Mcilvaine Logo

Utility E-Alert

No. 1422   May 17, 2019



Table of Contents


OVERVIEW


THE ROLE FOR THE UTILITY E ALERT


COAL – U.S.

  • U.S. Power Industry hurt by Tariffs New York State and Others are Litigating to reduce Upwind NOx Emissions
  • CFB Boilers in PA meet the NOx Emission Limits

 

COAL - WORLD

  • Coal Fired Power Plant Combust, Flow and Treat Purchases will Exceed Those for Wind, Solar, Nuclear, and Gas Turbine Plants
  • South African Environmental Group  has filed Suit to Block Increases in Allowable Emissions for SO2 Emitters
  • Twenty-five Coal Plant Precips in Vietnam are meeting 98% Efficiency
  • Drax considering converting FGD Scrubbers to CO2 Capture
  • India to co-fire Biomass at All Plants
  • 2000 MW Coal Plant under discussion in Australia

NUCLEAR

  • China approves Four New Nuclear Plants
  • Egypt’s First Nuclear Plant to be operating by 2026

GAS TURBINES

  • South Field Energy Breaks Ground for 1,182-megawatt Energy Facility
  • New Natural Gas-Fueled Generating Stations provide Power to Upper Peninsula of Michigan, allowing Retirement of Presque Isle Power Plant
  • NOVI Energy selects GE’s HA Gas Turbine for Charles City Combined Cycle Plant in Virginia
  • Summit signs 22-year PPA for upcoming 583 MW Gas Power Plant; GE to co-develop Plant in Bangladesh

WATER TREATMENT

  • Saltworks offers EDR System with New Sensor for FGD Chloride Reduction

PUMPS

  • SPX Flow Inc to divest its Power and Energy Business
  • Power Industry will Spend $ 3.2 billion for Pumps Next Year
  • Avingtrans moves Into Profit As Hayward Tyler Takeover Delivers

VALVES

  • Valve Cost of Ownership reduced at Canadian Power Plant
  • The Valve Industry in China has changed since This Article was Written
  • The Tale of Two Valve Companies
  • Neway is a Major Supplier of Valves to the Coal Chemical Industry as well as Fossil Power
  • Metso Building $10 million Valve Plant in China
  • Velan Results are Volatile due to Large Individual Orders

ELECTROSTATIC PRECIPITATORS

  • Ador uses Redkoh Controllers in Precipitator Power Supplies 
  • Tai & Chyun upgrades Precipitator in Indonesia
  • NWL has Worldwide Presence to address the Changing Market
  • Shuangdun Environmental has supplied a Number of WESPS to Chinese Power Plants
  • Guodian is active in Precipitator Projects outside China
  • Longking is World’s Largest APC Company
  • Balcke Durr Mixer System improves Precipitator Efficiency

BUSINESS NEWS

  • ExxonMobil to invest $100 million with DOE  for Lower Emissions Research
  • Fuel Tech First Quarter 2019 Revenues down slightly from Previous Year
  • MHPS Americas achieved Record Results in 2018
  • Flowserve on Track to increase Revenues by Six Percent in 2019
  • Babcock & Wilcox Path to Profitability


OVERVIEW

The number 1422 means that we have been publishing this Alert every week for 28 years.  The newsletters were initiated in 1974 but the Alert was created to first take advantage of the fax machine and then later the internet. Issue 352 was the first issue to be digitized.  All issues since can be instantaneously searched.

In 1991 McIlvaine editors attended the ICESP precipitator conference in Beijing. At that time China was one of the largest manufacturers  (not suppliers) of precipitators but relying heavily on international technology. McIlvaine visited the Lanzhou precipitator plant at the time and saw a large R&D center with several international designs of precipitators being evaluated. However, this was one of only a few achievements to be noted. Most of the traffic was still by bicycle and the infrastructure was far behind the developed world.

Who would have believed that by 2019 China would be operating five times as much coal fired power and five times as much air pollution control equipment as the U.S. and that it would be selling this equipment throughout Asia and Africa. The important position that the Chinese hold in the international power plant combust, flow, and treat  business is now a reality and one for which a critical adjustment by international suppliers is necessary.

The future for international suppliers is in supplying unique and better products and services. This means staying ahead of the competition.  Neway has become a highly respected supplier of high performance valves.  Companies such as Velan are going to have to stay ahead  by developing products with lower total cost of ownership.  Neway is also now a major international supplier of high performance valves. It has the same concerns about protecting intellectual property as other major valve companies.  as Chinese combust, flow, and treat (CFT) high performance product suppliers become international they adopt the same goals as other international suppliers.

Longking is already forging ahead with hybrid precipitator/ baghouses but they are behind in the development of catalytic filters which might be the power plant choice of the future. Gardner Denver and Ingersoll Rand have merged their industrial groups but still only 15 percent of their sales are in Asia. Chinese FGD system owners have chosen higher priced Gardner Denver blowers for FGD oxidation because of lower total cost of ownership. But domestic Chinese companies will be making progress with their own designs. So innovation will be the key for the new merged GD/IR combination in pursuing the Asian market.

The future with China should be based on collaboration and not confrontation.  Thermo Fisher has demonstrated that Chinese employees can be trusted to protect intellectual property rights. This confidence has been demonstrated by locating the air pollution research center in China. Since entering the Chinese market three decades ago, Thermo Fisher has established a strong commercial, manufacturing and research and development infrastructure, and is now one of the largest companies serving the life sciences market there. In addition to the new China Innovation Center in Shanghai and consumables factory in Suzhou, the company now has operations in Beijing, Guangzhou, Hong Kong, Chengdu, Shenyang and Xi’an, it employ more than 2,500 people. Thermo Fisher saw a 20 percent growth in China between  2009-2014 and have invested heavily to have a strong footprint throughout China. 


THE ROLE FOR THE UTILITY E-ALERT

International cooperation among system and component suppliers will be the rising tide for all  CFT ships. This alert covers all the power generation technology which uses CFT (nuclear, GTCC, coal, biomass, and geothermal). It covers the components such as pumps, valves, controls, instrumentation, chemicals, filter media etc. It provides market insights by product and country and also identifies important trends.  This weekly publication is included in the Utility Tracking System which tracks individual plant activities as well as new projects. This week a 20 page analysis of coal fired power generation in every country accompanied by an excel spreadsheet with MW of capacity by country from 2018-2024 is being added to the tracking system.

The Utility E Alert is available separately for $950/yr or as part of the $3020 tracking system

COAL – U.S.

