CMR about allocation uncertainty at North Sea Flow Measurement
In times with increased focus on risk minimization and cost-efficiency in the oil and gas sector, it is more important than ever to understand the uncertainty involved in the distribution of produced oil and gas amongst contributing parties, so-called allocation.
Hydrocarbons from different sources are typically mixed during the production of oil and gas. Then the final product is re-distributed to the sources. CMR has a long tradition of working with uncertainty analysis of metering stations and has in the past two years worked on applying our expertise on the analysis of whole allocation systems. As a result of this effort, Senior Scientist Ranveig N. Bjørk presents the paper Analysis of Field and Ownership Allocation Uncertainty in Complex Multi-field Configurations at this year’s edition of the North Sea Flow Measurement Workshop in St. Andrews, UK.
Figure: Distribution of economic risk among owners, for different allocation scenarios.
“In essence, our work deals with the question of how sure you rally can be that you get the slice of the pie you are entitled to. We illustrate how to analyse complex allocation systems and quantify the risk each field and owner is exposed to. This is an important figure, e.g. when you need to take decisions regarding wether or not to invest in a new metering station”, Bjørk explains.
CMR has developed an in-house framework for efficient and accurate modelling of allocation systems, uncertainty calculations and optimization/risk minimization, combining longstanding in-depth domain knowledge of flow metering and state-of-the-art computational methods. The developed approach is fully compliant with the ISO Guide to the expression of uncertainty in measurement (ISO GUM).