569. to Study the Global Market Scenario and Analyze New Apllications of Industrial Gases

8/16/2019 569. to Study the Global Market Scenario and Analyze New Apllications of Industrial Gases

1/16

TO STUDY THE GLOBAL MARKET SCENARIO AND ANALYZE NEW

APLLICATIONS OF INDUSTRIAL GASES

Dissertation s!"itte# to t$e Co%%e&e o' Mana&e"ent an# E(ono"i( St#ies 'or t$e )artia% '%'i%%"ent o'

t$e #e&ree o'

INTG. BBA + MBA (OIL AND GAS MARKETING)

Guided By:

Faculty:

P!". S.K POK#RI$AL

%!lle&e !" Ma'a&ee't Ec!'!ic Studie*

,'i-e*ity !" Pet!leu E'e&y Studie*

Deadu' / 012334

Su5itted By:

AMAN SUD

R*+,-.-/--0

0----1--0

Co%%e&e o' Mana&e"ent an# E(ono"i( St#ies2

Uni3ersit4 o' Petro%e" 5 Ener&4 St#ies2

De$ra#n2 Uttara6$an#2 In#ia

N!-e5e 0367


2/16

ACKNOWLEDGEMENT

I am honored to take this opportunity in expressing my deep sense of

gratitude to Prof. S.K. Pokhriyal for having spared his valuable time and

guidance which helped me throughout my research. He was a constant

source of inspiration during the study.

I am also thankful to the other teaching sta of University Of Petroleum

!nergy "tudies without whose support and help# this pro$ect wouldn%t

have been possible. It was only due to their guidance that this pro$ect could

be brought to this form in time and in an e&cient manner.

'(man "ud)


3/16

RESEARCH SUMMARY

*his report depicts the global scenario of the industrial gas industrywith the patterns of their production# consumption and their demand.

*his report covers the entire cycle starting from the production of the

industrial gases# the +uality checks and standards which it should

comply with# the distribution channels# the H"! initiatives# and the sale

of the gases and ,nally# the application of the gases in the client

companies.

*his report covers the applications in which industrial gases play a vitalrole # Industrial -ases are used in a huge number of industries and

their applications are endless.

In order to understand the applications of the industrial gases# one has

to know the properties of the gas and then identify areas in which the

properties can be bene,cial. *he properties as well as the areas of

applications have been de,ned in this report.

*he main purpose of this report is to throw light on newer possible

applications in which industrial gases can be used successfully#

pro,tably and commercially.

*he roles of industrial gases as shielding gases in welding applications

have been highlighted in this report.


4/16

TABLE OF CONTENT

78INTRODUCTION

RESEARCH OB9ECTI:ES

6. T! *tudy te Gl!5al I'du*tial Ga* a8et *ce'ai!

T! a'aly9e te ici'& dea'd a'd *uly atte'* !" i'du*tial &a*e*

T! u'de*ta'd te u*e* !" I'du*tial &a*e* a'd te i'du*tie* ! aea* it i* u*ed i'.

T! *tudy te 5u*i'e** *tate&ie* !" te t! a8et leade* i' I'du*tial &a* i'du*ty.

T! "i'd 'e< aea* i'


5/16

system with air oxidation results in a number of bene,ts savings ininvestment costs and resources / leading to reduced environmental impact/ can be achieved because of the possibility of using signi,cantly smallerapparatus# highly positive eects on selectivity in many cases and asubstantially smaller exit7gas stream. *he last point alone often yields aconsiderable saving in fuel and an associated reduction in 4O1 emissions.

*he use of supplemental oxygen fre+uently results in a substantial boost inthe productivity of an existing plant that employs air oxidation. In manycases# corresponding oxygen enrichment of the process air# whichcommonly can be reali3ed with only minor eort# represents a verypromising way to intensify the process. -ains in capacity typically rangebetween 08 and 09 percent.

"uch an increase in productivity can often be achieved by simply in$ecting-O5 into the process air ducting. *he added e+uipment cost for this mode

of oxygen enrichment is comparatively slight.

(ll three options for oxygen supply / dedicated on7site generation# li+ue,edgas supply and pipeline network / are used in petro chemistry.

