Polymer
Polymer
Polymer
Swagelining Ltd.
th
14 May 2010
Swagelining Ltd.
Cost-Benefits of Polymer Liners in Subsea Pipelines
A Report Prepared by
Atkins
On Behalf of
Swagelining Ltd.
Swagelining Ltd
Document History
Notice
This report has been produced by Atkins for Swagelining Ltd for the specific purpose of illustrating the
cost and benefits of polymer liners in subsea pipeline applications and is only suitable for use in
connection therewith. The report may not be used by any other party or for any other purpose
without Atkins' express written permission. Atkins accepts no responsibility or liability for any
unauthorised use or reliance upon any of the contents of this report.
Contents
Section Page
1. Introduction ..............................................................................................................................6
7. References..............................................................................................................................28
Executive Summary
This report was commissioned by Swagelining Ltd to investigate the costs and benefits of polymer
liners in water injection and hydrocarbon flowline applications. The study was based on a
representative example of a subsea flowline development comprising a 10-inch pipeline between 5km
and 15km long.
A number of pipeline materials were selected for analysis. For water injection service the comparison
was based on the relative advantages and disadvantages of polyethylene lined pipe against carbon
steel with a 6mm corrosion allowance, whereas for hydrocarbon service the comparison was between
metallurgically bonded CRA/carbon steel pipe, solid super duplex and polyethylene and PVDF lined
pipes.
‘As installed’ costs were estimated based on the S-lay and reel lay methods of installation. Details of
the cost and productivity assumptions used in the analysis are presented.
The study assumed that installation contractors would maintain their normal profit margin when
offering polymer lined pipelines, but that assumption can be challenged as a lined product is more
highly engineered. Also in hydrocarbon applications, where significant cost savings are indicated,
there will be commercial tension over how the indicated savings might be distributed through the
value chain.
The report concludes that polymer lined pipe offers significant benefits, but that the benefits depend
on the application.
Water Injection Service
In water injection service, polymer liners bring benefits of reliability and energy efficiency. These
benefits allow more water to be injected and therefore more oil to be recovered over a given period of
time (compared with a carbon steel pipeline with a 6mm corrosion allowance).
In effect, the liner can increase the value of an oilfield. In the study, increases of 4% in the amount of
water injected were indicated from power savings alone and where - as in many operational oilfields -
there is a linear relationship between water injected and oil produced, corresponding productivity
improvements arise.
These benefits can be achieved for the same capital cost as a 6mm corrosion allowance. Whilst the
materials cost of a 10-inch diameter, 300bar PE lined pipeline is about £200/m (as a lined composite
unit) and the cost of the same pipe with the 6mm corrosion allowance is £179/m, the additional
materials cost is compensated by the improved productivity enjoyed by welding thinner pipes, and the
installed cost works out to be the same.
Lined water injection pipes can be installed by S-lay methods, but for the short and relatively small
diameter pipelines addressed in this study the large mobilisation costs of an S-lay barge mean that
reel-lay is most competitive.
Hydrocarbon Service
In hydrocarbon service the benefits of polymer liners are significant capital cost savings.
As the range of fluids and operating conditions in ‘hydrocarbon service’ is very wide, it is necessary to
compare a range of materials to give some sense of a cost-performance curve rather than a side-by-
side comparison of two options as was possible with water injection service.
Two corrosion resistant alloy and two polymer liner options were considered, and they were selected
to span a wide range of operating conditions and fluids.
The alloy options were solid super duplex and metallurgically bonded Inconel 625 clad pipe, and the
polymer liner options were PE and PVDF.
The performance of the alloy options is differentiated by their corrosion resistance (625 alloy has
highest performance at highest cost) whereas the performance of the polymers is differentiated by
their temperature limits (PE to 60°C and PVDF to 130°C).
A comparison was therefore possible between the costs of a plain carbon steel pipe with corrosion
allowance for relatively benign service, through to Inconel 625 clad for very aggressive service, and to
overlay these costs with the polymer lined alternatives.
Polyethylene is not necessarily a direct analogue to the super duplex alloy case, as PE can be used
in very aggressive fluids provided the temperature is not too high. But the PVDF liner is probably
analogous to the 625 alloy case as a high operating temperature is implied.
A PVDF lined pipe has an installed cost of half that of the alloy 625 clad alternative; and where the
service temperature is suitable for polyethylene (typically up to 60°C), savings of 40% are indicated
against solid super duplex.
Where the service temperature is high and a PVDF liner is required, but the alternative metallic option
is super duplex, savings of 25% are indicated.
