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Title: CHALLENGES IN ALLOCATION MEASUREMENT
Author: Bill Theriot
Source: 2022 International School of Hydrocarbon Measurement
Year Published: 2022
Abstract: The primary goal of the allocator is to provide a fair and equitable allocation to all parties. In order to provide an equitable allocation, produced volumes will need to be corrected for any biases, uses and known losses. All of these happening between the allocation point and the sales point. The second critical goal of the allocator is to minimize any differences between the allocation volumes and the sales volumes to be allocated. By dividing one by the other the result is commonly referred to as the system factor. In a perfect world the allocation factor will be 1.00000. However we do not live in a perfect world. Due to the potential uncertainties and bias (uniformly distributed) related to allocation measurement, allocated quantities may be higher or lower than the custody sales quantity, but still provide fair and equitable measurement. The uncertainties and bias in allocation measurement may come from the metering, sampling, production equipment, and/or the phase quality of the fluid.

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