IOG Prepares for First Gas

Allocation Engineering and System Implementation in preparation for First Gas

In 2021, IOG were preparing for first gas from the Blythe Hub delivering gas and condensate from two fields through the Saturn Banks Pipeline into the Perenco Bacton Terminal. They required sub-Allocation Agreements and a Production Accounting System to support initial field production in Q4 2021 with the ability to efficiently scale up the asset set as more fields came online.

PHASE 1 — AUG-OCT 2021
PHASE 2 — OCT 2021 - JAN 2022

As part of an integrated project, Accord set up a small team to deliver allocation engineering expertise and system implementation skills on the EnergySys platform. To meet the short timescales (less than 12 weeks), the team focused initially on the requirements for First Gas.

The team worked closely with IOG’s newly-created Operations team to establish and deliver the initial system requirements (Phase 1): 

• Configuration of the asset framework; 

• Capture of metering data;

• Capture of forecasts and submission of Terminal and Buyer nominations;

• Receipt and processing of Terminal allocations for gas and condensate;

• Field, Well and Partner allocation for Production, Sales Gas and Condensate Entitlement;

• Key asset reporting.

In parallel, working with the Commercial personnel in IOG, the team defined and drafted the allocation schedules for inclusion in the commercial agreements.  

This integrated approach provides a number of advantages.  Firstly, the team could generate a model that could be used to test the allocation schedule methods and then be used directly in the implementation.  Misunderstandings between the intent of the schedule and implementation of the software were completely avoided.  Any queries which inevitably arise during the systemisation of the agreement could be resolved quickly.  

Finally, the terms and clauses of the allocation agreements were directly referenced in the system implementation providing clear and transparent auditing of all calculations.

The allocation schedules and system were ready for first gas in under 10 weeks and on budget.

Extended system functionality was then delivered in Phase 2 including: 

• Interface to PI; 
• Extended data validations; 
• Extended monthly reporting; 
• PPRS; 
• Loss Management and Reporting; 
• Direct access to published data for field partners.

The implementation has been configured to ensure that new field developments can be added quickly and efficiently.  Since the initial phases, the Southwark field has been added with minimal changes to the system.  The addition of Southwark took only 5 weeks from start to finish including a review of the commercial agreements. 

Our approach is to construct a small, autonomous team who will deliver the project from start to finish.  Accord ensured that the team remained stable throughout all phases of the project and into support. This approach enables rich collaborative relationships and an efficient delivery.

Experience of the hydrocarbon accounting domain was a critical success factor.  Accord drew on significant reserves of experience and knowledge of relevant allocation regimes and connected transportation systems to deliver the project.

Delivering core functionality for a relatively simple asset configuration does not require lengthy implementation timelines.  Accord has the domain knowledge, experience and system templates to ensure standard components can be deployed quickly alongside more complex specifics for each implementation.