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addressing uncertainty in oil and natural gas industry greenhouse

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the operations not conta<strong>in</strong>ed <strong>in</strong> traditional; “facilities”. Additionally, companies operations tend to<br />

encompass many jurisdictions, which adds to the complexity of compil<strong>in</strong>g an emission <strong>in</strong>ventory.<br />

Therefore, data availability may be different among <strong>in</strong>dustry sectors <strong>and</strong> regions due to a given sector’s<br />

operational considerations <strong>and</strong> local requirements.<br />

The <strong>uncerta<strong>in</strong>ty</strong> associated with CO 2 emissions from combustion would be primarily attributable to<br />

variation <strong>in</strong> the composition of combusted fuels <strong>and</strong> their respective consumption rates (or total volumes).<br />

For quantification of combustion emissions, quality data are typically available for <strong>in</strong>dustry facilities <strong>in</strong><br />

all sectors, though significant effort may be required <strong>in</strong> order to collect data for smaller operat<strong>in</strong>g<br />

<strong>in</strong>stallations that are spread out <strong>in</strong> multiple locations.<br />

Moreover, s<strong>in</strong>ce a large fraction of <strong>in</strong>dustry operations rely on self-generated, if is the knowledge of the<br />

carbon content of such fuels that is at the root of determ<strong>in</strong><strong>in</strong>g their associated CO 2 emissions. For the<br />

exploration <strong>and</strong> production sector, the composition of these self-generated fuels may vary with the nature<br />

of the produc<strong>in</strong>g formations, while for ref<strong>in</strong><strong>in</strong>g it will depend on the composition of the crude <strong>oil</strong><br />

processed <strong>and</strong> the slate of products manufactured. On the other h<strong>and</strong>, for <strong>natural</strong> <strong>gas</strong> transmission <strong>and</strong><br />

distribution operations, <strong>gas</strong> quality <strong>and</strong> its composition are expected to adhere to contract requirements<br />

<strong>and</strong> would vary only with<strong>in</strong> a narrow specifications range. Hence, the use of average fuel compositions<br />

data has to be evaluated when compil<strong>in</strong>g an emission <strong>in</strong>ventory s<strong>in</strong>ce it might result <strong>in</strong> wide <strong>uncerta<strong>in</strong>ty</strong><br />

ranges for some sectors <strong>and</strong> operations, while they might be perfectly acceptable for others.<br />

A different set of parameters is important for underst<strong>and</strong><strong>in</strong>g emissions associated with process vents <strong>and</strong><br />

fugitive emissions. For many of the large process units that are found <strong>in</strong> ref<strong>in</strong>eries <strong>and</strong> <strong>natural</strong> <strong>gas</strong><br />

process<strong>in</strong>g plants, numerical models (equations) are available for estimat<strong>in</strong>g these emissions. For highpressure<br />

pipel<strong>in</strong>es transmitt<strong>in</strong>g <strong>natural</strong> <strong>gas</strong> over long distances, the ma<strong>in</strong> GHG emissions are due to<br />

reciprocat<strong>in</strong>g eng<strong>in</strong>es <strong>and</strong> turb<strong>in</strong>es, vent<strong>in</strong>g due to <strong>gas</strong> blow-down, <strong>and</strong> fugitive emissions associated with<br />

leak<strong>in</strong>g pip<strong>in</strong>g components. For low-pressure <strong>gas</strong> distribution, most of the GHG emissions come from<br />

compressors <strong>and</strong> leaks from <strong>gas</strong> distribution ma<strong>in</strong>s <strong>and</strong> associated equipment. Quantify<strong>in</strong>g emissions, <strong>and</strong><br />

their associated <strong>uncerta<strong>in</strong>ty</strong> ranges, for vent<strong>in</strong>g <strong>and</strong> fugitive emissions <strong>in</strong> the exploration <strong>and</strong> production<br />

sector poses a real challenge. These emissions could be quite significant for high-pressure uncontrolled<br />

<strong>natural</strong> <strong>gas</strong> production operations or m<strong>in</strong>iscule for controlled <strong>oil</strong> <strong>and</strong> associated <strong>gas</strong> production.<br />

For vented emissions, operators <strong>in</strong> the U.S., as well as other jurisdictions, typically ma<strong>in</strong>ta<strong>in</strong> required<br />

records for report<strong>in</strong>g (<strong>and</strong> archiv<strong>in</strong>g) <strong>gas</strong>-vent<strong>in</strong>g <strong>in</strong>cidents. However, U.S. reports of “lost <strong>and</strong><br />

unaccounted for <strong>gas</strong>” from <strong>natural</strong> <strong>gas</strong> pipel<strong>in</strong>es typically account from both vented <strong>and</strong> fugitive<br />

emissions. Therefore, disaggregat<strong>in</strong>g the data would be required <strong>in</strong> order to derive a separate average<br />

emission factor for vent<strong>in</strong>g <strong>in</strong>cidents only. When it comes to fugitive emissions from equipment leaks,<br />

Pilot Version, September 2009 2-4

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