Energy Transition

Hilko den Hollander and Stefan Kranz, global energy industry managers, KROHNE. (Image source: KROHNE)

In an exclusive article for Oil Review Middle East, Hilko den Hollander and Stefan Kranz, global energy industry managers, KROHNE, discuss the vital role of measurement technology in hydrogen custody transfer

Hydrogen is gaining traction as a versatile energy carrier that can help to decarbonise industries ranging from chemicals to heavy industry. Its applications are diverse, from powering fuel cells to being used as a feedstock in chemical processes. However, the successful integration of hydrogen into the global energy infrastructure hinges on critical aspects, such as precise and reliable measurement technology. From ensuring accurate custody transfer to complying with international standards and avoiding carbon emission penalties, measurement technology is one of the linchpins that holds the hydrogen economy together.

Custody transfer is a vital phase in the supply chain of any energy commodity, involving the precise measurement of the quantity and quality of the commodity being transferred. For traditional hydrocarbons, well-established technologies and standards exist to facilitate this process. However, the introduction of hydrogen and other low-carbon energy carriers necessitates new approaches. Hydrogen's unique properties, including its low density, high diffusivity, and potential for material embrittlement, present significant challenges in production, transportation, and storage. Addressing these challenges requires advanced measurement technologies that can ensure the accuracy and reliability of hydrogen handling, particularly during custody transfer—the point at which ownership of the energy commodity changes hands.

Accurate measurement essential

Accurate measurement during custody transfer is essential for several reasons. Firstly, it ensures that both the buyer and the seller are protected in the transaction, with the correct amount of hydrogen being accounted for. Secondly, accurate measurement is crucial for regulatory compliance, particularly in light of global standards and legislation that govern the hydrogen economy.

Beyond the economic implications, accurate measurement is also critical for ensuring safety in hydrogen custody transfer. The hazardous nature of hydrogen necessitates the use of advanced measurement systems that are not only precise but also equipped with diagnostic and monitoring features to detect potential issues before they escalate. Adherence to global regulations governing the handling and transportation of hydrogen is essential for avoiding legal liabilities and ensuring the safe and efficient transfer of hydrogen.

As the hydrogen economy continues to develop, the role of measurement technology will become increasingly important. The industry is moving towards greater digitalisation and automation, with advanced sensors and data analytics playing a key role in optimising custody transfer operations. Future developments in measurement technology are likely to focus on enhancing accuracy, reliability, and integration with digital platforms for real-time data analysis.

Moreover, as hydrogen production and distribution networks expand globally, there will be a growing need for standardised and scalable measurement solutions.

Companies like KROHNE are developing the advanced technologies needed to address these challenges, providing measurement solutions that are both accurate and compliant with international standards.

By adhering to global standards and leveraging advanced measurement tools, the energy sector can support the safe, efficient, and sustainable transfer of hydrogen, paving the way for a cleaner and more secure energy future.

The full article is published in the latest issue of Oil Review Middle East.

The SLB digital sustainability platform will enable industrial companies to more easily measure, report and verify their emissions. (Image source: SLB)

SLB and Aramco have signed an agreement to co-develop, commercialise and utilise digital solutions to help mitigate greenhouse gas (GHG) emissions in industrial sectors

These solutions will be integrated within SLB’s digital sustainability platform, building on the collaboration announced in 2022. They include Aramco’s in-house Combined Heat Power (CHP) optimisation solution that could potentially improve energy efficiency, and Flare Monitoring System (FMS) solution to mitigate field emissions, as well as a new co-developed decarbonisation planning solution for the forecasting of emissions, and simulating scenarios that aims to determine optimal GHG emissions mitigation pathways. These solutions are expected to leverage SLB’s digital sustainability platform’s security, data management, analytical, and AI capabilities for access at global scale.

Effective emissions tracking

The SLB digital sustainability platform will enable industrial companies to more easily measure, report and verify their emissions in the drive to net zero, not only assisting customers in ensuring compliance but also enabling them to implement more strategic decarbonisation actions, such as enhancing energy efficiency, reducing methane emissions and advancing carbon capture, utilisation and storage (CCUS) initiatives.

“Data is essential to support increasing calls for emissions transparency, and taking decisive actions on decarbonisation investments,” said Rakesh Jaggi, president of Digital and Integration, SLB. “The digital sustainability platform provides the means to leverage data at scale to drive emission reduction outcomes. We aim to expand the SLB suite of solutions with Aramco’s innovative technologies.”

