The Important Role LACT Units Perform In The Petroleum Industry

Crude oil and petroleum products are one of the most valuable
commodities on the market.
As such it is important that each and every drop be carefully and
accurately measured when it is being transferred from one party
to another to ensure that everyone gets the compensation that
they deserve.
In order to accomplish this important requirement the oil industry
has developed a sophisticated and invaluable tool:
Lhe LACT Unit.

What Are LACT Units?

LACT is an acronym for Lease Automatic Custody Transfer.

Custody transfer refers to the transportation of the crude oil or
petroleum product from one entitys possession or custody to anothers
possession.
The automatic aspect refers to the automated nature of this transfers,
and the lease references the legal arrangement that is in place
between the two entities.
Essentially a Lease Automatic Custody Transfer (LACT) Unit is a piece
of equipment which facilitates accurate measuring of the volume and
quality of a petroleum product.
It is transferred by automated means from the custody of one legal
entity to another

How Do LACT Units Work?

Different types of LACT units will operate slightly differently;

however the general operation is as follows.

The LACT unit will be connected to an open feedline and stock

tank.
As the crude oil level within the stock tank rises, it trips the level
controller and turns on the LACT Unit, beginning the transaction.

When the crude level drops sufficiently within the stock tank it will
then turn the LACT Unit off again, ending the transaction.

How Do LACT Units Work?

LACT Units may be found in the field connected to a gathering

pipeline, or to a main pipeline.

At some remote locations that are not really accessible by existing

pipelines Truck or Rail LACTs may be used.

Truck LACTs are LACT Units that are used to measure oil as it fills
a tanker truck, while Rail LACTs are LACT Units that are used to
measure oil as it fills a railroad tanker.
These trucks or trains may then transport the crude to a pipeline
or refinery.

Factors Affecting Quality and Quantity of Crude Oil

The main purpose of LACT Units is to accurately measure both the

quantity and quality of the crude oil which passes through them.
An effective LACT Unit must have a high degree of accuracy and
precision and should give results that are repeatable, linear, and stable.

Additionally the LACT Unit should have a high degree of provability

which refers to the ability to prove the meters performance and results
and which affects the overall confidence level in the machine.

The following factors play a significant role in affecting both the quality
and quantity of crude oil.
As such it is crucial that the LACT Unit be able to accurately gauge and
track these:

Temperature
The temperature of the crude oil affects its overall volume as the fluid
expands or contracts in response to temperature change.
However, the way temperature affects crude oil is not uniform across
all crude oil because the crude oil itself is not uniform.

Instead different levels of API gravity will cause the temperature to

have a more or less significant effect on the crude oil.

API Gravity
API Gravity refers to American Petroleum Institute gravity. This is
measurement developed by the American Petroleum Institute which
describes how heavy or light crude oil is in relation to water.
If the API gravity is more than 10 then the crude is light and will float on
water.
If the API gravity is less than 10 the the crude is heavy and will sink.

API gravity determines how much the crude is worth because light
crude will produce a higher yield of gasoline or diesel when it is
refined.

Basic Sediment & Water

Basic Sediment & Water, typically abbreviated BS&W refers to the
sediment, water content, and emulsion in the production stream.

Naturally since these are impurities, and not part of the actual
merchantable oil, they must be carefully measured and factored into
the value accordingly.

LACT units are typically equipped with BS&W probes to collect the
data and BS&W monitors to store and manager the data.