Operator Newsletter

Navy report confirms Chromalloy LM2500 aero-derivative gas turbine engine blade refurbishments reduce costs and maintain performance
The results of a 10-year U.S. Navy program to evaluate High Pressure Turbine (HPT) blade refurbishment confirm Chromalloy's ability to reduce costs without sacrificing performance. The report, titled "10 Years Later: A Technical and Financial Review of the United States Navy's High Pressure Turbine Blade Refurbishment Program" was presented at the American Society of Mechanical Engineers (ASME) Turbo Expo in Glasgow, Scotland, on June 16, 2010.

Until 1999, the Navy replaced HPT components with new OEM production hardware during the overhaul and repair of most of its gas generators. Since implementing the repair and refurbishment program with Chromalloy for the LM2500, the Navy has achieved dramatic cost savings and cost avoidance of $81 million. Specifically, blade repair cost per unit was $738-$1,032 vs. the OEM new part cost of $5,400 - providing up to an 86% cost reduction. In addition, the Navy projects a 208% gross return on investment over the full life of the program.

From a performance perspective, the program was a tremendous success. In the last decade, the Navy has not been able to account for any performance tradeoff using refurbished parts on LM2500 engines. Specifically, in both a test cell environment and once installed aboard ship (side-by-side in the same engine room) the Navy could not distinguish between production LM2500 engines and overhauled LM2500 engines. After 10 years, the Navy could not point to any data which supported an increase in HPT blade failure on refurbished parts. According to the U.S. Navy, the blades provide virtually indistinguishable performance to OEM blades with no downside to date. In addition, the Mean Time Between Removal (MTBR) increased during the program.

The full report, available here, provides an interesting background on the Navy program, its benefits and projected long-term savings.

Turbine Services selected for Frame 5 services
Chromalloy business unit Turbine Services has been selected by CNR International to provide gas turbine engine parts, repairs, maintenance and the Tiger® Monitoring and Diagnostic System for the company's Frame 5 turbine engines. The agreement covers six Frame 5 engines operated by CNR on its North Sea oil operations. "Turbine Services is pleased to provide CNR with outstanding services, high performance parts and ongoing system monitoring," said Scott Nicol, Turbine Services General Manager.

"The agreement includes full management of scheduled maintenance events, unscheduled maintenance, parts repairs and inspections," Nicol said. "Turbine Services' Tiger condition-based monitoring system that provides diagnostic function and trending of engine performance will also be fitted to one of the turbine systems."

Chromalloy has a history of outstanding service to the industrial and utility segments. The service agreement is the company's first for an offshore oil producer in the petrochemical industry, a segment Chromalloy has identified as a growth area. Under the agreement, Turbine Services also will provide spare part holding for parts repairs, containerized tools, equipment and consumable spares and training as required for CNR technicians.

Turbine Services Ltd. in Glasgow, Scotland, provides engine parts and engineering and technician services, including retrofits of its Sentinel^TM C Advanced Gas Turbine Control System and Tiger Monitoring and Diagnostic System. Turbine Services has facilities in the United Kingdom, Australia, Malaysia and Thailand. As a unit of Chromalloy, Turbine Services utilizes Chromalloy's worldwide network of gas turbine engine operations, including research and development, component repair, service, manufacturing and investment casting operations.

New FAA Designated Engineering Representative at Chromalloy
Fariba Lingnau, a senior engineer at Chromalloy's Arizona facility, has received the Designated Engineering Representative (DER) appointment from the Federal Aviation Administration (FAA). Following the multi-year application and technical expertise demonstration process, Lingnau received notification of DER on June 25. The designation is for major repair data for engines and auxiliary power units.

Lingnau is the only woman within Chromalloy to achieve DER designation and is one of 13 DERs in the company. "Fariba has successfully completed the multi-year DER process and satisfied the stringent requirements set forth by the FAA," said Bruce Johnson, Vice President, Engineering Technical Service. "Chromalloy is pleased to have her technical expertise and FAA appointment as an additional resource to our customers."

The role of the DER is to review, evaluate and approve technical data. The designees ensure the proper evaluation of technical data developed by staff, certify compliance with the FAA guidelines and regulations, and perform compliance tests and inspections. As an FAA-appointed DER for Chromalloy, Lingnau can approve repair on behalf of FAA using technical data developed by Chromalloy. Among the work performed at the Chromalloy facility in Arizona are repairs on small turbine engines, including Honeywell auxiliary power units (APU) that provide power on aircraft for air conditioning systems, lights and other secondary electrical systems.

The volume of new repairs and revisions to existing APU repairs at the Arizona operation, Lingnau said, kept the facility's other DER, Steve Schultz, backlogged since each requires a lengthy, careful evaluation prior to approval of the technical data and repair. Now with both Lingnau and Shultz reviewing repairs, the operation will move quickly to get repairs approved and performed on customer parts.

New Chromalloy identity evident in new signage
The final element of the company's identity program that began early last year - new signage at Chromalloy sites across the world - has been completed in recent weeks. "We're a global technology company that provides customers with highly sophisticated products, services and solutions - that is our essence and the deep legacy of this organization. Last year we began the process of ensuring all customer facing communications is reflective of that," said Andrew Farrant, Vice President, Marketing & Corporate Communications.

During the past 18 months the company implemented a strategy to revitalize the Chromalloy identity and reputation, reaching out to the industries served by the company. Research was conducted in early 2009 and Chromalloy invited customers at that time to provide input about Chromalloy work, products, brand and reputation. That input shaped a new marketing program as well as the development of an integrated global sales team "to improve, simplify and enhance the customer experience," Farrant explained.

"We undertook a plan to deliver a clear message about who we are and what our mission is," he added. "Since then the company is increasingly recognized as a global technology provider with a mandate to innovate and partner with customers to deliver innovative solutions that reduce the operating expense and extend the life of gas turbine engines."

In early 2011 follow-up research will be conducted to measure the impact of the company's marketing efforts.