Replacing HighBleed Pneumatic Devices Lessons Learned from Natural

Replacing High-Bleed Pneumatic Devices Lessons Learned from Natural Gas STAR Small and Medium Sized Producer Technology Transfer Workshop Bill Barrett Corporation, Evergreen Resources Inc, Southern Gas Association and EPA’s Natural Gas STAR Program June 29, 2004

Pneumatic Devices: Agenda p Methane Losses p Methane Recovery p Is Recovery Profitable? p Industry Experience p Discussion Questions Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 2

What is the Problem? p Pneumatic devices are major source of methane emissions from the natural gas industry p Pneumatic devices used throughout the natural gas industry u Over 250, 000 in production sector u ~ 13, 000 in processing sector u 90, 000 to 130, 000 in transmission sector Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 3

Location of Pneumatic Devices at Production Sites SOV Separator Dehydrator Unit SOV Compressor To Pipeline LC Wellheads LC TC SOV = LC = TC FC = = PC = FC PC PC FC PC Shut-off Valve (Unit Isolation) Level Control (Separator, Contactor, TEG Regenerator) Temperature Control (Regenerator Fuel Gas) Flow Control (TEG Circulation, Compressor Bypass) Pressure Control (FTS Pressure, Compressor Suction/Discharge) Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 4

Methane Emissions p As part of normal operations, pneumatic devices release natural gas to atmosphere p High-bleed devices bleed in excess of 6 cf/hr u Equates to >50 Mcf/yr u Typical high-bleed pneumatic devices bleed an average of 140 Mcf/yr p Actual bleed rate is largely dependent on device’s design Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 5

Pneumatic Device Schematic Regulator Regulated Gas Supply Gas 100+ psi 20 psi Process Measurement Liquid Level Pressure Temperature Flow Weak Pneumatic Signal (3 - 15 psi) Weak Signal Bleed (Continuous) Pneumatic Controller Strong Signal Vent (Intermittent) Strong Pneumatic Signal Valve Actuator Process Flow Control Valve Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 6

Emissions from Pneumatic Devices Gas Industry Oil Industry Production Processing Transmission 34. 9 Bcf 0. 6 Bcf 14. 1 Bcf 21. 7 Bcf ----- Total 49. 6 Bcf 21. 7 Bcf Total Gas/Oil 71. 3 Bcf/yr Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 7

How Can Methane Emissions be Reduced? p Option 1: Replace high-bleed devices with low-bleed devices p Option 2: Retrofit controller with bleed reduction kits p Option 3: Maintenance aimed at reducing losses u Field experience shows that up to 80% of all high-bleed devices can be replaced or retrofitted with low-bleed equipment Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 8

Option 1: Replace High-Bleed Devices p Most applicable to: u Controllers: liquid-level and pressure u Positioners and transducers p Suggested action: evaluate replacements u Replace at end of device’s economic life u Early replacement Norriseal Pneumatic Liquid Level Controller Fisher Electro -Pneumatic Transducer Source: www. norriseal. com Source: www. emersonprocess. com Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 9

Option 1: Replace High-Bleed Devices (cont’d) p Costs vary with size u Typical costs range from $700 to $3, 000 per device u Incremental costs of low-bleed devices are modest ($150 to $250) u Gas savings often pay for replacement costs in short periods of time (5 to 12 months) Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 10

Option 2: Retrofit with Bleed Reduction Kits p Applicable to most high-bleed controllers p Suggested action: evaluate cost effectiveness as alternative to early replacement p Retrofit kit costs ~ $500 p Payback time ~ 9 months Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 11

Option 3: Maintenance to Reduce Losses p Applies to all pneumatic devices p Suggested action: add to routine maintenance procedures u Field survey of controllers u Where process allows, tune controllers to minimize bleed Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 12

Option 3: Maintenance to Reduce Losses (cont’d) p Suggested action (cont’d) u Re-evaluate the need for pneumatic positioners u Repair/replace airset regulators u Reduce regulated gas supply pressure to minimum u Routine maintenance should include repairing/replacing leaking components p Cost is low Becker Single-Acting Valve Positioner Source: www. bpe 950. com Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 13

Five Steps for Reducing Methane Emissions from Pneumatic Devices Locate and INVENTORY high-bleed devices ESTABLISH the technical feasibility and costs of alternatives ESTIMATE the savings EVALUATE economics of alternatives DEVELOP an implementation plan Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 14

Suggested Analysis for Replacement p Replacing high-bleed controllers at end of economic life u Determine incremental cost of low-bleed device over high-bleed equivalent u Determine gas saved with low-bleed device using manufacturer specifications u Compare savings and cost p Early replacement of high-bleed controllers u Compare gas savings of low-bleed device with full cost of replacement Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 15

Economics of Replacement All data based on Partners’ experiences. See Lessons Learned for more information. Range of incremental costs of low-bleed over high bleed equipment c Gas price is assumed to be $3/Mcf. a b Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 16

Suggested Analysis for Retrofit p Retrofit of low-bleed kit u Compare savings of low-bleed device with cost of conversion kit u Retrofitting reduces emissions by average of 90% Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 17

Economics of Retrofit On high-bleed controllers All data based on Partners’ experiences. See Lessons Learned for more information. c Gas price is assumed to be $3/Mcf. a b Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 18

Suggested Analysis for Maintenance p For maintenance aimed at reducing gas losses u Measure gas loss before and after procedure u Compare savings with labor (and parts) required for activity Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 19

Economics of Maintenance a b All data based on Partners’ experiences. See Lessons Learned for more information. Gas price is assumed to be $3/Mcf. Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 20

Pneumatic Devices p Factors affecting economics of replacement u Operating cost differential and capital costs u Estimated leak rate reduction per new device u Price of gas ($/Mcf) Source: www. eia. doe. gov Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 21

Lessons Learned p Most high-bleed pneumatics can be replaced with lower bleed models p Replacement options save the most gas and are often economic p Retrofit kits are available and can be highly cost-effective p Maintenance is low-cost and reduces gas loss Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 22

Case Study – Marathon p Surveyed 158 pneumatic devices at 50 production sites p Half of the controllers were low-bleed p High-bleed devices included u 35 of 67 level controllers u 5 of 76 pressure controllers u 1 of 15 temperature controllers Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 23

Marathon Study: Hear It? Feel It? Replace It! p Measured gas losses total 5. 1 MMcf/yr p Level controllers account for 86% of losses u Losses averaged 7. 6 cf/hr u Losses ranged up to 48 cf/hr p Concluded that excessive losses can be heard or felt Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 24

Recommendations p Evaluate all pneumatics to identify candidates for replacement and retrofit p Choose lower bleed models at change-out where feasible p Identify candidates for early replacement and retrofits by doing economic analysis p Improve maintenance p Develop an implementation plan Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 25

Discussion Questions p To what extent are you implementing this BMP? p How can this BMP be improved upon or altered for use in your operation(s)? p What are the barriers (technological, economic, lack of information, regulatory, etc. ) that are preventing you from implementing this technology? Reducing Emissions, Increasing Efficiency, Maximizing Profits Page 26