Composites In Oil & Gas Industry Market

Composites in Oil & Gas Industry Market: Comprehensive Analysis and Strategic Insights

The Composites in Oil & Gas Industry market is witnessing significant growth due to the increasing demand for high-performance materials, technological advancements, and the need for corrosion-resistant and lightweight solutions in extreme operational environments. This report provides an in-depth analysis of the market, including market dynamics, segmentation, key trends, and strategic insights. It aims to equip stakeholders with valuable information to effectively navigate the evolving market landscape. The oil and gas industry is increasingly turning to composites as a viable solution to many of its challenges. Recent surveys indicate that 72% of industry professionals now believe that composites are ready for subsea production applications. This shift is driven by the need to reduce costs and address issues such as corrosion, fatigue, and weight.

The Current Scenario

Composites have found numerous applications within the oil and gas sector, including risers, drill pipes, tubing, pressure vessels, tanks, and pipe systems for fluid transport. Additionally, they are utilized in secondary structures such as grids, gratings, handrails, cable trays, ladders, and the decking and flooring of offshore platforms. Notably, thermoplastic composites (TCP) are gaining traction for deep-sea operations, replacing metal in subsea piping due to their cost-effectiveness and ease of transport, preparation, and installation.

In 2009, Airborne Oil and Gas pioneered the development and deployment of an offshore TCP downline, marking a significant milestone in the adoption of composites. The use of carbon fiber reinforced polyvinylidene fluoride (PVDF) by Airborne Oil and Gas has demonstrated a 30% cost saving compared to steel installations. Saudi Aramco has extensively integrated composite materials into its oil and natural gas flowline networks. Furthermore, Technip FMC and Magma Global have partnered to create a new carbon fiber composite hybrid flexible pipe for offshore applications. Solvay’s collaboration with Baker Hughes aims to incorporate TCP in offshore flexible pipes and risers, showcasing the industry’s growing confidence in composite materials.

Addressing Challenges

Despite the clear advantages of composites, their adoption in the oil and gas industry faces several hurdles. A significant barrier is the industry's conservative mindset, where many stakeholders believe that traditional steel solutions are sufficient. Additionally, the lack of a global design and qualification standard for composites poses a challenge. Current qualifications for new composite pipeline products require extensive testing, often taking more than a year and a half.

To overcome these challenges and facilitate the broader adoption of composites, Saudi Aramco signed a charter with TWI Ltd. and the National Structural Integrity Research Center in September 2019 to establish the Non-Metallic Innovation Center (NIC). This center is focused on developing non-metallic field application technologies that are ready for deployment. The NIC aims to enhance the adoption of composites by improving existing qualifications, developing new service standards, and advancing inspection and monitoring technologies.

Advancing the Offshore Oil and Gas Industry with Polymer Composites

The offshore oil and gas industry has traditionally relied on carbon steel for its durability and strength. However, this material poses significant challenges, including its weight and susceptibility to corrosion, leading to high costs and complicated handling, especially in harsh offshore environments. Recently, polymer composite materials have emerged as a promising alternative, offering numerous advantages such as corrosion resistance and reduced weight.

Evolution of Composite Materials in Offshore Applications

The shift towards polymer composites in the offshore oil and gas sector began in earnest in the mid-1980s. The UK Government, recognizing the need for cost reductions, established the Offshore Energy Technology Board, which encouraged the use of lightweight materials to cut costs and improve efficiency. By 2007, a comprehensive review highlighted the significant strides made in overcoming barriers to the adoption of composite materials and underscored the potential for further development.

One notable achievement in this field was reported by National Oilwell Varco (NOV), which saved over 700 tons in weight by using composite systems to reinforce a platform in the North Sea. This substantial weight reduction translated into significant cost savings, demonstrating the economic benefits of polymer composites.

Biopolymers: A Sustainable Alternative

In addition to synthetic fibres like glass and carbon, there is a growing interest in biopolymers—polymers derived from natural sources such as plants, animals, and microbes. Biopolymer composites, reinforced with natural fibres, offer several environmental benefits over synthetic counterparts. These benefits include reduced reliance on nonrenewable resources, lower emissions, and the biodegradability of components at the end of their lifecycle.

Natural fibres, categorized into animal and plant fibres, are abundant and often derived from agricultural waste, making them an economical and sustainable option. Plant fibres, such as those from crop stalks and leaves, are primarily composed of cellulose, which is the strongest component. However, natural fibres are hydrophilic, making them incompatible with hydrophobic thermoplastic matrices, resulting in poor interfacial bonding and mechanical properties. This issue can be mitigated through chemical modifications to enhance fibre-matrix adhesion.

