Forecast International

Industrial & Marine Gas Turbines

ANSALDO INVESTING IN HYDROGEN-ENRICHED NATURAL GAS FOR GT26 GAS TURBINE
Thursday, December 13, 2018

Source: GE

NEWTOWN, Conn. -- With both the GT26 and GT36 industrial gas turbines now integrated into the Ansaldo Energia product range to supplement the older AE94 and AE64 machines acquired from Siemens, the company has a viable gas turbine portfolio. The company is also moving to address requirements for reduced emissions and more efficient use of resources by the adoption of hydrogen-enriched natural gas as feedstock. Industry reports suggest that the Italian government wishes to establish Ansaldo Energia as a viable player in the industrial gas turbine market. Assuming this is correct, then a good start has been made toward fulfilling this plan.

The problem that Ansaldo is likely to face going forward is that the GT26 is not a recent or advanced design. After all, a company does not sell a product to a potential rival if that product has a major future in its present form. It is likely that Ansaldo will have to undertake a major modernization effort to increase efficiency and reduce emissions beyond that achieved by its hydrogen injection technology if it is to compete with machines like the MHPS 501JAC or the new H series turbines from GE. The key questions here are, just what in the way of resources is Ansaldo prepared to put into the GT26 and how will effort this be affected by development of the GT36?

Assuming that some judicious engineering research brings the GT26 into line with the latest technical standards, Ansaldo will exploit this to develop a significant, although not overwhelming, place in the power generation market. More specifically, Ansaldo will likely be able to leverage its position in the steam turbine market to make a viable penetration into the combined-cycle power generation sector. Our forecast shows Ansaldo exploiting its new GT26 line primarily as a combined-cycle option with its steam turbines to achieve a healthy production rate. Hovering in the background is the GT36 gas turbine, rights to which have also been acquired by Ansaldo. Assuming the ambitions of the Italian government remain unchanged, it is quite likely that discreet political support will boost Ansaldo Energia's sales in Italy at the expense of its competitors.

Source: Forecast International
Associated URL: forecastinternational.com
Source Date: December 13, 2018
Author: Stu Slade, I&M Analyst
Posted: 12/13/2018

SOLAR TITAN 130 HAS MARKET NICHE INTO WHICH IT SEEMS WELL-SETTLED
Thursday, December 13, 2018

Source: Solar Turbines

NEWTOWN, Conn. -- There has been a significant surge in the use of Solar Titan gas turbines over the past three years as part of combined heat and power systems at U.S. universities. The physical characteristics of campuses are near-ideal for the installation of such combined heat and power systems to power microgrids that make the area independent of outside power supplies.

Titan 130 production averaged about 17 turbines per year in the first decade of its commercial career, and there is no reason to believe that annual production has significantly changed since then. An examination of current order and construction rates suggests that 10 to 13 units are being delivered per year, with occasional spikes beyond that. The primary applications for the Solar Titan are mechanical drive units for oil and gas projects and offshore platforms.

There is potential for a major increase in sales as a result of the upsurge in natural gas production in the United States. This has resulted in a matching upsurge in pipeline construction with the related demand for gas turbines to equip compressor stations. The Solar Turbines range of products appears to be benefitting from this development, the Titan 130s in particular. Also, an increasing number of Titan 250s are going to this market.

The big unknown here is the number of machines that have been sold as mobile generating systems. Overall, the Titan 130 has a market niche into which it seems well-settled. The Titan 250 has a less certain future, since it seems to be in a power niche that is under severe pressure from gas turbines of both higher and lower outputs.

Source: Forecast International
Associated URL: forecastinternational.com
Source Date: December 13, 2018
Author: Stu Slade, I&M Analyst
Posted: 12/13/2018

THE MGT6000 CONTINUES TO GAIN GROUND IN CHINA AS RPLACEMENT FOR COAL-FIRED PLANTS
Thursday, December 13, 2018

Source: MAN Energy Solutions

NEWTOWN, Conn. -- The MAN Diesel & Turbo MGT6000's primary market has been China, and MAN has had success selling the turbine model in that country. In order to mitigate pollution, China is in the process of shutting down coal-fired boilers up to 10 MW. The gap in capability left by the closing of these boilers will primarily be filled by gas turbines. Since the MGT6000 falls within this power class, the turbine should do well replacing the older coal-fired apparatuses. Use is the paramount factor in deciding whether to use gas turbines in a combined heat and power (CHP) application, and in that respect, diesel motors pose serious competition. If the process relies on more heat than power, then turbines are generally more efficient; the converse is true for diesels. Turbines therefore have a secure place in the market; however, other turbine manufacturers have competitive machines.

Siemens, GE and Kawasaki offer turbines in the MGT6000's power class. Despite having similar outputs, these machines are generally older designs. Countries and customers that seek to lessen pollution will view the MGT6000 favorably.

Source: Forecast International
Associated URL: forecastinternational.com
Source Date: December 13, 2018
Author: Carter Palmer, I&M Analyst
Posted: 12/13/2018

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