*he oxidation of li+uid p7xylene to terephthalic acid# a key feedstock formany polyesters# plays a ma$or role in the petrochemical industry. In this airoxidation process# oxygen enrichment is increasingly employed to boostcapacity. :ost production units have capacities between088# 888 and

0#888#888 tons per year. !nriching the inlet air to19 vol. ; oxygen thus callsfor several million year of oxygen capacity. (mong the salient eectsthat come with additional use of -O5 is a capacity increase of more than 18;.

( variety of heterogeneous gas7phase oxidations are candidates for the useof technologies with gas recycle where only -O5 is employed as oxidi3ingagent. *he highly advantageous setting here / in comparison to processeswithout gas recycle# which normally involve the use of process air/ means inparticular a much7increased product selectivity and substantially less o7

gas. *oday# with hardly an exception anywhere in the world# the processesemployed for oxidation of ethylene to produce ethylene oxide and vinylacetate make exclusive use of -O5. Processes with gas recycle also holdgreat interest for the oxidative chemical treatment of light saturatedhydrocarbons or ?fuel grade@ feedstock%s.

"uch processes have already been implemented on an industrial scale# asfor example in the oxidation of ethane to acetic acid.


6/16

High purity# typically over AA ;# is re+uired in most cases when using -O5in recycle processes# in order to prevent inert gases such as argon buildingup in the recycle stream.

1)


7/16

monomer. 4omplex production clusters built recently tend to consume moreH1 than some of their various processes# such as platforms# are producing.

*his situation is mainly due to regulations calling for the production of?clean fuels@# especially originating from desulphuri3ation re+uirements.Present H1 sourcing options rank considerably lower than syngas in terms ofthe +uantity of H1 produced or recovered.

( key re+uirement for H1 generation is reliably steady product +uality#which depends mainly on two factors 4atalyst performance in steamreforming# the predominating technology for H1 production 'in particular#catalyst poisons# such as "7containing compounds# must be minimi3ed inthe feed). :inimi3ation of impurities and by7products in the H1 product tomeet the demands of the processes supplied with this gas. (ccordingly# thecontent of 4O has to be kept very low in some hydrogenation processes# e.g. below one ppmv.


8/16

(s 4O1 is an acid# it reacts with bases such as ammonia or carbanions.It can moreover be used for reaction or co7polymerisation with epoxides.2ut overall# 4O1 serves as a building block for only a few chemicalreactions.Including other purposes# however# such as product formulation orindustrial services# 4O1 covers a wide variety of applications. *he gas is used as( component for chemical syntheses such = as the production of urea#organic acids 'e. g. hydroxyben3oic acids such as salicylic acid) andcyclic and polymeric carbonates 18J= ( feed for 4O production# especially if H1 is available 'see e+uation 'E))

= ( reagent for neutralisation of a+ueous L uids with too high pH 'oftenreplacing sulphuric acid in this function)= ( solvent 'in the supercritical state)# as in the production of L uorinatedpolymers= ( foaming agent in production of voluminous polymers= (n inert gas mainly for blanketting# as it is heavier than air= ( , re extinguishing agent(s a solid / i. e. dry ice 7 4O1 is used as= ( coolant= ( surface cleaning agent 'especially in dry ice blasting applications#where accelerated 4O1 pellets are used# for example# in maintainingheat exchangers or pipelines)(s 4O1 is a greenhouse gas 'human activities account for the generationof more than 18 billion tons per year 18J)# eorts are made not onlyto minimise output but also to discover new potential uses. "uch novelapplications have been found in the , eld of resource opening such as

enhanced oil recovery '!OC)# where 4O1 reduces the viscosity of in7situoil deposits for facilitated recovery. In petrochemistry# however# bulkuses of 4O1 are not easy to , nd# even when the various options of reductionto carbon monoxide 'including the 2oudouard e+uilibrium andthe 4alcor process) are considered 10J. :any eorts to exploit theuseful properties of 4O1 as a supercritical solvent have not yet led to ama$or breakthrough in the production of commodity chemicals. (notherinteresting approach for bulk use of this gas seems to be the dehydrogenationof saturated hydrocarbons where 4O1 could have potential asa supporting oxidant 'see e. g. 11J). "uch an application# however# doesnot appear to have been commercialised yet.

E)


9/16

08) Propane '4=HK).

