Despite oil price fluctuations, custody transfer of natural gas and oil remain the fastest growing applications for ultrasonic flowmeters.
Wakefield, MA (PRWEB) February 28, 2015
A new Flow Research (http://www.flowresearch.com) market study finds that custody transfer is the fastest growing application for ultrasonic flowmeters. The study, Volume X: Module A – Strategies, Industries, and Applications, finds that custody transfer of natural gas and petroleum liquids accounts for more than 30 percent of ultrasonic flowmeter applications in North America. The study was published in December 2014.
Custody transfer occurs when the ownership of products such as crude oil, petroleum liquids, or natural gas is transferred from one company to another. Accurate measurement of both natural gas and petroleum liquids is important because both parties want to be assured that the amount being transferred is known. Typical custody transfer exchanges occur when an oil production company sells crude oil to a refinery or a natural gas transmission company sells natural gas to a gas distribution company. Multipath ultrasonic flowmeters are used to make this measurement due to their high accuracy and reliability. Other flowmeters used for custody transfer measurement are turbine, differential pressure (DP), and Coriolis flowmeters.
The ultrasonic flowmeter market in North America totaled $196.0 million in 2013. Custody transfer of natural gas is projected to grow at a compound annual growth rate (CAGR) of 11.7 percent through 2018. This application is projected to be the fastest growing application for ultrasonic flowmeters. Other applications include custody transfer of petroleum liquids, check metering, liquefied natural gas (LNG), process measurement, and district heating. Custody transfer of petroleum liquids is projected to be the second fastest growing application with a CAGR of 9.8 percent through 2018.
According to Dr. Jesse Yoder, president of Flow Research:
“Despite the drop in oil prices, custody transfer of both natural gas and petroleum remain extremely important for oil and gas producers, refineries, transmission companies, and distributors. Both oil and natural gas are still highly valued commodities. There are many custody transfer handoffs beginning at the wellhead, going to and from a refinery or gas processing plant, and on to distribution and through to the point of use. Just as customers at a deli counter want to know that their meat or cheese is being accurately weighed, oil and gas companies want to be assured that they are receiving the amount of oil or natural gas they are paying for. Ultrasonic flowmeters through their high accuracy and reliability help give both parties to a custody transfer transaction this assurance.”
Volume X: Module A – Strategies, Industries, and Applications, is an accompanying study to Volume X: The World Market for Flowmeters, 5th Edition, which was published in August 2014. The main Volume X study gives the market size and forecasts for all types of flowmeters used in the process industries from 2013 to 2018. It also includes market shares by flowmeter type. The companion Module A study provides an industry and application breakout for the same flowmeter types for the same period. It also describes strategies that companies can use to compete more effectively in these markets. More information is available at http://www.flowvolumex.com.
About Flow Research
Flow Research, with headquarters in Wakefield, Massachusetts, is the only independent market research company whose primary mission is to research flowmeter and other instrumentation products and markets worldwide. Flow Research specializes in flow measurement devices, and conducts market research studies in a wide variety of instrumentation areas that can be purchased by anyone interested in the topics. These studies are developed through interviews with suppliers, distributors, and end-users. Topics include all of the flowmeter technologies - both new and traditional - as well as temperature sensors, temperature transmitters, level products, and pressure transmitters. The company has a special focus on the energy industries, especially on oil and gas production and measurement. A series of quarterly reports called the Worldflow Monitoring Service provide regular updates on both the flowmeter markets and the energy industries (http://www.worldflow.com).
In 2015, Flow Research is publishing the 3rd Edition of its classic series on the gas flowmeter market. This series is made up of a Core Study and six additional studies called modules. Areas of specific focus include custody transfer, multiphase measurement, and liquefied natural gas (LNG). Flow Research is also publishing two new studies on liquid and gas flow calibration (http://www.flowcalibration.org).