Petroleum Economics - Engineering Economics of Long Petroleum Pipe Lines (T. P. 1433, with discussion)

Much has been written and said recently about the methods used and materials and equipment employed in building the long tubes that criss-cross a great part of the United States, like the pattern of a spider's web. This paper will discuss the fundamentals of design of these lines from the economic as well as the engineering viewpoint, pointing out the effect of the volumes transported, and the load factor, on the unit costs of transportation, as well as the effects on costs of the character 01 the fluids the lines are called upon to handle. Generally speaking, crude-oil pipe lines carry oil from the producing fields to the refineries. Sometimes part of the journey is by pipe line to a coastal point and tank ships are employed for the rest of the trip. The main lines of directional flow of crude oil through pipe lines in the United States are shown on Fig. I, but this, of course, does not always show individual pipe lines. Basic Formula for Flow OF Crude Oil The laws governing the flow of crude oil through pipes are well known. The basic