Pipeline Coating

ISSN 2053-7204
June 2016
www.pipeline-coating.com
NORTH AMERICAN PIPELINE PROJECTS

STEEL PIPE COATING MARKET OUTLOOK
ICE PIGGING: KINDER TO THE COATING
SUBSEA INSULATION CONTRACT WINS
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contents
PAGE 11
04 News
Latest financial results from Aegion, Shawcor and Wah Seong, new contract wins for
Salzgitter and Primoris, while Trelleborg and Statoil ink six-year framework
agreement on thermal insulation.
11 Steel pipe coaters hit by perfect storm

PAGE 21
The steel pipe coating industry has been hit by a perfect storm of political and
economic events. Noru Tsalic, author of AMIs latest steel pipe coating sector study,
shares his perspective on current and future demand.
21 North Americas challenge for pipelines

PAGE 27
Adding pipeline capacity in North America is an increasingly difficult task as operators

face growing financial, regulatory and environmental lobbies. Nicholas Newman
reports on some of the current and proposed projects.
27 Ice pigging promises to clean up

Ice pigging promises the ability to clean unpiggable pipelines without damaging
PAGE 32
internal coatings. Mark Holmes looks at the development and considers the
application of this new technology in the oil and gas sector.
32 Aegion and Trelleborg win insulation contracts

Aegion Corporation and Trelleborg have won major subsea thermal insulation
contracts for flagship projects in the Gulf of Mexico and Azerbaijan. We take a closer
PAGE 34
look.
34 Product update
The latest pipeline materials, equipment and application innovations from Oxifree,
Pipe Restoration Services, Exair and Chomarat.
Coming next issue

Global shale opportunities Field joint coating developments
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June 2016 | PIPELINE COATING
news
Salzgitter
wins TAP
contract
Shawcor hit by continuing

slowdown in O&G activity
Salzgitter Group is to
Shawcor announced Q1 2016
realised until either an
deliver more than 71,000
revenues of CAN$366m
increase in oil and gas prices
tonnes of 36-inch diameter
(US$280m), down by 27% on
triggers renewed upstream
pipe for the 110km long
the same period in 2015,
capital spending or the
offshore leg of the Trans
attributing the fall to the
company secures, and is able
Adriatic Pipeline (TAP). The
ongoing tough conditions
to commence work on,
contract also includes pipe
across the oil and gas industry.
projects it is currently bidding
components and coating
Adjusted EBITDA for the period
for. Orr said that as of March
services.
was down by 51% to
31 this year, Shawcor had firm
CAN$36.6m (US$28m)
bids outstanding with a
compared to Q1 2015.
combined project value in
The pipes will be

manufactured by Europipe
in Germany, a joint venture
As expected, Shawcors
excess of CAN$2.0bn
between Salzgitter and der
financial performance has
Shawcor CEO Steve Orr:
(US$1.5bn), which he said was
Dillinger Httenwerke.
been negatively impacted by
Continuing downturn in O&G
a level unprecedented in its
Delivery will commence in
the dramatic decline in North
the third quarter of 2016
American well completion
that have been key contributors
and will be complete by the
activity coupled with a
to strong performance at the
of the large natural gas
end of the year.
continued downturn in global
companys Europe, Middle
pipeline infrastructure projects
oil and gas development
East, Africa and Russia (EMAR)
that we are currently bidding
a contract to supply the
capital spending that is
region. Given that the remain-
would be a catalyst for
onshore leg of the pipeline,
impacting project activity and
der of the Shah Deniz project
stronger financial perfor-
which will transport natural
revenue in each of our global
will not start production in
mance, he said. Based on
gas from the Caspian Sea to
regions. These factors
EMAR and Asia Pacific until the
customer indications, we
Europe, in 2015. Europipe is
translated into a 23% year-
second half of 2016, and the
should have visibility on the
already manufacturing the
over-year decrease in revenue
continued lack of visibility on
timing of these projects, and
270km of pipe required
in the first quarter, said
the timing for an improvement
our likelihood of securing
while Salzgitter Mannes-
Shawcor CEO Steve Orr.
in other regions, the company
them, by the end of the third
We have now largely
expects to report a significant
quarter of this year.
Salzgitter previously won
mann Grobblech is
producing 1,559 pipe bends.
The offshore section of
history.
completed the concrete coating
operating loss in the second
component of the Shah Deniz
quarter, he warned.
Conversion of one or more
Shawcor posted revenues of

CAN$1.81bn (US$1.39bn) for
the TAP pipeline will be laid
project and are nearing
by Saipem.
completion of the two South
sustained improvement in
2014 performance.
www.salzgitter-ag.com
Stream pipe coating projects
performance is unlikely to be
www.shawcor.com
Shawcor said that a
2015, down by 4% on its record
Wah Seong Corp sees challenges ahead

Wah Seong Managing
Wasco Energy has secured
Wah Seong Corporation
on revenues of RM1.83bn
Behrand, parent company of
(US$448m) for 2015, compared
Director and CEO Chan Cheu
a number of major contracts
pipeline coating and engineer-
with a net profit of RM147.11m
Leong told local media in
that will commence later this
ing operation Wasco Energy, is
(US$36m) on revenues of
Malaysia the company had
year, including the US$39m
forecasting a challenging year
RM2.44bn (US$598m) in 2014.
rationalised operations during
Statoil Johan Spendrup project.
ahead as its business contin-
It is the first loss recorded by
2015 in line with the current
However, Chan said demand
ues to feel the impact of low oil
the company in five years and
low oil prices. He said this year
for the companys services are
prices.
is attributed to reduced capital
it would be looking to dispose
likely to remain at lower levels
expenditures across the global
of non-cash generating assets
until oil prices begin to recover.
oil & gas sector.
across the group.
www.wahseong.com
The company posted a net

loss of RM11.87m (US$2.9m)
4
PIPELINE COATING | June 2016
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Liquid Pipeline Coating Technology
news
Aegion planning to make

most of stable markets
Kenya plans
890km oil
pipeline
Aegion posted revenues of
markets. It expects to reduce
The Kenyan government is
US$294m for the first quarter
costs by up to US$16.0m, with
looking to appoint a
of 2016, down by 3.5% on the
most of the savings coming this
company to design a crude
Q1 2015 result of US$309m.
year through headcount
oil export pipeline to carry
The company posted a net loss
reductions and office closures.
carry production from the
of US$3.8m on a GAAP basis,
The Company intends to cut
Lokichar fields in north
compared with a US$1.4m
headcount by approximately 900
west of the country to the
profit in Q1 2015, but said the
employees, or 14.5% of the total
coastal port of Lamu,
net result for both quarters
workforce.
advantage of stable conditions
Aegions restructuring plans,
pipelines using its CIPP
across many of the companys
which included the sale of its
technology. The project is due
end markets, realise our cost
Canadian pipe coating business,
to commence this month and
reduction targets and improve
are intended to reduce its
be completed by September.
Reuters reports.
The 890km pipeline
project could be worth as
much a US$2.1bn and is
intended for completion in
2021, according to Kemyan
Energy and Petroleum
Minister Charles Keter.
Oil was found in Kenyas
Lokichar region in 2012 by
Tullow Oil, which recently
upped its estimate for its
recoverable reserves in the
country to around 750m
barrels.
execution to deliver full year
exposure to the upstream oil
www.aegion.com
www.tullowoil.com
was similar when adjusted for
Aegion posted full year
acquisition and restructuring
revenues of US$1.33bn for
costs.
2015, similar to its 2014 result.
Our first quarter operating
l The Insituform Technologies
results were in line with our
Aegion President and CEO
division of Aegion announced in
expectations and represent a
Charles R Gordon
April it had secured a
good start to the year, said
US$6.8m contract from the City
Aegions President and Chief
2016 adjusted earnings per
of West Palm Beach, Florida, to
Executive Officer,Charles R.
share in line with 2015 results.
rehabilitate around 1,850m of
Announced in January,
Gordon. We plan to take
Welspun in
pipe plant
talks
Q1 sales down
at TMK Group
Welspun is reported to be in
Russian tubular products group TMK posted
discussions with Odisha
sales for the first quarter of 2016 of US$761m,
state government officials
down by more than 30% on the Q1 2015 result of
in India that could lead to
$1.13bn.
the establishment of a new

pipe manufacturing plant.
According to a report in
In April, the company posted annual sales of

US$4.13bn for the 2015 financial year, down by
30% on the 2014 result of $6.01bn. The company
Indias Business Standard
said the weaker results were largely due to lower
newspaper, the plant could
demand in the North American division, with the
be located at Dhamra,
financial result further worsened by unfavourable
where Welspun already
currency rates.
owns land.
Welspun already has
48-inch diameter main sewer
In a statement last month, it said it expected

the full year 2016 performance to be above the
three large diameter
Q1 2016 annualised level although it will remain
production plants in India.
flat compared to 2015.
www.welspun.com
www.tmk-group.com
news
Trelleborg inks deal with Statoil

Trelleborgs offshore operation
technology and can be used
has signed a six-year frame-
over an operating temperature
work agreement with Statoil
range from -40C to +135.
for supply of its Vikotherm R2,
Vikotherm P7 is a non-mercu-
S1 and P7 Thermal Insulation,
ry catalysed solid polyurethane
as well as its Elastopipe
insulation system suitable for
flexible piping and Passive Fire
use to 90C.
We are very proud that
Protection (PFP) solutions.

The Vikotherm R2, S1 and
Statoil has chosen to sign a
P7 thermal insulation
framework agreement with us
technologies are used to avoid
for our core products and solu-
hydrate plug and wax build-up
tions, said Hans Leo Hals,
in subsea installations.
Managing Director for
Vikotherm R2 is a rubber-
Trelleborgs offshore operation
based three-layer coating that
in Norway. We are looking
combines flexibility and
forward to building our
robustness and is suitable for
relations further with Statoil in
hot wet applications up to
a challenging, but yet exciting
Statoil Trelleborgs Vikotherm insulation system being applied
155C. Vikotherm S1 is based
market.
to a a pipe
on non-syntactic silicone
www.trelleborg.com/offshore
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news
Composite pipe sets a

PEEK distance record
news in brief
Austrias Habau Group has
signed a contract with
Transgaz of Romania and
Bulgartransgaz of Bulgaria to
Developed for a subsea
ogy combines PEEK polymer
Victrex, we have been able to
complete the final section of
application in the Gulf of
from Victrex with carbon and
successfully develop our
a gas interconnector between
Mexico, the latest polymer
S-2 glass fibre reinforcements
10,000 foot [3,048m] solution
the two countries, according
composite pipe manufactured
to create a lightweight subsea
for hydraulic pumping and
to Balkan Insight. The 2.1km
by UK-based Magma Global is
intervention line that can
light well intervention in the
long section of the pipeline is
the largest ever component to
handle high pressures (up to
Gulf of Mexico, said Charles
scheduled to be finished in
be produced in Victrex PEEK
103MPa) and flow rates at
Tavner, Commercial Director
August of this year.
polymer at 3,048m long.
depths up to 3,000m.
at Magma.
www.habaugroup.com
The m-Pipe reduces the
Thanks to partnering with
Magmas m-Pipe technol-
cost of intervention at a time
Seal for Life has added the
when the oil and gas industry
Terram range of pipeline rock
is extremely challenged on
protection mesh, detectable
operational costs, and is also
tapes, and underground
striving to achieve efficiency
infrastructure signage
and reliability. The Magma
systems to its product
system is designed to mini-
portfolio. The move follows
mise mobilisation time and
the acquisition in October
maximise vessel utilisation by
last year of US-based Avintiv
reducing hydraulic pumping
by Seal for Life parent Berry
time, reducing intervention
Plastics. Terram is a
costs by up to 30%, he said.
subsidiary of Avintiv.
www.magmaglobal.com
www.victrex.com
www.sealforlife.com
Malaysias Barakah
IIG and Cabot partner in aerogels

