1. Oil and Gas Sector E&P Reporting Protocol
For
Western Regional Air Partnership
Task 2 Presentation – Santa Fe Meeting
February 13, 2009
Presented by: Science Applications International Corporation and Environ International Corporation

2. Agreed definition of a significant source:
Task 2 - Definitions
Agreed definition of a significant source:
Sources that contribute significantly to GHG emissions and pair them with the highest tier methodology available
Proposed approach to account for minor sources:
Take a top to bottom ranking approach of source categories by region, look at the differences between them (this will help CA and NM) and present the list of sources in the Task 2 work without leaving any source out.

3. Definition of significance:
Task 2 - Definitions
Definition of significance:
95% materiality threshold
Definition of accuracy:
5% accuracy threshold
API accuracy ranking system for methodologies (Tiers A, B, C)
Available information:
Industry needs to provide SAIC-ENVIRON team with the data required to develop rankings, the availability of this data will vary by region but it will help structure going forward
For example: Compression (CO2 and methane), run time, fuel usage, device counts, throughput, etc.
Availability varies per facility and by region, it depends on whether the facility is subject to Title V regulations and the age of the equipment or facility

4. Task 2 – Conceptual Framework
Develop a matrix of source category rankings by basin to determine significant source categories with respect to fractional contribution to basin-level CO2e GHG inventory
Identify those source categories which collectively contribute to 95% of GHG emissions in the basin
For those significant source categories in a region, identify methodologies available to estimate GHG emissions
Describe the accuracy of these methodologies – could use API tier rankings for accuracy
Describe the availability of input data for these estimation methodologies
For source categories not determined to be significant, recommend simplified methodologies

5. Task 2 – Conceptual Framework

6. Task 2 – Conceptual Framework
Methodology evaluation for example significant source categories for a specific region

7. Task 2 – Conceptual Framework
Additional comments
There may be regions with in sufficient inventory data to develop ranked list of source categories
Suggestion was floated that EPA’s top-down national GHG inventory for oil and gas could be used in combination with detailed production statistics for specific basins to develop rough ranking of categories
The list of categories contributing significantly (>95%) to the GHG inventory for a basin will not be necessarily the same across basins
The list of minor source categories (<5%) will also not likely be the same across basins
However, the combination of significant source categories across basins will likely capture the majority of combustion and process-related sources
If data is determined to be not readily available for a high-tier methodology, recommendations can be made based on additional measurement methods as they are being developed by CARB, EPA and others