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1. Foro de Lineamientos de Medición
México 2012
The Acceptance of Newer
Measurement Technologies by
Global Regulators
(A Brief Viewpoint)
Philip A Lawrence Director of Business Development
Cameron V&M , Houston TX USA.

2. Foro de Lineamientos de Medición
México 2012
ABSTRACT
This paper will discuss -
• Some of the newer metering devices that are now
being used to solve operational issues.
• Challenges that face world government oil and gas
energy regulators in adopting these newer devices
and applications.
• Standardization

3. Foro de Lineamientos de Medición
México 2012
Newer Metering Technologies
(2- types will be to discussed due to time constraints)
• Ultrasonic Liquid Meters – Fiscal Usage
• Cone Type Differential Pressure Meters –
Gas Allocation and Separator Measurement

4. Foro de Lineamientos de Medición
México 2012
Newer Metering Technologies
Ultrasonic Meters
• Advantages of Ultrasonic Metering Technology
• Acceptance of Technology, Standards
Development & References

5. Foro de Lineamientos de Medición
México 2012
Newer Metering Technologies
Where:
L = Path Length
C = Speed of Sound in the fluid
θ = Angle of sound path to the pipe axis
V = Average velocity along the pipe axis
The solution for fluid velocity is
independent of the speed of sound
(C)
CosTT
TTL
V
downup
downup
)(2
)(

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Tup
Tdown
)( CosVC
L
Tup
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)( CosVC
L
Tdown
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
θ
Ultrasonic Meters
L

6. Foro de Lineamientos de Medición
México 2012
7-22-11 6PR-1004
Ultrasonic Flowmeters – No Longer New
API Chapter 5 Section 2
Measurement of Liquid Hydrocarbons by
Displacement Meters
API Chapter 5 Section 3
Measurement of Liquid Hydrocarbons by Turbine
Meters
API Chapter 5 Section 6
Measurement of Liquid Hydrocarbons by Coriolis
Meters.
API Chapter 5 Section 8
Measurement of Liquid
Hydrocarbons by Ultrasonic
Flowmeters Using
Transit Time Technology
TC28/Sc2 - Measurement
of Petroleum Products

7. Foro de Lineamientos de Medición
México 2012
Not All Liquid USM Meters are Equal
Things to look for in a liquid USM-
• Accurate Geometry in the construction - Why ?
3D expansion of the body can change the path length in a poorly made device
= poorer performance – forged housing better ! (grain structure)
•Transducer Design and Operation
A short ring time whilst generating high dB signal – allows quicker pulse
generation per block of time –in house manufacture gives better QA control.
•Ability to Test Properly on oil - ISO 17025 Laboratory
Multiproduct Testing over Reynolds number range to characterize the meter
Transducer
Housings
RTD Temperature Probe
Caldon USM Device
Robust Manufacture

8. Foro de Lineamientos de Medición
México 2012
World class hydrocarbon
calibration facility
Temperature controlled
 NMi Certified
 ISO 17025 accredited
Traceable to international
standards
+/-0.04% Uncertainty
Not All Liquid USM Meters are Equal
Calibration Laboratory – Caldon USM’s

9. Foro de Lineamientos de Medición
México 2012
Cone Type Meters
High & Static
Pressure (A)
Low
Pressure (B)
Flow
Flow
Computer
Cone Meters are Used by Pemex for Allocation Metering

10. Foro de Lineamientos de Medición
México 2012
Higher Pressure.
Lower Pressure.
Conduit
Flow
L.P Tap
Computational Fluid Dynamics
HP LP RP
Cone Type Meter Flow Paths
Stream Lines Around DP Cone (CFD)

11. Foro de Lineamientos de Medición
México 2012
Low Pressure Port
Boundary Layer
D P
Fluid Linearization and Interaction in the Meter Throat
Keeps the Throat/Body of the Meter Clean by a Fluidic Sweeping Action
(Computational Fluid Dynamics Image - CFD)
Fluid Flow
Common Velocity
Fluid Velocity Vector Interaction
Maximum - Annular
End View
Cone Type Meter Flow Paths

12. Foro de Lineamientos de Medición
México 2012
Generic Cone Meter Geometry – Improvements
Improvement by Some Manufacturers
Smooth Flow
Entry With No
Weld Bead
(prevents jetting)

13. Foro de Lineamientos de Medición
México 2012
Not all Cone Meters Are Equal
Clean Internal finish to reduce surface
roughness / roundness and improve ReD
performance. ( courtesy Cameron V&M)
(Tolerance Per AGA 3 /ISO 5167 meter tube Designs –
(250-300 micro-inches) new idea for this meter type)
Multi-Gussets at the rear of the meter
(better support and strength)
Type B Internal Weld
Flange Weld Removed and Cleaned
(Some Manufacturers)

14. Foro de Lineamientos de Medición
México 2012
Global Regulators Acceptance of Newer
Technology

15. Foro de Lineamientos de Medición
México 2012
Newer Technology History
- Impact of equipment on the O&G business
1980 1990 20001940
Impactonthebusiness(AU)
Start development
Coriolis Meters
UltraSonic Meters
Field introduction
Coriolis Meters
UltraSonic Meters
Field introduction
Multiphase metersMarginal impact on
field developments
Substantial impact
on field developments
Orifice meters
Turbine Meters
PD - Meters
Subsea/fiscal/
sub-surface metering
Start development
Multiphase meters