Johns Manville Industrial Insulation Group (IIG)
IIG Senior Vice President and General
Offshore Petroleum has won

a contract to install two gas
pipelines under the Petronas
Carigali-operated Baram
is to produce and market thin, high-perfor-
Manager Fred Stephan said in a statement the
Delta Gas Gathering Project 2
mance insulation for the subsea market using
agreement with Cabot is an important step
and Baronia enhanced oil
Cabot Corporations proprietary technology and
toward enhancing our product portfolio in
recovery project offshore,
aerogel products.
response to our customers growing need for
according to The Star
thin, high-performance insulation in the subsea
newspaper. The contracts
particle consisting of more than 90% air. The
and other markets.
include 43km and 125km of
company claims it is the lightest and best
www.jm.com
www.cabotcorp.com
www.barakahpetroleum.com
Cabots aerogel is a hydrophobic silica-based
insulation solid available.
24-inch pipeline.
Primoris wins two new pipeline contracts

US-based Primoris Services
36-inch diameter natural gas
3.7-mile 24-inch diameter
increase in Q1 revenues last
said it has secured two new
pipeline in Florida to supply
natural gas pipeline in
month, up by US$38m to
pipeline construction contracts
power stations. Work is
Pennsylvania that will connect
US$430m, and said it ended
with a combined value of
expected to commence later
to an existing coal-fired power
the quarter with a near
US$185m.
this year and run into the first
station. The project will be
record order book of
quarter of 2017.
completed this year.
US$2.2bn.
The contracts include

construction of a new 79-mile
8
The second project is for a
Primoris posted a 9.6%
www.primoriscorp.com
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Perspective | industry outlook
Steel pipe coaters hit by

perfect storm
The global market for steel pipe coating excluding

pipe and logistical services was worth an estimated
US$7.2bn in 2015. In volume terms, last year was a lean
year for the industry but this must be seen against a
background of very challenging circumstances; political
and economic factors conspired to create a perfect
storm for the Oil & Gas sector. While it is not unusual
for the industry to face crises in some geographical
areas, in recent times these adverse political and
economic circumstances have piled up and affected
almost all regions that are relevant in terms of Oil &
The steel pipe coating industry has

been hit by a perfect storm of
political and economic events.
Noru Tsalic, author of AMIs latest
sector report, shares his perspective
on current and future demand
Gas supply and demand.

These negative issues have included tensions
atmosphere of tension and instability has had more wide-
between the West and Russia, which were triggered by
spread effects, hindering both production and investment
the conflict in Ukraine and have created strain in
in countries such as Egypt, Algeria and Tunisia.
relations reminiscent of the Cold War. Given Russias
In Africa, the activity of terrorist organisations
importance on the Oil & Gas supply map (former Soviet
(especially Boko Haram in Nigeria and Al-Shabaab in
Union countries are the source of almost half of
Somalia) is understandably discouraging investors. And
Europes oil imports and two thirds of the continents
civil war and tensions between Sudan and South Sudan
imports of natural gas), Oil & Gas-related industries
are getting in the way of oil production and exports.
were the first to be affected. As a consequence, the pipe
Tensions also plague parts of Asia in particular in
coating industry has seen several potentially lucrative
the South China Sea where China, Vietnam, Taiwan, the
projects cancelled or delayed as a result of the ongoing
Philippines, Malaysia and Brunei are arguing over
political tensions.
maritime zones and sovereignty in the Paracel and

Spratly archipelagos. The area is believed to possess
Middle East turmoil
considerable reserves of oil and gas, but exploration in
Continued turmoil in the Middle East - the worlds largest
this contested region has repeatedly met with stern
Oil & Gas exporting region - is next on the list of adverse
opposition from other claimants. In the summer of
political issues. Military conflicts have badly interfered
2014, for example, deployment by China of an explora-
with production in Iraq and Libya, but the general
tion rig in the Gulf of Tonkin triggered clashes between
11
industry outlook | Perspective
photo: tial
which returns are made only through long-term

exploitation of assets. However, the sector is also
impacted by pure economic factors. In terms of growth,
for instance, the US economy appears to have recovered
from the crisis. But smart money remains unconvinced,
seeing part of that recovery as dependent on economic
stimuli and monetary manipulation. Many investors
view the creation of well-paid jobs as the litmus test for
major projects and those jobs have failed so far to
materialise in the required numbers.
The European Unions economic fortunes appear
quite poor, with a number of countries (including the
large economies of Italy, Spain and France) experiencing
not just weak growth but also some chronic structural
Above:
Vietnamese and Chinese vessels, as well as bloody
challenges. And Japan remains mired in economic
East-West
anti-Chinese riots in Vietnam. There were additional
stagnation and struggles to kick-start its growth engine.
tensions have
incidents in 2015 and April 2016.
impacted on
War, terrorism and political tensions are not the only
Meanwhile, Chinas engine of growth has slowed.

Over the three decades to 2010, Chinas economy has
some major
issues getting in the way of business; poor governance is
produced claimed double-digit compound annual
Russian
also an issue in some regions. The 2002 discovery of the
growth rates. This boom was largely fuelled by exports
pipeline
KG-D6 field in India, for instance, has been hailed as the
and led by the manufacturing sector. But, with demand
projects
countrys largest offshore gas find but, despite consider-
for Chinese exports undermined both by the economic
able investment, its exploitation has been stymied by
crisis and by emergence of even-lower-cost manufac-
successive governments failure to adjust regulated gas
turing locations, this growth period is coming to an end.
prices to account for the higher costs of offshore
Currently, the Chinese government is attempting to
production. While the current government of Prime
engineer economic change. It wants to see domestic
Minister Narendra Modi has started to move in the right
consumption expand to gradually replace exports as the
direction, more than a decade has been wasted.
main driver of growth. Simplistically-put, it represents an
South America also features on the list of regions
adoption of the US model. However, it is far from clear
affected by bad governance. In Venezuela currently
how smooth the transition will be or more realistically
the location of worlds largest proven reserves of crude
how many bumps in the road this delicate operation
oil - years of ideologically-driven policies have resulted
may encounter. What is already clear is that Chinas
in an economic crash, which in turn has triggered social
annual economic growth has slowed considerably prob-
unrest and repression by the government. In Brazil,
ably well below the official 6-7%. And while growth rates
corruption - its entire extent yet to be unravelled has
of 4-5% per annum are the stuff of dreams in the US and
been alleged between members of the political elite and
Europe, they are decidedly bad news in China.
the national oil company Petrobras.

Even the US and European markets are contributing
more the case in manufacturing-intensive economies.
to the challenges for the Oil & Gas sector. In the US the
Needless to say, any economic slowdown translates

into weaker demand for oil and gas and that is even
Right: Chinas
seemed wider, with the executive and legislative
shift in focus
branches seeming to prioritise sabotaging each others
from export to
initiatives. Large energy-related infrastructure projects
domestic
photo: EQRoy / Shutterstock.com
rift between Democrats and Republicans has never
are often among the first victims of this struggle.
growth has hit
Meanwhile, the European Union project is being hit by
oil demand
economic pressures and social tensions related to the

recent influx of migrants. This has placed considerable
strain on traditional European solidarity.
Impacting investment
Unsurprisingly, these political issues have a depressing
effect on investments. This is all the more so when
considering Oil & Gas, a capital-intensive sector in
12
Corrosion Prevention
& Sealing Technology
Petrolatum Systems
Bitumen & Butyl Tapes
Pipeline Liquid Coatings
Tank Linings
Pile Protection
Denso, Protal and Archco-Rigidon products are available from subsidiary companies located in the following countries
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www.denso.net
USA Canada
www.densona.com
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Republic of South Africa

www.denso.co.za
Saudi rulers (who keep tight control of the national oil

sector) appear to have decided to leverage their low
cost of production to limit loss of market share to rival
Iran and to discourage US tight oil investment.
The net result of all those considerations has been a
steep fall in crude prices, with a corresponding impact
on investment. Projects that are attractive at $100 per
barrel, or even at $70 per barrel, may well lose money
at $30-40 per barrel. From the point of view of oil and
gas-related industries, this completed a vicious circle. It
exacerbated the decline in drilling of new wells (and
consequently the demand for associated gathering
Europe Brent Spot Price Fob (US dollars per barrel)
lines) as well as depressing construction of new

transportation pipelines.
Project viability
That is not to say that pipeline building and pipe coating
activities are completely frozen. Numerous projects are
still economically viable; others are too advanced to
cancel or postpone. In certain countries (not the least in
China, Russia and the Middle East) such projects are
not driven by purely financial considerations, but are
part of longer-term policy and government-set
strategies. In addition, some pipelines are in need of
rehabilitation or replacement for safety, rather than
purely economic reasons. There is also an expanding
Volume of international oil trade, 1980-2014
share of non-Oil & Gas pipelines in particular drinking

water pipelines and this share is already considerable
Global View Oil imports and exports, 2014

Units: million tonnes
in countries such as India, for example.
Imports
Exports
Net surplus (deficit)
Asia Pacific
980
48
-931
NAFTA
395
222
-173
Europe
447
12
-435
CIS
295
295
Middle East & Africa
32
1,135
1,103
South & Central America
22
164
142
2,685
2,685
TOTAL
So despite the aforementioned negatives, looking

ahead the fundamentals remain positive for the pipe
coating industry. The worlds demand for energy
continues to grow. Oil & Gas continues to provide a
large share of primary energy supply and the demand
for these fossil fuels continues to grow, despite
increasing adoption of renewable and other sources. In
fact, countries will have to progressively switch from
coal to relatively less polluting oil and (especially)
natural gas, if they are to fulfil their commitments in
On several occasions in the past, periods of weak
terms of reducing CO2 emissions. In addition, global
demand have elicited a reaction from OPEC (which is
reserves of oil and gas are still far from exhaustion and
led by Saudi Arabia) to reduce output in order to prop up
carbon steel pipelines continue to be, in most cases, the
prices. This time around, however, the Saudis have
state-of-the-art solution for low cost, safe and secure
maintained their outputs and made no effort to impose
gathering and short/medium range transport and high
OPEC production discipline.
pressure distribution of oil and gas.
The reasons for this can be considered as a mixture
14
Analysis of oil and gas consumption versus produc-
of political and economic. The growth in American shale
tion in each geographic region reveals the large
gas and tight oil production has hurt Saudi Arabia
imbalance which exists in that respect. Some regions
economically, forcing it to seek new markets for its
(Asia Pacific, NAFTA, Europe) are large net importers of
crude. Politically, that has reduced Saudi Arabias
oil and gas, while other regions (CIS, Middle East &
influence within OPEC and on US and global politics.
Africa and to a lesser extent South & Central
Irans expected re-entry into crude markets has the
America) are net exporters. This imbalance is likely to
potential to intensify these problems for the Kingdom.
become even broader due to the faster economic
Perspective | industry outlook
Total pipe coating volume by region, 2010-2019
Total pipe coating volume by type, 2010-2019
growth in Asia and the exhaustion of European oil and
tional sanctions in order to ramp sales of crude,
gas reserves. The net result is a steep growth in oil and
rational behaviour is likely to preclude a price war with
gas trade. Clearly, not all of this Oil & Gas will be
the Saudis, which would hurt both sides. In addition, it
transported via pipelines. Nevertheless, the increased
will no doubt take time for Irans diminished production
trade in hydrocarbons is likely to translate into an
capabilities to catch up with the countrys desire to sell.
increase in demand for transport pipelines. Such
Although sanctions will be lifted, in practice Irans
transport is frequently cheaper in the long run, even
ability to trade is likely to take years to spring back to
taking into consideration the large capital investment
normal. As for the US, levels of production are governed
needed to design, plan and ultimately build pipelines.
there by financial considerations, with market prices
So, short of a political or economic meltdown, and

barring the emergence of disruptive technological
acting as a self-adjusting mechanism.

