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Emerson Confidential Custody Transfer of Crude Oil from Lease Tanks Using Alternative Measurement Methods API 18.2 Best Practices

API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

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Page 1: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Emerson Confidential

Custody Transfer of Crude Oil from Lease Tanks Using Alternative Measurement Methods

API 18.2 Best Practices

Page 2: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Agenda

Motivation for API 18.2

What does API 18.2 Require?

Instrumentation Options

2

Page 3: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

For Years a “Hand Dip” Has Been Industry Practice for Custody Transfer Measurements

API 18.1 First Edition Released in 1990

API 18.1 Established a Common Set of Industry Expectations ThatAssured Seller and Buyer Confidence in the Custody Transfer Method

Emerson Confidential 3

API 18.1 Defined Best Practices for Manual Custody Transfer Measurements

Page 4: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

The Rise in Shale Oil Production Highlighted Safety Risks Associated with “Hand Dips”

Between 2010 and 2014 Nine Workers Died of Asphyxiation From The Hydrocarbon Plume Released From an Open Thief Hatch

Emerson Confidential 4

In 2015 OSHA Issued a Hazard Alert for Workers Making Manual Measurements on Production Oil

Tanks

Infrared Video Demonstrates the Hydrocarbon Plume Released When a Thief Hatch is Open

The Best Way to Protect Workers is To Keep Them Off the Tank

Page 5: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

A Fast Industry Response Defines Alternatives

Technology Options for Automating Custody Transfer

API 18.2 Establishes a Common Set of Industry ExpectationsThat Assure Seller and Buyer Confidence With Automated Methods

Emerson Confidential 5

API 18.2 Released in 2016

Industry-proven Technologies Include Guided Wave Radar Level Measurement and Coriolis

Flow Measurement

API 18.2 Defines Best Practices for Automated Custody Transfer Measurements

Page 6: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

There are Other Good Reasons to Automate

Well Pads Can Be Challenging Places to WorkHow Accurate and Repeatable Will His Measurements Be?

Page 7: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Where Humans Introduce Unpredictable Measurement Variation Instrumentation Assures Consistency Under ALL Conditions

Credible Instrumentation Manufacturers Thoroughly Test Their Products and Stand Behind Their Published Performance Specifications

Wireless Guided Wave Radar for Level Measurements

Coriolis Meter for Flow Measurements

Page 8: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Compliance With a Recognized Standard Like API 18.2 Minimizes Risk

Confidently Defend Your Custody Transfer Procedure By Following An Industry Standard

Emerson Confidential 8

Page 9: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Agenda

Motivation for API 18.2

What does API 18.2 Require?

Instrumentation Options

9

Page 10: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

API 18.2 Recognizes Two Types of Automation

Inline Flow Meters

Transferred volume can be measured with a flow meter. A Coriolis Meter can be extremely accurate and is considered a premium solution, often as part of a Lease Active Custody Transfer (LACT) system.

Automatic Tank Gauging

A manual “Hand Dip” can be replaced with a cost-effective level transmitter. Guided Wave Radar has proven to be a popular choice.

This Presentation Will Focus on Options for Automatic Tank Gauging

Page 11: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

What Does API 18.2 Say About Automatic Tank Gauging?

• Automated Tank Gauging (ATG)– Continuous level measurement

technologies using familiar technology such as radar and float-based magnetostrictiveprobes

• Hydrostatic Tank Gauging (HTG)– A somewhat complicated system

using pressure-based technology with temperature compensation (not covered here)

Example Technologies for Automatic Tank Gauging

You May Already Be Using These Technologies for Tank ManagementEmerson Confidential

Two Tank Gauging Options

Guided Wave Radar and Magnetostrictive Level Transmitters

Page 12: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

What Does API 18.2 Say About Automatic Tank Gauging?

API 18.2 points to another standard API 3.1B that has a table of requirements. The column “Crude Oil Lease Tanks” is relevant for the needs we consider here

Compliance With API 18.2 Using Level Transmitters Requires Factory Calibration Accurate to +/- 3 mm (1/8”)

Emerson Confidential

Factory Calibration Requirement

Requirement Custody Transfer

Crude Oil Lease Tanks Inventory

Factory calibration ±1 mm (1/16 in.) ±3 mm (1/8 in.) ±3 mm (1/8 in.)

