ADI conducted a comprehensive assessment of the addressable market for NGL fractionation capacity obver a 10-year period. The research analyzed distrinct trends in demand regions like Mont Belvieu, Appalachia, and the Permian. This study surfaced the technical trade-offs between standardization and speed-to-market, and the competitive advantage of various EPC firms.
The client
Global equipment and modular plant manufacturer
The situation
A technology firm needed to define a strategy for entering the modular fractionation market using existing gas processing competencies.
ADI’s contributions
Capacity growth forecasting
Modeled U.S. NGL production growth against available fractionation capacity to identify shortfalls and addressable market gaps.
Competitive landscape mapping
Benchmarked the experience of leading EPC firms and gas plant vendors to identify M&A targets with specialized know-how in distillation and trays.
Modular technology benchmarking
Evaluated the adoption of standardized single units versus multi-product frac trains to align the client’s modular design capabilities with regional demand trends.
Commercial strategy alignment
Identified the role of fee-based contracts and long-term aftermarket service agreements in driving moderate recurring revenue in a capital-intensive sector.
Key outcomes
- Developed a targeted market entry roadmap that prioritizes bolt-on fractionation projects for current gas processing clients in active shale plays.
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