Based on the assumption of a return to rational
breakthroughs, the long-term the future of this industry
behaviour, prices are likely to stabilise around a value
looks bright. But what about the more immediate
that brings all those interests into some sort of balance.
future? Are crude prices likely to stay depressed or
That value is likely to be around $80 per barrel of crude,
are they likely to climb? Analysts are somewhat divided
in Brent FOB Europe terms. This prediction is based on
but the balance is leaning towards the major players in
a rough assessment of volumes and production costs
the crude market (such as Saudi Arabia) ultimately
for the various geographies and types of oilfields.
acting not to maintain market share per se but to
However, pricing levels of $80 will not be reached
maximise its Oil & Gas income.
immediately. Pricing is expected to remain more-or-
The latest Saudi national budgets showed a deficit at
less at the current level through to the end of 2016,
the planning stage and in practice that deficit has
rising to around $75 by the end of 2017, then fluctuating
been significantly exceeded. The Kingdom has large
around $80 per barrel in 2018 and 2019.
financial reserves, which in principle could be used to

fund such deficits for a number of years to come. It is
Coating growth
likely, however, that the countrys rulers will grow
Taking these assumptions into account, demand for
increasingly uneasy with the depletion of those reserves
steel pipe coating is likely to grow on average by around
and will choose to limit production in order to raise
3% per annum between 2015 and 2019, although most of
prices and revenues. A first indication of such a policy
the growth will occur in the second half of that interval.
reversal occurred in February, when Saudi Arabia and
Despite the increased proportion of water pipelines
Russia agreed on a freeze of production levels. That
(and in the future perhaps also CO2 pipelines), the steel
agreement was neither content-heavy nor strictly
pipe coating industry and its associated supply chain
implemented, but it is a declaration of intent and has
will remain primarily driven by Oil & Gas. As such, they
already been partially instrumental in reversing the
are subjected to cyclical and other types of crises for
price trend.
instance those caused by large decreases in the price of
While Iran is keen to exploit the lifting of internawww.pipeline-coating.com
crude oil. During such crises, it is easy for management

15
Right:
Distribution of
market value
teams - and especially for boards

with limited experience in this
industry - to panic and decide that
by coating
time has come to cut their
application,
losses and either abandon
2015
or considerably down-
investment in R & D and innovation will remain key

for those companies aiming to appropriate
above-average returns.
About the author:

Noru Tsalic is the author
grade their participation
of the fourth edition of
in this market. More often
AMIs Steel Pipe Coating
than not, this is a mistake.

Cyclicality, volatility and
uncertainty characterise all
Oil & Gas-related endeavours, yet
overall the track record of the sector is
one of above-average profitability. Successful companies
will be those that remain knowledgeable and flexible
enough to weather the storm while positioning
themselves to take advantage of opportunities opened
by the next phase of the cycle. Given the potentially
enormous costs of failure, this is a risk-averse,
conservative industry. Nevertheless, the track record
shows that it is also an industry capable of adopting
change and technical innovation when such innovation
delivers significant and demonstrable benefits. As such,
The Global Market

2016, study, which was
published in April. Focused
on the pipe coating industry and
its associated supply chain extending
from manufacturers of equipment and raw materials to
pipe coaters, pipeline users and operators the study
provides detailed analysis of 2015 levels of demand,
segmenting this by geography, application, on/offshore
location, coating functionality (external anti-corrosion,
internal by function, thermal insulation and concrete)
and materials.
It also forecasts future demand to 2019. For more
information about the report contact Sarah Phillips.
Email sjp@amiplastics.com; Tel: +44 (0)117 924 9442.
Steel Pipe Coating The Global Market 2016

The fourth edition of AMIs Steel Pipe Coating The Global Market
2016 provides a detailed and insightful analysis of the industry as it
stands today with forecasts to 2019. Based on in-depth interviews with
nearly 200 participants throughout the supply chain, the report analyses:
New report published
April 2016
Demand Issues: The world market and segmented Asia-Pacific, CIS,

Europe, Middle East/Africa, North America, South & Central America
Supply issues: Supply chain, pipe coating companies, major coaters,
pipe coating sites
The market for coating raw materials: Value, volumes & trends, trade in
raw materials, raw materials supply
Technology status and trends: Process technology, material technology,
field joint coating technology, installation technology
With AMIs study you can be prepared to take advantage of the
emerging new opportunities for this industry and be aware where the
industry is going to pick up strongest and fastest over the next five years.
For a copy of our proposal please contact
Sarah Phillips : sjp@amiplastics.com Tel: +44 (0)117 9249442
www.amiplastics.com email: consult@amiplastics.com
Turn page for the full programme
FIELD JOINT
COATING 2 0 1 6
Field-applied coating solutions for pipelines
HEADLINE SPONSOR
5-7 September 2016

Images courtesy of: Denso GmbH and 3M
Organised by:
Applied Market
Information Ltd.
Austria Trend Hotel Savoyen,

Vienna, Austria
Also sponsored by:
SPECIAL OFFER: Save 100 if you register before 1st July 2016
Media supporter:
FIELD JOINT
COATING 2 0 1 6
Save 100
Register before 1st July 2016
5-7 September 2016, Austria Trend Hotel Savoyen,

Vienna,Austria
AMI is pleased to invite you to attend the third international Field
Joint Coating conference, which will take place from 5-7 September in
Vienna, Austria. The conference will focus on the latest developments
and innovations in materials, products and technologies employed in
field joint coating and other types of field-applied coatings for steel
pipelines. The event starts on the 5th September with an evening
welcome drinks reception and exhibition, followed by a 2-day
conference programme and accompanying exhibition.
Field-applied coatings face a specific array of technical, human and
environmental challenges. Coatings are applied in the field not just
on joints and special pipeline components, but also on parts and
segments in need of repairs or rehabilitation. This is an area in which
a multitude of materials, products and technologies vie to provide
solutions for a set of demanding requirements. There is, therefore, a
need for industry cross-fertilisation, for discussion and debate in order
to better understand the issues, agree on industry-wide requirements
and identify optimal solutions.
The conference will bring together pipeline owners and operators,
contractors, coating experts worldwide, test institutes, as well as
suppliers of materials, products and equipment.
Why not join the debate and develop your network of contacts
while reviewing the latest hot topics in this technologically and
commercially complex business?
FIVE GOOD REASONS WHY YOU SHOULD ATTEND:

1. Review the range of available solutions, both
well-established and newly-developed
Premier Coatings Ltd.

Established in 1982, Premier Coatings have been manufacturing
and supplying their specialised range of anti-corrosion products
for over 30 years to customers in the oil and gas utilities and civil
engineering industries.
Their product range includes anti-corrosion tapes, sealing mastics
and liquid coatings for the long-term protection of exposed, buried
and submerged steel pipes and structural steel in most aggressive
environments including marine. They also manufacture a range of
water and gas proofing membranes.
In 2010 and again in 2013 Premier Coatings parent company Winn
& Coales International achieved one of the prestigious Queens
Awards for Enterprise: International Trade.
EARLY BIRD REGISTRATION OFFER
Register before 1st July 2016 and pay 1090* saving 100 on the full
price of 1190*. There are additional discounts for group bookings.
The registration fee includes attendance at all conference sessions,
the Welcome Cocktail Reception, lunch and refreshment breaks on
both days and a set of conference proceedings.
EXHIBITION SPACE
Make it easy for the delegates to find you at this busy event with your
own table top exhibition space. Bring your own display stand, banners
or use the space to showcase samples of your products and ensure
that you make an impact. The table top exhibition will run throughout
the conference in the exhibition room next to the main meeting room.
Registration includes 1 delegate place!
2. Learn about improved systems, procedures

and technologies
3. Examine case studies and draw conclusions
regarding requirements and performance
4. Become aware of work performed by top
experts in the area
5. Develop your career by networking with
professionals representing the entire
supply chain
Space is limited so to avoid disappointment please register for this

service as soon as possible.
HOTEL ACCOMMODATION
Delegates are responsible for booking their own accommodation. AMI

has negotiated a limited number of rooms at the rate of 140 for a
single room and 160 for a double (breakfast,Wi-Fi and taxes included)
at the Austria Trend Hotel Savoyen in Vienna for a limited time only. To
reserve a room, please contact the reservation department and state
that you are attending AMIs Field Joint Coating 2016 conference on:
Tel: +43 1 206 33 0 Fax: +43 1 206 33 9110
Email: reservierung.savoyen@austria-trend.at
Or follow the link on the Accommodation tab on the Field Joint
Coating website and use the reservation form online.
The AMI bedroom rate will expire on the 5th August 2016. Therefore
please book your room as soon as possible.
CONFERENCE HOTLINE
Contact: Becca Utteridge, Senior Conference Organiser
or: Sabrina Redl, Conference Organiser
Tel: +44 (0) 117 314 8111
Fax: +44 (0) 117 311 1534
Email: rju@amiplastics.com or sr@amiplastics.com
Twitter: @AMIconferences #attendAMI
CONFERENCE VENUE
Vienna is renowned for its caf culture with palaces from the
Habsburgs Empire to museums and classical music. It has a lighter side
with a central park and an extensive range of restaurants, shopping
and entertainment. In the winter there is ice skating, tobogganing
and skiing in Vienna and the environs of the city. www.wien.info is the
official tourism website of this beautiful city.
*+20% Austrian VAT
Turn page for booking details

HEADLINE SPONSOR
F I E L D
J O I N T
C O A T I N G
2 0 1 6
Monday 5th September 2016
Wednesday 7th September 2016
18.00-19.30
08.30
09.00
Registration and Welcome Cocktail Reception
There are no conference sessions on this day

Tuesday 6th September 2016
08.00
08.00
09.00
Registration
Welcome coffee sponsored by:
Opening announcements
SESSION 3 - NOVEL COATING SYSTEMS

09.10
Development of a novel field joint system for multilayer

polypropylene subsea wet insulation
Mr. Randall L. Perkins, Director of Engineering,
COMMERCIAL COATING SERVICES INTERNATIONAL LLC,
United States
09.40
Self-healing properties of linseed oil containing

microcapsules embedded in a high performance
epoxy coating system
Mr. Andr Koebsch, Engineer,
PETROBRAS, Brazil
10.10
New developments in high performance coatings of

pipelines laid by horizontal directional drilling (HDD)
Mr. Michael Schad, Director Sales International,
DENSO GmbH, Germany
MARKET OVERVIEW
09.10
State of the market

Mr. Noru Tsalic,
AMI CONSULTING, United Kingdom
SESSION 1 - KEYNOTE PAPERS

09.40
Coating selection, feedback from an end user

Mr. Thierry Kerzerho, Coating Specialist,
GRTgaz, France
10.10
Fusion bonded epoxies for high operating temperatures challenges and opportunities from a contractors perspective
Mrs. Helen R. Boyd, Technical Authority Coating,
HEEREMA MARINE CONTRACTORS S.E., Netherlands
10.40
Ageing pipelines - when is the time to recoat?