U.S. Power Industry hurt by Tariffs

The U.S. electric power industry will be harmed by the extra costs that would be incurred with the placement of 10-25 percent tariffs on iron, steel, and aluminum used in the electrical infrastructure. Also there will be an impact on finished electrical apparatus, equipment and ancillary products manufactured with imported steel and aluminum.

This harm is dwarfed by the harm to users of power and power equipment exporters. Trade wars with China and other nations make sales of power plant equipment and services to those nations much more difficult.

Chinese EPC contractors are the major specifiers of valves, pumps, fans, and all the other power plant equipment being installed in Africa, Vietnam, Turkey and many other countries. Valve companies such as Metso have made major investments in valve plants located in China. As a non U.S. based supplier they will have advantages over Emerson and Flowserve who are U.S. based.

There is a strong case to be made that is better for  business to shape the international relations rather than governments.  If there is a level playing field business has a strong incentive to the collaborative rather than confrontational approach.  The philosophy that a rising tide floats all boats is a better route to profitability than tariffs and confrontation.

B&W has had manufacturing plants in China for decades. The GE coal fired boiler air pollution group is primarily a Swedish based technology group (Flakt) combined with some German acquisitions and the Combustion Engineering U.S. based technology. One insight at the McIlvaine stand at a European power plant exhibition, was that the stand personnel were able to guess the  visitor’s company e.g. Flakt more easily than the country where the person was employed. The ability to create an international corporate identity and to create company loyalty regardless of citizenship is a big motivator for international success.

New York State and Others are Litigating to reduce Upwind NOx Emissions

New York and other States have filed suit against upwind States and EPA based on NOx emissions from these upwind States and its impact on the Eastern States.  EPA is using a cost threshold of only $1400/ton. The threshold to determine economic feasibility for NOx RACT in New York State is an inflation-adjusted $5,000 per ton of NOx reduced.  DEC has promulgated some regulations with emission limits specific to a source category (e.g., industrial boilers under 6 NYCRR Subpart 227-2), and others that require facility-specific analyses to determine technically feasible controls within this cost threshold (e.g., cement and glass plants under 6 NYCRR Subparts 220-1 and 220-2, respectively.

The background for the suit includes 2017 emission estimates from upwind sources.  Some of the highest are shown below.

State

Plant

2017 NOx Emissions

tpy

IN

Rockport

20

Gibson

14

Clifty Creek

11

KY

Shawnee

15

Mill Creek

8

Ghent

7

MI

belle River

8

St Clair

8

Monroe

7

OH

Kyger Creek

9

Conesville

9

Zimmer

9

Stuart

8

Sammis

8

Gavin

7

PA

Mansfield

11

Keystone

7

Conemaugh

7

Harrison

14

Ft Martin

11

 

Details are found at http://www.dec.ny.gov/docs/air_pdf/sips126petition.pdf

CFB Boilers in PA meet the NOx Emission Limits

Shiaw Tseng of  Graymont  provided us with his analysis of the new Pennsylvania emission limits. “Looking at the recent NOx emissions data, I think all the CFB plants in Pennsylvania meet the “Final Limit” of 0.16 lbs/MMBTU.  I believe that all the PC-fired boilers that have been retrofitted with SCR can meet the “Final Limit” of 0.12 lbs/MMBTU when the SCR is run at temperatures higher than 600OF ( >600OF), although the SCR operating temperatures are not required to be reported to the Pennsylvania Department of Environmental Protection Agency or the U.S. Environmental Protection Agency.”

(g)(1)(i)—Natural gas unit, heat input =50 MMBTU/hr

0.08 lbs/MMBTU

0.10 lbs/MMBTU.

(g)(1)(vi)(A)—coal fired CFB unit =250 MMBTU/hr

0.20 lbs/MMBTU

0.16 lbs/MMBTU.

(g)(2)(i)(B)—combined cycle turbine =1,000 bhp, <180 MW; fuel oil

75 ppmvd NOX

96 ppmvd NOX.

(g)(2)(i)(C)—combined cycle turbine =1,000 bhp, <180 MW; natural gas

2 ppmvd VOC

5 ppmvd VOC.

(g)(2)(i)(D)—combined cycle turbine =1,000 bhp, <180 MW; fuel oil

2 ppmvd VOC

9 ppmvd VOC.

(g)(2)(iv)(B)—simple cycle turbine =6,000 bhp; fuel oil

75 ppmvd NOX

96 ppmvd NOX.

(g)(3)(i)(B)—lean burn stationary internal combustion engine, =500 bhp; Natural gas or noncommercial gaseous fuel

0.4 grams VOC/bhp-hr

1.0 grams VOC/bhp-hr.

(g)(1)(vii)—new limit for solid fuel fired combustion units =50 MMBTU/hr

N/A

0.25 lbs/MMBTU.

(g)(1)(viii)—new limit for coal fired units with SCR; when = 600°F

N/A

0.12 lbs/MMBTU.

(g)(1)(ix)—new work practice standard for coal fired units with SNCR

N/A

Inject ammonia.

(g)(2)(iii)(A), (B), (C), and (D)—simple cycle turbine =1,000 bhp, <6,000 bhp; firing natural gas or fuel oil

N/A

150 ppmvd NOx, 9 ppmvd VOC.

COAL - WORLD

Coal Fired Power Plant Combust, Flow and Treat Purchases will Exceed Those for Wind, Solar, Nuclear, and Gas Turbine Plants

In the last twenty years an average of 50,000 MW per year of new coal fired power plants have been added to the world generation capacity. Over the next ten years 40,000 MW per year of new capacity will be added. This will be partially offset by retirement of 13,000 MW per year  of existing capacity.

Annual new plant investment will exceed $160 billion per year. The installed base of plants has now reached 2 million MW and will increase by 270,000 MW over the next decade. The investment in the installed base exceeds $4 trillion. Potential for third party upgrades, repair, service, and remote operation will exceed $200 billion per year. This includes major environmental upgrades in India and other countries in Asia, Eastern Europe, and Africa.

The climate change issue is dominant in certain countries but not relevant in others. The McIlvaine Company has created a metric to assess individual and national goals.  The metric is Quality Enhanced Life Days (QELD).  A struggling  Pakistani farmer is offered the choice of electricity or helping to protect the earth fifty years from now.  He will assign a much higher QELD to construction of coal plants in Pakistan than will a wealthy American who is creating trusts for his grandchildren. Sustainability Universal Rating System

Chinais making a  contribution to raising the standard of living for poor citizens of many Asian and African countries.  It is financing new power plants to supply the electricity needed by industry and families. Despite the investment in new coal plants or in many cases because of it the Chinese CO2 emissions have been positively impacted by the reduction of inefficient fossil and biomass combustors in residential and commercial establishments.

