Joint SPC-APEC Training Workshop on Energy Statistics and Modeling for the SDG7 and the COP21 INDC Energy Targets 20-23 June 2016 Port Moresby Oil Statistics Edito Barcelona Energy Statistics and Training Office Asia Pacific Energy Research Centre Outline • Introduction A few concepts e.g. refining, units, conversion, etc • Definitions of Products Primary Products Secondary Products • Definitions of Flows Primary Supply Transformation Final Consumption 2 Oil and Oil Products • 25 product categories: • crude oil, NGL, refinery feedstocks, additives/oxygenates, biofuels, other hydrocarbons, • ethane, refinery gas, LPG, naphtha, motor gasoline, biogasoline, aviation gasoline, jet gasoline, jet kerosene, other kerosene, gas/diesel oil, biodiesel, fuel oil, white spirit, lubricants, bitumen, paraffin waxes, petroleum coke and other products. 3 Primary Oil Products 4 Crude Oil • 1. Crude Oil Oil is a mineral oil of fossil origin extracted by conventional means from underground reservoirs, and comprises liquid or near- liquid hydrocarbons and associated impurities such as sulphur and metals. It exists in the liquid phase under normal surface temperature and pressure, and usually flows to the surface under the pressure of the reservoir. This is termed “conventional” extraction. Crude oil includes condensate from condensate fields, and “field” or “lease” condensate extracted with the crude oil. • Issues and Difficulties in reporting Crude Oil • Usually there are not too many problems in applying the definition. Quality: crude oil can be of varying quality, colour, viscosity and mineral content. The two main factors determining the quality are the density and the sulfur content. Density: Heavy crudes will yield less light products and are therefore in general of lesser quality. Sulfur content: Similarly, high sulfur crudes need desulphurization and are often less valuable. Terms uses for high sulfur crudes is sour crudes, low sulphur are sweet crudes. NGL • 2. Natural Gas Liquids (NGL) NGL are a mixture of ethane, propane, butane (normal and iso), (iso) pentane and a few higher alkanes collectively referred to as pentanes plus. NGL are produced in association with oil or natural gas. They are removed in field facilities or gas separation plants before sale of the gas. All of the components of NGL except ethane are either liquid at the surface or are liquefied for disposal. • Issues and Difficulties in reporting NGL Quite a lot of difficulties occur when reporting NGL: Natural gas liquids encompass a variety of hydrocarbons from ethane to pentanes but not methane (natural gas). They are produced from gas wells, and are separated in gas processing plants. This is because NGLs are produced have usually more value on their own than when left in the natural gas. After NGLs are removed from natural gas, they are reprocessed in a unit called a fractionator to break them out for individual sale as propane, butane and other products. Problem: how to report NGL which is not used as feedstock in refineries. Crude oil and NGL Natural Gas (Dry) GAS QUESTIONNAIRE Separation facilities / Natural Gas Gas processing (Wet) plants Non Hydrocarbon Gases Ethane Propane NGL Butane Pentane Oil Gas Pentane plus well well Crude Oil Refinery NGL Reporting Direct Use Market Ethane Gas processing Separation Propane LPG plants NGL facilities Butane Pentane Pentane plus Refinery Intake Refinery Refinery Feedstocks • 3. Refinery Feedstocks Refinery feedstocks are oils or gases from crude oil refining or the processing of hydrocarbons in the petrochemical industry which are destined for further processing in the refinery excluding blending. Typical feedstocks include naphthas, middle distillates, pyrolysis gasoline and heavy oils from vacuum distillation and petrochemical plants. • Issues and Difficulties in reporting refinery feedstocks Refinery feedstocks are unfinished oil products There is no primary production of feedstocks. Refinery output over and above the previous time period refinery production is reported as a stock build, a lower production is reported as a stock draw. Stock changes include also net additions or withdrawals from trade. Additives/Oxygenates • 4. Additives/Oxygenates • Additives and oxygenates are compounds added to or blended with oil products to modify their properties (octane, cetane, cold properties, etc.). Examples of these products are: • oxygenates such as alcohols (methanol, ethanol) and ethers such as methyl tertiary butyl ether (MTBE), ethyl tertiary butyl ether (ETBE), tertiary amyl methyl ether (TAME); • esters such as (e.g., rapeseed or dimethylester, etc.) and • chemical compounds such as tetramethyllead (TML), tetraethyllead (TEL) and detergents. Some additives and oxygenates may be derived from biomass while others may be of hydrocarbon origin. • Issues and Difficulties in reporting additives/oxygenates Quantities of ethanol reported in this category should relate to the quantities destined for fuel use. Biofuels • 5. Biofuels • Biofuels such as biogasoline and biodiesel are blended into gasoline and diesel straightly or at refinery plant. • Biogasoline consists of bioethanol, biomethanol, BioETBE and bioMTBE • Biodiesel consists of biodiesel, bio-dimethylether, fischer tropsh and cold pressed biooil. • Issues and Difficulties in reporting biofuels All biofuels are also oxygenates – so avoid double counting. Biofuels reported here should only reflect these quantities which will be blended with oil products. Biofuels for other uses should be reported under renewable energy. Other Hydrocarbons • 6. Other Hydrocarbons Other hydrocarbons are non-conventional oil and hydrogen. Non-conventional oils refer to oils obtained by non-conventional production techniques, that is oils which are extracted from reservoirs containing extra heavy oils or oil sands which need heating or treatment (e.g., emulsification) in situ before they can be brought to the surface for refining/processing. They also include oils extracted from oil sands, extra heavy oils, coal and oil shale which are at, or can be brought to the surface without treatment and require processing after mining (ex situ processing). Non-conventional oils may also be produced from natural gas. Hydrogen, although not a hydrocarbon, is included unless it is a component of another gas. • Issues and Difficulties in reporting Other Hydrocarbons Imports of emulsified oils (e.g. Orimulsion) should be reported as imports of 'Other Hydrocarbons‘. These oils do not need further processing in a refinery and can be used as`Bitumen'. Any production of emulsified oils should appear as indigenous production of 'Other Hydrocarbons'. Report all quantities in physical weight of the emulsion (i.e. including the water content). Shale oil: only the liquid output of the oil shale production process Secondary Oil Products 13 Refinery Gas • 7. Refinery Gas (not liquefied) Refinery Gas includes a mixture of non-condensable gases mainly consisting of hydrogen, methane, ethane and olefins obtained during distillation of crude oil or treatment of oil products (e.g., cracking) in refineries or from nearby petrochemical plants. It is used mainly as a fuel within the refinery. • Issues and Difficulties in reporting refinery gas It is a mixture of many different gases, relatively rich in energy Most refinery gas is used as fuel for plant operations Trade in refinery gas is very rare There are no stocks held of refinery gas It is very difficult to quantify the volume and mass of refinery gas produced and used. Conversion from barrel to ton used by IEA is 8 bbl/ton Ethane • 8. Ethane Ethane is a naturally gaseous straight-chain hydrocarbon (C2H6). Ethane is obtained at gas separation plants or from the refining of crude oil. It is a valuable feedstock for petrochemical manufacture. • Issues and Difficulties in reporting Ethane When produced as part of NGLs, it is mainly available in NGL producing countries. LPG • 9. Liquefied Petroleum Gases (LPG) LPG refers to liquefied propane (C3H8) and butane (C4H10) or mixtures of both. Commercial grades are usually mixtures of the gases with small amounts of propylene, butylene, isobutene and isobutylene stored under pressure in containers. • Issues and Difficulties in reporting LPG LPG Volume to Mass conversion is variable for most countries, depending on the combination of use between propane and butane. IEA uses a 40/60 split of propane and butane Confusion often arises with NGL. When it is traded as a finished product, i.e. propane or butane, then it should be reported as LPG. Naphtha • 10. Naphtha Naphtha refers to light or medium oils distilling between 30oC and 210oC which do not meet the specification for motor gasoline. The main uses for naphthas are as feedstock for high octane gasolines and the manufacture of olefins in the petrochemical industry. Naphtha imported for blending is reported as an import of naphtha, then shown on the inter-product transfer row, as a negative entry for Naphtha, and a positive entry for the corresponding finished product. • Issues and Difficulties in reporting naphtha 2 main uses of naphtha: gasoline blend stock and petrochemical feedstock. Motor Gasoline • 11. Motor Gasoline Motor gasoline consists of a mixture of some aromatics (e.g., benzene and toluene) and aliphatic hydrocarbons in the C5 to C12 range. The distillation range is 25oC to 220oC. Additives are blended to improve octane rating, improve combustion performance, reduce oxidation during storage, maintain cleanliness of the engine and improve