Mrs. Sanja Martinez, PhD, full professor at
the Faculty of Chemical Engineering and Technology
UNIVERSITY OF ZAGREB, Croatia
10.40-11.20 Morning coffee sponsored by:

11.20
Solvent-free polyurethane coatings

a versatile product class for field joints
Mr. Andreas aus der Wieschen, Manager,
COVESTRO DEUTSCHLAND AG, Germany
11.50
Innovative anticorrosive asmol materials for insulation

joints, for the local repair and re-insulation of pipelines
Ms. Julia Danilenko, Specialist in Corrosion Protection,
SCR POISK Ltd., Russian Federation
11.10-11.50 Morning coffee sponsored by:

SESSION 2 - DEVELOPMENTS IN EQUIPMENT AND PROCESS
11.50
12.20
14.50
12.20-13.50 Lunch
Maximizing the reliable reeling thickness of large wet

insulation coating systems
Mr. Pablo Wiesemann, Technical Solutions Manager
(Pipeline Performance), SHAWCOR, United States and
Ms. Alexandra Sperber, Senior Installation Specialist,
Subsea Business Unit, TECHNIP, United States
SESSION 4 - TRENDS IN TESTING, EVALUATION AND QUALIFICATION

13.50
A review of ISO 21809-3 standard for field joint coatings

Mr. Barry Turner, Export Market Manager,
BS COATINGS SAS, France
Safe and effective methods of field joint coating removal

Mr. Norman Roberts, International Business Development Director,
ROBERTS MACHINING SOLUTIONS, United Kingdom
14.20
Its a testing time

Mrs. Lynda Barron, Technical Manager,
PIPELINE INDUCTION HEAT, United Kingdom
14.50
Evaluation of subsea coating repair system

Mr. Dinko Cudic, Business Development Director,
STOPAQ, SEAL FOR LIFE INDUSTRIES, Netherlands
15.20
Polyurethane field joints produced with monitoring

during the process
Mr. Dieter Mller, Sales Manager Pipe Insulations,
HENNECKE GmbH & Co. KG, Germany
15.50
Afternoon tea and conference ends
12.50-14.20 Lunch
14.20
Registration and Welcome coffee

Recent developments to induction heating & coating

systems to address changing conditions within the oil
and gas sector
Mr. David Case, Product Manager (Heating & Offshore Division),
INDUCTOTHERM HEATING & WELDING LTD., United Kingdom
Field joint coating using an automated liquid coating system
Mr. Peter Singh, VP Technical Sales,
AEGION COATING SERVICES LLC., United States
15.20-16.00 Afternoon tea sponsored by:

16.00
Protecting field joint coatings for horizontal

directional drilling: how to eliminate coating failures
and prevent pull-backs
Mr. Krzysztof Kaczmarczyk, Managing Director,
NRI EURASIA Ltd., Poland
16.30
Fully automated solutions for quality field joint coating

Mr. Andrew Stribley, Engineering Manager,
SERIMAX FJC, VALLOUREC GROUP, United Kingdom
17.00
Advancements in field-applied coating technology

Dr. Somaieh Salehpour, Product Manager,
CANUSA-CPS, Canada
20.00
Conference Dinner
Conference bag sponsored by:
Conference iPad prize draw sponsored by:
Conference lanyard sponsored by:

AMI reserves the right to alter the programme without notice.
The latest programme including any new speakers or changes to schedules
can be viewed on our website www.amiconferences.com
Click here for a PDF of the brochure
please PRINT OUT FORM AND COMPLETE IN BLOCK CAPITALS
REGISTRATION FORM
Company: ______________________________________________________
Address: _______________________________________________________
_______________________________________________________________
Country: _______________________________________________________
Tel: ____________________________ Fax: ____________________________
VAT No.: __________________________________________________
(Must be completed by all EU Companies)
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Purchase order No. (if applicable): _______________________________________
Invoice address (if different from above): _____________________________
________________________________________________________
________________________________________________________
DELEGATE DETAILS
If more than one delegate please photocopy form
Title: _______________ First name: _________________________________

Surname: ______________________________________________________
Position: ______________________________________________________
Email: ________________________________________________________
Special dietary requirements: ________________________________________
Signature: ________________________ Date: ________________________
PAYMENT DETAILS
q Early bird admission fee:
(Until 1st July 2016)
1090 + 218** = 1308 _________
q Admission fee thereafter:
1190 + 238* = 1428 _________
q Table top exhibition package:

(Includes 1 delegate place)
2000 + 218**= 2218 _________
q Conference Dinner:
90 _________
(**Only admission fee part of package is VAT chargeable at 20%)
Total: _________
*Austrian VAT charged at 20%
Please note all delegates have to pay the VAT stated above.
Method of payment
On receipt of this registration form your credit card will be debited.
You will be sent an invoice in 7-14 working days.
q Bank transfer quoting: Applied Market Information Ltd.
Field Joint Coating 2016 to: Commerzbank, Filiale Dsseldorf,

Breite Strae 25, 40213 Dsseldorf, Germany

Account number: 1024710
Bank No. 300 400 00
IBAN: DE93 3004 0000 0102 4710 00 SWIFT: COBADEFFXXX
q Visa / Mastercard / Eurocard / JCB
CONFERENCE INFORMATION
Date and location
5-7 September 2016
Austria Trend Hotel Savoyen
Rennweg 16
1030 Vienna
Austria
Tel: +43 1 206 33 0
Fax: +43 1 206 33 9210
Registration fee
The registration fee includes attendance at all conference sessions, the
Welcome Cocktail Reception, lunch and refreshment breaks on both days and
a set of conference proceedings.
Early bird registration: Register before 1st July 2016 for only 1090*.
Thereafter the cost is 1190*.
Group rates: For companies wishing to register two or more delegates, group
discounts are available. Please contact the Conference Organiser for more
details. (Please note to qualify for the group discount delegates must be booked
at the same time, otherwise additional delegates may be charged at full price).
Field Joint Coating 2016 table top exhibition
A limited number of table top exhibition spaces are available in the exhibition
room next to the main meeting room. The table top exhibition fee is excellent
value for money and includes 1 delegate place. Exhibitors may either use
tables provided by the hotel or bring their own stand or display.
Sponsor this event and promote your company
A variety of sponsorship opportunities are available at this event that can help
to promote and enhance your companys products and services to this highly
targeted international audience. For further information, please contact the
Conference Organiser on: +44 (0) 117 314 8111.
Social events
The social events organised for Field Joint Coating 2016 will provide an ideal
setting for delegates and speakers to mix business with pleasure.
All payments to be made in Euros
Please tick box and write amount:
FIELD JOINT COATING 2016
If paying by card the following information must be given

Name of cardholder: _____________________________________________
Expiry date: ________________________ 3-digit security code: __________
Cardholders signature: ___________________________________________
Card billing address: _____________________________________________
Post / zip code: __________________________________________________
Country: _______________________________________________________
Tel: ____________________________ Fax: ____________________________
Welcome Cocktail Reception:
A welcoming cocktail reception will be

held on the first evening. All delegates are invited to attend and it will
offer an excellent opportunity to meet speakers and other colleagues. The
Welcome Cocktail Reception will run approximately from 18.00 to 19.30
and is included in the delegate fee.
Conference Dinner: All delegates are warmly invited to attend the
Conference Dinner, which will take place at a local restaurant on the
evening of 6th September 2016. The additional cost is 90.
Hotel accommodation
Delegates are responsible for booking their own accommodation. AMI has
negotiated a limited number of rooms at the rate of 140 for a single room
and 160 for a double (breakfast, Wi-Fi and taxes included) at the Austria
Trend Hotel Savoyen in Vienna for a limited time only. To reserve a room,
please contact the reservation department and state that you are attending
AMIs Field Joint Coating 2016 conference on:
Tel: +43 1 206 33 0 Fax: +43 1 206 33 9110
Email: reservierung.savoyen@austria-trend.at
Or follow the link on the Accommodation tab on the Field Joint Coating
website and use the reservation form online.
The AMI bedroom rate will expire on the 5th August 2016. Therefore please
book your room as soon as possible.
Cancellations
Full refunds, less a cancellation charge of 200 will only be made on
cancellations received prior to 5th August 2016. Thereafter we regret that no
refunds can be made. Delegates may be substituted at any time. Please note
that refunds will not be given on table top bookings, sponsorship packages or
Conference Dinner places.
*+20% Austrian VAT
CONFERENCE HOTLINE
BECCA UTTERIDGE, SENIOR CONFERENCE ORGANISER
SABRINA REDL, CONFERENCE ORGANISER
Applied Market Information Ltd.
6 Pritchard Street, Bristol, BS2 8RH, United Kingdom
Tel: +44 (0) 117 314 8111 Fax: +44 (0) 117 311 1534
Email: rju@amiplastics.com or sr@amiplastics.com
The latest programme, including any new speakers or changes to the
schedule can be viewed on our website: www.amiconferences.com
Email: ________________________________________________________
Fax back to: +44 (0) 117 311 1534 or Email: rju@amiplastics.com or sr@amiplastics.com
North America | pipeline update
North America presents a

challenge for pipelines
The United States and Canada have one of the most
extensive integrated oil, gas and petroleum pipeline
networks in the world. The US natural gas grid alone is
made up of 305,000 miles (490,000km) of interstate and
intra-state transmission pipelines, interspersed with
more than 1,400 compressor stations, which together
moved around 26.79 trillion cubic feet (Tcf) of natural gas
last year, according to EIA data. Canada, which is the largest foreign supplier of oil to the US, operates a network of
24,000 mile (38,500km) of pipelines moving an estimated
Adding pipeline capacity in North

America is an increasingly difficult
task with operators facing financial,
regulatory and environmental lobbies.
Nicholas Newman reports
3.4m barrels of crude oil and other liquids daily.

Over the past few years, North America has seen a
released some 31,500 barrels of bitumen. Furthermore,
Main image:
Environmental
rapid expansion in pipeline construction in response to
in response to the recent collapse in oil prices, US
the shale oil and gas and tight oil energy boom and the
production fell by 700,000 barrels a day in the year to
resulting large-scale switch from coal-to-gas power
April 2016. Some 59 oil and gas producers have filed for
one of numer-
generation. However, new development has not been
bankruptcy since January 2015, reducing pipeline traffic
ous challenges
unaffected by the growing influence of the green lobby,
and consequently pipeline operators revenues and
competition from renewables in traditional markets,
growth prospects. Today, North American pipeline
and the dramatic collapse in oil and gas prices since the
projects involve considerably more than simply drawing
operators and
summer of 2014 to below $40 a barrel.
a line on a map and building it. They can require
investors face
Pipeline builders and operators have also come
negotiating complex processes to win approval from
under scrutiny following accidents such as the oil
tiers of government, negotiating social acceptance from
rupture on the NEXEN pipeline in Alberta, which
diverse groups of stakeholders along the entire route,
opposition is
North American
pipeline
today
21
pipeline update | North America
areas of historic interest. Suppliers of renewable energy

and their supporters, such as the environmental group
Friends of Nelson, saw the proposed pipeline as a
threat to a series of major planned wind and solar farm
projects, including the Virginia Offshore Wind Technology Advancement Project. Customers feared consolidation of the regions power market and restrictions on
their ability to self-generate power and sell the surplus
to the grid. And landowners challenged Domain
Energys use of eminent domain to make compulsory
land purchases on the grounds of disturbance to their
Figure 1: Route of the NEXUS Gas Transmission System
views and rural lifestyle.

Local opposition along the route of a proposed
pipeline is expected these days. However, the strong and
well organised opposition by environmental protection
groups to the construction of the Keystone XL pipeline
went well beyond issues of conserving the immediate
environment. It became a more general campaign with
the fundamental goal of forcing traditional power
companies to cut their reliance on fossil fuels.
Falling oil and gas prices are also changing the
structure of the pipeline sector. Traditionally, oil and
gas producers have contracted their output for transmission by pipeline operators at an agreed price on a
take-or-pay basis. The collapse in oil and gas prices
Figure 2: Planned US-Mexico

cross-border pipeline projects
has, however, forced cutbacks in drilling and production

and has reduced traffic. As a result, oil and gas
exploration and production companies have sought to
renegotiate rates, and to suspend or end contracts with
as well as winning customers for their oil or gas as a

pre-requisite for obtaining investment.
There is growing opposition to new pipelines from
their pipeline operators.

