best operating practices for reducing emissions from natural gas star partners murphy exploration...
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Best Operating Practices Best Operating Practices for Reducing Emissionsfor Reducing Emissions
From Natural Gas STAR PartnersFrom Natural Gas STAR Partners
Murphy Exploration & Production, Murphy Exploration & Production,
Gulf Coast Environmental Affairs Group, Gulf Coast Environmental Affairs Group,
American Petroleum Institute, American Petroleum Institute, andand
EPA’s Natural Gas STAR ProgramEPA’s Natural Gas STAR Program
June 19, 2003June 19, 2003
Page 2Reducing Emissions, Increasing Efficiency, Maximizing Profits
Why Are Best Operating Practices Why Are Best Operating Practices Important?Important?
Many production facilities have identified Many production facilities have identified practical cost effective methane emissions practical cost effective methane emissions practicespractices
Production partners report saving 129 Bcf Production partners report saving 129 Bcf since 1990, 83% from PRO’ssince 1990, 83% from PRO’s
VRU’s account for 30% of PRO emissions VRU’s account for 30% of PRO emissions reductionsreductions
Page 3Reducing Emissions, Increasing Efficiency, Maximizing Profits
Why Are Best Operating Practices Why Are Best Operating Practices Important?Important?
Simple vehicle for sharing successes and Simple vehicle for sharing successes and continuing program’s future continuing program’s future BMP’s: BMP’s: the consensus best practicesthe consensus best practices PRO’s: PRO’s: Partner Reported OpportunitiesPartner Reported Opportunities Lessons Learned: Lessons Learned: expansion on the most expansion on the most
advantageous BMP’s and PRO’sadvantageous BMP’s and PRO’s All posted on the Gas STAR website: All posted on the Gas STAR website:
http://www.epa.gov/gasstarhttp://www.epa.gov/gasstar
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Production Best Management Production Best Management PracticesPractices
BMP 1: Install and Replace High-Bleed BMP 1: Install and Replace High-Bleed PneumaticsPneumatics
BMP 2: Install Flash Tank Separators on BMP 2: Install Flash Tank Separators on Glycol DehydratorsGlycol Dehydrators
BMP 3: Partner Reported Opportunities BMP 3: Partner Reported Opportunities (PRO’s) (PRO’s)
Page 5Reducing Emissions, Increasing Efficiency, Maximizing Profits
Gas STAR PRO Fact SheetsGas STAR PRO Fact Sheets
PRO Fact Sheets from Annual Reports PRO Fact Sheets from Annual Reports 1994-20021994-2002 54 posted PRO’s54 posted PRO’s 36 PRO’s applicable to Production 36 PRO’s applicable to Production
12 focused on operating practices12 focused on operating practices24 focused on technology24 focused on technology
Several new PRO sheets under developmentSeveral new PRO sheets under development
Page 6Reducing Emissions, Increasing Efficiency, Maximizing Profits
Lessons LearnedLessons Learned
14 Lessons Learned on website14 Lessons Learned on website 7 applicable to production7 applicable to production
2 focused on operating practices2 focused on operating practices 5 focused on technology5 focused on technology
New Lessons Learned under developmentNew Lessons Learned under development Composite WrapComposite Wrap Desiccant DehydrationDesiccant Dehydration
Page 7Reducing Emissions, Increasing Efficiency, Maximizing Profits
Best Operating PracticeBest Operating PracticeLessons LearnedLessons Learned
Replacing Gas-Assisted Glycol Pumps with Replacing Gas-Assisted Glycol Pumps with Electric PumpsElectric Pumps
Reducing the Glycol Circulation Rates in Reducing the Glycol Circulation Rates in DehydratorsDehydrators
Page 8Reducing Emissions, Increasing Efficiency, Maximizing Profits
Production Best Operating Practices Production Best Operating Practices
Compressors & EnginesCompressors & Engines Convert Engine Starting to AirConvert Engine Starting to Air
SAVES…1,356 Mcf/yrSAVES…1,356 Mcf/yr PAYOUT…< 1 yearPAYOUT…< 1 year
Convert Engine Starting to NitrogenConvert Engine Starting to Nitrogen
SAVES… 1,350 Mcf/yrSAVES… 1,350 Mcf/yr PAYOUT…< 1yrPAYOUT…< 1yr
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What is the Problem?What is the Problem?
