2. Liquid Meter Run & Water Cut Demo Our goal today is to provide a detailed demonstration of a complete liquid meter run along with water cut measurement. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT2

3. Overview 2 Phase Separator Process Liquid Meter Run Installations Proportional Sampler and Installation Fluid mixing for water cut sampling Processing of Water Cut Samples and Verification of water cut meters Gas Entrainment effects on liquid meters March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT3

4. Typical 2 Phase Separator Schematic March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT4

5. 2 Phase Separator Process 2 Phase Separator (definition) A vessel that separates the well fluids into gas and total liquid. A 2 Phase separator can be horizontal, vertical or spherical. Liquid (oil, emulsion and water) leaves the vessel at the bottom through a level control and dump valve. The gas leaves the vessel at the top, passing through a mist extractor to remove any small liquid droplets. Liquid level indication – gives confidence that the 2 Phase separator is functioning correctly Liquid level control - proper snap-acting control ensures a consistent flow rate through the liquid meter run. Separator differential pressure control - also ensures a consistent flow rate through the liquid meter run. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT5

6. Liquid Meter Run Installation Meter orientation - ensure that the liquid meter is installed below the liquid level in the separator and up stream of the dump valve to prevent gas breakout in the meter Turbine installation - a minimum requirement of 10 straight pipe diameters up stream and 5 straight pipe diameters downstream Coriolis installation - horizontal or flag position with no up or down straight pipe requirements; no mixing needed for water cut determination. Water Cut Analyzer installation - must be positioned in the center of the pipe in a homogeneous mixture. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT6

7. Proportional Sampler and Install Sampler installation - to be positioned as close to the sample probe as possible Sample probe installation - to be positioned in the center of the pipe in a homogeneous mixture. Sampler control setup - sampler must be operational when fluid is flowing, must sample over a 24 hour test period without overfilling must also sample randomly throughout the dump cycles. Sample size - to be set to no less than 800ml in a 24 hour test period. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT7

8. Fluid Mixing for Water Cut Sampling Static mixer - as the streams move through the mixer, its non-moving elements continuously blend the fluids to a homogeneous mixture. Turbine meter mixing - also blends fluids; however, does not always ensure a homogeneous mixture. Piping and elbow mixing - provides some mixing depending on velocity. Wellhead or pipeline sampling - not recommended; only indicates presence of oil or water. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT8

9. Processing Water Cut Sample & Verification of Analyzers Processing of sample - equally as important as the sampler set up; follow lab procedure as per Directive 17 Importance of proper training and lab equipment Verification of your water cut analyzer - when should you check and how often? Hands on water cut sample verification March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT9

10. Gas Entrainment/Multiphase Liquid Measurement GVF – Gas Volume Fraction This is the ratio of the gas volumetric flow rate to the total liquid volumetric flow rate Gas Entrainment effects on liquid meters for volume Gas Entrainment effects on liquid meters for water-cut Discussions March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT10

11. Summary In summary, we hope this provided you with insight into what is going on inside the pipe in your own process and the many criteria involved in accurate volume and water cut measurement. Questions??? Discussions? Feel free to come and view the skid. March 19 - 20, 2013ELEVENTH ANNUAL CANADIAN SCHOOL OF HYDROCARBON MEASUREMENT11