In March this year a US court ruling in the case of
Sabine Oil & Gas Corps Chapter 11 bankruptcy proceed-
the public, special interest groups including landowners
ings caused shockwaves through the sector by permit-
and environmentalists, as well as the renewables
ting the company to shed some of its pipeline contracts,
industry and its supporters, which all too frequently fear
thus saving it an estimated $35m. The decision - the
competition from cheap gas for electricity generation.
first time that an energy company has used Chapter 11
Increasingly, consumers are objecting to paying towards
to break a contract with a pipeline company caused the
the costs of gas pipelines serving their local new or
share price of pipeline companies to crash 5 points on
coal-to-gas converted power stations. A case in point is
the Dow Index, according to Bloomberg.
that of Southern California Gas Co and San Diego Gas &
Following the Sabine Oil ruling, Quicksilver Resourc-
Electric. Their scheme to build a 63 mile gas pipeline
es and Magnum Hunter Resources Corp are now
was met by considerable customer opposition.
looking to renegotiate or break their contracts and the

potential consequences for pipeline operators are
Diverse opposition
Many pipeline projects, however, face opposition from
Reuters reports US bankruptcy lawyer Heidi Sorvino
diverse groups. Dominion Energys proposed interstate
at LeClairRyan in New York saying: Its huge and this is
natural gas Atlantic Coast pipeline, designed to feed
going to have a domino effect on other industries. If
new power plants in the Virginia and North Carolina
upheld by higher courts, the decision will make it more
region with low cost gas operating under strict pollution
difficult for pipeline operators to recover the $30bn a
controls, is one example. The project was opposed by a
year invested to transport the enormous increase in
combination of interests. Nature lovers, hikers and
output from shale oil and gas wells to markets on the
history conservationists raised objections to the route
eastern seaboard, the Midwest, north into Canada and
crossing the Appalachian Mountains National Park and
across the border south into Mexico.
22
serious.
of 2015 and growth prospects for pipeline companies in

general are diminishing. Moreover, tough environmental
reviews have delayed projects and that has left some
pipeline companies with problems maintaining dividend
payments and paying the interest on their debts while
still financing ambitious expansion plans.
The shale effect

Historically, the US sourced domestic supplies of natural
gas from the southern states around the Gulf of Mexico.
However, the drop in production by 46% over the past
five years (according to data from the EIA) and the
concurrent rapid expansion of shale gas in the Marcellus
and Utica shale formations has stimulated construction
of new pipelines to take shale gas to markets along the
eastern seaboard and Midwestern states.
One of the major planned pipeline projects is the
Figure 3: Approved North American LNG import/export terminals

Source: FERC
$2bn, 250 mile (400km) NEXUS Gas Transmission

system that will be constructed in Ohio and Michigan by
Fluor Corp on behalf of DTE Energy and Spectra Energy
Upgrading infrastructure
Partners. This pipeline is designed to take gas to
Not all pipeline operators are increasing capacity by
northern markets in the upper Midwest and across the
building new pipelines from scratch. Other ways of
border into Canada, serving cities such as Montral and
increasing capacity of existing pipelines range from
Toronto. Construction of the NEXUS pipeline is due to
adding new compressors to employing better scheduling
begin in early 2017, once final regulatory approvals and
management software. For instance, Kinder Morgans
designs are completed (Figure 1).
Trans Mountain crude and refined products pipeline -
Another major pipeline project is the proposed
which links fields in Edmonton, Alberta, to marketing
$5.1bn 565 mile (900km) Atlantic Coast pipeline, which
terminals and refineries in the central British Columbia
is designed to deliver shale gas to markets along the
region, the Greater Vancouver area and the Puget Sound
east coast, including Philadelphia and Washington DC.
area in Washington State has seen capacity increase
The lead developer in the scheme is Dominion Energy
from 225,000 barrels a day in the mid-1990s to more
and their intention is to feed the gas to a fleet of power
than 300,000 barrels today by upgrading software.
stations they are currently converting from coal to gas
Improving pump capacity also helps lift capacity but,

for the big gains, significantly increasing the physical
fired.
Meanwhile, in the southern US, Energy Transfer
size of the pipe can prove a worthwhile investment. For
Partners and Regency Energy Partners have awarded
instance, Calgary-based Enbridge, Canadas largest
contracts for the construction of the $2bn 533 mile
pipeline company, has proposed a $7.5bn project to
(860km) Lone Star NGL pipeline running from the
diameter Line 3 oil pipeline linking Hardistyin Alberta in
construction
Canada and Superior in Wisconsin in the US with a
and capacity
36-inch diameter pipe. If approved, it will near double
expansions are
moving ahead
in North Ameri-
capacity from the existing 400,000 to 760,000 barrels

per day.
The Federal Energy Regulatory Commission (FERC)
ca despite low
reported that as of 31 July 2015, 53 pipeline projects
oil and gas
were pending, twenty more than in the previous July.
prices
PHOTO: TRANSCANADA
replace the existing 1,031 mile (1,650km) long 34-inchRight: Pipeline
This reflects expectations that US natural gas production will increase by 44% by 2040. But in the shorter
term, recent large expansion in pipeline capacity
alongside cuts in drilling and output have created
difficult market conditions. Kinder Morgan, the largest
pipeline operator, slashed its dividend by 75% at the end
24
North America | pipeline update
Permian Basin to Mont Belvieu in Texas. This 24 and

30-inch pipeline is designed to transport Lone Stars
contracted natural gas liquids production, which is
forecast to exceed Lone Stars existing 290,000-bpd
capacity, from the Permian Basin. The project is
scheduled for completion in 2017.
Columbia Pipeline Group, a unit of NiSource, is
planning two projects to transport natural gas from
Marcellus and Utica production areas to markets served
by its Columbia Gas Transmission and Columbia Gulf
Transmission pipeline systems. The Mountaineer
Xpress (MXP) Project calls for 165 miles (265km) of various diameter pipeline, three new compressor stations,
modifications to three existing compressor stations, and
a regulating station. This project would provide an
Figure 4: Map showing the Mountaineer Express project
additional 2.7 Bcf/d from the Marcellus and Utica
Source: Columbia Pipeline Group
production areas to markets supplied by the Columbia

Gas Transmission system, including western West
project promoters, the Sur de Texas-Tuxpan scheme is
Virginia, TCO Pool as well as mutually agreeable points
challenging as the US pipeline industry has little
(Figure 4).
experience in constructing subsea pipelines. For this

reason, it is expected that subsea engineering contrac-
Cross border opportunity
tors such as Atkins from Europe, which is highly
In a new development for the US, a mutually significant
experienced in delivering offshore pipelines such as
market for cheap Texan shale gas producers has arisen
Nordstream in the Baltic Sea and the Langeled Pipeline
in Mexico. This is being facilitated by a major expansion
in the North Sea, will become involved.
in cross-border pipeline capacity. US gas exports to
A less challenging project is the Waha-San Elizario
Mexico totalled a near-record 70.9bn cubic feet (bcf) in
Pipeline, which is designed to transport 32 Mm3/d
April 2015. That is up 25% from a year earlier, and
(million cubic meters per day) of natural gas from the
exports are expected to reach about 150 bcf a month by
Waha gas hub in West Texas to power plants in southern
2020, according to a December 2015 report by Bloomberg
Chihuahua in Mexico. This $450m 150 mile (250km)
New Energy Finance (Figure 2).
pipeline is due for completion in 2017 and is being
Of the growing number of cross- border gas pipeline

projects between the US and Mexico, the most ambitious is the $3.1bn 500 mile (800km) Sur de Texas-Tux-
developed by ONEOK Partners in a joint venture with a

subsidiary of Fermaca Infrastructure.
LNG exports provide a real opportunity for the
pan (Marino) sub-sea project. This has a planned capac-
pipeline industry. However, to date, only one LNG plant
ity of 2.6 bcf/d of natural gas by 2018 (similar to the
has commenced operation Chenieres Sabine Pass
export capacity of 2.7 bcf/d from the Sabine Pass
facility in Louisiana. However another four are currently
liquefied natural gas (LNG) terminal first phase). For
under construction: Chenieres Corpus Christi project in

Figure 5: Route of Enbridges 1,160km
Northern Gateway dual pipeline
25
pipelines, and competition from rail in moving crude.

The proposed Keystone XL scheme consisted of a 1,179
mile (1,900km) 36-inch diameter pipeline that would
have cost an estimated $8bn, according to Bloomberg.
In place of the Keystone XL scheme, the government
of newly-elected Canadian Prime Minister Justin
Trudeau is seeking public support for three oil pipe-
Figure 6: Schematic showing the route of TransCanadas Energy East

pipeline
Figure 7: Route of Kinder Morgans Trans Mountain pipeline project

Source: Kinder Morgan
Texas; the Freeport LNG facility in Texas; Cameron LNG

in Louisiana; and Cove Point LNG on the east coast of
Maryland. All are said to have secured sufficient
customers on long term contracts to ensure viable
revenues and all five projects have required new
pipeline work. For example, the Sabine Pass scheme
includes a dedicated new-build 94 mile (150km) pipeline
connecting the LNG plant with a number of large
interstate pipelines.
The first shipment of US LNG from the Lower 48
states left at the end of February this year destined for
markets in Brazil. However, it should be noted that US
exports join a world currently oversupplied with LNG
and, therefore, will provide little relief for US shale gas
producers (see Figure 3).
Canadian pipelines
Turning to the Canadian pipeline sector, the failure of
TransCanada to gain approval for the Keystone XL oil
pipeline may have a positive aspect, given the current
state of oil prices, capacity increases in existing
26
lines, according to recent reports in the Wall Street

Journal. The first is TransCanadas $12bn Energy East
2,900 mile (4,600km) pipeline, which is designed to
carry 1.1m barrels of crude a day from Alberta and
Saskatchewan to refiners in New Brunswick in Eastern
Canada. When complete it will be the longest in North
America. The project calls for new construction for
about 30% of its length, the remainder encompassing
an existing gas pipeline made suitable for oil. If final
regulatory approval is secured, construction could start
in 2018 (Figure 6).
The second is Enbridges $8bn 731 mile (1,160km)
Northern Gateway dual pipeline that will from Bruderheim in Alberta to Kitimat in British Columbia (Figure 5).
The eastbound pipeline will import natural gas condensate and the westbound will export diluted bitumen from
the Athabasca oil sands to the marine terminal in
Kitimat for transportation to Asian markets by oil
tankers. Despite approval from the previous Canadian
administration, however, preparations for the start of
construction, such as clearing vegetation and trenching,
have not yet begun.
The third project is Kinder Morgan Canadas Trans
Mountain crude oil export pipeline, which is intended to
link the oil sands of Alberta with a port near Vancouver in
British Columbia (Figure 7). At a cost of at least $5.4bn, it
will double an existing pipeline and will near triple
capacity to 890,000 barrels a day. A major advantage for
the scheme is that existing right-of-way applies for 73%
of the proposed route while a further 16% follows other
linear infrastructure such as TELUS, Hydro or highways.
This leaves just 11% of the total project length requiring
new right-of-way. However, local native groups and
environmentalists are opposing the plan.
It should be noted, however, that progress on any of
these Canadian pipeline projects is subject to agreement by leaders of both Federal and provincial governments, most notably British Columbia and Quebec,
which have both proved tough negotiators in the past.
What is clear from this snapshot of the North
American oil and gas market is that pipeline industry is
subject to economic, financial and social pressures,.
These are being exacerbated by increasing regulatory
and public scrutiny, making life very challenging for
pipeline companies and investors operating existing and
developing new pipeline capacity.
Ice pigging | internal coating
Ice pigging promises the ability to clean unpiggable pipelines without

damaging internal coatings. Mark Holmes reports on the
development and application of the technology
Ice pigging
promises
to clean up
Main image:
Originally developed for cleaning food production
inflexible and have been known to become stuck at
equipment, ice pigging is now being promoted as a
bends, at changes in diameter, where the pipe is heavily
cost-effective option for cleaning and maintaining
soiled, or where there has been an in-service deforma-
below 12 bar,
pipelines in a wide range of industrial applications in-
tion of the pipe. As a result of this risk, many pipes have
ice pigging is
cluding the oil and gas sector where it is essential to
now been classified as unpiggable by their operators.
gentle on
void damage to internal coatings. The technique, which
Solid pigs can also result in damage to any internal
coatings
involves pumping an ice slurry into the pipeline, is
coating that may have been applied to the internal pipe
claimed to be effective and to minimise waste produc-
surface. This can, depending on the functional design of
tion. It can also be applied in situations previously
the coating, reduce flow performance or result in a risk
deemed unpiggable.
of increased internal corrosion.
The use of pigs to clear pipelines is well practiced in
Ice pigging was devised in 2001 by Joe Quarini,
the oil industry, where pipes used to carry crude oil and
Professor of Process Engineering in the Department of
its derivatives can often suffer from a build-up of waxy
Mechanical Engineering at Bristol University in the UK,
deposits caused by changes in the pressure or tempera-
and was envisaged as a cost-effective way of cleaning
ture in the pipeline. Waxes can vary in texture from a
product from pipes used in the food industry. Previously,
viscous liquid to a soft deposit. These deposits can
large volumes of water were used to displace food
gradually reduce the effective pipeline diameter, which
material, followed by an expensive hot caustic soda
can result in a large pressure drop, and in the worst case
treatment. The unusable waste product then required
the build-up can become so severe that the pipeline
costly disposal.
blocks and oil transmission may cease completely.