Despite the claimed certainty relative to greenhouse gas damage by both sides of the issue, the science is not well understood. The intense debate over SO2 emissions which has been waged for half a century has had many twists and turns.  McIlvaine testified before senate sub committees as an EPA contractor at the time it was thought that acid rain would kill forests throughout the world.  It was later determined that this impact would be much less than anticipated.  However, it was then determined that SO2 reacts with sodium and ammonia in the atmosphere to form small particles with more impact on health than any other pollutant.

It is not only the health impacts which are unclear, there is considerable debate about the costs of various solutions. The U.K.  already generates 11 percent of its electricity from biomass combustion. The large coal fired Drax plant has switched from coal to biomass. A pilot program has been initiated to sequester the CO2 with the claim that this is the only way for a combustion process to reduce CO2.  The slogan is “Suck the CO2 out of the air”. 

Use of CO2 for enhanced oil recovery and sequestration has been practiced for many years. Proximity is the issue. SaskPower is operating the first commercial coal fired power plant EOR system at its Boundary Dam plant. The use of CO2 to replace water in hydraulic fracking looks very promising.  We could return to the 1980s era activity in the U.S. where multiple small coal fired boilers were constructed in the California oil fields for EOR.

Longer term solar and wind will gather market share in all regions of the world. In the short term countries without natural gas, limited solar and wind potential, and in urgent need of electricity will continue to build coal plants.  Energy storage developments could alter the picture. In any case in the last half of this century coal will play a diminished role in power. But over the next ten years there will be substantial activity in many  regions.

Africa:  New coal fired capacity is planned for seven countries with coal fired capacity and eleven with no coal fired capacity.  South Africa, Egypt and Zimbabwe are planning 40,000 MW of additional coal fired capacity. In many of the African countries the first coal plants will be owned by and for mining companies.

Asia:  China and India are planning more than 300,000 MW of new coal fired capacity. Vietnam is moving forward with 40,000 MW of capacity followed by Indonesia with 30,000 MW and Bangladesh with 25,000 MW.  China, South Korea and several other Asian countries have significant coal to chemicals programs.

Eurasia:  Georgia, Kazakhstan and Russia have more than 60,000 MW of coal plants in operation and have plans for an additional 10,000 MW.

Europe:  Despite the pressure from the EU, thirteen countries have new coal fired power plants in the planning stage. The total in Turkey is over 30,000 MW, Poland, 9,000 MW, and Bosnia-Herzegovina, 4000 MW.

Americas: No new plants are planned in the U.S and Canada. Four Latin American countries are planning a total of 4,000 MW of new coal fired capacity. However, the continent will continue to operate nearly 300,000 MW of coal fired units at least over the next fifteen years.

The purchases of combust, flow and treat products and services by coal fired utilities worldwide will continue to exceed those by any other fuel source. In part this is because sources other than nuclear spend much less per MW for CFT products and services.

The new 30 page analysis from which this article was excerpted appears in 42EI Utility Tracking System. This system also provides forecasts of new capacity for each plant, each owner, and by country.  Specific forecasts by plant and owner for purchases of valves, pumps, chemicals, filtration equipment, FGD systems, NOx control systems, fabric filters, precipitators, cooling towers, fans and other power plant products are displayed in the McIlvaine market reports shown at  http://home.mcilvainecompany.com/index.php/markets

South African Environmental Group  has filed Suit to Block Increases in Allowable Emissions for SO2 Emitters

Recent changes to the minimum emissions standards double the amount of SO2 - from 500mg/Nm3 to 1000mg/Nm3. But environmental justice group groundWork, which is represented by the Centre for Environmental Rights (CER), is calling on the court to set aside the government’s plan, saying these levels will threaten already heavily polluted areas where coal pollution kills thousands of people every year.

The group is contesting the lack of public participation, given that the proposed amendments to the MES were not published for public comment as lawfully required by the Air Quality Act.

“If the court agrees with groundWork, large emitters of SO2 will have to act immediately to reduce pollution or they could face both criminal and civil action for violating the law. When pressed on their motivation to weaken emission standards, the department of environmental affairs said it is not yet ready to comment.

The MES, which was first passed in March 2010, gave air pollution facilities five years to meet certain emission standards and ten years to meet stricter conditions by 2020. But Africa’s two biggest polluters, Eskom and Sasol, have consistently evaded the stringent air pollution standards with repeated requests for postponements for compliance.

In 2015, both companies were granted a five-year postponement from compliance to the MES, allowing them to continue emitting toxic pollutants that exceed SA’s MES. And this year, Eskom has applied —for a fourth time — for yet another set of postponements, as well as some complete suspensions.   Eskom and Sasol  have been arguing that the cost of ensuring compliance with the MES is not worth the benefit. The environmental affairs minister Nomvula Mokonyane has stated her intention to oppose groundWork’s case with an answering affidavit by the end of the month.

Twenty-five Coal Plant Precips in Vietnam are meeting 98% Efficiency

Ph?m Tr?ng Th?c, deputy director general of the Industrial Safety Technique and Environmental Agency under the Ministry of Industry and Trade, was recently interviewed by  Công Thuong (Trade and Commerce) newspaper on the national plan to develop coal-fired power plants.

What is the current state of Vietnamese coal power plants? Vi?t Nam has 25 coal power plants operating commercially. Their gas emissions, solid industrial waste and environmental issues have been closely monitored in accordance with Vietnamese standards issued by the Ministry of Natural Resources and Environment (MONRE).

Focus is placed on three main factors, namely suspended particulate matter, nitrogen oxides (NOx) and sulphur dioxide (SO2). At present, all twenty-five coal power plants have installed suspended particulate matter systems using CORONA technology. Thanks to the technology, electrostatic precipitators (ESP) are used to capture up to 98 per cent of particulate matter. For NOX and SO2, they have also applied advanced technologies to cut down their negative impacts on the environment.

Industrial solid waste, including flying dust and coal ash, has been used to make fly ash bricks for use as construction materials.

What measures has the Industrial Safety Technology and Environmental Agency issued to minimize negative impacts on the environment from these power plants?

Our agency has applied many measures, including the legal framework towards revising of the 2014 Environmental Law on the development of environmental technology and standards.

We have also given advice to the Ministry of Industry and Commerce to develop legal documents to use fly ash or coal ash to make bricks or to produce fertilizer. In the future, we plan to hold international workshops to share experiences inside and outside Vi?t Nam on the use of waste to make bricks or produce fertilizer.

However, the quality of the fly ash and coal ash from Vietnamese coal plants is not high. This has presented a big challenge for the consumption of the bricks. The 2014 Law on Environment contains articles on the environmental industry, yet there is no detailed guidance on the responsibilities of concerned ministries and businesses.