Page 13: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

The Problem With Float-based TechnologyFactory Calibration Only Refers to Accuracy in Locating Float Position

The Float is Sized for A Nominal Specific GravityAs Specific Gravity Changes Float Position Changes Relative to The Surface

True Level = X

Level Reading = X

Float Level = X Float

Level = Y

Level Reading = Y

SG-A SG-B

Page 14: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Guided Wave Radar Uses Time Domain Reflectometry

•Microwave pulse guided down a probe• Impedance changes generate echoes

–From liquid surface–From interface between top/bottom

liquids•Echo travel time is measured•Distance derived from time of flight

Distance = Speed * Time of travel2

Guided Wave Radar Delivers Reliable Level And Interface Measurements

Page 15: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Specific Gravity Changes Do Not Impact Guided Wave Radar Accuracy

15

No Moving Parts-- Eliminate Problems With Sticking Floats

True Level = X

Level Reading = X

SG-A SG-B

Level Reading = X

Page 16: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

GWR AdvantageStrong Interface Echo Indicates Good Product Separation

Monitor Interface Echo Strength--Help Improve Product SeparationEmerson Confidential 16

Page 17: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Truthful Assessment of Interface Using Guided Wave Radar

True Level = Y

True Interface = X

Interface = XLevel = Y

Interface = ZLevel = Y

Interface = 0Level = Y

Float Position = Z

Float indicates an interface where there isn’t one

Page 18: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

What happens if float sticks?????

• Buildup can cause floats to stick

• Result can be an overspill on the tank

• GWR can also get build up on the cable, however the difference is that the GWR will still read level above the buildup, therefore you are much safer in preventing overspill conditions

Page 19: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Agenda

Motivation for API 18.2

What does API 18.2 Require?

Instrumentation Options

19

Page 20: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Emerson Confidential 20

Rosemount 5300 Rosemount 3308 Rosemount 3308U

• Wired Platform• ± 3mm (1/8”) • API 18.2 Compliant• Use for oil tanks• Use for water tanks

• Wireless Platform• ± 6mm (1/4”) • Use for water tanks

• Wireless Platform• ± 3mm (1/8”) • API 18.2 Compliant• Use for oil tanks• Use for water tanks

Guided Wave Radar Options

Enhanced

Page 21: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Add “R8188” to Rosemount 5300 Model Number

R8188 Prevents High Current Alarm During Start-up or After Power Brown Outs

Emerson Confidential 21

Rosemount 5300

Start-up with Standard Configuration

Start-up with R8188 Configuration

Page 22: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Basic Configuration—All GWR’s

• Configure “Tank Height”– Top-down technology measures

Distance to product surface– Level is determined by subtracting

Distance from Tank Height– Errors in the Level reading can be

corrected by adjusting “Tank Height”• Enter the strapping table for the

specific tank

Level = Tank Height - Distance Emerson Confidential 22

Page 23: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Emerson Confidential 23

Oil Tanks Water Tanks

Threshold Settings

23Emerson Confidential

Rosemount 5300

Surface ~800-1000 mVInterface ~1800 mV

Surface ~800-1000 mVInterface ~3500-4000 mV

Surface- 4-5 counts pre-configuredInterface – pre configured Surface ~5 counts pre configured

Interface ~17-19 counts (adjusted)

Page 24: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Emerson Confidential 24

Oil Tanks Water Tanks

Specific Advanced Configuration for Rosemount 5300

24Emerson Confidential

Rosemount 5300

Check “Show level below probe end as 0”

Check “Show level below probe end as 0”

Select “Layer at Bottom (thin)” Select “Layer on Top (thin)”

Page 25: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Emerson Confidential 25

Oil Tank Water Tank

• Pre-configured thresholds from factory

• Check box under TANK settings for “thin on bottom”

• Check box “show level below probe end as 0”

• Factory “U” high accuracy option has double bounce algorithm, thus no need to adjust thresholds

• If 6mm accuracy option is ordered increase interface threshold to ~19 counts (may need tweaking depending on installation)

• Check box for “thin on top”• Check box” show level below probed end

as 0”

Specific advanced 3308 configuration suggestions

Page 26: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Required Temperature Measurement

Rosemount Wired and Wireless Temperature Transmitters

Where to Measure

• Best practice– Mount sensor inline so that

temperature is averaged over the entire transfer

• Alternative– Take readings at ¼, ½ and ¾ of

the load

Temperature Measurement Used to Calculate Standard VolumeEmerson Confidential

Page 27: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Assessments for Quality

