1 An Introduction to Gulf Petroleum Ltd Flow Measurement Consultancy An Introduction to Gulf Petroleum Ltd Flow Measurement Consultancy

Metering General Principles Custody Transfer / Allocation Uncertainty Levels Why We Measure Regulatory requirements Contractual obligations Process optimization Production accounting Safety What We Measure Product quantity (how much) Product quality (how good) Regulations & Standards

Uncertainty versus Yearly Product Losses or Unaccounted For Improvement in measurement accuracy of 0.10% on a 30,000 BPH (4,770 m 3 /h) flow stream will result in $13,140,000 per year reduced risk in product accounting

4 From Concept to Completion An Integrated Approach The Complete Metering Solution Feasibility & Design Construct & Commission Support & Maintain Review & Improve

5 Construct and Commission Feasibility and Design Support and Maintain Review and Improve  Project Management through CONCEPT, SELECT, FEED, Detailed Design, FAT, SAT, Commissioning  Conceptual Design & Feasibility Studies  Detailed Specifications & Basis of Design Dossiers  System Uncertainty Analysis  Cost Benefit & Exposure Analysis  Site Survey / System Reviews  Independent Review of Proposals  Liaison with Regulatory Authority & Partners  Provide Cost Effective & Innovative Solutions Complete Metering Solution

6 Feasibility and Design Support and Maintain Review and Improve Construct and Commission  Design & Construct tailor made solutions to meet the requirements of the client and the installation  Production of Functional Design Specification  Factory Acceptance Testing Procedures  Site Acceptance Testing Procedures  Installation & Commissioning Services  Delivery of New, Expanded & Upgrade Solutions  Health Care Contract Provision  Obsolescence Management Complete Metering Solution

7 Feasibility and Design Construct and Commission Review and Improve Support and Maintain  Metering Management  Maintenance Delivery via Tailored Contracts  Creation & Administration of Contract KPI’s  Liaison with Regulatory Authority & Partners  First Line Technical Support  Allocation & Hydrocarbon Accountancy Services  Maintenance Philosophies  Operating, Maintenance & Allocation Procedures  Test Equipment & Spares Management  Audit Support / Management of Actions Complete Metering Solution

8 Feasibility and Design Construct and Commission Support and Maintain Review and Improve  Audits, Inspections & Reviews of Systems  Production of Risk Based Improvement Plans  Training of Personnel (Generic or Specific)  Maintenance Strategy Review & Optimisation  Advice on Deployment of New Technology  Mis-measurement Review & Validation  Troubleshooting & Root Cause Analysis  Independent Witnessing of Strategic Testing  Technical Representation Complete Metering Solution

Personnel Expertise We have unique experience in the provision of specialist metering management and related services to the oil and gas sector  Metering Consultants  System Auditors  SVQ Level III Assessors  Metering Engineers  Metering Technicians  Hydrocarbon Accountants  Project / Contract Engineers  Technical Assistants  Planning Engineers  Procurement  Stores Management

Where do we meter? 10 OIL GAS LPG LNG PROCESS PIPELINE QUALITY GAS JETTY UNLOADING TRANSPORT PIPELINE REFINING & PETROCHEMICAL PROCESSING BULK STORAGE TERMINAL MARKETING TERMINAL PRODUCTION PROCESSING TRANSMISSION TRANSPORTATION CITY GATES POWER PLANTS INDUSTRIAL PLANTS RESIDENTIAL

Project design and solution 11

Metering Calibration, Auditing & Validation Metering Codes, Best Practices & Standards Measurement Uncertainty by Statistical Evaluation of Errors Error is the difference between the true value of the measurand and the measured value. The total error is a combination of both systematic error and random error. Precision is the closeness of agreement between independent measurements, largely affected by random error. Accuracy is an expression of the lack of error. Uncertainty characterizes the range of values within which the true value is asserted to lie with some level of confidence. Error Precision & Accuracy Uncertainty Measurement Terms