A variety of techniques have been developed over the
In the ice pigging technique, the slushy ice forms a

soft plug that pushes through the pipe and scours it
years to remove wax accumulations, the most common
effectively. The technique adapts to accommodate the
being the use of a solid pig - typically a 1-2 m long
most complex of pipe shapes. It makes the difficult,
device that is propelled along the pipe using high
time consuming and expensive task of removing waste
pressure oil, water or air. The pig scrapes away the wax
product quick to undertake and removes the need for
deposits as it travels and can return the pipe to a
harsh chemicals.
serviceable condition. The major disadvantage of
The ice pigging method was then developed further
introducing a solid pig into any pipeline is the risk of it
for application in the water industry and the university
becoming stuck, which in some cases may risk causing
formed a spin-out company PCIP to continue
major disruption and cost. Solid pigs are inherently
development and patent the technology. Aqualogy
With pressures
27
internal coating | Ice pigging
Right:
Ice pigging was
initially
developed for
became licenced users and introduced a commercial

service for the water industry in a number of countries,
including the UK, USA, Australia, Spain, The Netherlands, Chile and Japan. Aqualogy, now known as Suez
the water
Advanced Solutions, recently acquired PCIP and now
industry
has full rights to use the technology across industry

sectors and is looking to take ice pigging into new
market areas.
Pipeline potential
Ice pigging has great potential for the pipeline
industry, says Matthew Stephenson, Ice Pigging
Director at Suez Advanced Solutions. Any pipeline that
suffers from an accumulation of loose material such as
sand, gravel, sediment, or sticky material such as wax,
can see the low risk benefits of using ice over other
techniques. Much of the work we do here at Suez is
finding and testing the right applications of ice pigging
and matching them to industrial problems that exist
today. The most attractive potential for the pipeline
industry is the low risk, high effectiveness, and fast
normally restrict a solid pig. As a result we do not carry
operation that make this a unique process.
as much risk in performing the operation, because ice
Stephenson says that beyond the original food and
will eventually melt. The process can usually be
water industry applications, the company has identified
performed without any modifications to existing
interesting opportunities in the oil and gas sector,
pipework, Stephenson explains.
particularly with the more challenging projects. We see
The pigs created in ice pigging can be injected via
Below: Ice pigs
a niche where some pipelines and pipe fittings have
small diameter fittings 2-inch injection points are
can be injected
been previously deemed unpiggable - due to the risk of
common and can be formed easily in large diameter
into pipelines
failure of a conventional pig, or as a result of complexi-
pipes without major enabling works. Ice pigs are many
through small
ties in pipework such as manifolds, navigating bends,
times longer than solid pigs often as long as 500 m in
diameter
butterfly valves and obstructions that make pipes too
length and work by gradual removal of contaminant.
fittings,
complex to clean, he says.
The result of ice pigging is said to be a bulldozing of
typically
Ice pigging ice can be injected into pipework and
contaminants, which means the subsequent risk of
around 50mm
can pass around bends, as well as cope with changes in
blocking is not commonly seen. The company says the
diameter
diameter and other pipework geometries that would
technology can be applied in pipe diameters from

50-700 mm and can even be used effectively in hot
climates (although more ice is needed to counter-act
some melting). It is said to be best suited for pipe runs
of no more than 5-10 km, and to short sections of pipe
that have previously been judged as unpiggable.
The ice production process itself has been developed
through an understanding of how ice crystals are
formed and maintained. A freezing point depressant,
such as salt, sugar or citric acid, is added to the water
and used to control the consistency of the ice. The ice
pigging machine produces a two-phase mixture of
water and the selected additive, with the freezing point
depressant turning the ice into an ice slurry that can
then be pumped through pipelines. The machine
operates on a continuous basis for the delivery of
conditioned ice. It is fully enclosed in an insulated
stainless steel casing and combines ice production,
storage, maintenance and delivery.
28
Ice pigging | internal coating
Pigging the unpiggable

Stephenson believes ice pigging has considerable
potential to improve pipeline performance in the oil
industry. By tackling previously unpiggable pipelines
there could be significant savings in time and cost by
prolonging the life of assets that have started to become
blocked over time. We also see a role in the decommissioning of oil pipelines in all parts of the oil industry from crude oil extraction through to pipelines in
refineries, he says.
When compared with water or diesel flushing, ice
pigging has a mechanical effect and as a result has a
much higher effectiveness. When compared with
traditional solid pigging, ice pigging removes the risk of
the pig becoming stuck. We do not expect to compete
with solid pigging over long distances, but believe that
many more difficult lines can now be effectively cleaned
This is a major problem for the sector, which results in
with ice pigging, Stephenson adds.
a reduction of oil production and in some cases a
While Suez Advanced Solutions believes there are

many applications for ice pigging in the oil and gas
Above:
Production of
the ice pig is a
cessation of production altogether.

To replicate conditions found in oil pipelines for the
continuous
automated
industry, there are limitations, too. Ice will melt if it is
trial around 100kg of paraffin wax was mixed with a
in the pipe too long, explains Stephenson. That is why
black dye to ensure that the wax could be clearly seen
we have put a limit of around 10 km in length and a
against the ice. Once mixed, the wax was smeared
uses freezing
maximum pipe diameter of approximately 700 mm (28
around the inside of a 24-inch (610 mm) diameter
point depres-
inches) on the process. Large quantities of ice are
pipeline, which was part of a specially designed 30m
required for bigger pipe diameters, so we expect this
long test rig. Once the section of pipe had been
technique to be most cost effective on pipes between
completely smeared with the wax, the rig was then
300-510 mm (12-20 inches), he says.
reassembled ready for the tests.
Stephenson says the procedure is the same regardless
process and
sants to control
consistency
Firstly, enough water was pumped into the rig to

Below: The
of length and diameter. If the pipe is becoming blocked
completely fill the pipeline. Around five tonnes of ice
we may start the operation with a thin ice and increase
was then injected into the pipe enough to form a
ice pigging
the thickness of ice to unblock it gradually. We aim to
semi-solid ice pig (the ice required for removing such a
equipment
keep pressures under 12 bar, but the pressure require-
viscous contaminant needs to be considerably thicker
ment depends on the extent of fouling and the head loss
than ice used in other ice pigging applications in order
we need to induce to remove the fouling, he says.
to create sufficient shear force on the inside of the pipe

to remove viscous wax). Water was then injected with
produces an
easily pumped
two-phase
ice slurry
Coating benefits
And, to date, the company has seen no issues when using
the technique with an internally coated pipeline. Ice
pigging is not an aggressive technique and does not
damage the pipe. It is the equivalent of wiping the inside
of the pipe and will only remove soft or loosely adhered
contaminants, Stephenson explains. It is not as
aggressive as many solid pigging systems or high
pressure water jetting. However, it is a mechanical clean
and is many times more effective that high velocity
flushing or air scouring techniques. Most of our developments at present are about making the process faster
and easier to deliver in remote areas of the world.
Suez Advanced Solutions is now trialling ice pigging
in a number of new applications. A recent oil industry
test was designed to address the problem of the
build-up of waxy deposits in oil flow lines and risers.
29
internal coating | Ice pigging
Right: Zeon
Chemical
realised
sufficient pressure to force the ice pig along the pipe. As

the ice travelled through the pipe it scraped away the
sticky wax. Once all of the ice had been pushed through
improved flow
the pipe, the rig was disassembled to reveal that
and reduced
virtually all of the wax had been cleared from the
downtime using
ice pigging
pipeline apart from a very thin film.

The coating application sector is another potential
to clean bio-
application area for ice pigging, according to Suez. A
accumulation
build-up of by-products within coating pipelines can
from this pipe
result in a reduction in flow rate and lead to an increase

in downtime and associated costs. In addition, factories
producing multiple products often require a large
amount of water during product changeovers (water is
used to flush product from pipework). Using ice pigging
to flush pipes is claimed to result in lower water
consumption, greater product recovery and lower
Environmental analysis
effluent volumes.
Ice pigging has also proved its value in the chemicals
Studies have also been undertaken to evaluate the
industry. Zeon Chemicals, a manufacturer of polymers,
environmental credentials of ice pigging. The Carbon
synthetic elastomers and speciality chemicals, had
Trust an independent UK body with a mission to
identified a problem with heavy bio-fouling at one of its
accelerate moves towards a sustainable low carbon
sites in the UK, which had resulted in a reduction of
economy organised a series of trials at Yeo Valley, an
pipeline flow rates. It had determined that if the
organic dairy company. The results showed that ice
bio-fouling was allowed to continue unchecked it would
pigging could provide individual commercial dairy sites
require costly major jetting. Ice pigging was used on a
with a revenue gain of up to 350,000 per year through
330m section of the pipe. Due to the severity of the
improved product recovery and reduced downtime. The
bio-film accumulation, the cleaning cycle was repeated
process also significantly reduced water consumption,
three times but Zeon reports that the final run exceeded
demonstrating the potential to offset the use of up to 25
its expectations. Flow rate was increased by 10.39% and
tonnes of water per day and significantly reduce effluent
the pipeline was returned to service within two hours.
production.
The company estimated that the use of the technique

avoided three days of potential lost production, as well
Click on the links for more information:
as reducing the need for future waste pipe replacement.
www.ice-pigging.com
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projects | Thermal insulation
Aegion and Trelleborg secure

flagship insulation projects
Aegion Corporation and Trelleborg
have won major subsea thermal
insulation contracts for projects in
the Gulf of Mexico and Azerbaijan
cannot be matched by existing technology. The company

says the thermosetting cross-linked hydrocarbon
polymer maintains structural integrity in deepwater
operating environments at water depths greater than
10,000ft (3,050m).
Materia recently completed the first phase of an
expansion of its Huntsville facility in Texas to enable it to
produce the new thermal insulation material for the
project and is currently proceeding with the commis-
US-headquartered Aegion Corporation has been
sioning process. A second phase of expansion is
selected by Shell Offshore, a subsidiary of Royal Dutch
planned for the second and third quarters of this year,
Shell, to provide pipeline insulation for the Appomattox
which will allow the site to meet the schedule for
development in the deepwater Gulf of Mexico. The
full-scale production by the autumn.
company has partnered with advanced materials
A state-of-the-art insulation coating facility designed
specialist Materia on the project, which will use the
to handle the Appomattox work is currently under
latters Proxima HTI-1400 subsea insulation system.
construction at the New Iberia, Louisiana, location of
Materia claims the HTI-1400 insulation system offers

a thermal barrier between flowlines and seawater that
Aegion subsidiary Bayou, which will provide anti-corrosion pipe coating and ancillary services. Bayou Wasco
Aegion is
providing
pipeline
insulation for
Shells
Appomattox
development in
the Gulf of
PHOTO: ROYAL DUTCH SHELL
Mexico
32
Thermal insulation | projects
photo: shutterstock
Insulation, a joint venture betweenAegionandMalaysia-basedWasco Energy and a leader in proprietary

insulation coatings, has developed the proprietary ACS
HT-200 pipe insulation coating application process.
Bayou is currently receiving specialised equipment
for the insulation application as construction of the new
facility continues for completion this summer. The
company expects to begin insulation application
production during the fourth quarter of this year.
The Shell Appomattox oil reserve is located approximately 80 miles (130km) off the coast ofLouisianaat a
depth of about 7,200ft (2,200m). The pipe coating and
insulation project, which involves more than 200 miles
(320km) of production flowlines and transmission
pipelines, is expected to be completed 12 to 18 months
after the start of pipe coating and insulation application.
We are proud of our capabilities to provide large-
increase energy security of European markets and open

new opportunities for Azerbaijan and surrounding
scale project support to Shell and remain committed to
countries through the opening of the new Southern gas
providing high-quality pipeline corrosion protection, flow
corridor. The first gas production is targeted for late
assurance and other services for their pipeline assets in
2018 with supplies to Georgia and Turkey; gas deliveries
theGulf Coastregion, says Charles R Gordon, Aegions
to Europe are expected just over a year after this.
President and Chief Executive Officer. Our collaboration
Paul Spikins, Senior Coating Engineer for BOS Shelf
withMateriademonstrates our commitment to work
says the combination of the size of the Shah Deniz
with customers to provide world-class coating, insula-
project, its geography, and the distance the pipe has to
tion, logistics and prefabrication solutions.
travel meant that all products used have to meet the
Materiadevelops and manufactures catalysts and
highest performance standards. We were assured of
advanced materials for use in the chemical, electronic,
Trelleborgs product expertise in this application from
energy, industrial, pharmaceutical, and transportation
previous project success and strong track record.
sectors. Oil & Gas applications include thermal
However, Trelleborg is doing more than simply supply-
insulation, buoyancy, well construction, and corrosion
ing the product; they are going the extra mile to deliver
protection, as well as structural composites.
the best quality insulation against the timeline by
Materia co-founder and senior advisor Dr Michael
on the ground will be invaluable and will enable us to
were charged with supplying pipeline insulation
keep the project on track from beginning to end.
while greatly reducing the complexity of the system.

