1. Entelec 2006 presentation Mass Balance Leak Detect, Can it Work for You? Mass Balance Leak Detect, Can it Work for You? Richard D. Newell Presidentwww.auspex-inc.com Bill Greenwood Presidentwww.enviropipe.com

2. Introduction ä Why a leak detection system ä How it works ä What is needed ä How to use it ä Comments

3. Why do you need one? ä Detect leaks ä Improve operation and performance ä Better public image ä Legal requirements ä Minimize litigation ä Reduced financial and environmental impact

4. How it works ä Differences from the transient model ä Delta change more important ä Forgiving of instrumentation calibration

5. What is needed to use one? ä Data requirements ä Frequency of data ä Instrumentation requirements ä Meters ä Pressures

6. How to use it ä Configuration ä Operation ä Maintenance

7. Configuration ä Pipeline data ä Station data ä Inlets/Outlets ä Product data

8. Configuration / Pipeline Data ä Physical information ä Length ä Total BBLS ä Operation limits

9. Configuration / Station Data ä Location ä Pipe parameters ä Pumps, valves ä Meters ä Instrumentation

10. Configuration / Product Data ä Operational data ä Specific gravity ä Temperature ä Batch size

11. Operation ä Easy to use and access ä Enhanced operation data ä Leak determination and location ä Accurate batch tracking ä Management access

12. Operation / Ease of Use ä Operator access ä System overview

13. Operation / Operational Data ä pipeline rates ä interface arrivals ä pig tracking ä hydraulic gradient ä reports

14. Operation / Leak Determination ä Minimize false alarms ä Multiple methods ä Cross check data ä Milepost estimate

15. Operation / Batch Tracking ä Interface arrivals ä Product location

16. Operation / Management Access ä Access to real-time data ä Password protected

17. Maintenance ä Tuning ä Training ä Configuration

18. Maintenance / Tuning ä Valid limits ? ä Review trends ä Review logs

19. Maintenance / Training ä Leak training ä Simulator ä Field test

20. Maintenance / Configuration ä Update pipeline information ä Stations, block valves, etc. ä Instrumentation ä Easy to update or modify existing system ä Easy to add a new pipeline

21. Acquiring a System ä Buying ä Protecting your investment ä Features

22. Buying / System Choices ä Integrated with a SCADA system ä Stand-alone ä Features

23. Buying choices / Integrated ä Replace everything ä Primary business is not leak detection ä Limited offering

24. Buying choices / Stand-alone ä You get to choose what is important ä Vendors more knowledgeable ä Support multiple pipeline systems ä SCADA replacements

25. Buying choices / Features ä User friendly ä Easy to configure and maintain ä Automatic display creation ä Robust performance ä Minimize false alarms ä Transient processing ä Rapid return to normal ä Maintainable by user

26. Protecting your Investment ä Service contract ä Source code

27. Protecting / Service Contract ä Technical backup ä Updates ä Telephone support ä Reduced rates

28. Protecting / Source Code ä Why do you need it? ä Poor service ä Vendor disappears ä Get the real source ä Verify it builds ä Why escrow doesnt work

29. Questions to Consider ä Good fit for your pipeline(s)? ä Can you add operators or pipeline data? ä Can you support system if vendor can't? ä Can the system work with a new SCADA? ä Too good to be true systems

30. Conclusion ä Does not have to be complicated, hard to maintain or use ä Can reduce exposure from a leak ä Enhances performance and safety

31. For additional information: William M. Greenwood, President EnviroPipe Applications Inc. P.O. Box 641 Lake Jackson, TX 77566-0641 Phone: 979-297-8040 Fax: 979-285-2080 bgreenwood@enviropipe.com Rich Newell, President Auspex, Inc. 12475 Gulf Freeway, Suite G1 Houston, TX 77034-4623 Phone: 713-524-3100 epa@auspex-inc.com