Press release Compressor Tech Two May/June 2000 Article "Flexibility and Custom Work Sets This Packager Apart" A custom fabricator that also fills specialty niches such as acid gas compression, VR Systems, Inc. in Odessa, Texas, U.S.A. attributes its continued growth pattern to its uniqueness. "No two packages are the same and no job is too small," said Pete Kourkoubes, VR Systems’ vice president located at its Corpus Christi, Texas office. "No job is too small because we realize that customers have varying compression needs," he said. "A customer’s need today might be 1000hp and tomorrow might be 5hp, so why make that client go to another packager just because of the need for a different sized unit? VR Systems wants to provide for all of a customer’s needs which can also include modeling compression, manufacturing shell & tube heat exchangers and fabricating our own PLC panels. "We use whatever PLC logic controller the customer wants - we’re very flexible - and then we manufacture the cabinets, wiring, switchgear and lighting. We handle a lot of stainless steel vessels and carbon steel as well. A majority of our business is electric driven motors but we use the customer’s preference. In other words, rather than buying a standard package our customers receive a made-to-order product." Kourkoubes said the company typically manufactures packages ranging from 20hp to 2000hp, and pairs Caterpillar and Waukesha gas engines with Ariel and Gemini compressors. All of this custom size and component fabrication takes place at the company’s plant in Odessa, Texas. "In addition to our flexibility in providing a variety of packages and related compression equipment, we have found specialty niches in acid gas, landfill and refrigeration compression," he said. "This sets us apart from many other packagers that, because their focus is on rental business or on wellhead compressor packages, don’t choose to become involved in these other areas. We handle wellhead packages also, but our true specialty has become these niches." Kourkoubes said the diversification into these specialty areas made sense for VR Systems because there really is no "concept" difference between customized compression fabrication for a wellhead project versus, for example, and acid gas project. He said the key for a standard compression package is building the unit to customer specifications and, of course, building it for the most economical price due to the competitive nature of the business. For acid gas or landfill projects, however, the key is in the materials, specifically the piping material and all the internal equipment that has to be corrosion resistant. For example, the cooler must have stainless steel headers and tubes. Obviously cost is an issue, he said, but the key is to ensure that the equipment will not deteriorate under those harsh conditions. Kourkoubes said customers with specialty niche project requests rely on VR Systems because it offers the advantage of a turnkey system, i.e. the ability to compress the gas and to dry the gas. The company offers refrigeration systems that take moisture out of the gas and mike it suitable for sales. "The gas that is being compressed is typically water saturated of a fully condensed gas stream can occur," he said. "Each stage of compression is modeled through our in-house software, HYSYS, and the dropouts and any dehydration between the stages is all taken into account. Our HYSYS software ensures the correct temperature changes, heat loads and flow rates for customers’ specific needs." He said the company models every compressor it builds whether the intended use is standard compression or a specialty project. For acid gas projects the associated hydrogen sulfide has to be handled in a different manner than that of a standard compressor package. Typically an economic justification can be found in reinjecting the H2 S into the ground. And because it is extremely corrosive, he explained, VR Systems’ fabrication includes stainless steel on the inlet and carbon steel on the discharge. The complications as well as the benefits of acid gas compression are reviewed in annual seminars that VR Systems sponsors in an effort to keep clients apprised of the latest in technology and application. Kourkoubes said the instruction is contracted with a firm in Houston and such topics as various gas plant designs are discussed. "Landfill gas compression is another unique market that VR Systems has acquired," he said. "In landfills there is very little H2S present; we’re dealing mostly with 50% CO2 and 50% CH4 in water saturated gas. The wells are shallow – around 60 ft. to 100ft. Methane’s greenhouse effect on the environment has been well-publicized so landfill compression is a topic of high interest. There are viable projects where the gas can be burned in gas-fired kilns on-site, or the technology available can remove the CO2 from the gas stream and the remainder can be sold as pipeline quality gas to local municipalities. A related VR Systems’ project involves four refrigeration compressors for the Fresh Kills Landfill Refrigeration Project in Staten Island, New York, which is the world’s largest landfill. Each compressor package has a GEA Rainey air cooled condenser with condensing loads ranging from approximately 2.5 MBTU/hr. to 1.1 MBTU/hr. The refrigerant is R22. "These refrigeration packages are designed to remove the liquids from the wet landfill gas stream which primarily consists of a 50:50 mix of methane and CO2," he said. "VR Systems will be fabricating all of the kettle exchangers and shell & tube exchangers with stainless steel tubes, tube sheets and internals. There are actually three skids required for each refrigeration system. The first skid will consist of the compressor package; the second will contain the air cooled condensers, liquid receiver and part of the thermosyphon system; and the third skid, commonly called the chiller skid, will include the kettle and other exchangers. Other than the condensers and the compressors, everything else for the Fresh Kills Project was fabricated in-house." VR Systems is fabricating PLC control panels, utilizing Allen Bradley PLCs, which will be installed on each compression system. Kourkoubes said the Fresh Kills Landfill project is another example of fabricating compression by modeling each segment or system with the company’s HYSYS software model. He added that landfill technology has become another important area of client education, and VR Systems has joined several solid waste associations. Along with increasing business from landfill and acid gas specialties, VR Systems has experienced growth from another niche – refrigeration. "Refrigeration systems is one area where our business picked up quite dramatically during 1999," he continued. "Our compression customers have realized that they can also get refrigeration from us and our refrigeration customers are getting compression from us now." Kourkoubes said the company added 4,000 sq. ft. of shop space to accommodate up to 2500hp packages and has also added engineering support. He said although VR Systems’ original concept was to focus on vapor recovery and to deal in small horsepower compression, company markets have continued to broaden due in large part to its specialty compression niches. One business aspect that hasn’t changed is the company’s utilization of the team concept through which engineers, foremen, technicians and other specialists who begin a project stay with it until fruition. "The team concept continues to work well for us," he said. "The same people who start a job work on it until it is finished, as opposed to having one person perform the same function all day for a variety of projects. We find it saves time and money and promotes teamwork. Personnel at a company our size need to wear many hats. However, we have a quality control manager who solely concentrates on quality because that’s an area where it never will pay to double up on job duties." An area of focus under consideration for VR Systems is the API 618 process market that has special applications, and which Kourkoubes described as critical, highly technical and time consuming. "Hydrogen is an API 618 requirement and it is a unique gas that takes a lot of attention to detail," he explained. "The key is finding a compressor that will work with 618. Rather than the typical high speed separable compression that is so prevalent today, 618 requires slow speed, a special lubrication system and a separate inventory of parts. The designs and materials are different from typical gas compression applications. This is a market that we are considering entering and would provide additional diversification for our business." While adding to its uniqueness and steady growth, VR Systems continues its’ international activity in Asia, Europe and South America. More information can be found at http://www.gascompressor.com. RETURN TO VR SYSTEMS WEBSITE
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