“Oil and Gas Companies can not profit fully from all of their hard work, marketing plans, mergers and acquisitions,  and efficient pipeline operations without a clearly defined measurement system installation, calibration, training and audit process flowing flawlessly to an effective measurement accounting and allocation system to get paid for the business of producing, transporting, storing, loading  crude oil or refined products.”     
Tom Hayes R.E.T., President, Lambda Measurement Solutions Ltd.

Measurement systems, practices and procedures are the means to which the corporate financial statements are derived for all blending, rail car loading, trucking, pipelining, storage and refining operations.

These systems form the corporate front line cash register, from which custody transfer products are transacted and paid and where upon the effectiveness of pipeline leak detection are  determined.

It is therefore mandatory to have a sound,  well defined measurement design and installation criteria as well as equipment calibration and commissioning procedures, , meter proving processes, staff measurement systems training and measurement audit system in place to ensure the accuracy of this data.

Measurement systems also include any product quality determination that is performed on the commodities you market. These product quality characteristics also impact product pricing and the balance sheet revenue stream. We can assess the uncertainty, repeatability and reproducibility of your existing measurement systems and processes and establish a baseline accuracy statement. Based on this we can make recommendations and specific engineered measurement improvements and/or changes in existing measurement systems calibration and meter proving processes that will reduce this accuracy liability that will impact your bottom line.

We can review the operation of your existing systems and ensure it is in compliance with API best practices and determine if it will meet custody transfer grade measurement as a system.

Subsequently, we can also confirm that your refined products measurement system will meet with the Measurement Canada inspection, verification and approval certification process .

Measurement Canada Approvals website

Crude oil and refined product costs will continue to grow, thus it is important to move today and make the investment in accurate measurement systems and well defined, effective documented procedures and reporting.

This investment will continue to leverage this capital expenditure as commodity prices continue to increase and so do the costs around ineffective volumetric and qualitative measurement policies and systems.