ENVIRONMENTAL INNOVATION IN THE OIL AND GAS INDUSTRY


Environmental Panorama
International
September of 2006

Canadian researchers have found a new way to reduce energy consumption and emissions often released by the oil and gas industry.

When natural gas emerges from gas wells, it is saturated with water. This water can cause corrosion that can lead to pipeline leaks or cause formation of hydrate plugs (ice-like solids composed of water and natural gas) that shut off the flow of gas. Gas companies remove the water using glycol dehydrators.

Water from the gas is absorbed in the glycol (an organic chemical often used as antifreeze.) The glycol is then heated, a process known as reboiling, separating the glycol from the water. The water is released into the atmosphere as steam, while the glycol is saved for reuse. This process requires a lot of energy as its key ingredient and often emits harmful compounds, like benzene (a carcinogen), into the atmosphere.
Canadian Environmental Technology Advancement Centres (CETACs) are independent, non-government organizations, helping small and medium-sized enterprises commercialize leading-edge environmental technologies and lessen their environmental impact.

CETAC-WEST, located in Calgary, Alberta, saw an opportunity to reduce energy consumption in glycol dehydrators and contacted RCL Environment Group Ltd. and Amine Experts to develop an easy-to-use process optimization model. The creation of such a model would allow oil and gas field operations to calculate fuel savings and emission reduction available without needing costly computer models.

Rod Leland, Managing Director of RCL, estimates that total annual fuel savings of $50 million and CO2E (carbon dioxide equivalent) reductions of over 350 000 tonnes can be achieved by optimizing Canada's glycol dehydrators.

Glycol dehydrators are initially setup at optimal rates. However, over time, gas production rates and pressures can fluctuate as wells decline and new wells are brought on stream.

Over 3000 glycol dehydrators operate in Canada, providing dramatic opportunities for energy consumption and emission reductions. By reducing glycol circulation rates, less demand is placed on the related reboiler burners. Optimization of glycol dehydrators can reduce energy by as much as 25 per cent and simultaneously reduce benzene emissions without additional capital expenditure.

"This is a classic example of how doing what's right is good for the economy and the environment," says Mr. Leland.

The model developed with CETAC's support is gaining rapid acceptance in the upstream oil and gas industry. A number of operating companies are posting copies on individual dehydrators to assist operators in maintaining optimum operating conditions.

The oil and gas industry's use of this optimization model could also be seen as favourable by regulatory agencies. Benzene is identified in the Canadian Environmental Protection Act as a toxic substance. This enables Environment Canada to take steps, including the potential of developing regulations, to control benzene emissions. The oil and gas industry has agreed first to a voluntary approach, committing to reduce and report benzene emissions to environmental authorities. The optimization of glycol dehydrators is a good example of voluntary reduction of emissions.

Environment Canada has a leadership role in making sustainable development a reality in Canada. An important priority in this regard is the advancement of innovative technologies that address Canada's environmental challenges.

As one of its means to address this priority, Environment Canada has supported the CETACs since 1994, in a partnership that has helped over 2000 small- and medium-sized Canadian enterprises advance the development and use of innovative environmental technologies.

 
 

Source: Inquiry Centre Environment Canada (http://www.ec.gc.ca)
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