Canada to limit oil, gas methane emissions

May 26, 2017
Oil and gas producers in Canada face new controls on methane emissions under regulations proposed May 25 by the federal government.

Oil and gas producers in Canada face new controls on methane emissions under regulations proposed May 25 by the federal government.

The goal is to cut methane emissions from large oil and gas facilities by 40-45% from 2012 levels by 2025, according to Environment and Climate Change Canada.

According to Canadian-government reports to the Intergovernmental Panel on Climate Change, methane emissions from energy in Canada rose to 2-2.1 million tonnes/year in 2012-15 from 2.9-2 million tonnes/year during 2007-11 but remained below peak levels of 2.5 million tonnes/year in 1997-2000. Production of crude oil and natural gas has increased steadily during that period.

The first of the requirements are to come into force in 2020, the rest in 2023.

The regulations apply to oil and gas facilities producing or receiving at least 60,000 cu m/year of methane.

They target emissions from five main sources:

Fugitive equipment leaks. Upstream oil and gas facilities, except single wellheads, would be required to implement leak detection and repair (LDAR) programs as of Jan. 1, 2020. Regular inspections would be required three times per year, and corrective action would be required if leaks were discovered. Leaks would need to be repaired within 30 days if repairs are possible without shutting down the equipment. If repairs are not possible without shutting down the equipment, the facility operator would be required to schedule a shutdown to take corrective action before the volume of gas from the leak is larger than the volume of gas that would be released by shutting down the equipment. If the facility is located offshore and the equipment cannot be repaired while operating, corrective action would need to be taken within 365 days.

Well completions by hydraulic fracturing. Locations with hydraulic fracturing would be required to conserve or destroy gas instead of venting as of Jan. 1, 2020. The standard would not apply to British Columbia or Alberta, where provincial measures cover these activities.

Compressors. Measurement of the flow rate of methane emissions would be required from sealing systems at least once per year as of Jan. 1, 2020. Corrective action would be required if those emissions exceed 0.023 cu m/min for reciprocating compressors and 0.17 cu m/min for centrifugal compressors. All newly installed compressors would be required to capture gas from sealing systems.

Facility production venting. Upstream oil and gas facilities would be required to limit vented volumes of methane to 250 cu m/month as of Jan. 1, 2023. These facilities would need to capture the gas and either use it onsite, reinject it underground, send it to a sales pipeline, or route it to a flare. Facilities that vent less than 40,000 cu m/year without destroying or selling any gas would not be required to destroy or conserve the gas.

Pneumatic devices. Controllers with a total compressor power rating of at least 745 kw would be prohibited from emitting methane as of Jan. 1, 2023. Other facilities would be required to use low-emitting pneumatic controllers. Pumps would be prohibited from emitting methane or be equipped with an emissions-control device at facilities where liquid pumping exceeds 20 l./day of liquid as of Jan. 1, 2023. Permits for pneumatic pumps would be available when it is technically or economically infeasible for a facility to comply.