Though the Ministry of Industry and Commerce (MoIT) is in charge of monitoring the imports and exports of industrial products – an area which has great potential for environmental impacts – Decree No.38/2015/NÐ-CP dated April 24, 2015 did not have any article or provision specifying the MoIT’s responsibility on its environmental management of import-export activities.

What should the Government do to overcome the loopholes in environmental laws?

The first thing the Government should do is revise the 2014 Environmental Law to develop the technical standards and norms for equipment used in environmental treatment, and to step up monitoring and law enforcement activities. At the same time, the National Assembly should consider a resolution on the development of thermo power to ensure energy security while still being able to protect the environment – particularly to control fly dust and coal ash as well as gypsum and plaster.

The Government should revise as soon as possible Decree No.38/2015 to add specific rules governing of fly dust and coal ash. I also want the Government to adopt policies to limit the use of baked bricks.

Last but not least, we should launch communication campaigns on the operation of these power plants and the use of construction materials from waste to help the general public understand their benefits in environmental protection.

Drax considering converting FGD Scrubbers to CO2 Capture

We have been writing about the Drax project in the U.K to “suck CO2 out of the atmosphere” by combining  biomass firing and CO2 sequestration. An article in Future Power Technology   provides some details on the project.  Drax started working with researchers at C-Capture in 2017 and announced the pilot in May 2018, this year of collaboration previously allowed it to ensure the solvent developed was compatible with the biomass flue gas at the station. Together the company and researchers completed a lab-scale study into the feasibility of re-utilizing the flue gas desulphurization (FGD) absorbers at the power station.

“FGD equipment is vital for reducing sulphur emissions from coal, but it is no longer required to control sulphur on four of the generating units at Drax that have been upgraded to use biomass, because the wood pellets used produce minimal levels of sulphur,” explains Carl Clayton, research engineer at Drax.

https://power.nridigital.com/future_technology_may19/draxs_great_biomass_carbon_capture_experiment

India to co-fire Biomass at All Plants

India’s largest energy producer, NTPC, said it will start biomass co-firing across all its coal-based thermal power stations.

The company, which already uses 7% blend of biomass for co-firing at its Dadri power plant, aims to switch around 5% of all its generating capacity from coal to biomass.

The move is a ‘bold’ one creating benefits on several fronts, according to Harminder Singh, power analyst at GlobalData.

“The driving force behind this decision by state-owned NTPC is to reduce the burning of crop residue by farmers after harvesting, which creates high levels of pollution in nearby cities,” Singh explains.

“Now, the farmers will have a point where they can sell their residue biomass and get a price for it and, conversely, NTPC will reduce the emissions of its power plants.”

NTPC is – significantly – the first coal-power company in India to co-fire with biomass. Its decision is supported by government policy that advises, but does not mandate, that all such plants should co-fire with biomass by around 5%-10% in a bid to reduce emissions

https://power.nridigital.com/power_technology_mar19/indias_bold_move_towards_emission_control

2000 MW Coal Plant under discussion in Australia

A deal has been signed to develop two new coal-fired power stations near Kurri Kurri in the New South Wales Hunter region, according to a Hong Kong-based investment firm.

Local authorities  have been briefed about the unusual plans to turn the failed Hunter economic zone into a 2,000 megawatt coal power plant.

In a statement to the Hong Kong stock exchange late last week, the investment company Kaisun Holdings announced it had signed a memorandum of understanding with a Chinese state-owned power provider and a tiny Australian private company to build two 1,000MW power stations.

Kaisun works mainly in central Asia and describes itself as a “belt and road” expert. The company is based in Hong Kong but incorporated in the Cayman Islands.

It said the heads of agreement had been signed with a subsidiary of China Energy – part of the company’s engineering group – and Cavcorp, a company worth $25,000 on paper and wholly owned by the Parramatta businessman Frank Cavasinni.


NUCLEAR

China approves Four New Nuclear Plants

Beijing has approved the construction of four new nuclear reactors using a domestically developed design, according to Chinese news reports. If confirmed, the deployment of China’s Hualong One reactor would end a more than two-year hiatus in approvals. 

The reactors are slated for two new sites along China’s coast: CNNC’s Zhangzhou power project in Fujian and CGN’s Huizhou Taipingling project in Guangdong. Both projects had been planned and approved by Chinese authorities with Westinghouse’s AP1000 reactor design, which promises safety advances such as passive cooling. That means it stores water above the reactor, leveraging gravity to keep the plant cool should the pumps fail. 

But Westinghouse’s flagship AP1000 projects have been plagued by cost overruns and delays. The first AP1000 began operating in China last year, four years behind schedule, and South Carolina utilities abandoned a pair of partially built AP1000s after investing $9 billion.

All the main equipment has now been installed at the first of two demonstration Hualong One units under construction at the Fuqing site in China's Fujian province. Installation of the steam generators has begun at the second unit.

National Nuclear Corporation (CNNC) said the pumps have a "complex and special structure". The components for the pumps were shipped to the construction site for assembly. The main pump components for unit 5 arrived packed within more than 150 separate boxes. The unpacking of these boxes was subject to rigorous inspection, CNNC said.

The first main pump components were installed on 10 December. CNNC noted that all the main equipment of unit 5 at the plant is now in place within the nuclear island. Meanwhile, the installation of the first of three steam generators has begun at unit 6 of the Fuqing plant.

The component - weighing about 365 tonnes - was designed by China Nuclear Power Institute and manufactured by Dongfang Electric Corporation. The steam generator was delivered to the construction site December 20th and then moved into the reactor building on December 23rd in preparation of installation. Installation of the reactor pressure vessel at unit 6 was completed on December 10. Fuqing 5 and 6 are scheduled to be completed in 2019 and 2020, respectively.

Construction of two Hualong One (HPR1000) units is also under way at China General Nuclear's Fangchenggang plant in the Guangxi Autonomous Region. Those units are also expected to start up in 2019 and 2020. Two HPR1000 units are under construction at Pakistan's Karachi nuclear power plant. Construction began on Karachi unit 2 in 2015 and unit 3 in 2016; the units are planned to enter commercial operation in 2021 and 2022. The HPR1000 has also been proposed for construction at Bradwell in the UK, where it is undergoing Generic Design Assessment.

Egypt’s First Nuclear Plant to be operating by 2026

Egyptian Nuclear Regulation and Radiological Authority (ENRRA) has granted the Nuclear Power Plants Authority (NPPA) site approval permit for the construction of Egypt’s first nuclear power plant.

The construction of El Dabaa nuclear power plant (NPP) is planned to take place 250km west of Alexandria city in Matrouh Governorate on the Mediterranean coast, and is expected to begin in 2020, with commissioning expected in 2026.