Enhancing Fibre-Matrix Interactions

Research has shown that chemical treatments can significantly improve the properties of natural fibre composites. For instance, treating banana fibre with alkaline solutions enhances its adherence to high-density polyethylene (HDPE), improving the composite's mechanical properties. Similarly, using coupling agents like three-amino propyltriethoxysilane with alkali-treated polypropylene composites has been shown to enhance tensile and flexural properties.

The performance of composite materials hinges on the strength of the fibre and the adhesion between the fibre and matrix. Good adhesion ensures that the applied stress is effectively transferred to the fibres, allowing them to bear a significant portion of the load. Advances in surface modification techniques have demonstrated improved physicomechanical and thermochemical properties of natural fibre polymer composites (NFPCs), making them more viable for industrial applications.

Global Adoption and Future Prospects

The use of natural fibre thermoplastic composites is gaining traction worldwide, driven by the need to reduce environmental impact and reliance on nonrenewable resources. While synthetic fibres currently dominate the production of polymer composites for oil and gas applications, there is a clear shift towards incorporating biopolymers that offer partial or complete biodegradability.

This transition not only aligns with global sustainability goals but also addresses the economic and operational challenges faced by the offshore oil and gas industry. The development and optimization of biopolymer composites present a promising future, where the balance between performance, cost-efficiency, and environmental impact is achieved.

The Future of Natural Fibre-Reinforced Polymer Composites in the Oil and Gas Industry

The offshore oil and gas industry has long relied on traditional materials like carbon steel for its piping needs. However, carbon steel is both heavy and prone to corrosion, which significantly drives up costs and logistical challenges, especially in offshore environments. As the industry seeks cost-effective and sustainable alternatives, natural fibre-reinforced polymer composites (NFRPCs) are emerging as a promising solution. These composites offer significant advantages, including corrosion resistance, weight reduction, and environmental benefits.

Advancements in Natural Fibre Composites

Natural fibres such as banana, plantain, and bamboo have garnered attention due to their potential in reinforcing polymer composites. These fibres, when treated and combined with appropriate polymers, exhibit remarkable properties that make them suitable for industrial applications. For instance, banana fibre has demonstrated excellent buoyancy and seawater resistance, making it a viable option for the marine industry. Similarly, plantain fibre-reinforced high-density polyethylene (HDPE) composites have shown potential for moderate-pressure applications in the oil and gas sector.

The transition from synthetic fibres like glass and carbon to natural fibres is driven by several factors. Natural fibres are more sustainable, with lower density and environmental impact. They also help reduce reliance on nonrenewable resources, aligning with global efforts to cut greenhouse gas emissions. For example, continuous basalt fibre (CBF), an inorganic fibre derived from basalt ore, offers superior mechanical properties, thermal stability, and corrosion resistance compared to traditional glass fibre, making it suitable for various oil and gas applications.

Enhancing Fibre-Matrix Adhesion

One of the main challenges with NFRPCs is the poor interfacial bonding between hydrophilic natural fibres and hydrophobic polymer matrices. This issue can lead to impaired mechanical properties of the composites. However, researchers have developed various physical and chemical surface modification techniques to enhance fibre-matrix adhesion. For instance, treatments such as alkali, peroxide, and silane coupling agents have significantly improved the tensile properties and water resistance of natural fibres, making them more compatible with polymer matrices.

Studies have shown that the mechanical properties of natural fibre composites can be comparable to those of synthetic fibres. For example, banana fibre composites have exhibited similar tensile strengths to glass fibre composites, making them a viable alternative for commercial and industrial applications. Furthermore, the hydrophobicity of treated fibres has been improved, enhancing the overall durability and performance of the composites in challenging environments.

Applications and Future Prospects

Natural fibre-reinforced composites have already found applications in the marine industry, where they are used to construct boats and yachts due to their buoyancy and resistance to seawater. In the oil and gas industry, these composites are being explored for pipeline applications. For instance, bamboo winding composite pipes have been developed for low to medium-pressure water service and sewerage applications, offering an eco-friendly alternative to PVC and concrete pipes.

The potential of NFRPCs extends beyond just structural applications. Their biodegradability and environmental benefits make them attractive for various sectors looking to reduce their ecological footprint. As the oil and gas industry continues to seek sustainable solutions, the use of NFRPCs is expected to grow, supported by ongoing research and development efforts to enhance their properties and performance.

