Oil and Gas Transportation Key Terms

Learn about a few terms commonly found in the oil and gas transportation fields

Oil and gas transportation literally make the world go around. They are the backbone of the world economy as they take oil in its crudest form and transport it to the places that refine it to usable substances. Once refined, oil and gas is then transported by tankers and trucks throughout the world so that our planes, automobiles and home heating systems can all operate properly.

If you're dealing in the oil and gas transportation industry, then it's wise to familiarize yourself with some of the associated terms that you might come across. Here are some of those terms along with some quality resources, which provide further information.

 

Time charter

A time charter refers to a method used for shipping crude oil. The owner of the crude oil company hires the boat for a certain period of time to transport the oil. Also, when crude oil is being shipped via time charter, there is usually more flexibility when it comes to unloading the supply. Meaning the owner of the crude oil company may choose one of several ports in the area that are convenient.
Try: Visit the website for Pacific LA Marine Terminal for further information on how a time charter operates.

Downstream

Downstream refers to the direction that oil is sent while in the crude stage before it has been refined. Oil is said to be harvested "upstream" before being sent downstream. Downstream also refers to the general process of sending the oil through the pipelines.
Try: Visit the website of Exxon Mobil for more information on the process of moving oil and gas downstream.

Batching

Batching refers to the process of sending more than one type of oil through a pipeline. If two types of oil mix at the start or end of a "batch," then they may be refined again once they have finished being transported.
Try: Visit the website for Petro Strategies for further information on batching and how it relates to oil and gas transportation. (The information is toward the bottom of the page).

Hydro Carbon Management Committee 4, HMC-4

Hydro Carbon Management Committee 4 or HMC-4, as it is commonly referred to, is an international committee that seeks the improvement and development of standards and procedures by all companies that are associated with the transportation of oil and gas. The HMC-4 procedures and policies are commonly referred to when dealing with oil and gas transportation companies.
Try: Visit the website for Oil Transport.Info for more information on membership and the policies and procedures of HMC-4 in relation to the transportation of oil and gas.

Marine vapor recovery system

A Marine Vapor Recovery System or MVRS as it's sometimes called, refers to the process of recovering the vapors that escape when liquid oil is transported on and off the tankers. These vapors contain volatile organic compounds, which must be captured by a vacuum type device known as the Marine Vapor Recovery System.
Try: Visit the website for Chevron for further information on how a Marine Vapor Recovery System operates.

Pipeline

A pipeline refers to a wide pipe through which crude oil is transferred on its way to the refining process. Oil pipelines run throughout Alaska, Canada and other oil rich fields bringing the crude substance to a place where it can be made into usable oil and gas.
Try: Visit the website for the Centre for Energy for more information on how oil is transported through pipelines.

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