"yngas

"ynthesis gas 'syngas)# a mixture of hydrogen and carbon monoxide '4O)# isnot only the most important source for the production of pure gases# but itis also +uite important as a building block for chemical syntheses.

6or example# synthesis gas is the main feedstock for the production ofmethanol# which in turn is or can be the starting material for themanufacture of the following products# e. g.76ormic acid7 (cetic acid7 6ormaldehyde7Nimethyl ether or methyl tert7butyl ether7 Hydrocarbons such as ole,ns7 Hydrocarbon mixtures for fuels 'such as 6(:!#i. e. fatty acid methyl ester)

2ecause of the wide range of possible applications for methanol# itspotential in terms of a methanol7based economy beyond oil and gas is nowunder discussion 08J.In addition# the following process classes involvingsyngas are industrially important or becoming so= Oxo synthesis orhydroformylation of alkenes to make aldehydes# from which products suchas alcohols and carboxylic acids are easilyobtained= 6ischer7*ropschsynthesis of higher hydrocarbons# such as transport fuels

In this ,eld# presently the conversion of biomass to li+uid '2*B) is of highinterestG e. g. in -ermany# a pilot installation for gasi,cation of biomass isbeing installed where various feed options can be tested. *here also aremany diverse combinations of these and other gases to meet there+uirements of precise applications.

*he industrial gases industry# attends to a very large number of customers

in the entire community. Industrial gases are vital for most of the

manufacturing operations. Barge amounts of oxygen# nitrogen and argon are

used in the metal and steel industry. :arine and the automotive industryuse 7 acetylene# propane# mixtures of fuel gases and oxygen for cutting and

soldering. Bi+uid nitrogen is important for recycling of plastics# packing and

scrapping of tires. *he chemical industry uses most of the ma$or industrial

gases as raw materials for inerting. *he smaller market segment consists of

cylinder gas and mixtures.

INDIAN INDUSTRIAL GAS SCENARIO


10/16

4oming over to India# there are currently approx. =88 small medium si3e

plants and approx. 19 large tonnage plants in the country. *hese industrial

gases are supplied through the pipelines to captive customers in nearby

factoriesG through transportation by cryogenic tanks for bulk deliveries to far

away customersG or through cylinders.

*he up7to7date yearly turnover of the gas industry# not including captive

production is around Cs. =#888 crores# i.e. 'F98 million). ith greater than

before industriali3ation# the demand pattern of industrial gases is also

changing fast.

:odern applications in the food processing industry# agriculture industries#

healthcare and technology are increasing at an incredible pace. *his has

compelled the industry to adopt strict +uality control systems and aneective distribution system.

:a$or players in India include

0) I


11/16

*he demand for natural gas is also likely to grow at an average yearly

growth rate of M.=;.:etals manufacture and fabrication will continue to be

the ma$or market for industrial gases# accounting for approx.=0; of overall

demand in value terms in approaching years.

*he second biggest market will be the chemical processing>petroleum

re,ning sector. *he medical>healthcare market# although smaller in si3e# willbe the fastest budding and will expect record gains from the growth of

healthcare services in developing nations and the fast increasing use of

home healthcare respiratory treatments in innovative economics.

Hydrogen is getting importance and most companies are endeavoring to

develop technologies that can pro,ciently exploit the potential of hydrogen.

Increased use of natural gas will generate an opening for greater production

of argon and carbon dioxide. *he Industrial gas industry has a very positive

future in the upcoming years.

Industrial gases , nd use in almost every modern manufacturing process.Prominent among gas7using sectors is the chemical industry# where the ,eldof petro chemistry# or petroleum products chemistry# is most important interms of not only +uantities used but also generation of industrial gases.

*he term ?petro chemistry@ in this paper refers to the ,eld of chemistry

concerned with processes for making basic chemicals from petroleumre,nery products# natural gas and synthesis gas.In concrete terms# it comprises technologies for making and processing= Para& nic hydrocarbons= :ono and diole, ns= 4ycloalkanes= (romatic hydrocarbons

In this ,eld# industrial gases are mainly needed

= (s reactants= *o aord safety= *o protect the environment= 6or industrial services

*he +uantities of gas re+uired range widely# from less than 0 to over088#888 h. "peci,ed purities also vary greatly from application toapplication# with values from A8 to AA.AAAA vol. ;


12/16

. *he re+uisite +uantity and purity govern both the production processselected and the form in which gases are delivered 'cylinders# cylinderbundles# li+ue,ed7gas tank trailers# near7by production plants such as on7site plants when dedicated to the corresponding process). *he gas industryoers diverse manufacturing processes and a wide spectrum of deliveryforms to the petrochemical industry .

