Crude Oil Production Cost Reduction

Client Overview

A major oil sands company produces viscous bitumen and requires a large daily supply of light hydrocarbon diluent. This diluent is blended with bitumen to manage its viscosity for transportation to markets.

An isolated oil pump stands alone in a vast, empty landscape, highlighting the remoteness of the location

Challenge

The producer's diluted bitumen crude exhibited inconsistent viscosity, leading to excessive diluent usage, which increased operational costs. The over-blending led to significant viscosity giveaway and resulted in pipeline inefficiency, with more capacity taken up by diluent instead of the produced bitumen.

Objectives

  • Achieve consistent diluent blending practices to meet pipeline specs without overuse.

  • Improve viscosity control for more predictable and reliable product quality.

  • Reduce unnecessary diluent costs while maximizing the transport of bitumen in pipeline capacity.

Results

  • reduced fuel usage icon

    barrels per day of diluent usage reduced

    500

  • crude viscosity icon

    reduction in crude viscosity giveaway

    60%

  • bar graph icon

    per year cost savings

    $14M

  • Minimized diluent blending into produced bitumen to achieve crude oil that met pipeline specifications.

  • Significant reduction in viscosity variability helped improved blending confidence and reduced off-spec risks.

  • Developed predictive tools and improved measurement system accuracy to achieve optimal quality control. 

  • Improved pipeline efficiency, maximizing the transport of bitumen to markets.

Get Started Today

Boost your team's skills with our comprehensive services. Contact us to learn how we can empower your workforce and drive success.

Previous
Previous

Reduction of Fuel Quality Giveaway

Next
Next

Fit-for-Risk Solution for Product Delivery