Compressor starts vent methaneCompressor starts vent methane How much methane is emitted?How much methane is emitted?
Up to 135 Mcf per startUp to 135 Mcf per start
How can these losses be reduced?How can these losses be reduced? Alternative operating practicesAlternative operating practices
Use nitrogenUse nitrogen Use airUse air
Alternative technologyAlternative technology Use electric startersUse electric starters Convert to electric driveConvert to electric drive
Page 10Reducing Emissions, Increasing Efficiency, Maximizing Profits
Partner Experience Partner Experience
Compressor starts vent methane Compressor starts vent methane Partners report 1,350 Mcf/yr savings per Partners report 1,350 Mcf/yr savings per
compressor using air or nitrogen assuming ten compressor using air or nitrogen assuming ten starts per yearstarts per year Availability and cost of air and nitrogen are issues Availability and cost of air and nitrogen are issues Capital costs for electric starters reduce payoutCapital costs for electric starters reduce payout Coordinating starts and shutdowns with Coordinating starts and shutdowns with
maintenance schedules are an option maintenance schedules are an option Modification of purge procedures to recover gas Modification of purge procedures to recover gas
prior to venting can also gain savings with low prior to venting can also gain savings with low costscosts
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More Operating PracticesMore Operating Practices
OtherOther Eliminate Unnecessary Equipment or SystemsEliminate Unnecessary Equipment or Systems
SAVES… 2,000 Mcf/yrSAVES… 2,000 Mcf/yr PAYOUT… < 1yr PAYOUT… < 1yr
Begin Directed Inspection and Maintenance at Remote Begin Directed Inspection and Maintenance at Remote FacilitiesFacilities SAVES… 362 Mcf/yrSAVES… 362 Mcf/yr PAYOUT… 1-3 yrsPAYOUT… 1-3 yrs
Lower Heater-Treater TemperaturesLower Heater-Treater Temperatures SAVES… 142 Mcf/yrSAVES… 142 Mcf/yr PAYOUT… < 1yrPAYOUT… < 1yr
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What is the Problem?What is the Problem?
Unnecessary equipment or systemsUnnecessary equipment or systemsprovide sources of methane emissionsprovide sources of methane emissions How much methane is emittedHow much methane is emitted??
One unnecessary process controller vents 1 cfm One unnecessary process controller vents 1 cfm or 0.5 MMcf/yror 0.5 MMcf/yr
Other benefitsOther benefits Increases efficiency Increases efficiency Lowers operating & maintenance costsLowers operating & maintenance costs
Page 13Reducing Emissions, Increasing Efficiency, Maximizing Profits
Partner ExperiencePartner Experience
Unnecessary equipment or systemsUnnecessary equipment or systemsprovide sources of methane emissions provide sources of methane emissions
One partner reports savings of 7,940 Mcf/yr One partner reports savings of 7,940 Mcf/yr by eliminating 31 dehydrators with an by eliminating 31 dehydrators with an average of 4 controller loops eachaverage of 4 controller loops each
Payback was < 1 yearPayback was < 1 year
Page 14Reducing Emissions, Increasing Efficiency, Maximizing Profits
More Operating PracticesMore Operating Practices
TanksTanks Consolidate Crude Oil Production & Water Tank Consolidate Crude Oil Production & Water Tank
StorageStorage SAVES… 4,200 Mcf/yrSAVES… 4,200 Mcf/yr PAYOUT… < 1 yrPAYOUT… < 1 yr
Convert Water Tank Blanket to Produced C0Convert Water Tank Blanket to Produced C022 SAVES… 2,000 Mcf/yrSAVES… 2,000 Mcf/yr PAYOUT… 1-3 yearsPAYOUT… 1-3 years
Page 15Reducing Emissions, Increasing Efficiency, Maximizing Profits
What is the Problem?What is the Problem?
Tankage is a large source of methane Tankage is a large source of methane emissions emissions How much methane is emitted?How much methane is emitted?
