Replacing High-Bleed Pneumatic DevicesReplacing High-Bleed Pneumatic Devices

Lessons LearnedLessons Learnedfrom Natural Gas STARfrom Natural Gas STAR

Small and Medium Sized Producer Technology Transfer WorkshopSmall and Medium Sized Producer Technology Transfer Workshop

Bill Barrett Corporation, Evergreen Resources Inc,Bill Barrett Corporation, Evergreen Resources Inc,

Southern Gas Association andSouthern Gas Association and

EPA’s Natural Gas STAR ProgramEPA’s Natural Gas STAR Program

June 29, 2004June 29, 2004

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Pneumatic Devices: AgendaPneumatic Devices: Agenda

Methane LossesMethane Losses

Methane RecoveryMethane Recovery

Is Recovery Profitable?Is Recovery Profitable?

Industry ExperienceIndustry Experience

Discussion QuestionsDiscussion Questions

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What is the Problem?What is the Problem?

Pneumatic devices are major source of Pneumatic devices are major source of methane emissions from the natural gas methane emissions from the natural gas industryindustry

Pneumatic devices used throughout the Pneumatic devices used throughout the natural gas industrynatural gas industry Over 250,000 in production sectorOver 250,000 in production sector ~ 13,000 in processing sector~ 13,000 in processing sector 90,000 to 130,000 in transmission sector90,000 to 130,000 in transmission sector

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Location of Pneumatic Devices at Location of Pneumatic Devices at Production SitesProduction Sites

PC PC

SOVSOV

LC

SOV

SeparatorSeparator Dehydrator Dehydrator UnitUnit

CompressorCompressorToTo

PipelinePipeline

WellheadsWellheads

SOVSOV = =Shut-off Valve (Unit Isolation)Shut-off Valve (Unit Isolation)LCLC = = Level Control (Separator, Contactor, TEG Level Control (Separator, Contactor, TEG

Regenerator) Regenerator)TCTC = = Temperature Control (Regenerator Fuel Gas)Temperature Control (Regenerator Fuel Gas)FCFC = = Flow Control (TEG Circulation, Compressor Flow Control (TEG Circulation, Compressor

Bypass) Bypass)PCPC = = Pressure Control (FTS Pressure, Compressor Pressure Control (FTS Pressure, Compressor

Suction/Discharge) Suction/Discharge)

FCLC TC FC PC

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Methane EmissionsMethane Emissions

As part of normal operations, pneumatic devices release As part of normal operations, pneumatic devices release natural gas to atmospherenatural gas to atmosphere

High-bleed devices bleed in excess of 6 cf/hrHigh-bleed devices bleed in excess of 6 cf/hr Equates to >50 Mcf/yrEquates to >50 Mcf/yr Typical high-bleed pneumatic devices bleed an average of Typical high-bleed pneumatic devices bleed an average of

140 Mcf/yr140 Mcf/yr

Actual bleed rate is largely dependent on device’s designActual bleed rate is largely dependent on device’s design

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Pneumatic Device SchematicPneumatic Device Schematic

Pneumatic Controller

Process Measurement

Liquid LevelPressure

TemperatureFlow

Weak Signal Bleed(Continuous)

Strong Signal Vent(Intermittent)

Process Flow Control Valve

Valve Actuator

Strong Pneumatic Signal

Weak Pneumatic

Signal (3 - 15 psi)

Regulator

Gas 100+ psi

Regulated Gas Supply

20 psi

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Emissions from Pneumatic DevicesEmissions from Pneumatic Devices

Gas Industry Oil IndustryGas Industry Oil Industry

ProductionProduction 34.9 Bcf 21.7 Bcf34.9 Bcf 21.7 BcfProcessingProcessing 0.6 Bcf 0.6 Bcf --- ---TransmissionTransmission 14.1 Bcf14.1 Bcf --- ---

TotalTotal 49.6 Bcf49.6 Bcf 21.7 Bcf 21.7 Bcf

Total Gas/OilTotal Gas/Oil 71.3 Bcf/yr 71.3 Bcf/yr

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How Can Methane Emissions be How Can Methane Emissions be Reduced?Reduced?

