S06 ORME 3 2022 Gas detection_Layout 1 25/04/2022 15:07 Page 26
Technology
The future of oil and gas
pipeline coatings Image Credit: Adobe Stock
Nikhil Kaitwade, associate vice president (AVP) – market research at Future Market Insights (FMI) discusses the market for pipeline coatings and the increasing demand for sustainable solutions. NUMBER OF FACTORS are boosting the market for pipeline coatings. Exposure to harsh weather, and economic losses incurred by leakages and blasts are pushing oil and gas industries to invest in the maintenance of pipes for longer periods, and an increase in production and offshore exploration activities is also positively influencing the demand for pipeline coatings for oil and gas. Meanwhile government regulations to reduce carbon emissions are playing a key role in spurring the development of sustainable pipeline coatings.
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Weathering and economic loss driving demand for pipeline coatings Exposure to harsh weather conditions corrodes the metal of the pipelines. Corrosion, in turn, possesses a threat to the integrity of the pipe and creates the chance for gas and oil leaks and chemical deterioration. For instance, in July 2021, three workers were killed as a result of a gas pipeline leak in Iran. In another instance in November 2021, a pipeline in southern Iran exploded. Ageing infrastructure of the pipes was the key reason for the loss. No casualties were recorded, but the pipeline blast incurred heavy losses to the industries. Corrosion and abrasion issues have been exacerbated by the shut-down of oil and gas production activities and end user industries in the Covid-19 pandemic, due to restrictions on movement. The chances of oil and gas leaking due to improper coating and unsupervised pipelines at different geographical locations are high. In addition, exposure to extreme weather conditions is playing a crucial role in the increasing demand for maintaining the health of pipelines. As some pipelines are under water and underground, the chances of water and dirt seeping into the pipeline increases. This has the potential to deteriorate the quality of oil and gas.
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Coatings can prolong the life of pipelines, thereby helping to reduce carbon footprint.
Leaks and pipeline clogging lead to heavy economic losses to both the supplier and the end-user. The improper transportation of oil and gas also increases the threat to human life and the environment. To avoid the same, government bodies of different countries have implemented strict rules and regulations. Thus, the demand for covering pipelines with coatings has escalated.
Government regulations to reduce carbon emissions are playing a key role in spurring the development of sustainable pipeline coatings.”
According to Future Market Insights (FMI) report on Oil and Gas Pipeline Coatings Market*, the sales for pipeline coatings are expected to register a positive CAGR of 5.5%, accumulating a market value of US$6,958mn by the end of 2029.
Fusion-bonded epoxy coating favoured by oil and gas industry Five different types of pipeline coatings are widely used to cover gas and oil pipelines, namely fusion-bonded epoxy coating, polyurethane coating, coal tar enamel coating, concrete coating and polyolefin coating. Among these, fusion-bonded epoxy coatings are widely used for steel pipelines as they are made of thermosetting materials and protect against the wearing of pipelines. FMI’s report on the oil and gas pipeline coatings market expects fusion bonded epoxy coatings to register a CAGR of 6.1% up to 2029. Polyurethane coating, too, is widely used in the oil and gas industry. Polyurethane