EPA Guideline 42 or API “E&P TANK” Program EPA Guideline 42 or API “E&P TANK” Program provide specific guidance. Partners report up to provide specific guidance. Partners report up to 1,000 Mcf/yr1,000 Mcf/yr
How can these losses be reduced?How can these losses be reduced? Tankage consolidation reduces maintenance Tankage consolidation reduces maintenance
costs and promotes justification of vapor recovery costs and promotes justification of vapor recovery or alternative blanketing with produced COor alternative blanketing with produced CO2 2
Page 16Reducing Emissions, Increasing Efficiency, Maximizing Profits
Partner ExperiencePartner Experience
Tankage is a large source of methane Tankage is a large source of methane emissions emissions One partner reports 32,600 Mcf/yr by One partner reports 32,600 Mcf/yr by converting water tank blankets on 9 units at converting water tank blankets on 9 units at a water treatment station from fuel gas to a water treatment station from fuel gas to CO2 -rich produced gas. Payback was 1-3 CO2 -rich produced gas. Payback was 1-3 yearsyears Capital costs are a major factor but gas Capital costs are a major factor but gas savings are usually substantialsavings are usually substantial
Page 17Reducing Emissions, Increasing Efficiency, Maximizing Profits
More Operating PracticesMore Operating Practices
ValvesValves Inspect & Repair Compressor Station Inspect & Repair Compressor Station
Blowdown ValvesBlowdown Valves SAVES…2,000 Mcf/yrSAVES…2,000 Mcf/yr PAYOUT… < 1 yrPAYOUT… < 1 yr
Test & Repair RV’sTest & Repair RV’s SAVES…170 Mcf/yrSAVES…170 Mcf/yr PAYOUT… < 1 yrPAYOUT… < 1 yr
Test & Repair Gate Station RV’s with NitrogenTest & Repair Gate Station RV’s with Nitrogen SAVES… 8 Mcf/yrSAVES… 8 Mcf/yr PAYOUT… >10 yrsPAYOUT… >10 yrs
Page 18Reducing Emissions, Increasing Efficiency, Maximizing Profits
What is the Problem?What is the Problem?
Leaking valves are another large sourceLeaking valves are another large source How much methane is emitted?How much methane is emitted?
As RV components wear or foul leakage occursAs RV components wear or foul leakage occurs Estimate 200 Mcf/yr per leakerEstimate 200 Mcf/yr per leaker
How can these losses be reduced?How can these losses be reduced? Leak check & repair on a planned scheduleLeak check & repair on a planned schedule
Page 19Reducing Emissions, Increasing Efficiency, Maximizing Profits
Partner Experience Partner Experience
Leaking valves are another large sourceLeaking valves are another large source
One partner reports saving 3,907 Mcf/yr by One partner reports saving 3,907 Mcf/yr by repairing 7 RV’s. Payback was immediaterepairing 7 RV’s. Payback was immediate
Another partner reports saving 853 Mcf/yr by Another partner reports saving 853 Mcf/yr by repairing compressor RV’srepairing compressor RV’s
Another Partner reports saving 10 Mcf/yr by Another Partner reports saving 10 Mcf/yr by using nitrogen to test 120 RV’s versus using nitrogen to test 120 RV’s versus “popping” off with natural gas “popping” off with natural gas
Page 20Reducing Emissions, Increasing Efficiency, Maximizing Profits
One of the Newer Operating PracticesOne of the Newer Operating Practices
Begin Directed Inspection and Maintenance Begin Directed Inspection and Maintenance at Remote Facilitiesat Remote Facilities SAVES… 362 Mcf/yrSAVES… 362 Mcf/yr PAYOUT … 1-3 yrsPAYOUT … 1-3 yrs
Bubble test on leaking valve Source: CLEARSTONE ENGINEERING LTD
Page 21Reducing Emissions, Increasing Efficiency, Maximizing Profits
What is the Problem?What is the Problem?
