Compression costs have a huge effect on the entire natural gas supply chain, from wellheads to the end user. Natural gas compressors are an estimated $6.9B per year market in the United States alone. With a recent MIT study on the future of natural gas concluding that natural gas use will double by 2050, the natural gas compression market is a huge growth opportunity
OsComp Systems has developed a breakthrough compression technology that decreases the energy required to compress and transport natural gas. This new technology allows production to continue on wells that would not otherwise be feasible to run and can significantly increase the production of other wells. OsComp has completed an initial design for a 100kW compressor prototype that is due to begin full systems testing in early October.
With an executive team consisting entirely of MIT alumni (and one VentureShips alumnus), OsComp is dedicated to working closely with a VentureShips team to ensure the project is useful for OsComp as well as a great learning experience for the students.
OsComp Systems has identified natural gas wellheads as the initial market for our product. We are interested in having a team of MIT students identify and characterize the potential market opportunity for variations of our current compressor technology. These opportunities could be one or more of the following:
- Compressed air energy storage: Large scale energy storage on the grid to shift the energy generated by wind farms (most of it in the nighttime) to peak electric demand (daytime) could potentially be best served by compressed air in above surface locations.
- Carbon sequestration compression: >80% of the marginal cost to sequester CO2 consists of compression costs to send the gas in a compact and efficient way from the power plant to the geological storage.
- Small oilfree air compressor market: Pharmaceutical and hospitals, as well as manufacturing machinery OEMs, use oilfree compressors in their operation.
- Innovative dry lubrication materials: A proprietary technology of OsComp that can increase the durability of dry polymer lubricants by >100x, we are trying to identify potential applications and markets.
- Refrigeration compression market: Compressors are the main power draw from air conditioning and refrigerators, some of the main electrical demand drivers in the world
- Refinery and chemical markets: Compressors are used as the main production machinery, for refrigeration, pressure boosting, among other applications.
For these various opportunities, we would like to understand the competitive landscape, quantify the potential market, identify the pain points and needs of the customer, and determine if our technology has the capability to meet the needs of these new customers. Most of the work will consist of talking with the customers and end-users, as well as working closely with OsComp's executive team. The final deliverable should include a report on the potential opportunity for the markets that the students choose to explore along with a recommendation on the best strategic direction for OsComp moving forward.