The Economic Throughput Range for Various Distances of Pipelining
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Abstract
In working out the overall development plan of an oilfield, the scenario of transportation and marketing and effect on oil price and sales must be taken into consideration seriously. Some limitations of technical economics must be clarified. The economical throughput range for various distances of pipelining is one of such limitations. This paper suggests that on the basis of optimized economical throughput range for diffe-fent diameters of pipeline)the maximum pipelining distance at various throughputs be determined according to the ratio of pipelining cost to oil price. A mathematical model for this purpose is developed. Based on current freight rate of hot-oil pipelines, the maximum pipelining distances at various throughputs are presented for the pipelining cost that makes up 15% and 20%, respectively, of the oil price. Pipelining cost of some foreign pipelines is also introduced.
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