ENVIRONMENTAL IMPLICATIONS

-as production is largely an extremely environmentally7friendly industry.ith the exception of acetylene and hydrogen production# the processesconcerned produce no waste.In acetylene production the waste produced is lime# which creates a smalldisposal problem# but most of it is used in water treatment. *he only wastein hydrogen production is oxygen# which is naturally present in air and so

does not create a problem.

hen the gases are used# again there is little environmental damage.


13/16

*he -lobal Industrial (nalysts Inc. published a complete international report

on Industrial and "pecialty -ases market. (ccording to this report# the

international market for industrial and specialty gases is predicted to reach

00 *rillion 4ubic 6eet by the year 180M# aided by excellent growth

opportunities in electronics# healthcare and energy areas# and the rewarding

prospects in the developing markets of the (sia7Paci,c region placing

special prominence on India and 4hina. *he report suggests that the industry currently is concentrating on the

growth of new environment friendly technologies and products which are

likely to open innovative application markets for industrial gases.

*he Binde group # which is arguably the global market leader in the

Industrial gas segment released a report describing the types of industrial

gases produced# the process and e+uipment%s involved in their production

as well as their uses. (ccording to the report# Industrial gases are produced

mainly by air separation# i.e# extracted from the air. ( few examples of

gases created in this method are nitrogen# oxygen# argon# and other rare

gases. However# few gases# inclusive on hydrogen# acetylene# and carbon

dioxide# are by7products of other processes. *he global market for industrial

gases is around E8 billion a year# with the U.". only at 0= billion. U." is

presently the largest market in Industrial gases.

*his report mainly focuses on the gases that are produced and sold by the

Binde group and have given inade+uate information about the other

industrial gases. 6urthermore# with the advancement in technology# the

method of production may also be sub$ect to changes.

bcc report on industrial gas market dated 1M 6ebruary 180= described the

use of oxygen and nitrogen in the metal and medical segment of industrial

gas market and predicted the growth in demand of these gases with the

advancement in technology.

*he article has made predictions with 180M as the target. It describes the

changes in industrial gas distribution that could happen in the future# it also

stresses on the growth of this industry in the asia /paci,c region.

*he report fails to explore the emerging ,elds where industrial gases can be

used due to the advancements in technologiesG it focuses mainly on

forecasting the increase in demand of industrial gases in the existing ,elds.


14/16

In 180F# the global industrial gases market is pro$ected to have a value of

AK.K billion# an increase of approx. 99.1; since 1800.

One of the ma$or strong point of the industrial gas industry is that it does

not rely on one or two ma$or markets . *he sectors# which rely on industria

gases to produce their ,nal products or services# account for more than 98;

of the overall global -NP.

*he industrial gases industry serves a very large number of customers. *hey

are essential for virtually all manufacturing. Barge amounts of oxygen#

nitrogen and argon are used in the metal and steel industry. :arine and the

automotive industry use propane# acetylene# mixtures of fuel gases and

oxygen for cutting and welding. Bi+uid nitrogen is important for recycling of

plastics# packaging and scrap tires. *he chemical industry uses most of thema$or industrial gases as raw material or for inerting. *he smaller market

segment consists of gas cylinders and mixtures.

ith the expansion of modern industries# the demand for industrial is

certainly to going to rise .

6urthermore# with advancement in technologies# many new areas are

opening up which would re+uire industrial gases for their operations.

RESEARCH METHODOLOGY

RESEARCH DESIGN

F! ti* Re*eac A i=tue !" E=l!at!y a'd De*citi-e e*eac de*i&'


15/16

Te


16/16

= ( shift of production sites from !urope and

569. to Study the Global Market Scenario and Analyze New Apllications of Industrial Gases

Documents

Transcript of 569. to Study the Global Market Scenario and Analyze New Apllications of Industrial Gases