Oil and Gas
Recent industrial catastrophes due to corrosion have cost the government and companies over several billion dollars globally. Reports confirm that oil companies have had their pipelines ruptured as a result of corrosion, causing oil spillages and thus creating huge environmental pollution. The annual cost of corrosion within the oil and gas industry is estimated at $1.372bil, broken down into $589mil in surface pipeline and facility costs, $463mil in downhole tubing expenses, and an additional $320mil in capital expenditures related to corrosion. This costs the oil and gas industry tens of billions of dollars in lost income every year.
These costs and environmental risks could rise further within this industry in the years ahead, as new hydrocarbon sources are found in more extreme environments- deeper reservoirs with higher temperatures and pressures containing greater concentration of acid gasses. However, effective management of corrosion will contribute towards the maintenance of asset integrity, achieving optimization of mitigation, monitoring and inspection costs. The use of protective coatings such as Sherardizing massively reduces corrosive effects, increasing the life span of components whilst lessening maintenance costs.
Effective management of corrosion within the oil and gas industry will contribute towards achieving the following benefits:
Applications of Sherardizing within the oil and gas industry include: