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News Release July 19, 2002
FOR IMMEDIATE RELEASE
EUB RELEASES 2001 FLARING & VENTING INDUSTRY PERFORMANCE REPORT: FLARING REDUCED BY 53%, COMBINED FLARING AND VENTING REDUCED BY 32%
CALGARY (July 19, 2002) - The Alberta Energy and Utilities Board (EUB) has released its annual Upstream Petroleum Industry Flaring and Venting Report for the year 2001. This is the third year of the report, which measures performance as a result of requirements initiated by the EUB in 1999 to reduce upstream petroleum industry flaring and venting and encourage further gas conservation. The EUB reports that in 2001, flaring of solution gas in Alberta has been reduced by approximately 53% from the 1996 "baseline" level, far exceeding the 25 reduction target for 2001, and improving upon the 38% reduction recorded in 2000 (see table).
|
Solution Gas Flaring Reduction Schedule (1996 baseline) |
|
Year |
Firm Target Reduction (%) |
Actual Reduction (%) |
|
1999 |
None established |
30% |
|
2000 |
15% |
38% |
|
2001 |
25% |
53% |
- Progress has also been made reducing volumes of solution gas being vented, primarily at bitumen wells. The volume of solution gas venting recorded in 2001 was 639 million cubic metres (106 m3), a decrease of 13 % from the year 2000 figure of 735 106 m3.
- There was a 32 % reduction in combined flared and vented volumes of solution gas from 1996 volumes.
- Conservation of Alberta's solution gas resource increased in 2001 to 94.1% from the 2000 level of 93.1%. This equals the all-time conservation record of 94.1%, established in 1999.
- Solution natural gas is a greenhouse gas. Its components include methane, ethane, propane, butane, pentanes plus, nitrogen, water vapour and carbon dioxide.
In April 2002, the EUB was invited by the World Bank to speak before its Global Gas Flaring Reduction Conference in Oslo, Norway. A paper on the conference references the success the EUB, the Clean Air Strategic Alliance (CASA) and Albertans have enjoyed as a result of the inclusive multi-stakeholder approach taken by the EUB to solution gas flaring reduction, along with the cooperation shown by industry. Also noted were the EUB's strenuous attempts at accurate data collection which ensures proper results analysis.
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This news release and backgrounder, Statistical Series 2002-60 Upstream Petroleum Industry Flaring and Venting Report, and GB 2002-05 "EUB Requirements For Evaluation of Solution Gas Vent Gas Conservation" are available on the EUB Web site at http://www.ercb.ca
For further information please contact:
Greg Gilbertson, Section Leader
EUB Communications
Tel: (403) 297-3648
E:mail: greg.gilbertson@gov.ab.ca
NR 2002-16
Backgrounder
The work of the Clean Air Strategic Alliance (CASA) and the development of clear requirements which are found in the Alberta Energy and Utilities Board's (EUB's) Upstream Petroleum Industry Flaring Guide (Guide 60), have resulted in significantly less gas being flared in the province of Alberta.
In addition, a significant decrease in venting of solution gas has also been recorded. Solution gas is natural gas that is produced with crude oil this gas is "entrained" within the liquid crude oil that is produced across the province.
In 2000, the issue of solution gas venting prompted the EUB to initiate additional measures designed to achieve a reduction in vented volumes. This resulted in the May 16, 2002 release of GB (General Bulletin) 2002-05 EUB Requirements For Evaluation of Solution Gas Vent Gas Conservation. This GB calls for the Alberta petroleum industry to begin the economic conservation evaluation of certain vent sources by specified deadline dates, with an aim to reducing or eliminating venting in favour of conservation of the solution gas resource.
As can be seen on the chart below, conservation of Alberta's solution gas resource increased in 2001 to 94.1 percent (solid line) from the 2000 level of 93.1 per cent. This equals the all-time conservation record of 94.1 per cent first established in 1999.
As well, 2001 flaring and venting volumes (dashed line) of solution gas show a significant 20 per cent reduction from the year 2000.
OTHER FLARING REDUCTION SUCCESSES
Yet another significant reduction has occurred in well test flaring. Flaring volumes associated with well testing dropped from 335 106 m3 in 2000 to 326 106 m3 in 2001. While this is only a 3 per cent decrease in volume, well tests increased from 7,026 to 8,657 an increase of 23 per cent in well testing. Overall, while well tests increased by 23 per cent, test flaring decreased by 3 per cent a significant accomplishment, achieved in the best interests of Albertans.
Flaring and venting at gas plants also decreased by 19 per cent, from 196 106 m3 , to 159 106 m3 . This was due to fewer gas plants flaring large volumes of gas as a result of EUB Guide 60.
In the new Upstream Petroleum Industry Flaring and Venting Report, the EUB also continues to rank Alberta petroleum companies based on flared solution gas, vented solution gas, total solution gas production and total oil production from crude oil and crude bitumen batteries.
Two additional tables have been included in the report. One shows the top 25 solution gas producers in Alberta, and highlights their conservation performance. The table also indicates their production volumes as a percentage of the provincial total. This table shows that these 25 companies account for 37,112 wells, or 64.7 per cent of all the oil wells in Alberta, with a solution gas conservation average of 95.4 per cent.
The second table lists the top 25 companies that vent solution gas, and notes that they also have an overall high gas conservation average of 93.4 per cent.
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This news release and backgrounder, Statistical Series 2002-60 Upstream Petroleum Industry Flaring and Venting Report, and GB 2002-05 "EUB Requirements For Evaluation of Solution Gas Vent Gas Conservation." are available on the EUB Web site at http://www.ercb.ca
For further information please contact:
Greg Gilbertson, Section Leader
EUB Communications
Tel: (403) 297-3648
E:mail: greg.gilbertson@gov.ab.ca