Management and Control of Meter Calibrations 13

14 LAN / HUB / DATA HIGHWAY Meter Prover Stream 2,3,4……. Stream 1 Density Frequency BS&W 4-20mA Sampler Flow c/c Can Full c/c RS mA 4 Wire Densitometer, or sampling DPT PT FT TE DX TCP/IP RS 485 To Flow computer or DMS PT TE Flow computer Meter Prover Flow computer TCP/IP DATA TO SCADA DMS+ FISCAL PRINTER

15 RS mA Frequency TRACE MOISTURE ETHERNET SWITCH Stream 2,3,4……. Stream 1 - Designed to AGA-9 Specifications m A / H A R T 4 W i r e / H A R T TCP/IP c/c Stream Flowcomputer TCP/IP DATA TO SCADA bar bar Fiscal Printer RS 485 TCP/IP x 2 RS 485 & TCP/IP RS 485 / TCP/IP RS 485 RS 485 / TCP/IP RS mA To Supervisory Computer Gas Volume Gas Quality Stream Sequencing Analyser Control Stream Status & Control Alarms and Events Calibration & Audit Condition Based Monitoring Reporting CALORIFIC VALUE, CHROMATOGRAPH HYDROCARBON DEWPOINT SULPHUR RS 485 / TCP/IP RS 485 Supervisory Dual DP Cells 4-20mA / HART P T WHAT IS WRONG ? Dual Pulse IP252

Projects, Consultancy and Auditing 16

Consulting on Meter Diagnostics 17

18  Diagnostics are commonly Associated with New Technologies New Technologies Have Incredible Stability Over Time…

19 LIQUID METERS  Performance Degradation  Water in Oil  Gas in Liquid  Reducing Calibration  Process Changes GAS METERS  Performance Degradation  Dirty / Wet Gas Process  Build Up On The Meter  Control Valve Noise  Installation Effect  Performance Proving Difficulties  Sustained Performance and Process Changes Impact on Overall Measurement Uncertainty positively and negatively retrospectively ! Potential Problems Diagnostics Detect

CORIOLIS - Commonly Used Diagnostics  Density Monitoring  Drive Gain  Smart Meter Verification  Two Phase Flow Detection Emerson Confidential

ULTRASONIC - Commonly Used Diagnostics  Gain  Signal Quality  Signal To Noise Ratio  Velocity Profile  Velocity of Sound Emerson Confidential

Challenge  Remote locations or large lines without a bypass increase risk of downtime  Contracting parties may specify a second independent meter to verify the custody measurement  Ensures measurement availability/uptime  Second meter verifies primary meter performance and can extend the calibration period  Reduces capital costs by eliminating a meter run or intermediate piping Two meter in One instantly verifies custody meter accuracy, detects problems 3417 Daniel Gas Ultrasonic Value Emerson Confidential

Everyday use of Ultrasonic Meter Diagnostics 30 EXAMPLE OF A METERING DIAGNOSTIC REVIEW by TAG  Measurement Performance Established, Evaluated Sustainability As-Found and Recommended an Implementing a Program to reduce Re-Calibration Frequencies

Meter Diagnostics, Condition Based Monitoring and Remote Access Taking diagnostic information at the initial flow calibration Installing meter in according to manufacturer recommendations Monitor and trend diagnostic information over time A Diagnostic Solution As an alternative to costly proving facilities or re-calibrations a CBM method can be implemented – Monitoring diagnostics verifies Meter integrity Trending diagnostic very important to identify problems before they happen Remote Monitoring diagnostic access on remote terminal or over wireless network ! 31  Only re-calibrate when or if the diagnostic information tells you

Meter Diagnostics Summary The ultimate objective is to correlate diagnostics with meter station uncertainty !!!! Meter Recalibration is no longer prescriptive, but condition based. If a control limit is triggered, the engineer then takes a closer look at the station. This does not necessarily mean recalibration. 31 Trending Diagnostic Data as part of Condition Based Monitoring of a meter can provide us with the ultimate healthy objective.  Provides Assurance of Meter Systems Performance