Transforming Idle Assets with CPI
A large midstream company faced significant operating expenses while storing idle pipe across multiple yards across several cities in the Midwest.
The operating costs for maintaining these yards, which included over 15 miles of 36-inch pipe with varying wall thicknesses, were substantial. The operator quickly recovered value from this surplus pipe by leveraging the expertise of CPI Pipe & Steel’s team.
The Importance of Safety and Efficiency
The pipe had sat idle, aged past prime condition, and could no longer be used for its original purpose of being put in the ground for pressurized applications. The pipe was located in working yards, which required comprehensive safety protocols and efficient operations to minimize disruptions. The challenge was to recover value from this surplus pipe while maintaining safety and operational efficiency across all sites. The faster the pipe could be transported, with minimal interruption for the yard, the better the outcome for the operator.
In & Out: Quick Loading and Transport of Idle Assets
First, the CPI team prepared the pipe by cutting longer 80’ lengths into transportable 40’ lengths. Then, the pipe was loaded onto specialty CPI Pipe Loading Racks, which increased efficiency, and improved safety. Finally, leveraging close logistics partnerships, the CPI team was able to transport more than 400 loads to the CPI pipe yard within a one-month time frame. The operator successfully recovered value from idle, unusable assets as quickly and efficiently as possible. The surplus pipe recovered from the yard would later be recycled in the market for applications such as casing pipe, culvert, dredge pipe, road bore casing, caissons, piling pipe, bollards, and flume pipe.
Benefits Realized
- Pipe re-entered the market for structural purposes, including being deployed for piling in the Gulf Coast region
- Guaranteed 100% safe and efficient transportation of assets through CPI’s pipe loading and transport process
- By working closely with safety inspectors on a consistent and regular schedule, the company had reduced operating costs
- Transported over 400+ loads in a 1 month period