Is Your VRU Lease Expiring? It Might Be Time to Re-Evaluate Your Vapor Recovery Needs.

As oil and gas wells mature, production volumes decline naturally. This change in output can render the original equipment choices—like Vapor Recovery Units (VRUs)—inefficient, oversized, or simply outdated. Regularly re-evaluating your VRU needs can provide multiple benefits, from cost savings to improved environmental compliance.

If your current lease is expiring soon, it might be a good time to take a second look at your needs and right-size your VRU.

This blog covers the importance of revisiting your VRU requirements and why right-sizing to a smaller, more efficient VRU might be an ideal solution as production levels off.

Understanding the VRU's Role in Well Site Efficiency and Compliance

VRUs play a critical role in oil and gas production by capturing and recycling vapors that would otherwise be lost to the atmosphere. The captured vapors can then be processed or sold, transforming a waste stream into revenue. This dual-purpose benefit has made VRUs a key component in facility design for both compliance with environmental regulations and enhanced profitability.

But as well sites experience natural production declines, the VRUs that were once optimal may now be oversized, less efficient, and costly to operate. Right sizing these units allows for optimized performance in line with current production levels.

Why It Might Be Time to Re-Evaluate Your VRU Needs

Several key factors indicate when it’s time to reassess and potentially adjust the VRU setup at your well site:

Production Decline and Over-Capacity. As oil and gas wells age, production naturally declines. A VRU originally sized to handle high vapor volumes may now be working far below its capacity, leading to inefficiencies. Oversized units not only waste energy but can incur unnecessary maintenance costs from frequent start/stop cycles that cause excessive wear and tear. Downsizing to a VRU with capacity aligned with current production levels can significantly improve operational efficiency, minimize the risk of downtime, and reduce operational cost.
Operational Cost Reduction. Operating an oversized VRU incurs excess costs resulting from greater energy consumption, wear and tear, and maintenance needs. Swapping out a larger unit for a smaller one better suited to your reduced vapor output minimizes power usage, reduces power costs, and extends equipment life.
Enhanced Efficiency and Performance. Today’s VRU technology offers advances in efficiency, reliability, and environmental impact. Right sizing a unit ensures that it’s operating within its optimal range, capturing vapors effectively. Newer, smaller VRUs can often capture a larger percentage of vapors compared to an outdated, oversized unit operating below peak efficiency.
Lower Capital Expenditure (CapEx) and Reduced Footprint. Moving a large VRU from an older well to a new well, and replacing it with a new, smaller and less expensive model can reduce capital investment while maintaining essential functionality. Additionally, a smaller VRU occupies less physical space on-site, providing a more streamlined facility layout and freeing up space for other critical infrastructure.
Environmental Compliance and Reduced Emissions. As environmental regulations tighten, particularly around emissions, compliance can become a more costly and complex component of operations. An oversized VRU operating below capacity is more likely to have inefficiencies that could lead to leaks or sub-optimal vapor recovery rates and a higher likelihood of failure, resulting in a shut-in or excessive flaring. Downsizing helps ensure your VRU captures the maximum possible amount of vapor, minimizes flaring, and maintains regulatory compliance.

The Process of Re-Evaluating Your VRU Needs

Undertaking a VRU assessment involves a thorough examination of production data and VRU performance. Here are the main steps to consider:

Analyze Current Production Data. Begin by examining current production rates to determine if the original VRU capacity still meets your needs. Data on production rates, pressure, and temperature, are all useful in assessing VRU requirements. If the VRU was initially installed when the well was new and it has been on site for two or three years, there is a good chance it is now oversized and not operating efficiently.
Evaluate VRU Performance. Look at metrics such as uptime, capture efficiency, and energy usage. Assess if the VRU is consistently operating below its capacity or failing to reach peak efficiency. This step may reveal hidden costs of an oversized VRU, such as maintenance issues and increased downtime. Remote monitoring can significantly streamline data analysis and performance optimization. LEARN MORE: Remote Monitoring Made Easy – PULSE™ Remote Monitoring
Consider Modern VRU Alternatives. New VRU technology offers improvements in remote monitoring and performance tuning. Additionally, innovations in VRU design can provide greater flexibility and ensure that the VRU is a closer fit for current production levels.
Cost-Benefit Analysis. Estimating potential savings can provide a strong business case for downsizing. Consider reduced energy costs, decreased maintenance, lower capital investment in future replacements, and possibly even enhanced revenue from improved vapor capture. Many companies find that even a small increase in efficiency can yield substantial savings over time.
Consult with VRU Specialists. Consulting with VRU experts can help ensure that the unit chosen aligns with both the current and projected needs of the well site. Specialists can assess factors unique to your site, from geographic and environmental conditions to gas composition and production profiles.

Benefits of Right-Sizing Your VRU

Once you’ve reassessed your VRU needs and made the move to downsize or upgrade, the benefits become clear:

Lower Operating Costs. A smaller, more efficient VRU uses less power, requires less maintenance, and can lower operational expenses to help extend the economic life of the well or pad.
Improved Vapor Capture. Operating within the correct capacity range can capture more valuable, BTU-rich tank vapors, enhancing both compliance and profitability.
Extended Equipment Life. VRUs that run closer to their optimal capacity experience less wear and tear, resulting in longer operational life and reduced risk of downtime.
Enhanced Facility Layout: Smaller units mean a reduced footprint, allowing for more effective facility layouts and potentially more efficient workflows on-site.

The Platinum Control VRU Advantage

Platinum Control VRUs typically move 30% more gas than competing alternatives with the same horsepower rating.

Additionally, Platinum Control’s premier engineering team is experienced at designing, developing and operating solutions for maximizing the efficiency of vapor and natural gas recovery as well as emissions control. We start with our proven high-efficiency VRU designs and include custom upgrades to fit your specific application. We use only high-quality materials, and technology, including PULSE™ remote monitoring.

Benefits of choosing Platinum VRUs include:

Proven Expertise. We excel in conceptualizing, refining and implementing top-tier VRUs that set industry benchmarks for efficiency and performance.
Lower Capital Outlay Boosts Economic ROI. We can leverage the economies of scale of our manufacturing capacity and pass along the savings to you, helping conserve capital and boosting ROI.
Reduced Maintenance and Repair (Higher Uptime). Right-sized, more efficient units are subject to less stress and wear and tear on components and seals.
One-Stop Shop. One-stop shop for design, consulting, code vessels, components, fabrication, quality control, automation, startup, operation, service and maintenance.

Conclusion: Regular Re-Evaluation is Key to Sustained Well Site Success

For operators of oil and gas facilities, a "set it and forget it" approach to equipment choices can become costly as production levels decline naturally. Right sizing your VRU to match current needs is not only practical but also provides a range of economic and environmental benefits. By periodically assessing VRU requirements and making adjustments as needed, companies can enhance well site efficiency, reduce costs, and stay compliant with evolving environmental standards.

If your VRU lease expiration is approaching, now is the best time to re-evaluate your vapor recovery needs.

Contact us today to learn more about High-Efficiency VRUs from Platinum Control and get an evaluation of your production facility or well site.

Contact

Chance Lauer

VP Sales & Service Platinum Control Email: clauer@platinumcontrol.com Phone: 800-994-0579

About Platinum Control

Our core competency in Facilities Optimization sets us apart by helping operators harness the full potential of their well sites and facilities. We work with operators in the most active oil and gas regions, from companies having only a handful of wells to supermajors. As a result, we leverage the experience gained with larger operators, build best practices into our products and services, and then disseminate that knowledge to our smaller customers.

A well site or facility with an optimized configuration will help you harness its full potential, maximizing its long-term economic value and environmental performance.