Tenaris' new Bay City mill starts rolling pipe for oil wells

[thackney]

Tenaris' new Bay City mill starts rolling pipe for oil wells
http://www.chron.com/business/energy/article/Tenaris-new-Bay-City-mill-starts-rolling-pipe-12362301.php
November 16, 2017

Global steel pipe giant Tenaris commenced full operations Wednesday at its new $1.8 billion mill southwest of Houston in Bay City to start churning out piping for shale oil and gas wells in Texas, Oklahoma and beyond.

The state-of-the-art mill is designed to bring pipe manufacturing close to the oil and gas wells and compete with Asian imports. Tenaris, an Argentinian company with its roots in Italy, opted to build its most modern and robotically automated mill in Texas to serve the ongoing shale boom in West Texas' Permian Basin and other regions.

Despite the automation that moves the steel from station to station to manufacturing the finished piping, the mill employs about 600 people in Bay City.

"Tenaris is the architect of a new business model in the steel pipe sector – and the heart of this transformation is in Bay City with the most advanced pipe manufacturing facility in the world," said Germán Curá, Tenaris' president for North America....

[IsailedawayfromFR]

any idea of what it uses as fuel?  Natural gas or coal?

[dfwgator]

Tenaris' new Bay City mill starts rolling pipe for oil wells



Bay City Rollers?

[thackney]

any idea of what it uses as fuel?  Natural gas or coal?

Not coal.  Lots of electrical power.  And natural gas. 

We drive by this a few times a year on the way to Bay City. 

[IsailedawayfromFR]

Not coal.  Lots of electrical power.  And natural gas. 

We drive by this a few times a year on the way to Bay City.

Electric must be nuclear-generated from the nearby plant.

[thackney]

Electric must be nuclear-generated from the nearby plant.

On the grid, so from anywhere, but 25 miles to STP.

[IsailedawayfromFR]

On the grid, so from anywhere, but 25 miles to STP.

Not a coincidence the new plant is situated in a spot where those electrons do not have to travel far.

[thackney]

Not a coincidence the new plant is situated in a spot where those electrons do not have to travel far.

I've never heard of a utility company offering a discount in rates due to location.  Transmission line losses are not that massive. 

[IsailedawayfromFR]

I've never heard of a utility company offering a discount in rates due to location.  Transmission line losses are not that massive.

Is that tongue-in-cheek?  Surely you do not believe that an electricity provider will offer the same price and level of service for a close-by large power-user compared to someone distant that may require significant upfront expenditures to get the required power to them?

[thackney]

Is that tongue-in-cheek?  Surely you do not believe that an electricity provider will offer the same price and level of service for a close-by large power-user compared to someone distant that may require significant upfront expenditures to get the required power to them?

Those are routinely paid by the new users.  I've had to pay for extending transmission line for new large size electrical loads multiple times.

Utility companies get that money or the infrastructure up front for a big user.

We have essentially maxed out our substation at our facility in Mont Belvieu. (320MVA capacity with 8 each 138kV breakers in a ring bus)  We have been budgeting for the new transmission line we, not the utility, will have to pay for with our next major expansion.  Before working this side of the fence, I worked for 3 different electric utility companies.  It has been that way all over for decades.  This type of work doesn't fall under REA type regulations.

[IsailedawayfromFR]

Those are routinely paid by the new users.  I've had to pay for extending transmission line for new large size electrical loads multiple times.

Utility companies get that money or the infrastructure up front for a big user.

We have essentially maxed out our substation at our facility in Mont Belvieu. (320MVA capacity with 8 each 138kV breakers in a ring bus)  We have been budgeting for the new transmission line we, not the utility, will have to pay for with our next major expansion.  Before working this side of the fence, I worked for 3 different electric utility companies.  It has been that way all over for decades.  This type of work doesn't fall under REA type regulations.

So, once again, it is not a coincidence that the new plant is situated in a spot where those electrons do not have to travel far.

[thackney]

So, once again, it is not a coincidence that the new plant is situated in a spot where those electrons do not have to travel far.

It was sited, back in 2013, to be close to a port for the steel and to the Eagle Ford field.  Along with the government subsidies kicked in for locating there.

But I'm done, believe what you want.