16 impacto técnico económico de la medición en los procesos de explotación (banco mundial)

Foro de Lineamientos de Medición México 2012

Global Gas Flaring Reduction Partnership

& Measurement of Flare/Vent Volumes

World Bank Francisco J. Sucre


Content

• Global Gas Flaring Reduction (GGFR)

• Gas Flaring in Mexico

• Global Voluntary Flaring Reduction Standard

• GGFR Measurement Guidelines

• Final remarks


Global Gas Flaring Reduction partnership (GGFR)

• Public-private partnership led by the World Bank

• Formed at the World Summit on Sustainable Development in Johannesburg in 2002

• Main double fold objective:

– avoiding unnecessary waste of non-renewable cleaner energy resource

– reduction of carbon emissions and other negative environmental impact of flaring and venting of associated gas in upstream oil and gas operations

• Includes 27 members: governments from oil-producing countries,

state-owned and international oil companies, European Union and

the World Bank Group

Mission Statement GGFR is a catalyst for reducing wasteful and undesirable practices of gas flaring and venting through policy change, stakeholder facilitation and

project implementation

3


Flaring in Mexico

• E&P flaring down from 2001 to 2005, but jumped until 2008

• Dropping in last 4 years (w 2011)

• Largest volumes from offshore operations

• Highest rate of utilization of 94% in 2005 (average of 85%)

• Important source of GHG: at peak, flaring represented aprox 2% of national emissions (not accounting for venting and flare efficiencies)

Source: Pemex financial reports & EIA Statistics: http://www.eia.doe.gov/


Gas Flaring vis-a-vis Gas Imports

• Significant comparative value of flare gas when compared with imports from US

Known barriers to flare reduction in

Mexico

• Insufficient gas infrastructure (gathering, processing and compression) • Operational conditions (e.g. nitrogen in AG, compression, etc.) • Focus on oil production maximization • Prior to CNH, fiscal regime neutral to flaring and venting reduction • Limited allocation of CAPEX for lower IRR projects

Source: Pemex financial reports & EIA Statistics: http://www.eia.doe.gov/


CNH Guidelines on Flare/Vent volumes

• Article 48. Sizing of flare and vent gas meters. The continuous flow rate capacity of the meters shall be dimensioned in accordance to the expected gas flow volumes.

• Article 49. Measurement uncertainty for flare and vent gas. The maximum allowable measurement uncertainty for gas flare and vent measurement systems shall be +/-3%.

• Article 50. Flare and vent gas meter installation. The installation of the meter must be executed in compliance with the manufacturer’s specifications.

• Article 51. Flare and vent gas composition measurement. Monitoring of the flare and vent gas composition shall be carried out, either by sampling for lab analysis, or by continuous analyzers.

• Article 52. Liquid measurement in flare and vent. If there is a considerable amount of liquid in the system, a separator shall be installed, along with a (liquid) meter.

• Article 53. Indirect estimation of flare and vent gas volumes. Indirect estimation shall be made by way of GOR accounting or through system balance or simulators. The Commission shall be informed as to how said accounting was made.

•


GGFR’s Voluntary Flaring Reduction Standard

• Global Voluntary Standard

– Sets out approach to overcome barriers to reduce flaring & venting

– Guidance on how to achieve reductions

– Emphasize key role of accurate monitoring of flare/vent volumes to achieve reductions • Existing facilities should, at a minimum,

estimate volume applying sound engineering mass and energy balance

• New projects and large flaring facilities should measure through metering




– Best practice on measurement:

• Total volume of gas sent to the flare(s) should be continuously metered either at each of the sources or at the flare headers, to determine the annual volumetric flow to the flare.

• At a minimum, flow measurement devices used to determine flare gas volumes should have an accuracy of +/- 5 percent over the anticipated range of flow rates




– Highlight the importance of estimating GHG using

– API Compendium of Greenhouse Gas Emissions

Estimation Methodologies for the Oil and Gas

Industry

– Volume and emissions data reporting • To monitor performance gas flare and vent

should be publicly reported

• Governments have an important role in facilitating and gathering information on gas flared and vented

• Government are encouraged to implement a reporting tool


Standard Defined Sources of flares/vents

• Flaring

– Continuous (routine)

• Surplus gas for lack of facilities and/or market outlets

– Non-continuous, which may be:

• Temporary (planned non-routine) or

– Compressor start up/shut down

– Well completion, treatment, stimulation, workovers

– Early production facilities

– Gas migration

– Production storage tanks working/flashing losses

• Emergency (unplanned)

• Venting

– Continuous (routine)

• Non safety vent of surplus gas due to lack of flaring facilities

• Production storage tank losses (flashing, working and breathing)

• Gas-driven pneumatic devices, chemical injection pumps

• Gas treatment vents

• Locally vented low preassure systems

– Non-continuous

• Catalyst

• Well completion, treatment, stimulation, workovers, and testing

• Surface casing gas (oil wells)

• Gas migration (oil wells(

• Operational venting to reduce equipment pressure


Relevance of flare measurement

• Why quantify flares and vent volumes?

