Shopping Cart  |  Intelligence Center

Press Release

FOR IMMEDIATE RELEASE

Sales of Mechanical Drive Turbines Boom as Pipeline Industry Expands

NEWTOWN, Conn. [November 19, 2019] – The rapid expansion of the natural gas pipeline industry has driven a 16.7 percent increase in the sales value of mechanical drive industrial gas turbines to be delivered between 2019 and 2028, compared with the previous 10-year period. These turbines will have a total value of $23.95 billion.


Stuart Slade, Senior Industrial and Marine Gas Turbine Analyst for Forecast International, said pipeline modernizations are partly responsible for the surge in new mechanical drive orders. "From early 2019, an increasing number of orders have resulted from the modernization of existing pipelines by increasing compressor station capacity and building additional stations on existing pipelines." He added that "the start of an extensive program of new pipeline construction has also resulted in a significant number of new orders."

As a result of these factors, a total of 3,294 turbines will be sold between 2019 and 2028, an increase of about 7.9 percent over the total for the 2018-2017 period. This understates the full extent of the surge, however, since older, lower-output turbines are being replaced by new and more powerful units. Slade also notes that "since these new turbines exploit technology advances to make them more efficient in terms of fuel use, this trend is likely to continue and will probably accelerate."

The international liquefied natural gas (LNG) trade is expanding at a spectacular pace. The estimated consumption of natural gas in 2016 was over 125 trillion cubic feet (Tcf), representing a 67 percent increase over a period of 20 years. By 2025 it is estimated that this consumption will be around 156 Tcf and account for over 25 percent of the projected world demand. Slade suggests that "since pipelines offer the most economical means of transporting natural gas and their cost advantages increase with distance, this sustained increase in demand will further enhance the mechanical drive turbine market."

Forecast International's analysis suggests that in years to come, more than 55 percent of the mechanical drive machines produced will be 7.5 MW and larger. Slade believes that "the market for those machines will be driven by new large scale, high-capacity pipeline and platform construction. This will continue to benefit the adoption of high powered aeroderivative machines, including the GE LM2500/2500+ and the Siemens family of industrial gas turbines."

This process has had a particular impact on Solar Turbines Inc, which has seen a stream of orders throughout 2019 to replace older and smaller Solar Centaur and Taurus gas turbines. This activity has substantially boosted the company's profile and placed it in a good position to exploit the growing wave of new orders.

About Forecast International
Forecast International, Inc. is a leading provider of Market Intelligence and Consulting in the areas of aerospace, defense, power systems and military electronics. Based in Newtown, Conn., USA, the company specializes in long-range industry forecasts and market assessments used by strategic planners, marketing professionals, military organizations, and governments worldwide. Forecast International also maintains a high posture of situational awareness and geopolitical analysis.

 


Contact Information
Ray Peterson
Acting President, Research & Editorial Services
Forecast International
22 Commerce Rd. Newtown, CT 06470 USA
(203) 426-0800
ray.peterson@forecast1.com.

MORE PRESS RELEASES
Forecast International's Platinum Forecast System proving its value during Pandemic
Oct 13, 2020
Forecast International Projects 10-Year $40.6 Billion Land-Based Radar Market
Aug 31, 2020
In the Face of the Pandemic, Forecast International Cautiously Optimistic on Future Large Commercial Transport Market
Aug 20, 2020
Forecast International Projects the Turbofan Engine Market Will Begin to Recover Next Year
Aug 06, 2020
COVID-19 Masks Start of International Power Generation Recovery
Jul 28, 2020
The Tool to Navigate the Latest U.S. Budget Data Projections
Jun 22, 2020
Forecast International Announces the Launch of Airborne Retrofit & Modernization Module for Platinum Forecast System 4.4
Apr 27, 2020
Forecast International Sees New Perspective On Boeing and Airbus Competition
Apr 10, 2020
Forecast International Sees Cyberspace A Growing Focus of U.S. Defense Electronics Market
Mar 02, 2020
Forecast International Foresees Continuing Growth in Global Defense Market
Jan 23, 2020
Forecast International Publishes Smart Manufacturing White Papers
Jan 20, 2020
Forecast International: Microturbines Growing in Power and Value
Nov 20, 2019
Sales of Mechanical Drive Turbines Boom as Pipeline Industry Expands
Nov 19, 2019


HOME PRODUCTS & SERVICES NEWS CONTACT US PRIVACY STATEMENT TERMS AND CONDITIONS
Forecast International © 2020 22 Commerce Rd Newtown, CT 06470 USA Phone: 203.426.0800 Toll-Free: 800.451.4975 (USA & Canada) Fax: 203.426.0223 sales@forecast1.com