Environmental Compliance

GHG Emissions from Midstream Operations

Understand greenhouse gas reporting requirements, emission sources, calculation methodologies, and reduction strategies for pipeline and gas processing facilities under EPA 40 CFR Part 98 Subpart W.

Reporting Threshold

25,000 MT

CO2e/yr triggers Subpart W

Methane GWP

25 (AR4)

EPA default for reporting

Key Regulation

40 CFR 98

Subpart W for petroleum & natural gas

1. Overview & Regulations

The oil and natural gas industry is a significant source of greenhouse gas emissions, with methane being the primary concern due to its high global warming potential. EPA's Greenhouse Gas Reporting Program (GHGRP) requires large emitters to report annually.

Regulatory Framework

Regulation Scope Threshold
40 CFR Part 98 Subpart W Petroleum & Natural Gas Systems 25,000 MT CO2e/yr
40 CFR Part 98 Subpart C General Stationary Fuel Combustion 25,000 MT CO2e/yr
NSPS OOOOa/b New Source Performance Standards Equipment-specific
EPA Methane Rule (2024) Waste Emissions Charge (IRA Sec. 136) Facility-level intensity

Subpart W Applicability

Subpart W applies to the following midstream industry segments:

  • Gathering and Boosting: Wellhead to processing plant
  • Natural Gas Processing: NGL extraction, fractionation, sweetening
  • Transmission and Compression: Interstate/intrastate pipelines
  • Underground Natural Gas Storage: Depleted reservoirs, salt caverns
  • LNG Storage: Import/export terminals
Reporting Obligation: Facilities that emit 25,000 metric tonnes or more of CO2e per year must report via EPA's electronic Greenhouse Gas Reporting Tool (e-GGRT) by March 31 of each year for the previous calendar year.

Reporting Timeline

Milestone Deadline
Data collection yearJanuary 1 – December 31
e-GGRT submissionMarch 31 of following year
Data verification (if required)Within 3 years
Record retention3 years minimum

2. Emission Sources

Midstream facilities produce GHG emissions from six primary source categories. Each has distinct quantification methods under Subpart W.

Diagram: Six GHG emission source categories in midstream operations

Source Categories

Source Primary GHG Typical Contribution
Combustion CO2, CH4, N2O 30–60% of facility total
Venting CH4 (primary) 10–30%
Flaring CO2 (primary), CH4 (slip) 5–20%
Fugitive CH4 (primary) 5–15%
Pneumatic Devices CH4 5–15%
Dehydrator Vents CH4, VOCs 2–10%

Combustion Sources

Stationary combustion equipment includes reciprocating engines (compressor drivers), natural gas-fired heaters, line heaters, reboilers, and emergency generators. These produce CO2 as the dominant greenhouse gas from fuel oxidation, with small quantities of CH4 and N2O.

Venting Sources

Intentional releases of natural gas to the atmosphere occur during blowdowns, emergency relief events, tank flashing, and equipment depressurization for maintenance. Venting is the most potent GHG source per unit volume because methane is released directly without combustion.

Flaring Sources

Flares combust waste gas that cannot be economically recovered. While flaring converts most methane to CO2 (reducing GWP by 96%), the 2–5% uncombusted methane slip can be significant. EPA assumes 98% destruction efficiency as a default.

Fugitive Sources

Unintentional leaks from equipment components including valves, flanges, connectors, pump seals, compressor seals, and open-ended lines. EPA provides average emission factors by component type and service (gas, light liquid, heavy liquid).

Pneumatic Devices

Gas-driven pneumatic controllers and pumps use pressurized natural gas to actuate control valves. High-bleed devices emit approximately 37 scf/hr of methane continuously, while low-bleed devices emit only 1.4 scf/hr.

Dehydrator Vents

Glycol dehydration units produce methane emissions from the regenerator still column vent and flash gas. Flash gas emissions depend on the absorption pressure, circulation rate, and gas composition.

3. Calculation Methods

Combustion Emissions

Combustion emissions are calculated using fuel consumption and emission factors per unit of heat input:

CO2 Emissions: CO2 (kg/yr) = Fuel Volume × HHV × EF_CO2 CH4 Emissions: CH4 (g/yr) = Fuel Volume × HHV × EF_CH4 N2O Emissions: N2O (g/yr) = Fuel Volume × HHV × EF_N2O Total CO2e: CO2e = CO2 + (CH4 × GWP_CH4) + (N2O × GWP_N2O) Where: HHV = Higher Heating Value (Btu/scf or Btu/gal) EF = Emission Factor (per MMBtu)

Venting Emissions

Methane from Venting: CH4 (lb/yr) = Q_vent (scf/hr) × y_CH4 × rho_CH4 × Hours Where: Q_vent = Vent gas flow rate y_CH4 = Methane mole fraction rho_CH4 = 0.0423 lb/scf (at 60°F, 14.696 psia)

Flaring Emissions

CO2 from Combustion: CO2 (lb/yr) = Q_flare × y_CH4 × rho_CH4 × DE × (44/16) × Hours Uncombusted Methane: CH4 (lb/yr) = Q_flare × y_CH4 × rho_CH4 × (1 - DE) × Hours Where: DE = Destruction Efficiency (default 0.98) 44/16 = MW ratio CO2/CH4 = 2.75

Fugitive Emissions (EPA Average Factor Method)

Annual Fugitive Emissions: E (kg/yr) = Σ (Count_i × EF_i × 8760) Where: Count_i = Number of components of type i EF_i = EPA emission factor (kg/hr/component) 8760 = Hours per year

Pneumatic Device Emissions

CH4 from Pneumatic Devices: CH4 (scf/yr) = Σ (N_j × ER_j × Hours) Where: N_j = Number of devices of type j ER_j = Emission rate (scf CH4/hr per device) High-bleed: 37.3 scf/hr Low-bleed: 1.39 scf/hr Intermittent: 13.5 scf/hr
Unit Conversions: 1 metric tonne = 1,000 kg = 2,204.6 lb. 1 short ton = 2,000 lb = 0.9072 metric tonnes. Always convert final results to metric tonnes CO2e for EPA reporting.

