The success of large operations can sometimes depend on the smallest of parts and components.
For oil and gas operations, that’s definitely the case with valves — they serve as linchpins for the entire system, as they control the flow of oil, gas, and other media across both upstream and midstream facilities.
Valves teach us the importance of paying proper attention to the small-scale details that support larger goals. Because their reliability is crucial to operational efficiency — from production well pads to compressor stations.
Harsh Conditions Eat Away at Valves
But the catch is that these tiny, hardworking MVPs are vulnerable to the harsh conditions they need to function in. Exposure to abrasive sandy water or corrosive hydrogen sulfide, for example, can cause wear and tear that eats away at valves over time.
That’s dangerous because unplanned valve failures can set off a chain reaction of negative consequences — including the ability to damage other parts, rack up hefty fines, jeopardize human safety, and bring production to a standstill.
Careful planning and preparedness for valve failure, especially on an emergency basis, is another necessary linchpin that your operations depend upon.
Knowing in advance that all valves fail eventually, and will need to be repaired, is the first step toward putting safety nets in place to make sure you’re ready when it happens. Planning to ensure reduced downtime and improved operational resilience is critical for long-term success.
The Importance of Valve Reliability in Oil and Gas Operations
Valves play the crucial role of regulating flow, pressure, and temperature — but their ability to perform depends on their components and materials as well as the conditions they’re operating in. Manual valves, control valves, and relief valves are all subject to eventual failure. Without proper maintenance and inventory planning, that failure can have catastrophic consequences.
For example:
- A malfunctioning control valve can destabilize a midstream processing plant, leading to reduced throughput.
- A failed relief value in a high-pressure system can result in over-pressurization, which could potentially cause equipment explosions.
Key Causes of Valve Failures and Their Operational Impact
Some of the main causes of valve failure include:
- Incorrect trim or material specifications for abrasive or corrosive environments.
- Damage from sand, hydrogen sulfide (sour crude), or poor quality materials.
- Lack of routine maintenance, such as greasing or inspection, especially in upstream operations.
And time is of the essence when it happens. The crucial importance of valves means that minutes and seconds matter when they fail. A delayed response due to lack of preparedness can wind up magnifying the negative impact — with consequences such as:
- Production halts during periods of peak demand (with knock-on opportunity costs)
- Safety risks due to gas leaks or over-pressurized systems
- Regulatory fines for failing to meet emissions or safety standards
- Injuries to employees and days missed to recover and other costs
How Emergency Preparedness Mitigates Risk And Downtime
An oil and gas emergency response plan requires forethought and strategic planning — as well as the availability of a supply partner who can provide expert assistance on short notice — can tamp down the negative consequences.
For example, when a North Dakota upstream operation experienced the failure of a critical control valve, production temporarily ground to a halt. But the delay was kept to a minimum because the required trim and actuator were pre-stocked in a nearby consignment inventory (also known as VMI – vendor managed inventory) system managed by MCE Automation.
That meant that repairs were completed in just six hours — a rapid response that saved the operator an estimated $2 million in lost production.
Safety Plan: Strategies for Critical Valve Inventory Planning
Putting your emergency preparedness plan in place is not difficult because experience has taught us to include these essential pillars:
- Critical Valve Identification: Work with MCE experts to identify the valves in your system that are most likely to fail, as well as the ones that are critical to your operations.
- Pre-Stocking Components: Make sure you have ready access to components that are hard to find on short notice — especially trims, seals, and actuators.
- Consignment Inventory Solutions: Set up remote-managed inventory systems that will save you valuable time by supporting quick access in remote areas.
As an example of how this planning pays off, a compressor station in Texas was able to avoid the prospect of a costly and potentially devastating week-long shutdown thanks to a consignment (VMI) inventory program in place with MCE — which provided it with immediate access to the specific NACE-compliant relief valve trim it needed.
Making Inventory Planning a Cornerstone of Operational Readiness
Smart inventory planning can come to your rescue in a variety of ways, addressing challenges like these:
- Lead Times: Custom trim materials like Alloy 6 or Inconel can take weeks to procure. Inventory planning can cut that time dramatically.
- Operational Downtime: Waiting for critical parts during maintenance can extend outages, which increases costs and can cause a domino effect of delays.
- Compliance Risks: Failing to stock components that are needed for government-mandated testing, such as relief valve inspections, can lead to regulatory penalties.
Best Practices for Inventory Management in the Oil and Gas Industry
Four inventory management steps to prepare your organization for emergencies:
- Conduct an inventory audit: Take a close look at your historical failure data with an eye to identifying parts that have long lead times for replacement.