The proposed plant will be developed by Russian State Atomic Energy Corporation (ROSATOM) under the ownership of the Nuclear Power Plant Authority (NPPA) of Arab Republic of Egypt, which will also operate it.

In 2015, the Ministry of Electricity and Renewable Energy of Egypt signed an agreement with Russian state-owned company ROSATOM to build, finance and operate the nuclear plant, and notices to implement the previously signed contract were signed on December 2017.

According to Rosatom, the plant will consist of four Russian-designed VVER-1200 pressurized water reactors, which are capable of producing 1.2GW each. The first unit is expected to begin commercial operations in 2026, while commissioning of the remaining three reactors is scheduled for 2028.

The VVER-1200 reactor is a third-generation pressurized water reactor that is fully compliant with all international safety and post-Fukushima IAEA requirements. It is designed to withstand the crash of a 400t airplane or earthquakes up to an intensity of 9 on the Richter scale.

Other than low regional seismic activity and sufficient cooling water supply, the proposed site is in close proximity to necessary infrastructure including rail, road and power transmission interconnections.

A financing agreement signed between the Finance ministries of Egypt and the Russian Federation indicates that Russia will fund approximately 85 percent of the construction cost of the project through a US$25bn loan granted to Egypt, while the remaining 15 percent will be raised by Egypt from private investors. The loan is repayable over a period of 22 years at an interest rate of 3 percent a year.


GAS TURBINES

South Field Energy Breaks Ground for 1,182-megawatt Energy Facility

South Field Energy LLC announced its groundbreaking for a 1,182-megawatt, low-carbon combined-cycle natural gas electric generating facility in Columbiana County, Ohio.

The facility is Advanced Power's second such project in northeastern Ohio and third major infrastructure project in the United States. The South Field Energy project is similar to Advanced Power's Carroll County Energy, a 700-megawatt natural gas electric generation facility that began commercial operations in December of 2017. The South Field Energy project is a significant stimulus for the economy of Columbiana County and surrounding communities.

The project is a $1.3 billion capital investment that will generate up to 1,000 construction jobs over the construction period. When completed, the facility will employ approximately 25 full-time employees in engineering, technical, operation, management and administrative positions. The new facility is located on less than 20 acres of land that is part of a 150-acre parcel three miles from the Village of Wellsville.

New Natural Gas-Fueled Generating Stations provide Power to Upper Peninsula of Michigan, allowing Retirement of Presque Isle Power Plant

WEC Energy Group
's subsidiary, Upper Michigan Energy Resources (UMERC), began commercial operation of the A.J. Mihm Generating Station and the F.D. Kuester Generating Station in the Upper Peninsula of Michigan March 31. The new natural gas-powered generating stations replace the energy from the company's coal-fueled Presque Isle Power Plant that was retired the same day.


Plans for this transition date back to 2015 when Michigan Gov. Rick Snyder issued a call to action to solve the Upper Peninsula's energy crisis. WEC Energy Group answered that call and developed a reliable, affordable and clean energy solution.

 

WEC Energy Group funded the $275 million investment. Half of the investment will be recovered through a 20-year agreement with Cliffs Natural Resources. The other half will be recovered in retail electric rates.

 

The state-of-the-art generating stations are expected to save UMERC customers nearly $600 million over the next 30 years. The new stations will eliminate the need for additional transmission capacity as well as upgrades that would have been needed at the aged Presque Isle Power Plant if it had continued to operate.

NOVI Energy selects GE’s HA Gas Turbine for Charles City Combined Cycle Plant in Virginia

Building strong momentum in North America and around the world, GE Power announced that family-owned independent power producer NOVI Energy has selected GE’s record-setting HA gas turbine technology for the Charles City Combined Cycle Plant planned for construction in Charles City County, Virginia.

Two of GE’s 7HA.02s will power the 1,060 MW project in the greater Richmond area that will provide electricity to the grid in the eastern United States. The electricity produced by the plant will be the equivalent needed by more than 750,000 households. Additionally, the project will help support the growing data center industry in Virginia, providing reliable electricity to serve this critical infrastructure. This technology selection will also utilize GE steam turbines, HRSGs and associated balance of plant equipment.

Once completed, the plant would supply electricity to the PJM regional transmission organization which provides electricity to a large portion of the eastern United States. Expected to be completed by 2022, the plant would also create up to 1,000 jobs during the peak construction phase. Currently, the Charles City project has secured all of the permitting necessary to proceed, and NOVI and their financial sponsor Ares Management are actively moving the project towards commencement of construction.

Summit signs 22-year PPA for upcoming 583 MW Gas Power Plant; GE to co-develop Plant in Bangladesh

Adhering to their commitment to provide reliable and affordable electricity in Bangladesh, Summit and GE Power announced they will proceed with the co-development of Summit Meghnaghat II, a 583 MW combined cycle gas power plant at Meghnaghat, near Dhaka, Bangladesh. The announcement follows the signing of a 22-year Power Purchase Agreement (PPA) between Summit Meghnaghat II Power Company Limited (SMIIPCL), a subsidiary of Summit Group, and the Bangladesh Power Development Board (BPDB). SMIIPCL also signed several other agreements, with the Government of Bangladesh, Power Grid Company of Bangladesh (PGCB), Bangladesh Petroleum Corporation (BPC) and Titas Gas Transmission and Distribution Company Limited.

The power plant is expected to be operational by 2022 and will generate the equivalent electricity needed to supply up to 700,000 homes in Bangladesh. Summit and GE Power signed the equipment and engineering, procurement, and construction (EPC) scope of the project in 2017, while the services agreement was signed in 2018. Together, the two agreements are worth approximately $390 million.

GE Power will be providing the turnkey solution for the Summit Meghnaghat II power project, and is responsible for the design of the facility, supply and installation of the equipment and commissioning works. The equipment being provided by GE includes one 9HA.01 gas turbine, one heat recovery steam generator (HRSG), one steam turbine generator, condenser and associated systems, as well as balance of plant (BOP) solutions. Additionally, GE will provide services including the maintenance and repairs of the power generation equipment at the facility for a period of 20 years, helping to sustain the efficiency, reliability, performance and availability of the plant. It will also result in a higher plant load factor (PLF) of the facility over the years, ensuring the lower cost of generation of electricity.


WATER TREATMENT

Chinese researchers have improved methods of separating lithium from magnesium and other metals using membranes and related technology.  McIlvaine has written previously about the extraction of rare earth elements (REE’s) from flyash and pointed out that the approach by the Chinese government and DOE has overlooked what could be the most economical process which could be dubbed “in situ REE feedstock”  production.   This is being unintentionally produced in two stage scrubber systems such as those installed at Philadelphia Electric. The first stage captures the flyash and HCl and can provide a pH 1 hydrochloric acid slurry containing the flyash. 

