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Shale Gas/Plant projects

Shale Gas is Still Number 1 For Megaplant–Projects

| Author / Editor: Anke Geipel-Kern* / Dominik Stephan

The STAR (Steam Active Reforming) process is being used for the first time for large-scale production of propylene from propane at the plant in Port Said, Egypt which was completed in 2010.
The STAR (Steam Active Reforming) process is being used for the first time for large-scale production of propylene from propane at the plant in Port Said, Egypt which was completed in 2010. (Pictures: Thyssen Krupp)

The Process Technologies business unit which is part of Thyssen Krupp Industrial Solutions continues to have high expectations as the shale gas bonanza continues in the US—Following success in the fertilizer segment, managers are hoping for additional contracts in downstreaming as cracker capacity is expanded in North America.

It may take a while to get used to the somewhat cumbersome names given to the Industrial Solutions business areas following restructuring. Uhde is now called Business Unit Process Technologies, the new name for Polysius and Fördertechnik is Business Unit Resource Technologies, and so on. Otherwise nothing has changed, reported Dr. Hans Christoph Atzpodien who is head of Business Area Industrial Solutions.

The business is still based on the archetypical large engineering project model, but the competitive environment has become noticeably more difficult because of the rising chinese and korean competitors.

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The essential challenge in the EPC business is to manage a highly diverse set of components, engineering and business skills, project partners and of course risks, said Savas Lazaridis, CEO Operating Unit Implementation at the Process Technologies business unit.

The installation phase in particular has many imponderables which can cause the management team to have sleepless nights. In terms of headcount, Atzpodien’s area of responsibility is relatively modest compared to other parts of the corporation, but the same cannot be said of turnover. Sales of 6.3 billion euros in 2013/2014 and 420 million euros operating income (EBIT) made a major contribution to the corporate bottom line. The plan is to achieve a substantial increase in turnover in the future.

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11/02/2015 - For the fertiliser industry, a golden age could lie ahead–American shale gas, exploding population figures and climate change are driving the demand for artificial fertilisers. Drawing on the GROAB project database, PROCESS summarises for you plant construction projects worldwide in 2014 and looks into the future of the fertiliser industry. read...

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“Our mission within the corporation is to generate organic growth,” said Atzpodien. The goal is to grow faster than the market and take back market share from competitors. Turnover by the Industrial Solutions unit is set to reach 8 billion euros by the end of the decade, although Atzpodien does not cite any specific year. Process Technologies is expected to generate sales of 2 billion euros.

These figures are not unrealistic. The Business Area as a whole is well positioned, and Atzpodien claims market leadership in a number of segments. “Technology expertise is our market trademark,” he said. Solutions developed by Industrial Solutions engineers are needed to deliver “more" and better” and respond to future megatrends related to demographics, urbanization, climate change and resource scarcity.

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