Breaking Free from Traditional Oxygen Supply for Industrial Application
A forward-thinking manufacturer in Southern Ontario has successfully challenged the conventional reliance on delivered oxygen gas for their furnace operations. By installing two state-of-the-art onsite oxygen generators capable of producing 8,000 SCFH of oxygen at 95% purity, they have transformed their production process and realized substantial benefits.
Key Benefits Achieved
- Significant Cost Savings: Drastic reduction in monthly oxygen expenses.
- Environmental Sustainability Impact: Lowered carbon footprint by reducing dependence on external suppliers.
- Inflation Protection: Eliminated vulnerability to rising oxygen gas prices.
About the Company
Our client is a global leader in glass fiber technology, with operations spanning 33 countries and multiple manufacturing facilities across North America. They are dedicated to delivering innovative products, cutting-edge manufacturing technologies, and sustainable solutions that enhance operational efficiency, product safety, renewable energy applications, and infrastructure durability.
The Problem
High Costs & Supply Vulnerability
Fiberglass manufacturing demands an enormous volume of oxygen—approximately 25,000 cubic feet per hour—to sustain furnace operations. Previously, the client was entirely dependent on external suppliers, which resulted in:
- Soaring Costs: Sky-high monthly bills with continuous price hikes.
- Supply Chain Risks: Delivery delays and disruptions.
- Lack of Control: Dependence on a single supplier with monopolistic pricing.
Engagement Details
From the initial feasibility study to the final installation, we provided a comprehensive end-to-end solution for our client’s oxygen supply needs. Understanding the challenges of high delivered oxygen costs and supply reliability, our expert team conducted a thorough site assessment and designed a tailored onsite oxygen generation system. This system integrates Kaeser Air Compressors, featuring an industry-leading isentropic efficiency of over 80%, low-pressure drop filters maintaining pressure drops below 1 PSI, and AirSep Oxygen Generators, known for their best-in-class air-to-oxygen ratio. Our strategic approach not only ensured seamless integration but also maximized operational efficiency while minimizing costs. The results speak for themselves—reducing oxygen costs from $0.1846 to just $0.036 per cubic meter, delivering first-year savings of $360,069.12, and achieving a rapid ROI of under three years. With projected 4-year savings exceeding $1.5 million and cumulative savings of over $6 million in 14 years, this installation marks a transformative shift in the client’s oxygen supply strategy.
Watch the installation video to see how our expertise brought this innovative solution to life!
The Result
The Solution: A Smarter Approach to Oxygen Supply
Recognizing the need for a cost-effective and reliable alternative, the client turned to us for a comprehensive feasibility study. Our expert team conducted a site assessment, analyzed operational needs, and proposed a strategic onsite oxygen generation solution within their budget constraints.
Optimized System Design
To maximize efficiency and minimize costs, we implemented:
- Kaeser Air Compressors: Featuring an industry-leading isentropic efficiency of over 80%.
- Low-Pressure Drop Filters: Designed to maintain pressure drops below 1 PSI.
- AirSep Oxygen Generators: Best-in-class air-to-oxygen ratio for optimal performance.
Cost Reduction & Financial Impact
- Delivered Oxygen Cost: $0.1846 per cubic meter.
- Onsite Oxygen Cost: Only $0.036 per cubic meter.
- First-Year Savings: $360,069.12.
- Projected 4-Year Savings: Over $1.5 million.
- 14-Year Cumulative Savings: More than $6 million.
- Return on Investment: Less than 3 years.
Beyond Cost Savings: Sustainability & Operational Control
With onsite oxygen production, the client has:
- Reduced Carbon Emissions: Minimizing the environmental impact of tanker deliveries.
- Enhanced Operational Reliability: Eliminated supply chain uncertainties.
- Future-Proofed Their Business: Shielded against unpredictable price surges in the industrial gas market.
This transformative project demonstrates the power of innovative thinking and strategic investment in onsite oxygen generation systems. Our client now enjoys unparalleled cost efficiency, environmental sustainability, and operational independence—setting a new industry benchmark for fiberglass manufacturing.
About Specialty Gas
Speciality Gas is your one-stop shop for all your Oxygen and Nitrogen generation needs. Our solution specialists manage your project from the initial discovery to after sales service. We install and service Peak and Airsep O₂ and N₂ generators as well as the Kaeser compressed air systems that power them. Our team has a combined 172 years of experience with specialty gas installations.
Generating N₂ or O₂ at your facility is easier than you’d think. With ROIs of 12 to 18 months in most cases, you can’t afford not to investigate the endless possibilities! Contact us now to see how we can help you save money by having your own supply of nitrogen or oxygen.