Trelleborg, meanwhile, has secured its largest
coating
contract for
BPs Shah
Deniz offshore
project
Vikotherm P7, including 2.5km of jumper spool, ten
coating services for Phase II of BPs Shah Deniz
isolation valves, five flowline end terminations, and field
offshore project. The contract is with BOS Shelf and will
joint coatings post metrology.
Trelleborg will supply in excess of 1,000 tonnes of its
corrosion
Trelleborg will insulate a selection of products using
double subsea isolation valves, seven single subsea
with a purpose-built local coating facility.
largest ever
insulation and
its high temperature thermal insulation material
single order for thermal insulation and corrosion
run to 2022. It includes supporting BOS on the ground
secured its
setting up a local facility in Baku. The additional support
Giardello says Shells requirements were rigorous. We

materials that met their performance requirements,
Above:
Trelleborg has
Our insulation experts will work in the new

purpose-built insulation facility, which is designed to
cope with the varying climate conditions in Baku. In
Vikotherm P7 high temperature insulation material,
addition, they will also work on the dockside in
which will be applied to the flowline structures of the
custom-built habitats that are designed to protect the
project over a period of five years. To facilitate the order,
team, the equipment and the product, in order to deliver
Trelleborg will establish a custom coating facility with
the highest level of quality, says Jonathan Blackburn,
two polyurethane dispensing machines and a site
Project Manager for Trelleborgs offshore operation.
specific laboratory at BOS Shelfs facility in Baku,

Azerbaijan. A crew of up to 25 operational personnel and
Click on the links for more information:
administration staff will be employed at the location.
www.aegion.com
http://oilandgas.materia-inc.com
www.trelleborg.com/offshore
The Shah Deniz project is one of the largest natural

gas developments in the world to date. It is intended to
33
products | Update
protective tape
reinforcement
tape from Oxifree Global
New glass
for CIPP
projects
designed for use in combina-
Rovicut is a new stretchable
tion with its TM198 thermo-
woven glass fibre reinforce-
plastic coating to provide
ment from Chomarat Group
corrosion protection in
designed for use in
demanding environments such
cured-in-place pipe (CIPP)
as buried pipes and fittings.
renovation work.
Oxitape toughens it out

Oxitape is a new protective
Oxifree TM198 resin is melt
Developed in collabora-
applied using a heated hose and
tion with Reline Europe, a
gun. Once solidified, it provides
Flange and fitting

protected with
Oxifrees TM198
a pliable thermoplastic barrier

coating offering metals
protection against galvanic
leading manufacturing of
CIPP sleeves, the Rovicut
reinforcement is designed to
stretch to the exact shape of
pitting and atmospheric
maintenance costs by 40%
provide a defensive shell that
the worn or damaged pipe,
corrosion as well as preventing
compared to traditional
offers complete protection
allowing it to add maximum
water and dust ingress.
coatings. The new Oxitape wrap
from contact as well as
mechanical performance
extends the scope of applica-
corrosion and contamination.
with minimal thickness.
product is already widely used
tion for TM198 to environments
The company says the
in offshore environments,
prone to mechanical impact
combined Oxifree system can
is being used with Reline
where its rapid application and
and abrasion.
still be easily removed for
Europes latest Alphaliner
inspection and maintenance.
1800 system for trenchless,
www.oxifree.com
in-place rehabilitiation of
Oxifree says the TM198
high level of corrosion

protection is claimed to reduce
Oxitape is applied over the

top of the TM198 coating to
The new reinforcement
large diameter pipes.

Rovicut is unique in the
rehabilitation
market because the sleeve
Cutting the risk from lead leaching

Pipe Restoration Services ePIPE no-dig pipe
rehabilitation technology has been used to
thickness is optimised to
make it more lightweight,
thus making it easier to
project undertaken by PRS in the UK to date.
handle and install with
Prior to work commencing, the pipe was
overhaul a 15m section of lead drinking water
delivering a 12 litre/minute water flow rate. On
faster UV cure. So there is a
pipe in Bushey Heath in the UK, bringing it into
completion, the flow rate was more than 15
considerable economic
compliance with current regulations.
litres/minute and lead levels were brought into
advantage, says Chomarat
compliance with current regulations. No road
Sales Manager Marlne
Water, is the longest in-place small diameter
closures were required.
Berthouze.
lead drinking water service pipe restoration
www.piperestorationservices.co.uk
www.chomarat.com
The project, carried out for utility Affinity
coating application
Full cover internal spray option

New from Exair is the NPT internal
inside the air cap, the company says the
mix 360 hollow circular pattern
nozzle is able to produce a fine and
atomizing spray nozzle, designed for
easily adjustable mist. The nozzles offer
even application of liquid coatings to the
liquid flow rates from 1.6-8.9 US gallons
internal surfaces of pipes.
(6-33 litres) per hour.
The new nozzle atomises the liquid
34
The nozzles are manufactured in
coating and sprays it in all directions. By
stainless steel.
combining the liquid and compressed air
www.exair.com
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or download the issue in the relevant Apple or Android app
Pipeline Coating Nov 2015
The November 2015 edition of
Pipeline Coating looks at
European investment in
pipelines to reduce
dependence on Russia. It also
examines a Canadian study of
pipeline safety versus rail and
reviews a new proposed hot
cathodic disbondment test
procedure.
Click here to view
Pipeline Coating May 2015

Pipeline Coatings May issue is
packed with features on Middle
East investments, field joint
coating technologies, data
tracking software, and news
from the Pipeline Coating 2015
conference.
Click here to view
Pipeline Coating Nov 2014

The November issue of
Pipeline Coating boasts
in-depth features on pipeline
projects in Latin America,
external subsea pipe
inspection, field joint coating
developments, composite
repairs, and the future for
carbon capture.
Click here to view
Pipeline Coating Sept 2015

The September 2015 edition
looks at pipeline investments in
Australia, reports on a
nanotechnology solution for
internal pipe lining, and
compares the performance of
different field-applied external
coatings. It also looks at an
internally coated hot oil riser
application in China.
Click here to view
Pipeline Coating Feb 2015

The February edition of
Pipeline Coating takes an
in-depth look at investment in
the African pipeline industry.
Plus the latest oil and gas
market outlook, offshore lining
technology and smart coating
developments.
Click here to view
Pipeline Coating Sept 2014

The September edition of
Pipeline Coating contains
special features on the Chinese
pipeline market, Europes South
Stream project, and
developments in linings for
oilfield tubulars. Plus it has an
exclusive review of this years
Pipeline Coating conference.
Click here to view
Pipeline Coating is a FREE digital magazine from AMI

Click on the logos below to see our other titles
bookshelf
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RECOMMENDED READING
Our selection of the latest titles and essential reference works for the pipeline coating industry
PIPELINE RULES OF THUMB, 8TH EDITION
PIPELINE INTEGRITY HANDBOOK: RISK

MANAGEMENT AND EVALUATION
2013, McAllister
113.00 or 83.00 or $133.00
2013, Singh
104.00 or 77.00 or $124.00
In-depth understanding of key

engineering principles associated
with the more challenging
aspects of pipeline operation and
management.
More info/Buy here
Provides pipeline engineers with

the tools to evaluate and inspect
pipelines, safeguard the life cycle
of their pipeline asset and ensure
delivery and capability.
More info/Buy here
PIPING AND PIPELINE CALCULATIONS MANUAL:

CONSTRUCTION, DESIGN FABRICATION AND
EXAMINATION, 2ND EDITION
SUBSEA PIPELINE INTEGRITY AND RISK

MANAGEMENT
2014, by Bai & Bai,
145.00 or 110.00 or $176.00
2014, by Ellenberger,
91.00 or 67.00 or $108.00
Brand New. A hands-on problem

solving guide to integrity
management, risk and reliability
analysis.
Brand New. Expert explanation

of the calculations, codes, and
standards applicable to piping
systems.
D
ANW
R
E
B N
More info/Buy here
PIPELINE COATING 2016 - CONFERENCE

PROCEEDINGS
More info/Buy here
D
ANW
R
E
B N
DESIGN OF ADHESIVE JOINTS UNDER HUMID

CONDITIONS
2016, 20 papers,
385.00 or 320.00 or $500.00
2013, by Silva & Sato,

122.00 or 90.00 or $144.00
Brand New. Market overviews,

research and testing, external
coating and field joint coating.
An expert examination of the

effects of moisture and methods of
predicting them.
More info/Buy here
D
ANW
R
B NE
More info/Buy here
Visit www.pidbooks.com
for hundreds of recent titles, easy online ordering,
special offers and clearance bargains!
Order online or by telephone, fax or email. Contact Matt Wherlock,
Tel: +44 (0)117 924 9442 Fax: +44 (0)117 311 1534 email: mjw@amiplastics.com
All prices are correct at the time of publication but may be subject to change.
Please check the Plastics Information Direct website for current prices and shipping charges.
Turn page for the full programme
PIPELINE COATING &

PROTECTION 2 0 1 6
The American conference on pipeline integrity technology and markets
Images courtesy of: Shawcor Pipe Protection LLC, TUFF-N-NUFF Ltd. (Sika Corporation),
NRI (Neptune Research Inc.), LOGSTOR A/S

Houston, Texas, USA
Organized by:
Applied Market
Information LLC
HEADLINE SPONSOR
Media supporters:
SPECIAL OFFER: Save $200 if you register before September 2, 2016
PIPELINE COATING &

PROTECTION 2 0 1 6
Save $200
Register before September 2, 2016
and save $200
November 15-16, 2016 Hilton Houston Post Oak

Houston, TX, USA
Building upon years of success with its global conferences Pipeline
Coating and Field Joint Coating, AMI is delighted to invite you to
attend its new event in North America, Pipeline Coating & Protection
2016, taking place November 15-16 at the Hilton Houston Post Oak, in
Houston, TX, USA.
HEADLINE SPONSOR
Just like its counterpart in Europe, this new conference aims to bring
together leading pipeline contractors, operators, pipe mills and pipe
coaters, engineers and specifiers, researchers, raw materials and
machinery suppliers. It will thus provide a platform for all links in
the supply chain to interact and discuss market needs, novel pipeline
coating and protection technologies, as well as industry trends,
focusing in particular on issues specific to the Americas.
This is a unique opportunity to network and exchange expertise with
colleagues and potential customers, as well as to learn about existing
and potential technology innovations and become familiar with new
products and services available to the industry
In addition to the technical program, this industry get-together offers

multiple marketing opportunities in the form of sponsorships and
table top displays in the accompanying exhibition.
Leading industry participants have already demonstrated their support
by registering their delegates for Pipeline Coating & Protection 2016
the only event focused on this industry in North America.
FIVE GOOD REASONS WHY YOU SHOULD ATTEND:

