate work for ASME vessels. As one of the few shops with a “S”, “U”, “NB” & “R” stamp we have been able to pursue a broad range of work with clients looking to make due with current equipment. This is a great way to finish projects and keep the bottom line as low as possible. Rerating a vessel can keep a project moving forward using equipment that has already been paid for. Comparatively, rerating or re-certifying a pressure vessel is a mere fraction in price and time but the results are the same. Another great option is finding and reimplementing used equipment. Let’s face it a used tank or vessel will be useful long after any of us are around to care. As a practice in good stewardship not just during tough times using used tanks and vessels can save substantial capital and bring more projects to our companies and to an ultimate completion. In the meantime companies looking for good deals on new equipment have a lot of buying power at this time too. Many shops will be able to provide the same equipment quicker than previous years at reduced rates. End users that have not seen price reductions on equipment should shop around and see if your vendor has become complacent in providing the best deal possible.

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