HCl Scrubbing and Rare Earth Recovery from Coal-Fired Power Plants and Gasifiers are the Perfect Marriage

 

The new Chinese methods may be equally applicable for separating the metals in the FGD generated feedstock.

The interest in lithium from coal is increasing with a number of papers on the subject. Coal could become a major source of lithium, according to a team led by professor Shenjun Qin, of Hebei University of Engineering (Handan, China; www.hebeu.edu.cn). From available data, the concentration of lithium in most coal varies between 10 and 50 µg/g. For example, the concentration of lithium in flyash samples is between 65 and 287 µg/g in South Africa and an average of 46 µg/g in China. Using two analytical techniques — inductively coupled plasma mass spectroscopy (ICP-MS), and ICP atomic emission spectroscopy (ICP-AES) — the team has found Li dispersed, and even anomalously enriched in coal deposits. But in general, it says the analysis for Li has been largely neglected, with no specific discussion reported regarding Li concentrations in coal and coal ash.

McIlvaine has a market report on the lithium production market.  GEA is a  major supplier of the centrifuges and other extraction equipment used in the processes being employed in Australia and Chile.

Saltworks offers EDR System with New Sensor for FGD Chloride Reduction

Saltworks, a Canadian company supplying desalination and zero liquid discharge systems has shipped a pilot Flex EDR system to the southern United States for the purpose of cleaning up coal fired power wastewater. Saltworks'  system will use proprietary IonFlux ion exchange membranes to selectively remove chlorides, enabling internal recycling of water. The innovation is partially enabled by a new ion-specific sensor, developed by Saltworks, that can also help miners and the oil and gas industry measure and adjust to sulfate or calcium load in real time The product is built on the backbone of 50-year-old Electrodialysis Reversal (EDR) technology, which is the second most widely used membrane desalination technology, with full scale production already in place. After completing its U.S. pilot, the plant will be sent to China.

The AirBreather is a waste heat driven evaporator-crystallizer for  produced water disposal from shale gas extraction. With SDTC’s investment, the AirBreather will be demonstrated in industry and scaled up for commercial roll out, where it can improve the competitiveness and sustainability of Canadian natural gas.

Sustainable Development Technology Canada (SDTC) is a foundation created by the Government of Canada to support Canadian companies with the potential to become world leaders in their efforts to develop and demonstrate new environmental technologies that address climate change, clean air, clean water and clean soil.


PUMPS

SPX Flow Inc to divest its Power and Energy Business.

SX Power and Energy specializes in mission critical severe duty pumps, valves, filtration products and aftermarket parts and services for energy and power customers. The brands included in the divesture process are M&J Valve, ClydeUnion Pumps, S&N Pumps, Copes-Vulcan, Dollinger, Plenty, Airpel and GD Engineering. The business has annual revenues of around US$500 million and is headed up by president José Larios.

SPX Flow intends to focus its growth strategy on building a premier process solutions enterprise around its current Food and Beverage segment, Industrial segment and Bran+Luebbe metering pumps product line.

“After a thorough strategic review of our product lines, core competencies and customer segments, we have determined that there are nuances in the value proposition to customers in highly specific process applications as compared to flow control applications,” said Marc Michael, president and CEO of SPX Flow. “To best serve customers in both these areas, we have chosen to narrow our strategic focus on differentiated process technologies and to pursue a divestiture of our Power and Energy business.”

“By divesting Power and Energy, we will reduce our exposure to cyclical energy markets and devote our full attention on building a premier process solutions enterprise with high quality, recurring revenue streams, mid-teens EBITDA margins and double-digit return on invested capital,” added Michael.

With annual revenue of around US$1.6 billion, Process Solutions is comprised of the current Food and Beverage and Industrial reportable segments and the Bran+Luebbe metering pump product line. Brands include APV, Waukesha-Cherry Burrell, Lightnin, Gerstenberg Schroeder, Seital, Bran+Luebbe, Hankinson, Power Team and Johnson Pump. These brands primarily serve the sanitary and industrial markets, with a concentration in food and beverage, chemical, pharmaceutical and general industrial markets.

Dwight Gibson, currently president of Food and Beverage, will lead one combined commercial team. He will work closely with Ty Jeffers, vice president of Global Manufacturing and Supply Chain, to optimize and leverage the company’s lean approach, “Pathway to Excellence”, and to modernize factories and create capacity for growth.

Power Industry will Spend $ 3.2 billion for Pumps Next Year

Power plant purchasers will spend $3.2 billion for pumps next year. Sixty-seven percent of the purchases will be for Asian power plants. Decades ago many pump decisions for Asian power plants were made in other regions by international power plant developers. Today many Chinese power plant developers are making pump decisions for Africa, the Middle East, and Turkey.

Most power plant operators including those in Asia are making decisions based on lowest total cost of ownership. This provides a window of opportunity for international suppliers with better products.

The challenge for international pump companies is to reach the decision makers. New plants are being built in seven African countries which already have some coal fired capacity. Another eleven African countries will be installing coal fired power plants for the first time. Vietnam is planning to move forward with an additional 40,000 MW of coal plants. Indonesia will add another 30,000 MW while Bangladesh with Chinese help is adding 25,000 MW of coal plants.

More money will be spent for pump replacement and repair than for pumps at new plants. There are already 2 million MW of coal fired plants installed worldwide. The base will increase by 270,000 MW in the next decade even with the retirements in some countries. An additional pump market is created by SO2 emission limits being applied in India and other Asian countries. The new regulations are also being applied in Africa. This means large FGD slurry pumps will be installed at many existing plants as well as at most new plants.

Regulations regarding water pollution are forcing plants to install treatment systems which include pumps needed to move the wastewater through filtration equipment.

The top fifty owners will buy more than 50 percent of all the power plant pumps. The top dozen will spend $200 million or more on pumps each year.

Pump Purchases 2019

Company

$ mil

Datang

224

Guodian/Shenhua

384

Huaneng

288

Huadian

192

EDF

220

NTPC

224

Enel

32

J-Power

16

KEPCO

75

Eskom

192

Bechtel

160

Exelon

44

AECOM

30

AEP

35

BWE

19

Duke

32

NRG

32

Southern

32

Vietnam Power

64

More than 8,000 owners will spend at least $70,000 for pumps each year. McIlvaine can supply forecasts for pump purchases for 1300 owners operating 10,000 plants burning coal for either electricity generation or for industrial use. Many of the new plants in Africa are solely for providing power for mining operations. Pump purchase forecasts can also be supplied for thousands of gas turbine, biomass, and geothermal power plant owners. Detailed forecasts are also available for nuclear pump purchases.

