Evaporation Loss Of Petroleum Theories And Their Application

This paper first pictures the economic phase of evaporation losses and the actual evaporative conditions in handling and storing crude and gasoline in the United States; then follows a discussion of some of the theories of physics involved in evaporation loss and lastly an application of these theories to handling oil and gas on producing properties. GRANTING that about 600,000,000 bbl. of light oil will be produced in the United States this year and taking the Bureau of Mines' statement that 7 1/2 per cent. of the total crude production will be lost before the finished gasoline is shipped from the refinery, the volumetric evaporation will be 45,000,000 bbl. of the cream of the gasoline. This is a conservative figure and is equivalent to 1,890,000,000 gal. The real value of this liquid is at least 150 per cent. of the value of an equal volume of motor fuel. At only 10 c. per gal., the value lost is $189,000,000; at 15 c. per gal. the loss is $283,000,000. If 750,000,000 bbl. of light and heavy oil are produced here this year and the average price per barrel is $1.333, the gross return to producers will be $1,000,000,000 and the net returns about $200,000,000, if the cost of production is only $1 per barrel. Thus, the evaporation bill is about 20 per cent. of the gross income and is equal to the net income of the crude-oil producers. Two other comparisons with popular phases of the petroleum industry will help give an adequate conception of the evaporation problem. These are: cost of preventing evaporation compared to cost of cracked gasoline and volume of gasoline evaporated compared to volume of gasoline manufactured from natural gas.