Option 1: Option 1: Replace high-bleed devicesReplace high-bleed deviceswith low-bleed deviceswith low-bleed devices

Option 2:Option 2: Retrofit controller with bleedRetrofit controller with bleedreduction kitsreduction kits

Option 3:Option 3: Maintenance aimed at reducingMaintenance aimed at reducinglosseslosses

Field experience shows that up to 80% of all high-bleed Field experience shows that up to 80% of all high-bleed devices can be replaced or retrofitted with low-bleed devices can be replaced or retrofitted with low-bleed equipmentequipment

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Option 1: Replace High-Bleed DevicesOption 1: Replace High-Bleed Devices

Most applicable to:Most applicable to: Controllers: liquid-level and pressureControllers: liquid-level and pressure Positioners and transducersPositioners and transducers

Suggested action: evaluate replacementsSuggested action: evaluate replacements Replace at end of device’s economic lifeReplace at end of device’s economic life Early replacementEarly replacement

Source: www.emersonprocess.comSource: www.emersonprocess.com

Fisher Fisher Electro-Pneumatic Electro-Pneumatic TransducerTransducer

Source: www.norriseal.comSource: www.norriseal.com

Norriseal Norriseal Pneumatic Liquid Pneumatic Liquid Level ControllerLevel Controller

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Option 1: Replace High-Bleed Devices Option 1: Replace High-Bleed Devices (cont’d)(cont’d)

Costs vary with sizeCosts vary with size Typical costs range from $700 to $3,000 per Typical costs range from $700 to $3,000 per

devicedevice Incremental costs of low-bleed devices are Incremental costs of low-bleed devices are

modest ($150 to $250)modest ($150 to $250) Gas savings often pay for replacement costs Gas savings often pay for replacement costs

in short periods of time (5 to 12 months)in short periods of time (5 to 12 months)

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Option 2: Retrofit with Bleed Option 2: Retrofit with Bleed Reduction KitsReduction Kits

Applicable to most high-bleed controllersApplicable to most high-bleed controllers

Suggested action: evaluate cost effectiveness Suggested action: evaluate cost effectiveness as alternative to early replacementas alternative to early replacement

Retrofit kit costs ~ $500Retrofit kit costs ~ $500

Payback time ~ 9 monthsPayback time ~ 9 months

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Option 3: Maintenance to Reduce Option 3: Maintenance to Reduce LossesLosses

Applies to all pneumatic devicesApplies to all pneumatic devices Suggested action: add to routine maintenance Suggested action: add to routine maintenance

proceduresprocedures Field survey of controllersField survey of controllers Where process allows, tune controllers to Where process allows, tune controllers to

minimize bleedminimize bleed

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Option 3: Maintenance to Reduce Losses Option 3: Maintenance to Reduce Losses (cont’d)(cont’d)

Suggested action (cont’d)Suggested action (cont’d) Re-evaluate the need for pneumatic positionersRe-evaluate the need for pneumatic positioners Repair/replace airset regulatorsRepair/replace airset regulators Reduce regulated gas supply pressure to Reduce regulated gas supply pressure to

minimumminimum Routine maintenance should Routine maintenance should

include repairing/replacing include repairing/replacing leaking componentsleaking components

Cost is lowCost is low

Source: www.bpe950.comSource: www.bpe950.com

Becker Becker Single-Acting Single-Acting Valve PositionerValve Positioner

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Five Steps for Reducing Methane Five Steps for Reducing Methane Emissions from Pneumatic DevicesEmissions from Pneumatic Devices

Locate and INVENTORY high-bleed devicesLocate and INVENTORY high-bleed devices

ESTIMATE the savingsESTIMATE the savings

EVALUATE economics of alternativesEVALUATE economics of alternatives

DEVELOP an implementation planDEVELOP an implementation plan

ESTABLISH the technical feasibility and ESTABLISH the technical feasibility and costs of alternativescosts of alternatives

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Suggested Analysis for ReplacementSuggested Analysis for Replacement

Replacing high-bleed controllers at end of economic lifeReplacing high-bleed controllers at end of economic life Determine incremental cost of low-bleed device over Determine incremental cost of low-bleed device over

high-bleed equivalenthigh-bleed equivalent Determine gas saved with low-bleed device using Determine gas saved with low-bleed device using

manufacturer specificationsmanufacturer specifications Compare savings and costCompare savings and cost

Early replacement of high-bleed controllersEarly replacement of high-bleed controllers Compare gas savings of low-bleed device with full cost of Compare gas savings of low-bleed device with full cost of

replacementreplacement

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Economics of ReplacementEconomics of Replacement

Early Replacements

Implementationa Replace at End of Life Level

Control Pressure Control

Cost ($) 150 – 250b 380 1,340 Annual Gas Savings (Mcf)

50 – 200 166 228

Annual Value of Saved Gas ($)c

150 – 600 498 684

IRR (%) 97 – 239 129 42 Payback (months)

5 – 12 9 24

aa All data based on Partners’ experiences. See All data based on Partners’ experiences. See Lessons LearnedLessons Learned for more information. for more information.bb Range of incremental costs of low-bleed over high bleed equipment Range of incremental costs of low-bleed over high bleed equipmentcc Gas price is assumed to be $3/Mcf. Gas price is assumed to be $3/Mcf.