Revolutionizing Oil and Gas Industry: The Rise of Composite Pipes

Over the past few decades, the oil and gas industry has witnessed a remarkable evolution in its infrastructure and technologies. Among these advancements, the integration of composite pipes has emerged as a game-changer, offering unprecedented benefits in terms of efficiency, durability, and cost-effectiveness.

Back in 1987, the potential of using glass-reinforced composite plastics on the shore was identified by the Offshore Energy Technology Board team, heralding a new era of innovation in pipeline engineering. Since then, extensive research and development efforts have been dedicated to exploring the applications of composite materials in various facets of the oil and gas sector.

Innovative Applications

Composite pipes, made from reinforced thermoplastic materials, have found widespread use in both onshore and offshore operations within the petroleum industry. These versatile materials have been employed in a myriad of applications, ranging from conventional pipelines to specialized structures such as drill pipes, risers, and tethers. The adoption of composite materials has also extended to ancillary components like gratings, plugs, flanges, and elbows, showcasing their adaptability and reliability in diverse operating conditions.

One of the key advantages of composite pipes, such as glass-reinforced epoxy (GRE) or fibre glass pipe, lies in their exceptional properties. These pipes offer superior corrosion resistance, reduced weight, high fatigue resistance, and a favorable strength-to-weight ratio compared to traditional metallic counterparts. Moreover, their faster and easier installation process translates into significant cost savings for the oil and gas production industry.

Pushing Boundaries with Nanocomposites

To address the demanding requirements of modern oil and gas production, the industry has turned to nanocomposites, offering enhanced performance in both low- and high-temperature applications. By leveraging nanotechnology, operators can improve the operability and longevity of critical equipment, ensuring reliable performance even in the harshest environments.

Overcoming Challenges

Despite the immense potential of composite pipes, several challenges persist in their widespread adoption. Regulatory hurdles, certification requirements, and the need for comprehensive performance standards pose significant barriers to entry. Additionally, concerns regarding fire resistance, long-term reliability, and environmental sustainability warrant further attention and innovation.

Setting Standards for Reliability

The successful integration of polymer composites into the oil and gas industry hinges on stringent standards and regulations governing their design, manufacturing, and performance. International organizations such as the International Organization for Standardization (ISO) have played a pivotal role in developing guidelines to ensure the safety and reliability of composite pipelines. Standards such as ISO 23936 and ISO 24817 provide essential frameworks for selecting, qualifying, and repairing nonmetallic materials used in oil and gas environments, safeguarding against equipment failure and environmental risks.

Furthermore, adherence to established standards facilitates seamless integration of polymer composites into existing infrastructure, reducing downtime and streamlining the manufacturing process. For instance, the adoption of DNV's Offshore Standard for Concrete Structures paved the way for the development of fibre-reinforced plastic reinforcement bars, underscoring the importance of standardized protocols in fostering innovation and industry growth.

Innovations in Manufacturing Techniques

The manufacturing landscape of polymer composite pipes has witnessed significant advancements, driven by the need for efficient and cost-effective production methods. Continuous filament winding, centrifugal casting, and discontinuous filament winding represent some of the cutting-edge techniques employed in composite pipe fabrication. These automated processes not only ensure consistency and precision but also enable the production of pipes with varying diameters and pressure ratings to suit diverse application needs.

The choice of winding angle in reinforced thermoplastic pipes (RTPs) plays a crucial role in determining their tensile performance and mechanical properties. Researchers have identified optimal winding angles and reinforcement layer configurations to enhance the strength and durability of composite pipes, paving the way for the development of biofibre wound pipes tailored to specific loading conditions.

Predicting Performance and Durability

A significant challenge in composite science lies in accurately predicting the performance and failure mechanisms of materials in service environments. Nondestructive testing (NDT) techniques and simulation tools have emerged as indispensable tools for evaluating the structural integrity and durability of composite pipelines. These methods enable engineers to identify potential defects, assess damage, and predict failure modes, thereby ensuring the reliability and safety of oil and gas infrastructure.

Furthermore, advancements in finite element analysis (FEA) and numerical simulation have facilitated the development of predictive models to anticipate fibre breakage, debonding, and structural behavior under varying loading conditions. By leveraging these simulation tools, researchers can expedite the screening and optimization of composite materials, accelerating the pace of innovation and deployment in the oil and gas sector.

Market Overview

Composites in the oil & gas industry are advanced materials composed of two or more constituent elements with significantly different physical or chemical properties. These composites offer enhanced performance characteristics such as high strength-to-weight ratio, corrosion resistance, and durability, making them ideal for various applications in the oil & gas sector. Their usage spans from pipelines and risers to pressure vessels and subsea equipment.

