API Compendium

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API Compendium SANGEA- Greenhouse Gas
Emissions Estimation and Reporting for the Oil
Gas Industry Sector

• PERF Meeting
• July 20-22, 2004
• Grand Forks, North Dakota
• Karin Ritter, American Petroleum Institute

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Overview

• Emissions Estimation Framework
• Guidance and Tools to Promote Consistency
• IPIECA/OGP/API Petroleum Industry Guidelines for
  Reporting Greenhouse Gas Emissions
• API Compendium road-testing 2004 Revisions
• SANGEA Energy GHG Inventory System
• Next Steps

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Emissions Estimation Framework
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Guidelines Overview

• Accounting and Reporting Principles
• Setting the Boundaries
• Designing an Inventory
• Identification of Industry Emissions
• Evaluation of Oil Gas Industry Emissions
• GHG Emissions Reporting
• Inventory Assurance Processes

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Accounting vs. Reporting

• Accounting
• Recognition and consolidation of emissions
• Linking emissions to specific operations,
  locations, processes and owners
• Reporting
• Presentation of data
• Format tailored to needs of users

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Accounting Principles
Completeness Is everything there (and nothing
extra)? Document exclusions. Is there
sufficient information to form opinion
(Materiality)?
Consistency Same approach from year to year?
Document changes
Accuracy Is the number right? Aim to quantify
uncertainties
Transparency How did you get the numbers?
State assumptions and references
Relevance Sufficient and appropriate information
to make a decision?
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Accuracy of Quantification

• Guidelines sets up tiers of expected accuracy
• Tier A 10-30 Uncertainty for EP
• Tier B 20-40
• Tier C 30-60
• Users will determine applicable tiers based on
  data needs
• Expected accuracy tiers provide linkage between
  Guidelines and Compendium
• Cost and difficulty of estimation increase with
  increased accuracy requirements

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Accuracy and Methodologies

• Link between Guidelines and Compendium
• Guidelines Tiers
• Tier A 10-30
• Tier B 20-40
• Tier C 30-60

Improved accuracy Increasing level of effort
and cost
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Estimation Options for Combustion
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API Compendium Features

• Relevant emission factors for estimating GHG
  emissions from oil gas industry activities,
  based on currently available public documents
• Detailed procedures for conversions between unit
  systems, with emphasis on oil gas industry
  standards
• Descriptions of the full range of oil gas
  industry operations
• Exploration and production through refining
• Marketing of products
• Transportation of crude oil, natural gas and
  petroleum products
• Associated emissions sources that should be
  considered.
• Emission inventory examples for selected
  facilities from the various industry segments

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API Compendium road-test

• Combustion devices are significant sources of
  emissions for oil and gas industry operations,
• Appropriate CO2 emission factors are necessary
  for consistent estimation of emissions from these
  sources,
• Quantitative comparison of fossil fuel emission
  factors provides a basis for demonstrating
  potential differences.

• Major findings from comparison study
• Specifying the fuels heating value convention
  used is extremely important in order to ascertain
  the use of appropriate emission factors
• There is wide variability in the fuel-based
  emission factors being referenced and in the
  approach taken to categorizing source types
• There seems to be inconsistent treatment in the
  literature when considering the fraction of fuel
  carbon being converted to CO2

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Comparison of CO2 Emission Factors Gas Liquid
Fuels
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Comparison of CO2 Emission Factors Solid Fuels
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API Compendium At A Glance

• By industry segment
• Exploration and Production
• Transportation
• Distribution
• Refining
• Retail marketing

• By source category
• Combustion emissions
• Storage emissions
• Vented emissions
• Fugitive emissions

• Preferred vs. Alternative methods
• Decision trees to guide method selection
• Sample calculations to demonstrate computational
  approaches
• Case Studies to demonstrate aggregation to the
  facility level

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2004 API Compendium Emission Factors Revisions

• Updated and upgraded CO2 and CH4 emission factors
• Added N2O emission factors
• Enhanced worldwide applicability
• SI and US units
• Country/regional specific emission factors
• Included uncertainty values
• Listed fuel-based CO2 emission factors for both
  HHV (gross) and LHV (net) conventions
• Provided composite country/regional electric grid
  emission factors

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2004 API Compendium Emission Sources Revisions

• Additional petroleum-sector activities
• Minerals and mining operations
• Petrochemical manufacturing
• More detailed, source-specific vented and
  fugitive emission factors
• Additional industry sources
• CH4 tank blanketing
• Produced water
• Exploratory drilling and well testing
• Pipeline pigging
• Natural gas distribution systems

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SANGEA Software

• Gases Included
• Carbon Dioxide
• Methane
• Nitrous Oxide
• Emission Sources Included
• Onsite fuel consumption
• Process emissions
• Flaring
• Venting
• Fugitive Emissions
• Indirect Emissions
• Onsite Waste Treatment

• Organizational Boundaries
• Operated Only
• Equity Basis
• Operational Boundaries
• Direct Emissions
• Indirect Emissions
• Energy export

Designed to be compatible with the Guidelines and
the Compendium
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Example SANGEATM Software Main Menu
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Example SANGEATM Software Main Menu Location
Configuration
Allows specification of operator or equity
ownership
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Example SANGEATM Software Main Menu Source
Module Configuration
Select the sources at your facility
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Example SANGEATM Software Combustion Source
Configuration
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Example SANGEATM Software Combustion Default
Emission Factors
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Example SANGEATM Software Combustion Fuel
Emission Factor Definition
Enter fuel-specific emission factors here
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Example SANGEATM Software Input Data Screen
Enter monthly input data
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Example SANGEA TM Software Summary Chart
-Emissions by Module
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Summary

• Robust methods for calculating, reporting, and
  tracking emissions are essential for
  cost-effectively managing GHG emissions
• Consistent methodologies lend credibility to the
  estimates and enable aggregation and comparison
• Petroleum Industry has taken significant steps
  toward consistency
• Compendium, Guidelines and the SANGEATM Software
  System

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Path Forward

• A series of workshops is planned by API to
  provide training on using the Industry Guidelines
  and the API Compendium
• The SANGEATM software system is available through
  API website
• Periodic updates will be scheduled for the API
  Compendium, Industry Guidelines and corresponding
  updates to the SANGEATM system
• Continued outreach will me maintained to ensure
  consistency
• DOE 1605(b)
• ISO 14064
• IPCC
• Examination of applicability to emission
  reduction projects will be undertaken

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Access to GHG Tools

• Guidelines Document
• http//api-ec.api.org
• or
• http//www.ipieca.org/reporting/ghg.html
• or
• http//www.ogp.org.uk
• Compendium
• http//api-ec.api.org
• SANGEATM software
• http//api-ec.api.org

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Thank You!

• Further Information Contact
• Karin Ritter, API, Washington, DC
• Tel. [phone]
• E-mail ritterk_at_api.org