Gas leaks are Gas leaks are invisibleinvisible, , unregulatedunregulated and and go unnoticedgo unnoticed STAR partners find that valves, connectors, compressor STAR partners find that valves, connectors, compressor
seals and open-ended lines (OEL) are major sourcesseals and open-ended lines (OEL) are major sources 27 Bcf of methane are emitted per year by reciprocating 27 Bcf of methane are emitted per year by reciprocating
compressors seals and OELscompressors seals and OELs Open ended lines contribute half these emissionsOpen ended lines contribute half these emissions
Facility fugitive methane emissions depend on operating Facility fugitive methane emissions depend on operating practices, equipment age and maintenancepractices, equipment age and maintenance
Page 22Reducing Emissions, Increasing Efficiency, Maximizing Profits
Natural Gas Losses by SourceNatural Gas Losses by Source
Combustion Equipment9.9%
Amine Vents0.5%
Flare Systems24.4%
Non-leaking Components0.1%
NRU Vents0.3%
Storage Tanks11.8%
Leaking Components53.1%
Source: Clearstone Engineering, 2002
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Natural Gas Losses by Equipment TypeNatural Gas Losses by Equipment Type
Control Valves4.0%
Open-Ended Lines11.1%
Other Flow Meters0.2%
Orifice Meters0.1%
Pressure Relief Valves3.5%
Valves26.0%
Blowdowns
0.8%
Connectors24.4%
Compressor Seals23.4%
Crankcase Vents4.2%
Pump Seals1.9%
Pressure Regulators0.4%
Source: Clearstone Engineering, 2002
Page 24Reducing Emissions, Increasing Efficiency, Maximizing Profits
How Much Methane is Emitted?How Much Methane is Emitted?
Methane Emissions from Leaking Components at Gas Processing Plants
Component Type % of Total Methane
Emissions
% Leaks
Estimated Average Meth-ane Emissions per Leaking
Component (Mcf/Year)
Valves (Block & Control) 26.0 % 7.4 % 66
Connectors 24.4 % 1.2 % 80
Compressor Seals 23.4 % 81.1 % 372
Open-ended Lines 11.1 % 10.0 % 186
Pressure Relief Valves 3.5 % 2.9 % 844 Source: Clearstone Engineering, 2002, Identification and Evaluation of Opportunities to Reduce Methane Losses at Four Gas Processing Plants. Report of results from field study of 4 gas processing plants in WY and TX to evaluate opportunities to economically reduce methane emissions.
Page 25Reducing Emissions, Increasing Efficiency, Maximizing Profits
How Much Methane is Emitted?How Much Methane is Emitted?
Summary of Natural Gas Losses from the Top Ten Leakers1.
Plant No. Gas Losses From Top 10
Leakers (Mcfd)
Gas Losses From All Equipment
Leakers (Mcfd)
Contribution By Top 10 Leakers
(%)
Contribution By Total Leakers
(%) 1 43.8 122.5 35.7 1.78
2 133.4 206.5 64.6 2.32 3 224.1 352.5 63.6 1.66
4 76.5 211.3 36.2 1.75 Combined 477.8 892.84 53.5 1.85
1Excluding leakage into flare system
Page 26Reducing Emissions, Increasing Efficiency, Maximizing Profits
How Can These Losses Be Reduced?How Can These Losses Be Reduced?
Implementing a Directed Inspection and Implementing a Directed Inspection and Maintenance (DI&M) ProgramMaintenance (DI&M) Program
Source: CLEARSTONE ENGINEERING LTD
Page 27Reducing Emissions, Increasing Efficiency, Maximizing Profits
What is a DI&M Program?What is a DI&M Program?
Implementing a Directed Inspection and Implementing a Directed Inspection and Maintenance ProgramMaintenance Program VoluntaryVoluntary program to identify and fix leaks that program to identify and fix leaks that
are cost effective to repairare cost effective to repair Outside of mandatory LDAR Outside of mandatory LDAR Survey cost will pay out in the first yearSurvey cost will pay out in the first year Provides valuable data on leakersProvides valuable data on leakers
Page 28Reducing Emissions, Increasing Efficiency, Maximizing Profits
How Do You Implement A DI&M Program?How Do You Implement A DI&M Program?