- Prioritize the most critical components: Give special focus to the components that directly affect production and safety, such as trims for high-pressure control valves to be ready if you need oil and gas valve repair.
- Collaborate with experts: Make sure you partner with vendors who understand the application-specific requirements of the valves your operations depend on — such as how to manage equipment and components containing substances containing hydrogen sulfide.
- Partner with a supplier that can deliver these key differentiators:
- Lightning-fast response times: Ideally, you want a partner who can respond in hours, not days for emergencies and critical repairs.
- Flexibility: The right partner should have the ability to adapt to a wide range of circumstances, and provide solutions for lead-time issues or alternative materials.
This kind of proactive inventory management with the MCE team wound up saving $500,000 during a planned midstream turnaround in Louisiana, by avoiding downtime thanks to pre-ordered trim components for high-pressure valves — which allowed repairs to be completed a full week ahead of schedule. Successful planning strategies like that can have positive ripple effects throughout your business.
>> With MCEs Stocking Agreements and Vendor Managed Inventory, your most crucial equipment is on -hand when you need it.
The Secret Ingredient: Subject-Matter Expertise
There’s no substitute for hard-earned expertise when it comes time to put this planning in place — the selection of valve materials demands specialized knowledge that goes beyond a one-size-fits-all approach.
For example, experts need to analyze factors like:
- Media characteristics: Abrasive sandy water requires hardened trims like Stellite, while sour crude mandates NACE-compliant materials that can resist hydrogen sulfide corrosion.
- Temperature and pressure: For extreme temperature variations and conditions, alloys like Inconel or Monel may be necessary.
Leveraging the necessary level of expertise helped an operator in Colorado reduce valve failure rates by an impressive 25% — thanks to consultation with MCEs experienced team who recommended replacing soft stainless steel trims with hardened Alloy 6 trims for better resistance to sand-laden production media.
Putting the Power of Emerging Technologies in Your Corner
Technology can play a transformative role in enabling smart inventory planning as well as rapid response. Electric and electro-hydraulic actuators are a great example of this effect, enabling faster and more cost-effective solutions.
- Thanks to increased torque capabilities, electric actuators can now handle larger valves without the need for expensive upgrades.
- Electro-hydraulic systems can now control multiple valves at a fraction of previous costs leading to substantial savings.
Embracing this technology saved the day for an upstream facility in Alaska when it experienced a power outage. Because of advance planning, it had already upgraded to electric actuators with battery backups — which enabled rapid valve closure during the outage. This foresight prevented a potential production loss of $1.5 million.
Preventative Maintenance and Training: The Cornerstones of Readiness
With all of that in mind, once you have an experienced partner in place to help guide your progress, here’s a four-point plan to implement your emergency preparedness.
- Implement a Preventative Maintenance Program
- Note that routine greasing of manual valves and annual relief valve testing are essential for success.
- Remember that proper specification of materials will help ensure valve longevity.
- Subject-matter experts can help identify critical valves and the right components for specific conditions.
- Assess Operational Risks
- Identify high-risk equipment and prioritize spare parts for these components.
- Partner with a supplier that collaborates with you to anticipate needs months in advance, especially for items with long lead times or high-demand spikes.
- Build a Resilient Inventory System
- Create regional inventory hubs in order to reduce delivery times.
- Partner with a supplier with the ability to quickly supply critical components during unexpected shortages or emergencies.
- Implement a vendor-managed inventory (VMI) or consignment strategy to ensure consistent availability of critical parts.
- Train Your Team
- Provide on-site training for operators and maintenance personnel to make sure they’ve got the know-how to handle emergency repairs effectively.
Putting It All Together: Plan for the Unexpected
Ultimately, the combination of emergency preparedness and robust inventory planning can take both the stress and the danger out of valve repairs — transforming them from costly crises into manageable events.
By thinking ahead of the game and adopting proactive strategies like pre-stocking critical components, leveraging subject-matter expertise, and taking advantage of emerging technologies, you can minimize downtime, improve safety, and ensure compliance. By partnering with a supplier like MCE, that collaborates with your team on inventory management, you can ensure operational readiness while minimizing supply chain risks.
The rewards include not just protecting your operations and investments — but the potential to position your business as an industry leader in terms of efficiency and reliability.
MCE can help your organization future-proof your valve maintenance strategy — to make sure you’ve always got timely access to the parts, assistance, and expertise you need to keep your operations flowing smoothly. Contact us for a free assessment.