In Problem 12.6.2, assuming the steady-state flow rate of 5000 bbl/hr remains constant for the first 10 years, what is the estimated tariff? Determine the reduction in tariff if the flow rate is increased by 20% for the next 10 years.

Problem 12.6.2

Compare pipeline sizes of 12 in., 14 in., and 16 in. for an application that requires shipments of crude oil from a tank farm to a refinery 30 miles away at 5000 bbl/hr. The tank farm is at an elevation of 350 ft while the refinery is at 675 ft elevation. The pipe MAOP is limited to 1400 psi. Consider 5LX-65 pipe and a 72% design factor. The suction pressure at the tank farm may be assumed at 50 psi and the delivery pressure at the refinery is 30 psi. The pipeline will be operated 355 days a year, 24 hr per day. Electricity cost is 6 cents/kWh.