SCREEN and MEASURE leaks
Estimate repair cost, fix to a PAYBACK criteria
Develop a PLAN for future DI&M
Record savings/REPORT to Gas Star
CONDUCT Baseline survey
FIX on the spot leaks
Page 29Reducing Emissions, Increasing Efficiency, Maximizing Profits
Screening and MeasurementScreening and Measurement
Summary of Screening and Measurement Techniques
Instrument/
Technique Effectiveness
Approximate
Capital Cost
Soap Solution
$
Electronic Gas Detectors
$$
Acoustic Detection/ Ultrasound Detection
$$$
TVA (FID)
$$$
Bagging
$$$
High Volume Sampler
$$$
Rotameter
$$
Source: EPA’s Lessons Learned Study
Page 30Reducing Emissions, Increasing Efficiency, Maximizing Profits
Cost-Effective RepairsCost-Effective Repairs
Repair the Cost Effective Components
Component Value of
Lost gas1 ($)
Estimated Repair cost
($)
Payback (Months)
Plug Valve: Valve Body 12,641 200 0.2
Union: Fuel Gas Line 12,155 100 0.1
Threaded Connection 10,446 10 0.0
Distance Piece: Rod Packing 7,649 2,000 3.1
Open-Ended Line 6.959 60 0.1
Compressor Seals 5,783 2,000 4.2
Gate Valve 4,729 60 0.2
Source: Hydrocarbon Processing, May 2002 1Based on $3/Mcf gas price
Page 31Reducing Emissions, Increasing Efficiency, Maximizing Profits
DI&M - Partner ExperienceDI&M - Partner Experience
Partner APartner A: A leaking cylinder head was : A leaking cylinder head was tightened, which reduced the methane tightened, which reduced the methane emissions from almost 64,000 Mcf/yr per emissions from almost 64,000 Mcf/yr per year to 3,300 Mcf/yryear to 3,300 Mcf/yr The repair required 9 man-hours of labor and the The repair required 9 man-hours of labor and the
annualized gas savings were approximately 60.7 annualized gas savings were approximately 60.7 MMcf/yr At $3.00/Mcf, the estimated value of the MMcf/yr At $3.00/Mcf, the estimated value of the gas saved was $182,100/yeargas saved was $182,100/year
Partner BPartner B: A one-inch pressure relief valve : A one-inch pressure relief valve emitted almost 36,774 Mcf/yremitted almost 36,774 Mcf/yr Five man-hours of labor and $125 of materials Five man-hours of labor and $125 of materials
eliminated the leak. The annualized value of the eliminated the leak. The annualized value of the gas saved was more than $110,300 at $3.00/Mcfgas saved was more than $110,300 at $3.00/Mcf
Page 32Reducing Emissions, Increasing Efficiency, Maximizing Profits
DI&M - Partner ExperienceDI&M - Partner Experience
Partner CPartner C: A blowdown valve leaked almost 14,500 : A blowdown valve leaked almost 14,500 Mcf/yrMcf/yr Rather than replace the expensive valve, the Partner spent just Rather than replace the expensive valve, the Partner spent just
$720 on labor and materials to reduce the emissions to $720 on labor and materials to reduce the emissions to approximately 100 Mcf/yr approximately 100 Mcf/yr
The gas saved was approximately 14,400 Mcf/year, worth The gas saved was approximately 14,400 Mcf/year, worth $43,200 at $3.00/Mcf$43,200 at $3.00/Mcf
Partner DPartner D: A tube fitting leaked at a rate of 4,121 : A tube fitting leaked at a rate of 4,121 Mcf/yrMcf/yr A very quick repair requiring only five minutes reduced the leak A very quick repair requiring only five minutes reduced the leak
rate to 10 Mcf/yrrate to 10 Mcf/yr At $3.00/Mcf, the annualized value of the gas saved was At $3.00/Mcf, the annualized value of the gas saved was
approximately $12,300approximately $12,300
Page 33Reducing Emissions, Increasing Efficiency, Maximizing Profits
Discussion QuestionsDiscussion Questions
To what extent are you implementing these To what extent are you implementing these opportunities?opportunities?
Can you suggest other opportunities?Can you suggest other opportunities? How could these opportunities be improved How could these opportunities be improved
upon or altered for use in your operation?upon or altered for use in your operation? What are the barriers (technological, What are the barriers (technological,
economic, lack of information, regulatory, economic, lack of information, regulatory, etc.) that are preventing you from etc.) that are preventing you from implementing these practices?implementing these practices?