There are multiple tracking systems to identify each new project. A weekly Utility E-Alert provides the latest insights. The individual services which can be combined in a package are linked below.

N019 Pumps World Market

42EI Utility Tracking System

42EIC Chinese Utility Plans

41F Utility E-Alert

59EI Gas Turbine and Reciprocating Engine Supplier Program

A whole program built around individual owner forecasts’ is explained at www.mcilvainecompany.com

Bob McIlvaine can answer your questions at 847 226 2391 or This email address is being protected from spambots. You need JavaScript enabled to view it.

Avingtrans moves Into Profit As Hayward Tyler Takeover Delivers

Avingtrans PLC swung to an interim profit with its Hayward Tyler Group acquisition helping to drive revenue growth. Revenue for the six months to November 30 was GBP47.7 million, from GBP26.9 million a year prior, helped by both Hayward Tyler as well as organic growth of 11%.

Avingtrans, which makes equipment and systems for the energy and medical sectors, bought Hayward Tyler in a reverse takeover in the summer of 2017 in an all share deal.

Pretax profit came in at GBP649,000, after a GBP4.8 million loss a year before. On an adjusted basis pretax profit was GBP1.6 million, swinging from a GBP100,000 loss. The comparison period was impacted by one-off costs related to the reverse takeover. Avingtrans increased its interim dividend by 7.7% to 1.4 pence per share.

"The former Hayward Tyler Group businesses have continued to improve financially post-acquisition and we are engaged in the investment and development phase of our stated PIE strategy," said Chair Roger McDowell.

"This will enable us to fully realize the underlying value of the Hayward Tyler and Peter Brotherhood businesses. Our main business units are performing well. We continue to make good progress with new business - especially in nuclear," he continued.

Hayward Tyler is a recognized worldwide leading manufacturer of glandless wet stator circulating pumps for the power industry.

The company invented  the technology over 60 years ago and now have more than 2,300 units operating in both nuclear and conventional fossil-fueled power generating plants. These include GT combined cycle, fluidised bed, and coal gasification installations.

Hayward Tyler has secured two new contracts worth over US$6m from U.S. and South Korea customers. The contracts are to provide critical pumps and spare parts to nuclear reactors in the U.S. and South Korea for Essential Service Water pumps. The U.S. contract is with one of the country’s leading nuclear operators and is a significant increase in size of contract for this particular customer, so represents an important breakthrough for the company. Hayward Tyler has been an original equipment supplier of nuclear pumps and spare parts to the global nuclear industry, including Korea Hydro & Nuclear Power, for over 50 years.

These latest orders, for spare parts and pumps to upgrade and refurbish existing nuclear power plants, takes the total value of nuclear orders received this financial year to US$14m. Hayward Tyler Inc., located in Vermont USA, continues to support global nuclear operations with parts, units, and technical support through its team of nuclear professionals and the underlying nuclear quality program.

Mike Turmelle, Managing Director of the Engineered Pumps and Motor division said: “Support to nuclear power station operators across the globe is a key part of the Hayward Tyler business. We are dedicated to supporting our international nuclear customers to drive down operating cost as well as increasing the reliability and safety of the systems that our pumps operate in. The nuclear industry must continue to deliver affordable, safe, low carbon energy as part of a balanced global energy solution. The whole team at Hayward Tyler are proud to be part of the nuclear supply chain and this order is testament to their dedication, professionalism and long-term commitment to the industry.”

Peter Brotherhood is a world leader in designing, manufacturing and servicing steam turbines and turbine generator (TG) sets up to 40 MW. With thousands of steam turbine installations in more than 140 countries


VALVES

Valve Cost of Ownership reduced at Canadian Power Plant

At a Canadian power plant  Armour Valve provided a program to improve valve total cost of ownership .As a result, the power plant valves could be inspected, maintained, repaired and replaced in one week instead of four weeks. Every year, valve performance consistently improved. The valve repair success rate increased from less than 50 percent to greater than 90 percent. In the most severe applications, valve life cycle improved from six months to two years. Average valve life cycle improved to three to 10 years, with some valves performing far beyond that. Today, with more than 500 valves installed at the power plant, valve performance has improved so dramatically that Armour Valve only needs to visit the plant for routine valve maintenance every two years. 

Over the lifetime of this power plant, the estimated savings achieved from proper valve specification, installation and maintenance is millions of dollars. These cost savings, combined with the dramatic decrease in job stress, should make the owners and operators of any power plant rethink their strategies. Diligent valve maintenance may not be glamorous and is certainly easier said than done, but it is well worth the investment. It is a classic example of “pay some now or pay greater later.” 

https://www.flowcontrolnetwork.com/power-plant-valves-proper-specification-maintenance/

The Valve Industry in China has changed since This Article was Written

This undated Valve World interview sets a point in time where the procurement of valves for use in power plants in China was still based on cost. Quality, safety and industry standards were secondary issues. Valve World spoke with Mr Zhang Chuanhu of the Valve Standardization Technical Committee of China Electricity Council, amongst other roles.

ZC: I am currently the vice chairman of the Valve Standardization Technical Committee of China Electricity Council, member of China Electricity Boiler and Pressure Vessels Qualification Exams Committee, professor and examiner at China National Quality Supervision of Valve Security and Maintenance Personnel Examination and Certification, and consultant of Thermal Power Generation magazine. I am also the general manager of Wuhan Huake Energy Environment Science & Technology Co., Ltd.

VW: What is your opinion on the development of the current Chinese market and power industry over the past years?

ZC: I have been in the power station valves industry for more than 21 years, and clients are generally very serious about boiler safety valves, control valves, and other high-end valves. The end users in power industry usually use international brands, but they still favor the strategy of lowest-price bids, which leads to many international brands with different levels of quality bidding for the same project. Then after the valves are put into operation, the operators have to repurchase new valves at which time plants often then switch to higher end imported products. Competition for lower prices has brought bad consequences to the safety and stability of operating machines economically.

http://www.valve-world.net/webarticles/david-sear/valves-in-chinese-power-plants-cost-or-quality-driven.html

The Tale of Two Valve Companies

Chinese valve companies and Chinese valve purchasers run the gamut in terms of honesty and willingness to honor intellectual intelligence  assets. Thermo Fisher has demonstrated faith in their Chinese workers by locating all their air pollution research and development in China.  Neway Valve is an example of a Chinese valve company which has become a trusted international supplier of the most critical valves used in the nuclear industry. China Valves is possibly at the other end of the spectrum.