Polymer liners always show significant savings against alloy options in this study.
Interestingly, the study suggests that a 10km long PVDF lined pipe installed by S-lay would be
cheaper than a solid super duplex pipe installed by reeling, even with the high S-lay barge
mobilisation cost. Liners therefore have the potential to disrupt the current competitive positioning of
reel and S-lay systems for aggressive hydrocarbon service.
Other materials options are available to those considered in the study, for example pipes that are
mechanically lined (as opposed to metallurgically bonded) with corrosion resistant alloys. These may
offer lower material costs than solid super duplex (for example a 316L lined pipe of this size might
cost £3,100/tonne as opposed to the £9,300/tonne used for super duplex) but welding productivity
would still be significantly reduced and questions remain as to whether this type of pipe can be
successfully reeled at this size.
Whilst polymer liner technology is established in water injection applications installed by reeling, it has
yet to be deployed in a hydrocarbon application subsea because methods of venting the liner were
not available until recently. Technology development by Technip with their Safetyliner method of
venting, and by Swagelining Ltd with their LinerVent™ method of venting and LinerBridge method of
field jointing has removed many of the barriers. The competitive benefits of polymer liners are now
available to subsea pipeline projects facing challenging materials choices due to aggressive fluids or
process conditions.
1. Introduction
The aim of this document is to inform the pipeline engineering community of the costs and benefits of
polymer liners in subsea pipeline applications within the Oil and Gas industry.
The report was commissioned by Swagelining Ltd with the intention that it might be widely
disseminated to facilitate informed discussion of plastic lining technology by reference to a number of
illustrative examples, specifically subsea pipelines for water injection and hydrocarbon service.
The report is based on representative examples of pipeline design scenarios that most subsea
pipeline engineers should recognise. However, the reader will recognise that given the site-specific
design requirements and cost elements, it is impossible to do other than broadly outline the main
parameters in a report such as this.
It is hoped that, despite these limitations, the document provides a robust platform from which project
teams may evaluate the potential for polymer liners within their particular project.
processes are invented that change the cost/performance equation. However, only a limited number
of polymers are extruded as pipe, so that whilst high-volume applications such as polyethylene
domestic gas and water pipes can be produced very cost effectively, engineering grade polymers are
produced in smaller volumes and command a higher margin. Consequently, there is a significant
step-up in price from selecting a commodity liner such as PE to an engineering grade such as PVDF.
Although a number of liner materials are available, the selection process can be simplified into a
number of generic applications following the practice applied to flexible pipe material selection. The
two materials used in this study are presented in Table 2.1 below.
Outside 10.75-inch Determined by weight. Representative of subsea tieback developments for both water injection and
diameter hydrocarbon service.
Material Carbon Steel £1,300 per tonne. Every-day pipeline steel. Corrosion allowance to suit (see wall thickness,
API 5L grade X65 below). ‘Base case’.
Super Duplex £9,300 per tonne. Suited to raw water injection service and most hydrocarbon service. Suitable for
UNS S32760 reeling.
625 clad £12,400 per tonne Very high corrosion resistance for high temperature hydrocarbon applications.
Wall Carbon Steel Assumed seamless. HFI offers Determined by pressure, using design factor of 72%. Nearest API standard wall
thickness potential cost savings for lower above the minimum requirement was selected. 6mm corrosion allowance
pressure systems. selected for unlined applications. No corrosion allowance in lined applications.
Super Duplex Availability is limited relative to Determined by pressure. Higher strength allows thinner wall than carbon steel
carbon steel options. at same pressure. No corrosion allowance.
Insertion £88/m for reel lay Where the pipeline is reeled, the liner can be inserted in great lengths. When
the pipeline is installed by S-lay the liner is inserted in double-joints onshore.
£146/m for S lay
This is less efficient and consequently more expensive. Also, personnel are
required on the laybarge to insert the LinerBridge jointing system.
Venting system (where £50/m Whilst two methods of venting are currently available, in order to simplify the
required) study, a common cost of £50/m has been assumed.
Length 5 to 15km
Stability Stability achieved by Not included This cost is independent of whether the pipeline is lined or not, so not included
self-weight. Not here. However it is noted that trenching is likely to be required in certain
trenched. environments.
Table 3.1 – Example Pipeline Design Parameters
3.2 Lining
The method of lining considered for this study is Swagelining™. The process involves pulling an
initially slightly over-sized liner through a reducing die, so that when the pull load is removed, it reverts
to be a tight fit. Further details can be obtained at www.swagelining.com.