4. Emission Factors

Combustion Emission Factors

Fuel CO2 (kg/MMBtu) CH4 (g/MMBtu) N2O (g/MMBtu)
Natural Gas53.061.00.1
Diesel / Distillate Oil73.963.00.6
Propane63.073.00.6
Residual Fuel Oil75.103.00.6

Source: EPA 40 CFR Part 98 Subpart C, Table C-1/C-2

Fugitive Emission Factors (Gas Service)

Component Type EF (kg/hr/component) Annual per 100 Components (MT/yr)
Valves0.026823.5
Connectors / Flanges0.00060.53
Open-Ended Lines0.016514.5
Pressure Relief Valves0.044739.2
Pump Seals0.016014.0
Compressor Seals0.2360206.7

Source: EPA Protocol for Equipment Leak Emission Estimates (EPA-453/R-95-017)

Pneumatic Device Emission Rates

Device Type CH4 Rate (scf/hr) Annual per Device (MT CH4/yr)
High-Bleed Controller37.36.24
Low-Bleed Controller1.390.23
Intermittent Controller13.52.26

Source: EPA Subpart W, Table W-1A

5. Global Warming Potentials (GWP)

The Global Warming Potential converts non-CO2 greenhouse gases into CO2-equivalent units. GWP represents the relative warming effect of a gas compared to CO2 over a specified time horizon (typically 100 years).

GWP Comparison by IPCC Assessment

Gas AR4 (2007) AR5 (2014) AR6 (2021) 20-Year GWP
CO21111
CH4252829.880–84
N2O298265273265

EPA Reporting Requirement: EPA currently mandates IPCC AR4 GWP values (CH4 = 25, N2O = 298) for Subpart W reporting. Using AR5 or 20-year GWP is acceptable for voluntary corporate reporting but not for regulatory compliance.

Why Methane GWP Matters

Methane is a short-lived climate pollutant with a strong near-term warming effect. While its 100-year GWP is 25–30 times CO2, its 20-year GWP is approximately 80 times CO2. This means that methane reductions produce faster climate benefits than CO2 reductions of the same mass.

For a midstream facility venting 10 MSCF/day of methane:

GWP Basis CO2e Impact (MT/yr)
AR4 (GWP=25)~1,600
AR5 (GWP=28)~1,790
20-Year (GWP=80)~5,120

6. Emission Reduction Strategies

Midstream operators can significantly reduce GHG emissions through equipment upgrades, operational improvements, and leak detection programs. Many reductions also capture saleable natural gas, providing an economic return.

Combustion Reductions

  • Engine upgrades: Replace rich-burn engines with lean-burn or electric drives (50–90% reduction)
  • Waste heat recovery: Capture exhaust heat for process heating (10–20% fuel savings)
  • Solar/wind power: Replace gas-fired generators at remote sites
  • Electrification: Replace gas engines with electric motors where grid power is available

Venting Reductions

  • Vapor recovery units (VRU): Capture tank and process vapors (95%+ reduction)
  • Route to flare: If VRU not feasible, route vents to flare (98% conversion to CO2)
  • Reduced-emission completions (green completions): Capture flowback gas during well completions
  • Blowdown recovery: Capture compressor blowdowns to a low-pressure system

Fugitive Emission Reductions (LDAR)

LDAR Method Detection Capability Typical Reduction
Method 21 (EPA)500–10,000 ppm40–60%
OGI Camera (FLIR)Visual detection60–80%
Continuous MonitoringReal-time sensors70–90%
Aerial/SatelliteFacility-level screeningIdentifies super-emitters

Pneumatic Device Conversions

  • High-bleed to low-bleed: 96% reduction per device (37.3 to 1.39 scf/hr)
  • Replace with electric: Zero direct methane emissions from actuator
  • Instrument air systems: Use compressed air instead of natural gas supply

Dehydrator Vent Reductions

  • Flash gas separator: Capture flash gas for fuel use (80–95% reduction)
  • Condensers on still column: Recover heavy hydrocarbons and reduce vent volume
  • Electric reboiler: Eliminate combustion emissions from reboiler
Economic Benefit: Many methane reduction projects pay for themselves through captured gas revenue. EPA estimates that 40–60% of methane emissions can be reduced at a net savings or at less than $15/tonne CO2e.

References

  • EPA 40 CFR Part 98 — Mandatory Greenhouse Gas Reporting Rule
  • EPA 40 CFR Part 98, Subpart W — Petroleum and Natural Gas Systems
  • EPA 40 CFR Part 98, Subpart C — General Stationary Fuel Combustion
  • API Compendium of GHG Emissions Methodologies for Oil & Gas Industry (2009)
  • EPA AP-42, Chapter 3 — Stationary Internal Combustion Sources
  • EPA Protocol for Equipment Leak Emission Estimates (EPA-453/R-95-017)
  • IPCC Fifth Assessment Report (AR5) — Climate Change 2014
  • IPCC Sixth Assessment Report (AR6) — Climate Change 2021