NEWS RELEASE                                                                                         August 2018

The New Business Tool for Refining, Power, and Oil/Gas Valve Suppliers

The Industrial Internet of Wisdom (IIoW) empowering IIoT promises to completely change the way valves are purchased in the refining, power and oil/gas industries. This starts with a whole new right to win strategy for valve suppliers, elimination of conventional market research and a radically different marketing approach.

With remote monitoring and IIoW the information about the cost of ownership of valves is already soaring. The valve company with the lower total cost of ownership (TCO) will have a much greater right-to-win than the competitor with a better position in the market. The valve company spending more on R&D and less on positioning will ultimately prevail. The valve company interested in sharing rather than concealing knowledge will have the advantage.

If a valve company has the lowest total cost of ownership (LTCO) for a particular application it should encourage transparency and maximum interconnection of all the people and knowledge resources relative to that application. This includes information about competitor products.

The goal for the valve company is to continually provide lowest total cost of ownership validation (LTCOV). This means it must convince purchasers that it has a TCO lower than competitors. So the more that is known about competitors or about alternative solutions the better.

Lowest Total Cost of Ownership Validation ( LTCOV) necessitates providing as much information about the industry, process, product, and competitive alternatives as possible. It must convince the purchaser that the supplier’s product is the LTCO. This can occur only with the interconnection of the relevant knowledge and people.

The supplier with the LTCO for valves in various refining, power, and oil/gas applications can and should justify the expense necessary to validate his LTCO where the application has enough revenue potential to justify a modest expense. The challenge is to keep the expense modest. The can be achieved with the McIlvaine Decisions Program.

The McIlvaine decision programs cover all combust, flow, and treat processes and products e.g. 44I Coal Fired Power Plant Decisions, 59D Gas Turbine and Reciprocating Engine Decisions, Municipal Wastewater Decisions and 202I Refinery Decisions.

It also includes Decision Systems on specific processes within those industries. This includes 3ABC FGD and DeNOx Knowledge Systems. This system which has been continually updated on a monthly basis since 1976 has the information on all the FGD processes and the valve requirements for each. Large slurry valves are required for scrubber recycle at low pH and small valves for ball mill slurries with high pH . Recorded webinars and case histories provide the background for comprehensive LTCOV.

In the course of continually providing the LTCOV the valve supplier will also gather the intelligence necessary for innovation. The way to keep ahead of competitors and maintain the LTCO is not to hide the knowledge from them but to keep ahead of them with a continually improving LTCO.

Here are some areas where McIlvaine has been gathering the TCO valve information and you can view the data.

Choke Valves in Oil and Gas

A significant portion of choke valve sales are sold to oil and gas companies. The terms choke, control and axial are used in different ways.  Here are some ways the term is defined:

  • Flow path: Angle most important - if it is axial it is control, if it is angle it is choke.
  • Trim:  If one type of trim is used it is most suitable for choke, if another it is for control.
  • Location:  If it is extraction it is choke, if it is other applications it is control.
  • Valve type:  For some valve suppliers “choke” is just one of a number of applications and not a type of valve.

With remote monitoring and IIoT evaluation of choke valve performance it is important that the relevant decisive classification of applications, valve types, and materials be clarified.  This is an ongoing project.  To view the questions and present status click on : Choke Valve Decision Guide

Power Industry Steam Valves

There are similarities and differences in the steam cycle valve requirements for nuclear, ultra-supercritical coal, supercritical coal, and gas turbine combined cycle plants.  What sizes are required?  What valve types are recommended for each application? What is the appropriate support (trunnion, floating or a unique design)?  What materials are best for base load and rapid cycling applications? Power Industry Steam Valves

Oil and Gas Gate Valves for greater than 5000 psi service

Subsea and shale applications are where one finds most of the gate valves with requirements for greater than 5000 psi service.  What are the specific applications, gate valve designs, and materials which are best for each specific application? This analysis is in the early stages.  We have identified some suppliers and their products and are asking them for comments.  We welcome input from all sources. Oil and Gas Gate Valves Greater than 5000 psi Decision Guide

Rising Stem Ball Valves

Rising stem ball valves are used in the oil and gas industry as well as in petrochemical plants. This analysis initially only has details on valves used for molecular sieve switching.  At this time there is only a partial analysis of suppliers.  We need your input relative to additional applications, additional suppliers, and input on valve sizes and cost.  Rising Stem Ball Valves

Molecular Sieve Switching Valves

Many valves have been used on this service but few are performing as might be wished. Three valve designs are usually found in molecular sieve unit switching valve service: (1) metal-seated ball valves; (2) metal-seated, triple off-set butterfly valves; and (3) metal-seated, non-contacting, rising stem ball valves. Some rotary valve options such as the triple offset butterfly valves are relatively inexpensive to purchase and may perform adequately in the near term. Operators, however, have generally found them to be deficient in sealing capability, expected service life and total cost of ownership. Process disruption, high MRO expense and the inability to deliver a minimum of five years of continuous service between planned shutdowns have all been persistent negatives.

Historically the rising stem ball valve (RSBV) has been used in this application. But the selection is complicated and depends to some extent on the severe conditions existing. Zero-leakage carbide coated metal seated ball valves can be a preferred option in particularly severe service.

With remote monitoring and IIoT evaluation of valve performance it is important that the relevant decisive classification of applications, valve types, and materials be clarified.  This is an ongoing project.  To view the questions and present status click on: http://www.mcilvainecompany.com/Decision_Tree/subscriber/Severe_Service_Valve_04_14_16.pdf

How to move forward

  1. The first step is to prioritize the LTCOV determinations and start with those that will provide the highest ROI. McIlvaine has the market and technical knowledge to help you prepare the priority list.
  2. The second step is to move forward with one or more LTCOVs. This will require making sure that the decision system has all the relevant papers and case histories which can be the basis for validation. If all the important niche experts are not already involved with the system encourage them to join in. With this foundation the LTCOV can be prepared at modest cost. McIlvaine can assist or spear head this effort.
  3. Make sure that potential purchasers have access to the system which contains your LTCOV.
  4. Participate in webinars, provide new case histories, and continue to innovate and continually revise your LTC0V.
  5. Keep expanding your LTCOV portfolio.

The business program is explained at www.mcilvainecompany.com

Bob McIlvaine can provide a free GoToMeeting discussion of this business program His contacts are This email address is being protected from spambots. You need JavaScript enabled to view it.  847 784 0012 ext. 122, mobile 847 226 2391