The process has been designed to be carried out ‘in the field’, so the lining process is usually
integrated into the pipeline construction process at the spooling yard. However where the ‘S’ lay
method of pipeline installation is to be used, the same technique can be applied to pre-line individual
pipes or double joints at any time prior to their delivery to the laybarge.
This study has assumed that the cost of inserting the liner is £75/m irrespective of length, including
mobilisation, butt fusion welding the liner and inserting it.
After insertion, the liner must be locked in place. The cost of the locking device (in this case
®
Weldlink ) has been spread over the length of the lined sections, and this was assumed to cost an
additional £13/m.
3.3 Installation
Two methods of installation have been considered; Reeling and S lay. They have very different cost
structures and commercial drivers, but for the purposes of this study a simplified model has been
used.
Note that for the installation element ‘cost’ means to the ultimate client, i.e. includes profit,
management overheads etc of the supply chain.
3.3.1 Reeling
The competitive advantage of reeling arises from the fact that the pipeline is constructed on land, and
then reeled onto the installation vessel before sailing to the field and unreeling into place. The
majority of the labour is land-based, so the installation vessel can be smaller than the equivalent S lay
barge.
The cost parameters used in the cost model are as set out in the table below.
Mobilisations 8 days at full laybarge day rate. Includes transit to and from site
and lay initiation.
Other Overhead and other costs including survey, engineering, tie-in and
c ommissioning and weather and unallocated contingency were
included. Certain of these elements are taken as percentages of
the value of the project, so their sum varies from case to case.
Table 3.2 – Reel Installation Cost Elements
Although Reel lay is probably the installation method of choice for the types of pipe used in this
example, a parallel analysis using an S lay barge was also made.
Mobilisations 10 days at full laybarge day rate. Includes transit to and from site
and lay initiation.
Other Overhead and other costs including survey, engineering, tie-in and
commissioning and weather and unallocated contingency were
included. Certain of these elements are taken as percentages of
the value of the project, so their sum varies from case to case.
Table 3.3 – ‘S’ Lay Installation Cost Elements
Figure 4.1 – Materials Costs for 10-inch Water Injection Pipe (to be installed by Reeling)
Figure 4.1 shows the materials cost components of a water injection pipeline covering a range of
operating pressures and materials choices. Note that the ‘carbon steel with PE liner’ includes the cost
®
of the liner, its welding into long lengths, insertion, and the Weldlink locking system. The data are
not completely uniform and linear because the wall thickness selected for each pressure case has
been ‘rounded up’ to the nearest available API standard.
A PE lined pipe designed for 300bar costs £200/m whereas the 6mm corrosion allowance case costs
£179/m (10% less).
In terms of materials costs, the corrosion allowance appears slightly cheaper than the liner that might
replace it (by 10% to 25% depending on the case being considered). However to complete the
picture it is necessary to consider installation costs.
18
16
14
Cost (£M)
12
Carbon Steel with PE Liner
6
5 7 9 11 13 15
22
20
18
16
Cost (£M)
14
Carbon Steel with PE Liner
12 Carbon Steel with 6mm C.A
10
6
5 7 9 11 13 15
Figure 4.3 – Installed Cost of a 350bar Water Injection Pipeline Installed by S-lay
In contrast with reeling, where the liner had no effect on cost, Figure 4.3 shows that the S-lay barge is
disadvantaged by the liner. Firstly materials costs are higher because of the LinerBridge™ field
jointing system, as well as the necessary preparation of the liner ends, but the barge’s productivity is
also reduced by the need to insert the LinerBridge™ during line-up. A development opportunity for
LinerBridge™ is therefore to provide a jointing system that is sufficiently quick to implement that it
allows the productivity gain achieved from reduced welding time from having no corrosion allowance
to benefit overall laybarge productivity.
The S-lay barge is much more expensive than reeling for short pipelines because of the high
mobilisation costs of the barge and it is uncompetitive overall in the scenarios considered here for
water injection applications.
they block and are bypassed (to maintain production) so that unfiltered water passes into the flowline
system. This practice creates environments within the pipeline that are ideal for SRB infestation.
Filtration is likely to be required, even if the flowline is lined but its operational reliability will no longer
be critical to the reliability of the pipeline.
De-aeration is designed to reduce the level of dissolved oxygen from typically 8ppm (parts per million)
to <50ppb (parts per billion) and 10ppb is often targeted. The aim is to reduce the oxygen corrosion
potential of the water and the process requires a large process vessel (up to 200tonnes liquid filled).