“For several years, Aramco has been working towards mitigating GHG emissions from its operations with its own internally developed technologies,” said Walid A. Al Naeem, Aramco Engineering VP & chief engineer. “This agreement marks another milestone in our partnership with SLB, to bring our innovation and expertise to the global energy and industrial market.”

New research from Rystad Energy highlights the potential of electrification in reducing emissions in the upstream oil and gas industry

Converting upstream oil and gas production facilities to run on electricity powered by renewables or natural gas that would otherwise be flared could cut more than 80% of associated emissions, according to Rystad Energy.

The energy consultancy notes the success of Norway in reducing emissions from rigs and other assets by 86% through electrification, with plans to cut emissions from the continental shelf by 70% by 2040, thanks to its abundant renewable energy resources.

Other producing countries may face logistical barriers when converting assets, including significant distances from the mainland, a lack of power grid infrastructure and limited renewable power capacity.

The role of premium energy basins

‘Premium energy basins’ (PEB) – a term coined by Rystad Energy to describe oil and gas basins with ample hydrocarbon reserves and the potential to incorporate environmentally friendly practices – could play a major role in reducing upstream emissions, with the Middle East home to the top two PEBs. If PEB assets electrify and reduce emissions by 50%, a total of 5.5 gigatonnes of carbon dioxide (Gt of CO2) would be avoided by 2050. The 28 PEBs identified in the report offer estimated total emission savings of about 1.3 billion tonnes of CO2 between 2025 and 2030. The top 10 PEBs (by emissions savings) alone account for over 80% of these savings with the Middle Eastern Rub al Khali (370 million tonnes of carbon dioxide equivalent [CO2e]) and Central Arabian (251 million tonnes of CO2e) leading the rankings. Electrification in these predominantly onshore basins, if adopted more widely, would largely be driven by drawing power from a clean onshore grid.

Electrification requires careful planning, including the selection of optimal technologies, assessment of total costs and strategies to ensure a continuous energy supply, particularly in remote locations with limited grid access.

Economic and financial viability must also be prioritised. A proactive approach to electrification can enhance operational efficiency and open new revenue streams through the sale of excess renewable energy.

“As the world confronts the pressing issue of climate change, the oil and gas industry is under increasing pressure to minimise its carbon footprint and align its practices with global sustainability objectives. Where it’s possible and economically viable, electrification has great potential to lower the industry's emissions while maintaining production output,” said Palzor Shenga, vice president of upstream research with Rystad Energy.

Reducing flaring could also be an effective way of reducing upstream emissions for both electrified assets and assets with limited electrification potential, Rystad notes. Around 140bn cubic metres per annum of gas has been flared globally in the last 10 years, equivalent to around 290mn tonnes of CO2e emissions annually, mainly accounted for by major producers in North America, the Middle East and Africa.

Viking's Cut to Release Packer. (Image source: Viking Completion Technology).

Dubai-based Viking Completion Technology, a leading supplier of well completion equipment and services, has completed a gas storage project in Germany and sees promising opportunities in this growing new energy sector

Viking’s in-house engineering team designed a bespoke 13-3/8” x 9-5/8” (11.600” OD) API 11D1 V0-R Cut to Release Packer suitable for 0-100C temperature range, to address the challenge of the large bore and low-temperature requirements of underground gas storage applications. The specialised packer was then delivered and installed in Germany, the first time the UAE-based team has delivered equipment to Europe’s utilities and energy market.

Viking is looking to build on this success by focusing on gas storage by engaging and supporting new customers in non-traditional energy markets. The company sees potential for a variety of similar projects in Germany, as well as parallel projects across Europe, Oceania, and Asia, aligning with evolving industry trends following an increased demand for suitably validated completion equipment for gas storage applications.

Viking managing director Willie Morrison commented, "As more businesses across the globe focus on energy security and balancing energy demands that vary with environmental conditions, this landscape will continue to expand. Viking is ideally placed to provide the level of excellence and flexibility that these applications and customers require."

Technical Support manager Simon Leiper added, "These projects bring their own unique considerations and challenges. In the past, end users for gas storage applications may have opted for a two-trip completion, utilising a permanent packer and anchor latch, with no validation. Our solution of an API 11D1 V0-R validated Cut to Release packer significantly levels up the specifications and improves operational efficiency, by removing a run, while giving the flexibility to retrieve the completion later.”