On April 23, 2019, a Nevada judge issued a warrant for the immediate arrest of Siping Fang, Chairman of Nasdaq-delisted China Valves Technology, Inc.  The judge's order instructed that the arrest warrant be lodged with law enforcement agencies including Interpol and the National Crime Information Center.  Fang had served as representative of the 10th and 11th People's Congress of Henan Province. Fang also served as Member of the 12th Standing Committee of Kaifeng Municipal People's Congress.  A prominent businessman, Fang was for two terms Chairman of the PRC Valve Industry Association.

More than 50 U.S. listed Chinese companies including China Valves were either delisted or halted from trading in 2011 and 2012 based on claims of fraud and other violations of U.S. securities laws. A number of others were the target of short sellers and changed auditors more than once in some cases.

“Billions of dollars of market capitalization of such companies have been lost in U.S. securities markets and it is fair to say that all of these smaller China-based companies listed on U.S. securities exchanges have suffered serious losses of both market value and investor confidence as a result of the problems of other companies,” said Lew Ferguson, board member of the Public Company Accounting Oversight Board. 

On May 13, 2015, the Honorable Reggie B. Walton of the United States District Court for the District of Columbia entered final judgments by consent against defendants China Valves Technology, Inc. ("China Valves"), its Chairman and former CEO, Siping Fang ("Fang"), and its CFO, Renrui Tang ("Tang"). The final judgments: (i) permanently enjoin the defendants from future violations of the anti-fraud, reporting, recordkeeping, and internal controls provisions of the federal securities laws.

China Valves Technology Inc. supplies valves and services in China and internationally. It offers valves, actuators, forging and castings, valve locks, and related services nuclear power, fossil power, hydropower, oil & gas, chemical and petrochemical, water treatment, and other industries. The company is headquartered in Zhengzhou, China. 

Officers

Mr. Kaixiang Du

Chief Executive Officer

Mr. Siping Fang

Founder, Chairman and President

Age: 65

Mr. Renrui Tang

Chief Financial Officer

Age: 45

Mr. Binjie Fang

Chief Operating Officer and Director

Age: 45

Mr. Zhiming Wang

Chief Engineer

Age: 77

China Valves Technology's 13,000sq/m production facility at its Henan Kaifeng High Pressure Valve Co. Ltd subsidiary in China began production in the middle of September 2009. The production facility at Kaifeng Valve  mainly focuses on the production of high-end large diameter metal valves used in thermal and nuclear power plants, as well as by the oil, petrochemical, and water supply and drainage industries. The facility produces high-quality forged steel valves for use in supercritical thermal power generating units

Neway is a Major Supplier of Valves to the Coal Chemical Industry as well as Fossil Power

Neway Valves valves are widely used in wear conditions (such as gasification, catalysts, etc.), low temperature conditions (such as air separation, ethylene cracking, low temperature methanol wash, etc.), high temperature conditions (such as P91 pipeline), low leakage conditions (toxic and hazardous media), oxygen conditions (air separation, gasification, etc.), shut-off valves (emergency shut-off, high-frequency shut-off, pulse, lock-slag, and oxygen shut-off), as well as other harsh conditions. The business of Neway has extended to the whole industry chain including direct liquefaction, indirect liquefaction of coal, natural gas, and other chemical production.  Projects include

? Yankuang Yulin Project (1M tons of coal) - China

? Shenhua Ning Coal Project - China

Neway can provide a full range of valve demands for power generation (conventional & improved thermal cycles, including renewable resources & related applications). Neway has a complete range of professional certificates including fireproofing, low-leakage, SIL, 4500TS, etc. Neway’s experience and performance in the power industry can meet numerous customers’ requirements. Projects include

? Southern Power Generation Sdn Bhd Track 4A Project - Malaysia

? CELSE UTE Porto de Sergipe – I  - Brazil

? Mitsui & ACWA Power & DIDIC IBRI & SOHAR CCPP HRSG Project - Oman

? Clean Energy Future, Lordstown Energy Center Project - United States

 

Nuclear power stations include conventional & nuclear islands. Accordingly, valves can be classified as nuclear class 1,2,3, or non-nuclear. Neway has an extensive production range of nuclear valves and has is qualified by NNSA with nuclear class 2, 3 and ASME N&NPT certificates with nuclear 1, 2, and 3. Neway is in cooperation with Nuclear EPC companies like CGN and Areva on both China and international nuclear power station projects. Neway is a leading manufacturer of nuclear valves for new generation technology of EPR, AP1000, and HuaLong#1. Projects include

 

? EDF NNB  UK HPC Project - UK

? CGN  Fangchenggang Project - China

? CGN  Taishan Project - China

? CZEC Pakistan K2-K3 Project - Pakistan

? ITER CWS Cooling Water System Project - France

? CNNC Tianwan 5&6 Project - Taiwan

? CNNC Fuqing 5&6 Project - China

? CGN Hongyanhe Project - China

? Framatome KOREA CFVS Venting Project

 

Neway has been successful in becoming a recognized international supplier of high performance valves. Quality is the absolute key for Neway. The quality of the company’s products is partly due to the design standard but also stems from the fact that all manufacturing steps are available in-house for both forged and cast valves.

 Neway continues to develop the technical specifications of its standard products, allocating a significant annual budget to testing and research in the areas of design, fugitive emissions, and environmental challenges. The company can conduct all valve testing procedures as determined in industry standards such as API, NORSOK, DIN/EN (AD2000), ISO, and GOST, or as required by major clients. The extensive range of products delivered by Neway reflects the company’s desire to meet everchanging customer demands. As a result, the company also produces a wide variety of valves covering practically all pressure and temperature classes supported by automation systems and devices.

Presently up to seventy per cent of Neway’s sales are generated overseas. With a worldwide distribution network and branch offices established in USA, Brazil, the Netherlands, Italy, Singapore and UAE.

Neway Valve  raised 1.46 billion yuan ($241 million) in its initial IPO in 2014. It has continued to grow both in China and internationally. Sales growth has been 16 percent in each of the last two years.

 

Fiscal Year is January-December.

All values CNY Millions.

2018

2017

2016

Sales/Revenue

2,751

2,366

2,024

Sales Growth

16.28%

16.91%

-4.94%

Cost of Goods Sold (COGS) incl. D&A

1,842

1,660

1,340

Gross Income

909

706

684

Gross Income Growth

28.86%

3.13%

-20.05%

Gross Profit Margin

33.05%

-

-

SG&A Expense

540

432

453

Research & Development

102

38

23

Other SG&A

438

394

430

SGA Growth

25.02%

-4.72%

-6.74%

Other Operating Expense

14

27

9

EBIT

356

247