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5.1 Introduction
lines get corroded by mud and microbes. Water and carbon dioxide generated or
injected for secondary recovery in refining process disintegrate the static metallic
fittings, valves, tanks, separators, and finishing strings. The inorganic acids used
for cleaning purpose and lessen manufacturing defects make immense material
and fiscal loss to the oil and gas companies [6]. In brief some common and spe-
cific environments collectively cause eight major forms of corrosion in oil and gas
fields as follows:
(i) Sweet corrosion (CO2 corrosion)
(ii) Sour corrosion (H2 S corrosion)
(iii) Oxygen corrosion
(iv) Galvanic corrosion
(v) Crevice corrosion
(vi) Erosion corrosion
(vii) Microbiological corrosion
(viii) Stress corrosion cracking
Corrosion globally consumes 3–4% of the gross domestic product (GDP) of
industrialized countries per year. Recent National Association of Corrosion Engi-
neers (NACE) international estimates global corrosion loss in oil and gas indus-
tries exceeding US$60 billion annually. Corrosion engineering in these fields con-
cern intensively on special corrosion management methodologies including pre-
vious data collection, analysis, and implementing sophisticated monitoring and
computing techniques [6, 7]. Moreover, research on the nature and impact of
corrosives at different reaction constraints could develop authentic statistical,
mechanistic, and empirical model tools for monitoring and analyzing corrosion,
selection of inhibitors, and material design [8–13]. The existing knowledge on
economic impacts of corrosion focused on oil and gas industries, the current
statistics, and forthcoming pecuniary aspects of effective corrosion inhibition are
conveyed in this chapter.
Corrosion loss virtually causes massive economic and ecological impact on entire
global infrastructure facets. Even though significance and total cost of corro-
sion varies with different industries, some common elements can be recognized.
The manufacturing and operation units that consume energy, material, labor, and
techniques experience remarkable corrosion cost. Maintenance, repair, and cap-
ital costs are also attributed to corrosion. Economic impacts on industries root
to the following consequences [14]:
• Replacement of corroded equipment.
• Overdesign to allow for corrosion.
• Preventive maintenance, for example, painting.
5.2 Corrosion: Global Economic Loss 137
25
Total cost of corrosion
20
15
10
0
Kingdom of United Arab State of Qatar State of Kuwait Sultanate of Kingdom of
Saudi Arabia Emirates Oman Bahrain
Figure 5.1 Total cost of corrosion in Gulf Cooperation Council Countries in 2011. Source:
Adapted from Al Hashem 2011 [17].
100
90
80
Percent of respondents
70
60
50
40
30
20
10
0
No Yes, but to technical Yes, but to bussiness Yes,
requirements only performance only comprehensively
Asia Australia Europe Middle East North America
Figure 5.2 Corrosion management strategy response of organizations from different parts of
the world. Source: Adapted from Koch et al. 2016 [15].
140 5 Corrosion Inhibition in Oil and Gas Industry: Economic Considerations
(a) (b)
Figure 5.3 Notorious accidents in oil and gas fields: (a) Piper Alpha offshore accident. S1.10.
Piper Alpha incident u Sjevernom moru na dan 6. srpnja 1988. (b) Lagos Pipeline Explosion of
December 2006. Source: African Shirt (2006), S1. 2. Slika eksplozije cjevovoda u Lagosu,
prosinca 2006, Izvor: African Shirt (2006).
142 5 Corrosion Inhibition in Oil and Gas Industry: Economic Considerations
Figure 5.4 Domino theory model for corrosion failures. Source: Adapted from Jake 2008 [29].
Production 1372
Transmission-pipeline 6973
Transportation-tracker 2734
Storage 7000
Refining 3692
Distribution 5000
Figure 5.5 Alberta, Canada Production Pipeline Failure Data for 1980–2005. Source: Adapted
from Utilities Board (ERCB) 91-G Report [39].
failures in Alberta, Canada between the years of 1980 and 2005 estimated by
Utilities Board in 2007 [39, 40].
Here also corrosion is the key factor in pipeline failures. The oil and gas industry
have the major role in the total energy production and distribution in the world.
In order to maintain the huge amount of invested assets and minimize associated
environmental impacts, corrosion control is strongly demanded. Moreover, it is
a matter of minimizing failures associated potential hazards.
Fiscal policy, monetary policy, they need to work together to try and raise the
level of growth.
Joe Hockey
Since corrosion adversely affect all component sectors of oil and gas industries,
implementation of effective corrosion management strategies can secure the fol-
lowing benefits:
• Reduction of leaks.
• Reduction of unplanned maintenance.
• Reduction in deferment costs.
• Statutory or corporate compliance with safety health and environmental
policies.
• Increased plant availability.
5.5 Inhibition: Monetary Measures 145
equipment must be factored into any economic evaluation of the use of corrosion
inhibitors. Some costs are often difficult to estimate in the oil and gas industry;
however, the best way is to obtain data on maintenance, replacements, etc. from
the past and make judicious selections [33].
It seems almost impossible to prevent corrosion fully and forever. Instead the cor-
rosion rate may be reduced to a great extent using proper methods. Preventing
corrosion damage can extend the life of equipment and increase the efficiency of
operations. Learning the causes of corrosion and properly specifying the correct
product to prevent corrosion from occurring makes it easier to deal with corro-
sion. While doing this, the primary concern should be the safety of using different
kinds of chemical treatments. Using different kinds of chemicals as anticorro-
sion agents can affect the environment adversely. Long-term use can become a
threat to all kind of living beings. This demands the use of green inhibitors. Recent
studies have revealed the possible applicability of plant extracts as anticorrosion
agents [48, 49]. Many of such inhibitors have shown to be good in oilfields too
[33, 50]. Use of green inhibitors should not be limited to acid wells, but it should
also be promoted in oil/gas industries. This makes it easy for the workers to carry
out the cleaning and anticorrosion treatments and offers a better care for the
nature.
Every year oil and gas industries losses billions of dollars on corrosion and
have to meet the expense for the maintenance management. In fact, the annual
corrosion cost of oil and gas industries are estimated to be US$1.372 billion.
The industries recognize corrosion as the crucial menace to the integrity of
assets of all component sectors. Apart from the direct losses, corrosion causes
severe damages to resources. Treatment of corroded infrastructure leads to
huge expenditures that can be reduced to some extent by using proper corrosion
prevention methods. At the same time great care should be taken to avoid the
use of toxic chemicals. Protection of one should not be done at the cost of
the other. Extended component life is needed to maintain the wide metallic
infrastructure especially in remote and challenging aggressive environments
such that they increase the total service life and reduce the need of costly
maintenance. Corrosion management does not necessarily require to establish
a “zero corrosion rate” system, rather there must be proper monitoring and
inspection plans to assure acceptable corrosion rates allowing the system to
function reliably and safely [51]. The oil and gas industries have material and
personnel investments for corrosion control practices. However, a substantial
gain in corrosion economy will require a synergistic insight from corrosion
monitoring, modeling, and technological communities.
148 5 Corrosion Inhibition in Oil and Gas Industry: Economic Considerations
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