As technology continues to develop, it makes sense that it will have a significant impact on the oil and gas pipeline industry. Technological advancements allow companies to maximize efficiency while reducing costs. CEO of Honeywell UOP Rebecca Liebert recently indicated why innovative technology was so crucial to the oil and gas pipeline industry.
Capitalizing On The Industry’s Downturn
In the middle of 2016, the oil and gas pipeline industry was in the middle of a downturn. This downturn was significant, as only recently were there signs of recovery. Liebert took over Honeywell in the middle of the downturn and immediately looked toward the future.
Liebert recently spoke with Julian Walker of Pipeline Magazine. In this interview, she indicated that during the downturn, Honeywell spent a lot of time thinking about the future of their company and the industry as a whole. The company focused on the continuing development of the Honeywell Connected Plant and launched Connect Plant Services or CPS for short.
CPS is part of the company’s endeavor into cloud-based services. Honeywell’s cloud services are able to offer real-time solutions to problems because they are constantly on the lookout for operational complications.
According to Liebert, these investments were very strategic. She mentioned that the company had to make investment decisions while considering the low oil price environment so that they emerged from the downturn stronger than before.
Innovative Technologies Making Change
Liebert said that Honeywell’s innovative technology initiative could be focused on the integrated refinery petrochemical complexes, which the company believes would pave the future. The company has already seen results from integrative technologies in their operations in the Middle East.
The company launched their LD Parex aromatics complex in 2017. This energy-efficient system cuts CAPEX and OPEX. Many Middle Eastern companies have taken notice and are now seeking a deal with Honeywell. Honeywell recently just closed a deal with the Kuwait Integrated Petroleum Industries Companies (KIPIC) for a project that will contain the LD Parex technology.
KIPIC will use Honeywell’s technologies to help their expand their refining and petrochemical complex that is located in Al-Zour. Bidding for the project was competitive, and it forced Honeywell to evaluate its own technologies. The company focused on propane dehydrogenation units and its previously-developed Oleflex technology. Honeywell redeveloped its Oleflex technology and will incorporate the next generation into the KIPIC project.
Honeywell’s innovative technology won them a number of other projects in the Middle East, including
• AL WAHA Petrochemicals Company, which will use Honeywell’s IIoT-based CPS
• Kuwait Paraxylene Production Company, which seeks to improve its aromatics complex with Honeywell’s CPS
• Saudi Aramco, which will use the Honeywell Connected Plant to improve its In-Kingdom Total Value Add program
• Farabi Petrochemicals, which seeks to expand its production of biodegradable detergents
• Jordan Petroleum Refinery Company
Liebert stressed that the past year was vital not only in developing new technologies but in helping their customers understand the value these technologies create. She indicated that Honeywell would continue with build upon its next-generation technology moving forward.