A vacuum de-aeration package would normally use a two stage positive displacement vacuum pump,
and given the critical nature of their duty, two 100% pumps are usually required. In a fully lined
system, the corrosion threat would have been removed so de-aeration may no longer be required,
which would provide a potential capital and operational cost saving.
It should be noted that whilst the process plant may be protected by the liner, there may be reservoir
issues that prevent oxygenated water being used, and these would have to be researched before the
‘raw water’ injection proposed here could be implemented.
The water pressure out of the treatment system is boosted to provide sufficient NPSH to the main
injection pumps and the water is then passed to the main water injection pumps where its pressure is
increased substantially prior to entering the pipeline.
Pipeline maintenance costs comprise internal and in-water inspections. These are undertaken
periodically (say every 5 years) and each such exercise might cost several hundred thousand pounds.
These costs are insignificant relative to the consequences of failure, and for the purposes of this
study, the costs of inspecting a lined and unlined system can be treated as equal.
2,500
7,000
Powe r Consumed by Pipeline (kW)
2,000 6,000
5,000
1,500
4,000
PE Lined
1,000 3,000
6mm CA
2,000 Super Duplex
500
1,000
- -
30 40 50 60 70 80 90
Throughput (mbd)
The 10-inch pipeline used in this study would probably be designed to transport water at 3m/s to
5m/s, so a capacity of 70mbd would be typical (velocity of 3.5m/s in the lined pipeline).
Figure 4.4 shows that a CRA pipeline has the lowest energy cost because it is smooth throughout its
life (0.05mm roughness used here) and it has a larger bore; it is made of high strength material and
does not have a corrosion allowance or liner. In the example shown in Figure 4.4 its energy cost
would be £1.4m pa.
The pipeline with the corrosion allowance is most expensive to operate, as the corrosion allowance
reduces the available bore and it is very rough (0.5mm roughness used here as recommended by
Norsok Standard P-001). After some time in operation, this pipeline would have an energy cost of
£3.3m pa.
The PE lined pipe remains smooth throughout its life (0.003 mm roughness used here, knocked-down
from the ‘as-new’ property of 0.00152mm) and this smoothness compensates for the reduction in bore
caused by the liner. The cost of the energy required to operate at 70mbd in this example would be
£2.2m pa, a saving of £1.1m pa or about 7% of the capital cost per annum.
Cost savings are one thing but for water injection, energy efficiency offers an opportunity to do
something useful with the saving – pump more water.
This is illustrated in Figure 4.5 as seen below.
45%
Proportion WI Power used by PL (%)
40%
35%
30%
25%
PE Lined
20%
15% 6mm CA
5. Hydrocarbon Applications
5.1 Benefits
The benefits of polymer lined production pipelines are similar to lined water injection pipelines – they
increase the value of an oilfield by providing a more reliable transportation service but more than this,
they can offer substantial cost savings.
Due to the very wide range of possible fluids and process conditions, it is difficult to make cost
comparisons between metallic solutions and polymer lined solutions, but it is interesting to reflect on
the differing cost-performance characteristics of these two families of materials. For metallic
materials, cost is determined in large part by the corrosivity of the fluid; the higher the required
corrosion resistance, the higher the alloying requirement for very expensive materials such as nickel.
This contrasts with polymers, where operating temperature dominates the selection process and the
chemistry of the fluid is less of a concern. Corrosivity is often dependant on temperature but where a
very corrosive fluid is transported at moderate temperature, a low-cost polymer may be suitable. This
feature would also allow a pipeline to be lined with a cheaper polymer, once the temperature of the
fluids had reduced suitably.
Two polymer liner examples have been selected in the analysis that follows. A PE liner might be
suitable for a low-temperature hydrocarbon fluid (<60°C) and a PVDF case is presented for
temperatures up to 130°C.
Due to the high cost of CRA materials, a number of innovative manufacturing technologies have
developed that offer metallic solutions at optimised cost. These include a technique whereby a thin
CRA liner is inserted into a carbon steel pipe (mechanically lined). In this way, the thickness of
expensive alloy is minimised. This technique is particularly effective as the pipe diameter and
thickness increases, as the proportion of material in the liner reduces relative to the total mass of the
lined pipe. Questions remain as to whether such pipes are qualified for installation by reeling, so they
have not been considered further for this study. The study therefore considered solid super duplex
and metallurgically bonded Inconel 625 clad pipes as the two metallic options.
Secondary benefits of polymer liners in hydrocarbon applications include improved thermal
performance and lower weight. The lower weight arises because liners have a lower density than
steel substitutes, whilst the improved thermal performance arises in a number of ways.