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Suggested Analysis for RetrofitSuggested Analysis for Retrofit

Retrofit of low-bleed kitRetrofit of low-bleed kit Compare savings of low-bleed device with Compare savings of low-bleed device with

cost of conversion kitcost of conversion kit Retrofitting reduces emissions by average of Retrofitting reduces emissions by average of

90%90%

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Economics of RetrofitEconomics of Retrofit

a On high-bleed controllersb All data based on Partners’ experiences. See Lessons Learned for more information.c Gas price is assumed to be $3/Mcf.

Retrofita Implementation Costsb $500 Bleed rate reduction (Mcf/device/yr) 219 Value of gas saved ($/yr) c 657 Payback (months) 9 IRR 129%

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Suggested Analysis for MaintenanceSuggested Analysis for Maintenance

For maintenance aimed at reducing gas For maintenance aimed at reducing gas losseslosses Measure gas loss before and after procedureMeasure gas loss before and after procedure Compare savings with labor (and parts) Compare savings with labor (and parts)

required for activityrequired for activity

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Economics of MaintenanceEconomics of Maintenance

a All data based on Partners’ experiences. See Lessons Learned for more information.b Gas price is assumed to be $3/Mcf.

Reduce supply

pressure

Repair & retune

Change settings

Remove valve positioners

Implementation Cost ($)a

153 23 0 0

Gas savings (Mcf/yr)

175 44 88 158

Value of gas saved ($/yr) b

525 132 264 474

Payback (months) 3.5 2 <1 <1

IRR 343% 574% -- --

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Pneumatic DevicesPneumatic Devices

Factors affecting economics of replacementFactors affecting economics of replacement Operating cost differential and capital costsOperating cost differential and capital costs Estimated leak rate reduction per new deviceEstimated leak rate reduction per new device Price of gas ($/Mcf)Price of gas ($/Mcf)

Source: www.eia.doe.govSource: www.eia.doe.gov

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Lessons LearnedLessons Learned

Most high-bleed pneumatics can be replaced Most high-bleed pneumatics can be replaced with lower bleed modelswith lower bleed models

Replacement options save the most gas and Replacement options save the most gas and are often economicare often economic

Retrofit kits are available and can be highly Retrofit kits are available and can be highly cost-effectivecost-effective

Maintenance is low-cost and reduces gas Maintenance is low-cost and reduces gas lossloss

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Case Study – MarathonCase Study – Marathon

Surveyed 158 pneumatic devices at 50 Surveyed 158 pneumatic devices at 50 production sitesproduction sites

Half of the controllers were low-bleedHalf of the controllers were low-bleed High-bleed devices includedHigh-bleed devices included

35 of 67 level controllers35 of 67 level controllers 5 of 76 pressure controllers5 of 76 pressure controllers 1 of 15 temperature controllers1 of 15 temperature controllers

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Marathon Study:Marathon Study:Hear It? Feel It? Replace It!Hear It? Feel It? Replace It!

Measured gas losses total 5.1 MMcf/yrMeasured gas losses total 5.1 MMcf/yr Level controllers account for 86% of lossesLevel controllers account for 86% of losses

Losses averaged 7.6 cf/hrLosses averaged 7.6 cf/hr Losses ranged up to 48 cf/hrLosses ranged up to 48 cf/hr

Concluded that excessive losses can be Concluded that excessive losses can be heard or feltheard or felt

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RecommendationsRecommendations

Evaluate all pneumatics to identify Evaluate all pneumatics to identify candidates for replacement and retrofitcandidates for replacement and retrofit

Choose lower bleed models at change-out Choose lower bleed models at change-out where feasiblewhere feasible

Identify candidates for early replacement Identify candidates for early replacement and retrofits by doing economic analysisand retrofits by doing economic analysis

Improve maintenanceImprove maintenance Develop an implementation planDevelop an implementation plan

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Discussion QuestionsDiscussion Questions

To what extent are you implementing this To what extent are you implementing this BMP?BMP?

How can this BMP be improved upon or How can this BMP be improved upon or altered for use in your operation(s)?altered for use in your operation(s)?

What are the barriers (technological, What are the barriers (technological, economic, lack of information, regulatory, etc.) economic, lack of information, regulatory, etc.) that are preventing you from implementing that are preventing you from implementing this technology?this technology?