• Merchantability– Assessment of water content

from a sample taken at the tank outlet prior to initiating the transfer (required)

– Driver may reject the load if the sample is outside of specifications

• Sediment and Water (S&W)• API Gravity

Eye on Safety: Merchantability, S&W, API Gravity and Temperature Are Evaluated in The Transition Zone Between Tank and Truck

Emerson Confidential 27

Hydrometer for API Gravity

Basic Sediment & Water Centrifuge (grind out)

Page 28: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Steps in the Transfer

Truck Driver Records All Measurements to a Run TicketEmerson Confidential 28

Merchantability Assessment

Opening Level Measurement

Start the Transfer Pump

¼ Load: S&W Sample, Temperature

½ Load: API Gravity Sample, Temperature

¾ Load: S&W Sample, Temperature

Stop Pump—Allow Tank to Stabilize

Closing Level Measurement

Page 29: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Automate the Process for the Truck Driver

Tank Manager Supports API 18.2

Remote Operations Controller with Tank Management Software

• Level-based, gross volume • TIMELY SCADA-friendly logging and reporting of transfer events• Secure HMI Interface for haul transactions• Pay/check haul verification• Allocation of hauled fluids back to the wellhead

Page 30: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Backup LACT Systems With Guided Wave Radar Transmitters

• What happens if the LACT is down for repair or maintenance?• Having 18.2 compliant Guided Wave Radar in place gives you options

You Need to Monitor Tank Levels Anyway—Configure Them to Be API 18.2 Compliant for Greater Flexibility

Page 31: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

What Does API 18.2 Say About Routine Verification of the Level Transmitter?

Compare Level Transmitter against Manual Measurements• 3 successive readings must all agree within ¼”

Compliance With API 18.2 Using Level Transmitters Requires Monthly Verification

Emerson Confidential

Routine Verification Requirement

Requirement Custody Transfer

Crude Oil Lease Tanks Inventory

Subsequent verification ±4 mm (3/16 in.) ±6 mm (1/4 in.) ±25 mm (1 in.)

Subsequent frequency of verification Monthly Monthly Quarterly

Page 32: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

What If Three Successive Manual Readings Suggest The Transmitter Is Off by More than ¼”?

1. Verify the “Tank Height” parameter is correctly programmed into the Level Transmitter

2. Check the probe for signs of damage or severe coating

3. The radar head can be removed and evaluated against a NIST-traceable verification tool by Rosemount Service

Manual Measurements Are Typically Used For Monthly VerificationThree Successive Readings Need to Agree Within ¼”

Emerson Confidential 32

Level = Tank Height - Distance

Page 33: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

WirelessHART TechnologyGet The Well Pad Up & Running Faster!

Robustness Proven in Thousands of Installations

Self-organizing mesh network• Devices automatically join• Network is “self-healing”

Simpler, Easier, Faster

• No wires• No conduit• No trenching• No wire terminations• No loop checks• No waiting for electricians• No AI modules• Remote access• Preconfigure before field

installation

Wireless Level Helps Achieve Safe, Compliant Operations Quickly and Easily

Page 34: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Introducing Emerson’s Rosemount 928 Wireless Gas Monitor

Extend Toxic Gas Coverage to Applications Previously Too Challenging or Costly to Monitor

Wireless Monitoring for Enhanced Protection and Safety

Page 35: API 18.2 Best Practices - Emerson Exchange 365 · API 18.1 Defined Best Practices for Manual Custody Transfer Measurements: The Rise in Shale Oil Production Highlighted Safety Risks

Summary

• API 18.2 is an industry-sponsored standard intended to safely accomplish with automation what API 18.1 did with manual methods

• The standard specifies requirements for the equipment and procedures used for automation

• Automatic Tank Gauging is an approved method for custody-transfer under API 18.2– Equipment must have factory-specified accuracy of +/- 3 mm (1/8”)

• Emerson offers Guided Wave Radar technologies that are compliant with API 18.2– Guided Wave Radar has a proven track record– You can count on Emerson to stand behind its products and is committed to

provide complete satisfaction– Only Emerson offers a full line of wireless instrumentation that offers

substantial savings on installed cost while greatly improving ease of use

Emerson Confidential 35