16. Foro de Lineamientos de Medición
México 2012
Global Regulators Acceptance of Newer Technology
Production Measurement Needs - Who is really involved
Operations
Maintenance free
Calibration free
Moderate accuracy
Trending
Third Parties
Fiscal standards
Accuracy negotiable
Instrument Engineers
What the customer wants
Standards,procedures, etc.
Government Bodies
Fiscal standards
High accuracy
Reliable
Petroleum and
Reservoir Engineers
Moderate accuracy
Trending
Contract and Finance
Fiscal standards
High accuracy
Reliable
Sales parties
Fiscal standards
High accuracy
Reliable
Traceable
Contracts
Custodian ?
Auditable ?
Projects
Options development
Project execution

17. Foro de Lineamientos de Medición
México 2012
Production Measurement
- Organisation
 Preferably in corporate part of the company
 Knowledgeable of the entire metering chain
(from sensor to final report)
 Focal point for companies metering philosophy/strategy
 In-depth technical metering support
(new technology, standards, best practices, allocation
processes, fluid parameter management)
 Liaison with both internal and external parties,
feel for what is required by “customers”
 Company spokesman to 3rd parties and Government
 Execute audits and reviews in the Asset Teams or BU’s
Production Measurement Team

18. Foro de Lineamientos de Medición
México 2012
Global Regulators Acceptance of Newer Technology
Are Not Only -
•Fiscal Standards ! API , ISO , OIML,
•High Accuracy ! Proving System & 3rd Party Auditing
•Reliability ! Meters are not to Defer Taxation
But may also include -
• Allocation Metering – which can be regulated
• Modern fields are increasingly using an allocation
location as a royalty point due to the Field Capacity to
Capex Ratio and the push to obtain Production from
Marginal Fields
• How about the Field End of Life
Major Requirements usually placed by a Government
Regulator on the Oil Company or Field Operator.

19. Foro de Lineamientos de Medición
México 2012
DTI (UK)Approach to Marginal Field
Developments – Since 2000
When reviewing measurement proposals for a
“marginal field”, the DTI (UK DOE) is fully prepared to
relax some measurement requirements in the interest
of encouraging the development of remaining North
Sea oil and gas field potential.
Justification should include the following:
• Relevant field economics
• Measurement options considered
• Costs of various project options

20. Foro de Lineamientos de Medición
México 2012
Uncertainty (Cost or Risk)
Fiscal
(Allocation)

21. Foro de Lineamientos de Medición
México 2012
What are Critical Measurements
For oil wells
1) Net oil flow rate
2) Gross liquid flow rate
3) Water-Cut
4) GOR - Gas/Oil Ratio
5) FGOR - Formation GOR
For gas wells
1) Gas flow rate
2) CGR - Condensate/Gas Ratio
3) WGR - Water/Gas Ratio
In contrast with the
needs of the 80-90’s, which
presented the requirements in
terms of -
Oil, Water and Gas flow rates,
it now becomes clear that often
Water-Cut & GOR are also
prominent parameters.

22. Foro de Lineamientos de Medición
México 2012
Thin Oil Rim Development
Horizontal
Well
GOR –Control is Important
OilProductionbbl/d
2010 2016
120,000
20,000
Production profile
Total oil left
150 * 106 bbl
or
2,250 * 107 US$ 150$/bbl
• With sub-optimum production, e.g.
gas coning/breakthrough
oil is lost and not deferred
• Assume 1% of oil is missed, this is
equivalent to 225 * 106 US$
!! GOR Measurement is Critical
(May Not be Included In the Regulators Scope)

23. Foro de Lineamientos de Medición
México 2012
222
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24. Foro de Lineamientos de Medición
México 2012
High water-cut abandonment - end of life !
Breakeven if
Revenues = Costs
or
oil produced = water treating costs
(1-wc) . QGROSS . 100 = wc . QGROSS . 2
W.C. approx. 98%
Too early shut-in
e.g. real W.C = 97%, measured W.C. = 98% (system error of +1%)
Loss of oil revenues (200 k$/year for a 500 m3/d well)
Too late shut-in
e.g. real W.C. = 99%, measured W.C. = 98% (syst. error of -1%)
Loss due to high water treating costs
Assume:
oil revenue 100 $/m3
water handling 2 $/m3

25. Foro de Lineamientos de Medición
México 2012
Global Regulators Acceptance of Newer Technology
Standards - Accepted by Regulators
API Industry Standards Group – W.g’s by local oil company engineers
API - CPMA - Committee on Petroleum Measurement Allocation – Upstream
API – COGFM - Gas Flow Measurement – Mid & Downstream
API – COLM - Liquid Flow – Pipelines
API – COQM - Quality – sampling etc.
ISO - TC’s have W.g’s and Sub committee members with Country specified
industry experts and usually have Regulator Representatives usually managed
by the country standards body (USA = ANSI ) (UK = British Standards B.S.)
Example -
TC193 Natural Gas Measurement – Administration Holland
TC30 Meter Design Standards – Administration in UK

26. Foro de Lineamientos de Medición
México 2012
Global Regulators Acceptance of Newer Technology
Conclusion
Global Regulators usually work with all parties to facilitate
a common goal which is -
• The Acceptance of New Technologies !
• Working with standardization groups can help to develop
new methods , since the regulator has had a first hand
input into the standard at the start.
• Well or field life strategy is important to make sure
revenues are not reduced by either shutting in too soon or
too late new technologies like multiphase metering and wet
gas systems help this