outlook
Machine Size, Rigidity, Accuracy Needed to Adapt to Challenges
T
he US Energy Information Administration (EIA) noted that 2014 was the largest one-year volume increase in US oil production in more than 100 years and proj-
ects crude oil production to grow by 8.1% in 2015 and 1.5% in 2016. This has made oil prices decrease due to a glut in the oil supply and a decrease in demand. Energy manufactur- ers in the oil and petroleum sector are fi nding it diffi cult to maintain profi tability in today’s market, especially when oil prices are down more than 50% from last summer. There have been delays and/or reductions in capital expenditures in the oil and petroleum sector, which has in turn directly affected machine tool investments. Additionally, according to the Institute for Energy Research, low oil prices
Dale Hedberg Feeler Product Manager
Methods Machine Tools Inc. Sudbury, MA
tive and effi cient way is critical to profi tability, especially for smaller manufacturers that are competing with bigger busi- nesses. In order to be competitive in the energy manufactur- ing sector, accuracy, machine tool rigidity and versatility are all important considerations. Machine tools must be strong and rigid in order to be capable of producing an accurate part with complex contours, especially when working with exotic materials and large heavy-duty parts. Machining centers must also perform multiple processes in one setup to save time, minimize the opportunity for error, and save money. Generally, reducing the number of times a part is handled will minimize the opportunity for errors. In addition, heavy-duty universal milling machines such as our Feeler FBM-2000 can
Being able to perform machining in the most productive
and effi cient way is critical to profi tability, especially for smaller manufacturers that are competing with bigger businesses.
have slowed production in marginal drilling wells. These changes in the energy landscape now have some manufac- turers rethinking their strategies, yet many are still remaining cautious and conservative. However, those oil and petroleum manufacturers who diversify their business by adding addi- tional energy industry products such as manufacturing drilling equipment for water, gas and other types of wells, may have an advantage in 2015. As oil prices continue to remain low, other forms of energy such as solar, wind, coal and nuclear will be in less demand. To date collectively, they only represent about 10% of the market. Additionally, fracking has become a practice that while expensive, has slowly been gaining steam. Manufactur- ers will need to supply drills and other equipment to support this effort going forward. Nonetheless, this year’s low oil prices are making this cost prohibitive. Still, oil and gas rank number one in energy manufacturing. Energy manufacturing customers are looking for a machine tool solution that will produce consistent, highly accurate results. Being able to machine in the most produc-
perform both vertical and horizontal machining and eliminate the need for multiple setups and operations. Many energy manufacturers are also looking for bigger machines. Large turning and milling machines are becoming necessary, especially for wind component manufacturers. Wind and oil fi eld industries demand reliable machining of large, precise components. Failure is not an option for drill- heads that might need to go down over two miles, and while machining is rigorous, part tolerances can be tight. Accuracy is also critical for complex gear sets and knuckles in a wind turbine, or even the gearbox housings themselves. Another important role in energy component manufactur-
ing is fi ve-faced machining. Milling machines that include right-angle heads help to facilitate this. We fi nd our energy manufacturing customers want a machine tool solution which reliably produces consistent, highly accurate results. Especially today, adapting to change, knowing your customers’ needs and keeping abreast of the economic landscape in the oil and petroleum sector will help energy manufacturers succeed now and in the future.
33 — Energy Manufacturing 2015
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