Segmentation Analysis

1. By Resin Type:

   - Thermosetting Composites:

     - Epoxy

     - Polyester

     - Vinyl Ester

   - Thermoplastic Composites:

     - Polyethylene (PE)

     - Polypropylene (PP)

     - Polyvinyl Chloride (PVC)

2. By Fiber Type:

   - Glass Fiber Composites

   - Carbon Fiber Composites

   - Aramid Fiber Composites

   - Others (Basalt Fiber, Hybrid Composites)

3. By Application:

   - Pipes and Tanks

   - Risers

   - Pressure Vessels

   - Offshore Structures

   - Subsea Equipment

   - Others (Casing, Tubing)

4. By End-User:

   - Upstream:

     - Exploration

     - Drilling

   - Midstream:

     - Transportation

     - Storage

   - Downstream:

     - Refining

     - Distribution

5. By Region:

   - North America

   - Europe

   - Asia Pacific

   - Latin America

   - Middle East & Africa

Dominating Companies in Composites In Oil & Gas Industry Market

• Airborne Oil & Gas (part of Strohm)
• National Oilwell Varco (NOV) INC.
• GE Oil & Gas (part of Baker Hughes)
• SLB
• SHAWCOR
• HALLIBURTON
• TECHNIPFMC PLC
• SAUDI ARABIAN AMIANTIT CO.
• WEATHERFORD INTERNATIONAL PLC
• FUTURE PIPE INDUSTRIES
• VELLO NORDIC AS
• ENDURO COMPOSITES INC.
• FIBERGLASS GRATING SYSTEMS
• CONTAINMENT SOLUTIONS, INC.
• HENGRUN GROUP CO., LTD.
• LIANYUNGANG ZHONGFU LIANZHONG COMPOSITES GROUP., LTD.
• L.F. MANUFACTURING, INC.
• PALMER MANUFACTURING & TANK INC.
• THE GUND COMPANY, INC.
• FLOWSERVE CORPORATION
• SUNDYNE
• TIMKEN COMPANY
• VALVTECHNOLOGIES
• WOLF KUNSTSTOFF-GLEITLAGER GMBH
• SEALMAX
• Advanced Composite Products & Technology (ACPT)
• Aker Solutions
• Composite Pipes Industry LLC
• Hexagon Composites ASA
• Magma Global Ltd.
• PPG Industries
• Schlumberger Limited
• Solvay S.A.
• Teijin Limited
• Tenaris
• Trelleborg Group
• Victrex plc

Key Insights

- Technological Advancements: Innovations in composite materials, including the development of high-performance thermosetting and thermoplastic composites, are driving market growth by providing better performance and longer service life in harsh environments.

- Corrosion Resistance: Composites offer superior corrosion resistance compared to traditional materials such as steel, which is crucial in the oil & gas industry due to the corrosive nature of the operational environment.

- Weight Reduction: The lightweight nature of composites leads to significant weight savings, which is particularly beneficial in offshore and subsea applications where weight reduction can lead to cost savings and improved operational efficiency.

- Durability and Performance: Composites provide high strength and durability, making them suitable for applications that require long-term performance under extreme conditions.

- Environmental Regulations: Stricter environmental regulations and the need for sustainable solutions are driving the adoption of composites, which offer lower environmental impact compared to traditional materials.

Market Drivers

1. Increasing Demand for Lightweight and Durable Materials: The need for materials that can withstand harsh environments and provide long-term performance is driving the adoption of composites in the oil & gas industry.

2. Technological Innovations: Continuous advancements in composite technology are enhancing their performance characteristics, making them more suitable for a wider range of applications in the oil & gas sector.

3. Cost Efficiency: Despite the higher initial cost, composites offer long-term cost savings due to their durability, low maintenance requirements, and resistance to corrosion and wear.

4. Environmental and Safety Regulations: Compliance with environmental regulations and the need to ensure safety in operations are prompting the industry to adopt composite materials that offer better performance and lower environmental impact.

5. Expansion of Offshore Exploration and Production: The growth of offshore oil & gas exploration and production activities is driving the demand for composites, which are ideal for use in harsh offshore environments due to their lightweight and corrosion-resistant properties.

Conclusion

The Composites in Oil & Gas Industry market is poised for significant growth, driven by technological advancements, increasing demand for durable and lightweight materials, and stringent environmental and safety regulations. Understanding market segmentation, key drivers, and emerging trends is crucial for stakeholders to capitalize on opportunities and address challenges in the composites industry. As technology continues to evolve, composites are set to play an increasingly vital role in enhancing the efficiency, safety, and sustainability of operations in the oil & gas sector.