– Justification of conservation costs

– Prioritize and optimize efforts

– Reservoir engineering: better understand the adverse impact to reservoirs

– Effectiveness of regulatory regime on flare/vent depend on accurate measuring and reporting

– To provide accurate information and data that helps the regulator evaluate compliance and evaluate progress

– Public safety and environment: understand and monitor emissions

– To determine GHG baseline, assess abatement costs of mitigation, leverage carbon credits and make pledges in international agreements


Considerations about flare measurement

• Reiterated massages by experts… during GGFR sponsored workshops

Flare measurement is extremely challenging

Generally requires a combination of methods to achieve best results (measurement & estimation)

Measurement uncertainty analysis of full measurement chain essential

Normally approached in stages to minimize disruption/cost

Many considerations are needed when selecting the best measurement approach

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GGFR Flaring Measurement Guidelines

INTERNATIONAL REGULATORY REVIEW: o Technology specifications

o Accuracy requirements

o Control requirements

DELINEATION OF MEASUREMENT OPTIONS: o Continuous flow measurement systems.

o Flow test methods.

o Estimation methods: o Mass balance.

o Use of GOR data.

o Process simulations.

http://siteresources.worldbank.org/INTGGFR/Resources/Guidelines_Flare_Vent_Measurement.pdf


Methods for measuring flare volumes

1. Metering a. Direct

b. Distributed meters

2. Estimation a. Gas balance

b. Control valve data

c. Process data

GGFR Flaring Measurement Guidelines


13 February 2012 15

Characteristics of meters for flare gas volume measurement

Technical Economic


Issues for flare meter selection

• Accuracy

• Operability (range, calibration requirements, flow regime dependence..)

• Sensitivity to contaminants (liquids, particles)

• Restriction for gas flow

• Availability

• Ease – and cost - of installation

• Ease of maintenance, calibration and verification

• Cost


Gas flow : Production, usage and flared volume

Gas produced minus Export equals Flare Volume Injection

Fuel

Gas lift

Other uses

Losses

Gas

produced

Flare Volume

Usage

FUEL GAS

GAS INJECTION

GAS EXPORT

OTHER GAS USES

LOSSES GAS LIFT

• Most widely used estimation method by industry • Accurate during emergency “blowdowns” where flowmeters struggle to cope • Unsuitable for normal flaring (majority of the year) = excessive ‘measurement uncertainty


By-difference method

Measurement Uncertainty when estimating: using simple root-sum-square

method

1002222

2

2222

flare,m

liftfuelortexpprod

flareQ

UUUU

U%

Emergency Blow-down: <1% time, 20% gas flared

Gas stream

Proportion of Total (%)

Measurement Uncertainty (%)

Exported Gas

0

n/a

Fuel Gas

5

± 3

Lift Gas

4

± 3

Flared Gas

91

± 0.2

Normal Flaring:

>90% time, 40% gas flared

Gas stream

Proportion of Total (%)

Measurement Uncertainty (%)

Exported Gas

90

± 1

Fuel Gas

5

± 3

Lift Gas

4

± 3

Flared Gas

1

± 92

BEST PRACTICE: dedicated flare gas meter for normal flaring & By-difference for blow-down

Source: NEL TUV SUD


Key points from GGFR guidelines

• There are a variety of options available for measurement of flare gas volumes, metering or estimation, each with its own positive and negative aspects • Selection of the most appropriate method will usually depend on:

– the accuracy required – the volume of flared gas to be measured and the degree of variability – the liquid content of the gas – availability of a specific meter type and the required support (calibration facilities, maintenance,...)

• Measurement generally requires a combination of methods to achieve best results (measurement & estimation) • Measurement uncertainty analysis of full measurement chain essential • Normally approached in stages to minimize disruption/cost • Measurement is fundamental for regulatory and process purposes

Foro de Lineamientos de Medición México 2012 20

International Best Practice

Evolving Framework

Formal developed framework – mixed results

No formal framework

International Best Practice

Formal developed framework – mixed results

No formal framework

Lessons from recent analysis of flaring regulatory regimes


Data is fundamental

• Regulation of flaring is critically dependent on access to reliable and consistent data. Data allows to:

– identify need for intervention

– monitor achievements and trends

– rapidly identify and respond to large increases in flaring

• Publication of data on company performance and field-by-field flaring volumes can support flaring reduction

– creates public pressure to improve, even where monetary penalties may be limited

– helps interested parties identify flared gas volumes which may be

utilised

21

Lessons from recent analysis of flaring regulatory regimes


• Measurement is also important as Mexico uses data to assess options and commitments in international climate change negotiations (e.g. Copenhagen Accord, future post Kyoto agreements)

22

Final consideration

Source: National Appropriate Mitigation Action (NAMA), UNFCCC site


Gracias por su atención Preguntas?

Francisco Sucre [email protected]

Phone: +1-202-473-5479

GGFR’s Vision is…

23


Back up slides


Mexico: Flares from the sky

25

16 impacto técnico económico de la medición en los procesos de explotación (banco mundial)

Engineering

gas flare

gas flaring vis

vent gas volumes

gas operations

associated gas

vent gas meters

vent gas meter installation

expected gas flow volumes