Sustainable Gas Supply
Last winter, National Iranian Gas Company (NIGC) managed to ensure sustainable gas supply. Without any restrictions, operational units processed gas produced in upstream facilities and transferred to consumers.
NIGC dispatching center announced in its monthly report last winter that the supply sustainability of gas transmission and refining facilities almost reached 99 percent.
In another report addressed to a group of European investors and manufacturers during their visit to NIGC, the gas supply sustainability was announced at 99% despite sanctions imposed on Iran.
In order to get more information about the conditions of gas operation units, Iran Petroleum has interviewed Abdol-Hossein Samari, deputy head of NIGC for operation.
Q: Would you please explain about the activities of NIGC Operations Department during last winter?
A: Thanks to activities done with regard to gas supply, we had a smooth winter. According to plans, upstream gas production capacity was expected to increase by 100 mcm and fortunately, 115 mcm of gas was delivered to NIGC and we managed to receive all this gas and feed it into national gas network after processing.
It was maybe the first winter when we had no preoccupation with regard to gas supply to consumers. In addition to housing and business sectors, the power plants and industries also received the necessary gas.
Of course, one may say that last winter was not as cold as the previous years. But had we had a winter as cold as the previous year, we could easily handle gas supply.
Q: NIGC is planned to see upstream gas production increase this year. Is NIGC ready to manage this enhanced production?
A: This year, gas production is envisaged to be increased as consumption is expected to rise in winter and NIGC is ready to deal with this enhanced production in order to feed more gas into national network and deliver it to consumers. We have to take initiatives to build capacity in the gas transmission systems.
We have plans for this year. We coordinate projects with the planning management directorate and the dispatching center. We also make the necessary modifications in the gas transmission network in order to increase the transmission rate.
The projects which are expected to come on-stream this year are related to the Iran Gas Trunkline 8 (IGAT-8), operated by Iran Gas Engineering and Development Company.
Naturally, we do overhaul and perform maintenance in summer, and this year is no exception.
Q: Would you please tell us about planned overhaul?
A: Fortunately, we are nearly 2% ahead of plan in the overhaul of refineries. Regarding transmission pipelines, 71 of 238 turbines operated by this company had to be overhauled. So far, 42 turbines have been overhauled and the rest are expected to be overhauled before the start of cold snap. We predict the turbine overhauls to be over by November. Moreover, pig running is needed in the transmission pipelines. It is already under way. When the pipelines are in operation pig running becomes very difficult, but pig running has been done after certain necessary measures were undertaken.
For the current calendar year, around 3,000 kilometers of pipeline is expected to undergo intelligent pig running. So far, everything has been done as planned. Now, we use 30-inch devices for pig running and we plan to use bigger sizes. Regarding overhaul, the most important thing we should do is to change the coating. But over the past one year, we have tried to focus on quality instead of thinking of coating. We have sought to manage quality.
Q: How much gas did gas treatment companies produce in the first quarter of the current calendar year?
A: Gas treatment plants produced 168 bcm of gas, 25 mcm (150 million barrels) of gas condensate, 1 million tons of ethane, two million tons of liquefied petroleum gas (LPG) and 1.5 million tons of ethane last year. Despite overhaul operations, these companies processed 43 bcm of gas in the first quarter of the current calendar year.
Over the same period, 8 mcm (48 million barrels) of gas condensate, 739 tons of LPG, 253,000 tons of sulfur and 398 tons of ethane were produced.
Although overhaul operations are under way at refineries, production is on the rise. Moreover, the record production was 538 mcm/d, registered in the first month of the current calendar year.
Q: What have treatment companies done for self-sufficiency in components?
A: In this regard, I can refer to the listing of spare parts, effective communications with research centers for acquiring technical knowhow, planning to shift from component manufacturing to equipment making, manufacturing of the sensitive components of air compressors and manufacturing of components for gas seals and mechanical seals. Meantime, the overhaul of gas turbines, which required us to send turbines abroad, is now assigned to domestic manufacturers. We have manufactured two flare tips at Hasheminejad refinery and we are self-sufficient in this regard. Flare tips need to be resistant to heat.
We have also experienced the manufacturing of 24-inch and 42-inch butterfly valves and we have managed to produce more than 50% of chemicals domestically. We have mastered up to 75% of the technical knowhow needed for some of these materials.
The manufacturing of all spare parts of pumps, industrial filters, components of automatic valves and control system cards has been done through reverse engineering.
Above all, NIGC Directorate of Research and Technology, in collaboration with the Research Institute of Petroleum Industry (RIPI), worked on amine formulation. We managed to find the formula for producing this highly consumed chemical substance at refineries.
Amine field test at Masjed Soleyman refinery was positive. But since the test was not difficult at Masjed Soleyman refinery we have decided to conduct a new field test at Ilam refinery in order to examine this formulation under difficult conditions, too.
Today, one of the most important equipment we often use at NIGC is turbine and gas compressor.
In order to domestically manufacture this equipment, NIGC has signed long-term deals with Oil Turbocompressor Company (OTC) and it has taken steps towards domestic manufacturing of turbines.
NIGC have provided this chance to domestic manufacturers and within the framework of establishment of OTC, we distributed responsibilities and finally managed to become self-sufficient in the manufacturing of turbines which we had to purchase from abroad.
We are becoming self-sufficient in the procurement of all equipment by domestic companies and today there is nothing for us to worry about in this part of gas transmission systems. These turbines are even used at refineries.
Q: What has been done for the second phase of Ilam refinery?
A: In this project, it seems that there are acceptable conditions in the upstream sector and NIGC is getting ready for the second phase of Ilam refinery.
Q: What about a 200% increase in feedstock supply to Fajr Jam refinery by South Pars gas reservoir?
A: In order to implement the country’s economic policies and benefit from all capacities and with regards to the Ministry of Petroleum’s prioritization of joint fields, NIGC decided to supply more feedstock to Fajr Jam refinery from South Pars. This project has currently a capacity of 25 mcm.
Q: Would you please tell us about the activities of your office with regard to storage?
A: During the first quarter, 543 mcm of gas was injected into Shourijeh underground storage facility and 477 mcm into Sarajeh underground storage facility. But that is not our maximum capacity and we prefer to use our experience at treatment facilities in Sarajeh so that we would enhance the capacity of the operating units instead of adding a new terrain.
Our recovery and injection capacity is more than what is happening now and that is because what should have been done in parallel in the upstream sector, specifically in the drilling of wells, has not been done. In other words, if the number of upstream wells increases we would be able to bring the storage capacity to over 20 mcm/d, which was around 15 mcm/d last calendar year.
Regarding other projects, Nasrabad project in Kashan and Yourtesha project in Varamin are under study. There are low-risk hydrocarbon fields with better conditions.
Another important project we have under way is Qezel Tappeh. We have first to drill the first well so that we would see the conditions for underground storage. Qezel Tappeh project was defined earlier, but it was started recently.
Due to depth and high pressure, this project has specific conditions. That is why we were also willing to cooperate with Khazar Exploration and Production Company which has already gathered the data of this reservoir in order to revise drilling activities.
Ministry of Petroleum also plans to specify five fields for underground storage. NIGC would help storage operations. These fields are mainly located in the west of the country.
Q: Now, please tell us about exports. Is there necessary infrastructure for enhancing gas exports to Turkey?
A: Tabriz station, which had the capacity of 35 mcm/d of gas, has doubled its output by launching new electroengines. That would facilitate increased gas exports to Turkey at a sustainable level.
Q: Which plans do you have for the sustainability of gas network in the north of the country this year?
A: In order to guarantee sustained gas supply to the north of the country, which mainly stretches from Birjand (a city in northeast Iran) to Gorgan, we plan to launch Dasht station which would be of help to sustained gas supply in the north of the country.