1. Advance your career by networking with colleagues,
customers and suppliers
2. Promote your companys products/services in a
focused manner to a relevant audience
3. Learn about current and future market trends
Image courtesy of: Shawcor Pipe Protection LLC
The two-day program will start with a market review presentation

delivered by AMIs expert consultant Mr. Noru Tsalic, who has been
following steel pipe coating markets since 2007. Dedicated sessions
will then focus on novel materials and coating technologies, testing
and regulation, solutions for the protection of coatings during storage
and installation, as well as field-applied and pipeline rehabilitation
solutions.
4. Familiarize yourself with state-of-the-art solutions, as

well as innovations
5. Become aware of unfulfilled or partially fulfilled
market needs which drive the industrys
development efforts
CONFERENCE HOTLINE
Contact: Chrissy Stelluti, Conference Manager
Tel: +1 610 478 0800
Fax: +1 610 478 0900
Email: cas@amiplastics-na.com
Organized by:
APPLIED MARKET INFORMATION LLC
Applied Market Information LLC (AMI LLC) is the leading

supplier of plastics consultancy and information services to
the global plastics industry. Based in Wyomissing, PA, AMI LLC
organizes a series of conferences providing an outstanding
range of opportunities for business networking.
To find out more about AMIs products, services and events,
visit our website at: www.amiplastics-na.com or call:
+1 610 478 0800 or email: consult@amiplastics-na.com
Turn page for booking details

HEADLINE SPONSOR
P i p e l i n e
C o at i n g
&
P r o t e c t i o n
Tuesday, November 15, 2016
Wednesday, November 16, 2016
8:00
9:00
8:30
9:00
Registration and welcome coffee

MARKET OVERVIEW
State of the market address
Mr. Noru Tsalic, Senior Vice President,
AMI CONSULTING, United Kingdom
9:10

SESSION 1 - DEVELOPMENTS IN MATERIALS & COATING TECHNOLOGY

Improving performance of high operating temperature exterior pipes
Mr. Jeffrey David Rogozinski, Global Technical Director,
VALSPAR, United States
9:40

10:10 Coating for insulated service

Mr. Michael MeLampy, Director Business Development,

PPG PROTECTIVE AND MARINE COATINGS, United States
10:40-11:10 Coffee break
11:10

New powder application and recovery technologies for

pipe coating
Mr. Mike Streepey, Powder Systems Specialist,
NORDSON CORPORATION, United States
11:40

Cant stand the heat? The wait for an anti-corrosion

coating with performance up to 400F is over
Mr. Dustin Traylor, Technical Services Engineer,
AXALTA COATING SYSTEMS, United States
12:10

Development of innovative polymer-alloys thermal

insulation systems for deepwater pipelines
Mr. Laurent Grodziski, Offshore Project Director,
LOGSTOR A/S, Denmark
12:40-2:10 Lunch
2:10

Versatility and strength of robotic spray applied, thick film

elastomeric linings
Dr. Henry Gohlke, CFO,
NUKOTE COATING SYSTEMS INTERNATIONAL, LLC, United States
2:40

Multi-layer fused polyethylene-butyl elastomeric corrosion

coating for protection of mainline steel pipelines
Mr. Sam Thomas, Senior Advisor, Technical Consultant,
SEAL FOR LIFE INDUSTRIES, United States
SESSION 2 SOLUTIONS FOR COATING PROTECTION

Solutions to avoid cracking during reeling
Mr. Pablo Wiesemann, Technical Solutions Manager,
SHAWCOR, United States
3:10

2 0 1 6
Welcome coffee
SESSION 2 - SOLUTIONS FOR COATING PROTECTION (CONTINUED)

9:10
Advances in damage resistant coating technologies

Dr. Jennifer Pratt, Advanced Product Development Specialist,

3M COMPANY, United States
9:40 Long term pipe storage

Mr. Prithwin Varghese, Business Development Manager,

North America,

DHATEC A SHAWCOR COMPANY, United States
SESSION 3 FIELD-APPLIED & REHABILITATION SOLUTIONS
10:10

Factors influencing the selection of automated field

joint coatings
Mr. Rick Kimpel, Engineering Manager,
AEGION COATING SERVICES, United States

11:10 Dealing with aging asphalt enamel - coal tar enamel -

bitumastic pipeline coatings what to do?

Mr. Jeffrey Didas, Senior Corrosion Engineer,

MATCOR, INC., United States
11:40

Automated flame spray equipment for field joint coating

Mr. Robert Langhans, President & CEO,
IBIX NORTH AMERICA, United States
SESSION 4 NEW ISSUES IN REGULATION & TESTING

12:10

Specifications, standards and testing for FBE pipe coatings

Mr. Greg Denton, QA/QC Manager,
LABARGE COATING, United States
12:40-1:40 Lunch
1:40

High temperature cathodic disbondment testing

Mr. John Carter, Strategic Account Director,
EXOVA, United Kingdom
2:10

Case studies of coated pipelines

Dr. Amal Alborno, President & CEO,
CHARTER COATING SERVICE (2000) Ltd, Canada
2:40
Afternoon wrap up and questions
3:00
Conference ends

Coating protection for horizontal directional drilling installs
Mr. Ron Raphoon, Business Development,
NRI (NEPTUNE RESEARCH INC.), United States
4:10

Rockshields for pipeline coating protection

Mr. Will Fultz, Product Manager,
TUFF-N-NUFF Ltd (SIKA CORPORATION), United States
5:10
Afternoon wrap up and questions
4:40

5:15-6:45 Cocktail reception
AMI reserves the right to alter the program without notice.

The latest program including any new speakers or changes
to schedules can be viewed on our website: www.amiplastics-na.com
Click here for a PDF of the brochure

CONFERENCE DETAILS
Date and location:
2001 Post Oak Boulevard
Houston, TX 77056
Tel: +1 713 961 9300

REGISTRATION FORM
Pipeline Coating & Protection 2016
Houston, TX, USA
Image courtesy of::
HOTEL ACCOMMODATION
The conference fee does not include lodging. We have negotiated a
special rate of $184 plus tax per night at the Hilton Houston Post Oak. To
make a reservation, please contact the hotels reservation department at
+1 800 245 7299 by October 31, 2016 and indicate that you will be attending
AMIs Pipeline Coating & Protection conference to qualify for the special
room rate. The hotel rate is guaranteed for a limited number of rooms so do
not delay in making your reservation for a room at the conference location.
REGISTRATION FEE
Register before September 2, 2016 for only $1090. Thereafter, the fee will be
$1290. Registration includes all sessions, conference proceedings, cocktail
reception, luncheons, and break refreshments.
Company: ______________________________________________
Address: _______________________________________________
_______________________________________________________
Tel:_______________________ Fax: _________________________
Company activity: _______________________________________
Delegate Details
If more than one delegate please photocopy form
Title: _______________First name:__________________________
GROUP RATES
For companies wishing to register two or more delegates, group discounts
are available. Please contact the Conference Coordinator for more details.
Surname: ______________________________________________
SPONSOR THIS EVENT AND PROMOTE YOUR COMPANY

AMI events are more than just arenas for listening and networking. They
also represent highly targeted opportunities to enhance your image and
promote your products and services to an international audience.
Email: __________________________________________________
Each event offers the following unique awareness building opportunities:

sponsorship of the welcome cocktail reception, lunches, coffee breaks,
and much more. For further information please contact the Conference
Coordinator at +1 610 478 0800.
EXHIBITION PACKAGE
This package includes an exhibition space in the conference room where
we will be hosting registration, the cocktail reception and coffee breaks,
giving exhibitors maximum exposure. It also includes 1 free delegate
place. Exhibitors may either use tables provided by the hotel or bring their
own stand or display. A limited number of tables are available and are
assigned on a first come, first serve basis. The cost of this package is $1,990.
Please note: When applicable, exhibitors are responsible for any electricity
and/or handling fees involved with their booth. For further information
please contact the Conference Coordinator.
SOCIAL EVENTS
The social events organized for AMIs Pipeline Coating & Protection 2016
conference will provide an ideal setting for delegates and speakers to mix
business with pleasure. On the first evening, everyone is warmly invited to
attend the welcome cocktail reception.
SUBSTITUTIONS / CANCELLATIONS
Delegates may be substituted at any time at no charge. We ask that you
provide ample notification of substitution in order that materials can be
prepared. Full refunds, less an administrative charge of $200 will only be
made on cancellations received prior to September 2, 2016. We regret that
we cannot make refunds on cancellations received after this date or for noshows at the conference. Please note that refunds cannot be made on table
top bookings or sponsorship packages.
FAX FORM TO: +1 610 478 0900
Position: _______________________________________________
Special dietary requirements: ______________________________
Payment Details
Please make payments in US Dollars ($)
q

Delegate fee

(before September 2, 2016)
q
Delegate fee
(thereafter)
q

Exhibition package
(includes exhibition space
and one delegate space)
$1090 ___________
$1290 ___________
$1990 ___________
Total: ___________
Method of Payment
Payment terms are NET 30
q By Check: In US Dollars ($), made payable to

Applied Market Information LLC
q

Bank Transfer: Please call or email for banking

information. Note: You are responsible for any
bank charges involved with the transaction.
Visa/Mastercard/Amex
My card number is:
CONFERENCE HOTLINE
Ms. Chrissy Stelluti, Conference Manager
Applied Market Information LLC
Tel: +1 610 478 0800
1210 Broadcasting Road, Suite #103 Fax: +1 610 478 0900
Wyomissing, PA 19610, USA
Email: cas@amiplastics-na.com
Name of cardholder: _____________________________________

Expiration date: _____________________Security code:_________
Billing address:__________________________________________
__________________________________Zip code:____________
Follow us on Twitter: @AMIconferences #attendAMI
Cardholders signature: ___________________________________
Please make copies of this registration form for others to use or

download a PDF file copy of the brochure from our web site at
www.amiplastics-na.com
Date: __________________________________________________
Invoice email (if different from above):________________________

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ISSN 2053-7204

NORTH AMERICAN PIPELINE PROJECTS

11 Steel pipe coaters hit by perfect storm

21 North Americas challenge for pipelines

Adding pipeline capacity in North America is an increasingly difficult task as operators

27 Ice pigging promises to clean up

32 Aegion and Trelleborg win insulation contracts

Coming next issue

Head of business publishing:

DOWNLOAD MEDIA DATA

June 2016 | PIPELINE COATING

Shawcor hit by continuing

Shawcor announced Q1 2016

realised until either an

deliver more than 71,000

increase in oil and gas prices

tonnes of 36-inch diameter

(US$280m), down by 27% on

triggers renewed upstream

pipe for the 110km long

the same period in 2015,

capital spending or the

offshore leg of the Trans

attributing the fall to the

company secures, and is able

Adriatic Pipeline (TAP). The

ongoing tough conditions

to commence work on,

contract also includes pipe

across the oil and gas industry.

projects it is currently bidding

components and coating

Adjusted EBITDA for the period

for. Orr said that as of March

was down by 51% to

31 this year, Shawcor had firm

bids outstanding with a

combined project value in

The pipes will be

between Salzgitter and der

financial performance has

Shawcor CEO Steve Orr:

(US$1.5bn), which he said was

been negatively impacted by

Continuing downturn in O&G

a level unprecedented in its

Delivery will commence in

the dramatic decline in North

the third quarter of 2016

American well completion

that have been key contributors

and will be complete by the

activity coupled with a

to strong performance at the

of the large natural gas

end of the year.

continued downturn in global

companys Europe, Middle

pipeline infrastructure projects

oil and gas development

East, Africa and Russia (EMAR)

that we are currently bidding

a contract to supply the

capital spending that is