Firstly, the liner is a good insulator and it is in intimate contact with the fluid, which is where insulation
should be for maximum efficiency. The liner therefore reduces the heat loss from the pipeline (so less
insulation is required for the same U value) but importantly, the steel temperature is also reduced.
The lower host pipe temperature has a number of benefits including a lower buckling force. If the
buckling potential for the pipeline is reduced, there can be considerable cost savings in reduced
buckle mitigation measures, but these have not been evaluated in this study.
As well as having a low thermal conductivity, polymers have low density. These two parameters plus
specific heat capacity can be combined to form a parameter known as ‘thermal diffusivity’, which is a
measure of how quickly a material warms-up. Polymers have low thermal diffusivity, which means
they absorb heat slowly. Consequently, the liner absorbs little heat from the fluid as production starts
to flow which may make the pipeline easier to start-up. In some cases this is an important
consideration but no benefit has been assigned in this case.
Liners also have the potential to change a number of aspects of the flow assurance challenge.
Potential benefits that are claimed (but not assessed for this report) include a tendency to limit the
build-up of waxes (presumably due to a weak bond between the liner and wax, allowing deposits to
be removed) and the potential for incorporating flow modifying features such as ‘riblets’ to further
reduce friction losses.
Finally, as corrosion is no longer a concern, corrosion inhibitor chemicals need no longer be injected
subsea. The umbilical can be simplified, as can the manifold at which the chemicals are injected.
1,600
1,400
400 bar
1,200
35
30
Metallurgically Clad 625
25
Super Duplex
Cost (£M)
35
30
25
Cost (£M)
Super Duplex
20
Super Duplex (Reel Lay)
10
5
5 7 9 11 13 15
Maintenance costs should be equivalent to CRA pipelines, although as noted previously the integrity
management focus for lined systems is on demonstrating the integrity of the liner, so different types of
inspection pigs will need to be deployed if required by the Pipeline Integrity Management Scheme.
It is also instructive to consider the hydraulic performance of lined production flowlines as presented
in Figure 5.4 below.
140.0
120.0
Head Loss in Pipeline (bar)
100.0
80.0
6mm CA
60.0 9.8mm PE Lined
8mm PVDF lined
40.0
Super Duplex
20.0
-
30 40 50 60 70 80 90
Throughput (mbd)
6. Conclusions
The costs and benefits of polymer liners in representative water injection and hydrocarbon flowlines
have been investigated. Their respective advantages and disadvantages have been summarised in
Tables 7.1-7.2 below for Water Injection and Hydrocarbon service respectively.
Advantages Disadvantages
No Corrosion
Potential for ‘raw water’ injection or relaxation of
water quality standards for further capital and
operational cost savings.
Weight
The liner is lighter than the corrosion allowance it
replaces. More liner can be installed where reel
barge is weight limited.
Stresses in riser hang-off systems can be
reduced in floating production system risers (both
SCR type and free-standing riser towers).
Table 6.1 – Advantages and Disadvantages of Polymer Liners in Water Injection Applications
Advantages Disadvantages
Capital - Significant savings Technical Maturity
A PVDF lined pipe 10km long costs half that of A polymer lined system has yet to be installed
the equivalent Inconel 625 clad pipeline installed subsea. Qualification testing may be required.
by reeling. Technip claim that their lined pipe product is
qualified but have not yet been able to attract a
Where temperatures are lower, lower cost PE
buyer. This suggests some reluctance on the part
liners become suitable, and here PE lined pipe is of potential clients to adopt new technology.
60% of the cost of solid super duplex, giving a
saving of £7.6M over a 10km pipeline.
A PVDF lined pipe offers 25% savings against
super duplex (£5.2M saving for a 10km pipeline).
Potential secondary capital savings on reduced
buckle mitigation costs, as pipe wall will be cooler
with a liner.
Weight
Sometimes weight is a key constraint. The liner
may weigh less than the corrosion allowance it
replaces.
Laybarge Competitive Pressure
Polymer lined pipe installed by S-lay barge is
competitive against solid super duplex installed
by reeling. This has the potential to disrupt the
current competitive balance between these two
lay methods, leading to a reduction in cost.
Table 6.2 – Advantages and Disadvantages of Polymer Liners in Hydrocarbon Applications
7. References
1. ‘Groove Corrosion in Water Injection Lines – survey results and analysis’, A report produced for
members of the ‘Failure of Water Injection Lines JIP, by AEA Technology, Report No AEAT-
1907, July 1997.
email: [email protected]
www.atkinsglobal.com